Government announces £400 million investment into early years providers

The government announced early years education measures to be rolled out from January 2024

Nursery
Author: Zoe Head-ThomasPublished 29th Nov 2023
Last updated 29th Nov 2023

The government has unlocked £400 million of investment into early years providers for 2024-2025, set to deliver an uplift to local authority hourly rates to ensure enough places are available around the country.

From April, hourly rates paid by the government, based on a national average, will amount to £11.22 for under twos, £8.28 for two-year-olds, and £5.88 for three- and four-year-olds.

Visiting a nursery in Leigh-On-Sea, Essex, Schools Minister David Johnston told Greatest Hits Radio: "What we know is that the first five years are absolutely crucial to how children develop."

"It's particularly important to try and get those years right."

As part of the investment in child services, the government has also announced the largest ever expansion of free childcare for working parents, to be rolled out from January 2024.

“Our fantastic childcare offer is going to start supporting eligible families in less than six months’ time..."

Applications for the first stage of the rollout will be opening on 2nd of January, with the first eligible parents of two-year-olds set to access 15 hours of free childcare per week from April 2024.

Education Secretary Gillian Keegan said: “Our fantastic childcare offer is going to start supporting eligible families in less than six months’ time, and I want to make sure that parents and providers are prepared."

"Government is also offering ongoing support for the over two million parents on Universal Credit, many of whom could now also be eligible for up to £951 a month if they have one child and £1,630 if they have two or more children, to help cover the costs of their childcare bills – this marks a 47% boost in support."

Another set of funding will become available from tomorrow (30th November), designed to support thousands of new childminders to enter the sector to help further increase choice and flexibility for families.

"We know that the ambitious plans for the expansion of early education and childcare will need to see growth right across our sector..."

There will be £600 available for childminders who choose to register with Ofsted and £1,200 for those who choose to register with a childminder agency.

Chief Executive of PACEY (Professional Association for Childcare and Early Years) Helen Donohoe said:

“We know that the ambitious plans for the expansion of early education and childcare will need to see growth right across our sector, and not least in the number of childminders."

“We therefore welcome the launch of the start-up grants scheme, for new and returning childminders, and look forward to working with all providers as more and more parents come on board.’’

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