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Two-year-olds Q&A: Determined to extend reach

With the Government planning to ramp up the two-year-olds programme for 2014, Karen Faux breaks down the facts and figures to ask what it means for the sector.

The free entitlement for the least advantaged two-year-olds is an ambitious, early intervention initiative, intended to catch those children who are falling through the net when it comes to take-up of the universal free offer at three and four. It also aims to target the least advantaged families and support the closing of the attainment gap.

Research highlights that only 30 per cent of children from the least advantaged 40 per cent of the country's families are accessing any form of formal early years provision, and this is proving a stubborn statistic to shift. With a fast developing infrastructure for accommodating more twos, the Government is determined to ramp up the programme to reach 40 per cent of all two-year-olds by 2014.

Achieving Two-Year-Olds (A2YO), which is the support project for the roll-out involving a partnership between Mott MacDonald and Hempsall's, is positive about reaching the 40 per cent target.

James Hempsall, director of Hempsall's, says, 'We are encouraging local authorities and providers to plan on the assumption that the additional criteria that has been consulted on will apply.

'We are thrilled at the prospect of low-income, working families becoming beneficiaries of this programme, as they are the families most often caught in the childcare gap.

'As the eligibility criteria extends, we expect the likelihood of additional needs to diminish, becoming more like the familiar three- and four-year-old offer. We do, though, urge providers to continue to support the early identification and support for needs as they work with new families.'

How many twos are currently in funded places?

Estimates on the numbers of two-year-olds currently accessing a funded place vary between 55,000 and 75,000, depending on whether you are guided by the Department for Education (DfE) or A2YO respectively. But both are determined to push this figure up to at least 100,000 by September when 130,000 twos will become eligible.

Which children are eligible?

Eligible two-year-olds are: those in families who meet the criteria for free school meals, looked-after children (or children in care), and any others at the local authorities' discretion.

How will the programme be expanded?

In the second phase of the scheme, economic disadvantage will continue to be the primary focus, but a consultation proposes that the criteria will be extended to children in families receiving Working Tax Credit and, under the new benefits system, families who are eligible for Universal Credit and have annual gross earnings of no more than £16,190.

According to Government figures using this economic basis, around 260,000 two-year-olds would be eligible for free early education in 2014.

It is expected the Government will respond to the consultation this autumn when it will also publish a new Code of Practice.

What is the difference between places and children?

Because children can access up to 15 hours per week, it is estimated that more than two children can use a full-time place in a setting. A2YO suggests a formula of 2.3 children, and some local authorities are funding on the basis of 2.5.

Is there the money to do the job?

The Government has allocated £525m revenue allocations to local authorities for 2013-2014, which includes statutory place funding and trajectory building, plus £100m for capital funding. The DfE has allocated the money to support local decisions to achieve the September 2014 targets, so training or anything else such as business support can come out of the trajectory funding pot.

However, there have been fears voiced in the sector about current and likely future shortfalls (see p4-5). Each local authority receives a flat hourly rate, based on local labour markets, which averages at £5.09. Funding allocations for next year will be announced at the end of this year.

After 2015, it is expected that funding will be on a participation basis, as is currently the case with three- and four-year-olds.

How many providers are currently on board?

As of this September, it is estimated that approximately 14,000 will be involved in the offer, taking an average of 6.5 children. Of these providers, 70 per cent are rated good, 20 per cent are rated outstanding and 10 per cent are rated satisfactory.

Local authorities are currently trying to gauge how many providers will be needed to scale the offer up in 2014.

How is sufficiency being addressed?

Local authorities have a mandate to map supply and demand and will be using this data to identify their own market positions along with an analysis of any gaps, to create an implementation plan.

These plans vary significantly depending on a variety of factors, including local capacity, occupancy levels and the ability to create numbers. Other factors that come into play include the quality of the local market, the numbers of eligible children and wider issues such as school organisational planning, where schools are aiming to meet the growth in birth rates to ensure they have the capacity.

What are local authorities currently focused on?

  • Ensuring all empty places are filled
  • Supporting providers to reorganise how they deliver the entitlement to accommodate additional children during a normal week. They should consider a stretched offer where parental demand requires, extending the length of days, thinking about an offer of 570 hours instead of sessions per week
  • Supporting providers to reorganise spaces to accommodate additional children with small grants for alterations and minor works
  • Supporting children through 'pump priming' money to make available places that are registered for but not used. That is to say this money can offer a provider the means to recruit and employ an additional member of staff while child numbers grow
  • Guaranteed places - this commitment by a local authority provides childcare businesses with the confidence that the changes will be financially viable
  • Extending the directory of providers to include all good and outstanding group providers and childminders.

How are families being reached?

According to estimated eligible numbers of twos at the beginning of this year, areas such as Birmingham (4,657), Bradford (1,850) and Manchester (2,274) have the most children to reach, and there is work still to be done to meet targets for bringing those children and families on board.

Local authority teams, children's centres and their partners, including health visitors and Job Centre Plus, are joining together to promote and/or refer families where appropriate as part of a family support offer.

Locality information officers are promoting the offer directly within communities and on doorsteps, while traditional methods such as posters, flyers, and postcards at locations where families congregate and meet are being used.

To encourage proactivity, the DfE is now providing each local authority with a list of potentially eligible parents in their area on a termly basis. In Liverpool, it is reported that the Parent Champions scheme is proving particularly effective. These volunteers are parents trusted by parents, and the council says the success of this stems from its Family Information Services having the ability to take a strategic overview, informed by its involvement in the three- and four-year-old offer.

How do parents access a funded place?

Initially parents of eligible two-year-olds may receive a letter from the council when the child becomes two, to inform them of the offer. If the parents are interested in taking up the offer they may then visit the playgroup, day nursery, childminder or nursery school. It is then up to the provider to complete a parent agreement form with the parent, detailing the child's date of birth and the parent's national insurance number, and return this form to the council to determine eligibility.

These systems will vary locally and it is important that parents and providers contact their local authority about the possibility of a place, at which point eligibility can be checked online.

If the application is successful, the child is then registered with the provider, and the hours and acceptance are confirmed with the council. The council then provides the funding under a separate process.

How advanced are IT systems in terms of supporting the offer?

The Department for Work and Pensions has developed the Eligibility Checking Service, which is the same as the free school meals system. The lists of names and addresses supplied by the department is recognised as a good move forward. Some local authorities have also developed local online systems for applications.

MORE INFORMATION:

THE ESTIMATED ELIGIBLE NUMBERS OF TWO-YEAR-OLDS IN JANUARY 2013

Manchester 2,274
Bradford 1,850
Durham 1,304
Birmingham 4,657
Bristol 1,375
Devon 1,179
Tower Hamlets 1,336
Camden 663
Brent 1,057
Kingston 289
Enfield 1,316



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