Question to the Department for Education:

To ask the Secretary of State for Education, pursuant to Question 130635 tabled on 16 December 2020, what assessment he has made of the financial effect on childminders of reintroducing the method of calculating early years entitlement funding that was in place before the covid-19 outbreak.

We have provided unprecedented support to early years providers throughout the COVID-19 outbreak through block-buying childcare places and schemes, including furlough. Childminders are also eligible to receive support from the Self-Employment Income Support Scheme, which has been extended until the end of April 2021: https://www.gov.uk/guidance/claim-a-grant-through-the-self-employment-income-support-scheme.

The government will continue to support families with their childcare costs. My right hon. Friend, the Chancellor of the Exchequer, announced on 25 November an extra £44 million for 2021-22, for local authorities to increase hourly rates paid to childcare providers for the government’s free childcare entitlement offers.

On 17 December 2020, the government announced a return to funding early years settings on the basis on attendance.

We will fund local authorities in the 2021 spring term based on their January 2021 census. If attendance rises after the census is taken, we will top-up councils to up to 85% of their January 2020 census level, where a local authority can provide evidence for increased attendance during the spring term. This will give local authorities additional financial confidence to pay providers for increasing attendance later in the spring term. The early years local authority survey continues on a weekly basis. The following link has more information on the use of Early Years Dedicated Schools Grant in spring 2021: https://www.gov.uk/government/publications/dedicated-schools-grant-dsg-2020-to-2021/dsg-technical-note-2020-to-2021.

In line with the existing and unchanged statutory guidance, local authorities should ensure that providers are not penalised for short-term absences of children (for example, sickness, arriving late or leaving early, or a family emergency) through withdrawing funding, but use their discretion where absence is recurring or for extended periods, taking into account the reason for the absence and the impact on the provider.

We stay in regular contact with the early years sector, including on this subject. We will be closely monitoring both parental take-up of places and the capacity and responses of providers.