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Disadvantaged children miss out on their funded entitlement due to confusion among parents

Disadvantaged children are being prevented from taking up the 15-hour entitlement due to confusion surrounding the different childcare entitlements, restrictions on how funded hours can be accessed and additional charges to access them.
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According to a new report by Coram Family and Childcare, funded by the Nuffield Foundation, while the take-up of early education places has risen ‘considerably’ since the introduction of the extended hours, a ‘substantial’ minority of children, especially those that are disadvantaged, are still missing out on their entitlement.

Published today, the research, which explores the barriers to take-up of the 15 hours for disadvantaged two-year-olds and the universal offer for three and four-year-olds, finds:

  • Parents find the different entitlement confusing and difficult to navigate. Councils say lengthy application processes and complex systems make accessing funded childcare ‘difficult’ for parents, particularly those with English as an additional language or with low literacy or digital skills. This complexity is mirrored by the experiences of providers who speak of ‘significant’ time administering the entitlements.
  • The expanded entitlement for working families has complicated the picture further, with conflicting and confusing messages to parents about eligibility and the purpose of different entitlements.
  • Weak regulation of the delivery of the funded hours means providers are constraining the number and structure of funded places offered and asking parents to pay additional charges. A two-tier system of provision is emerging in some cases, which, at its most extreme, is ‘inferior and stigmatising’ for parents taking up the disadvantaged two-year-old entitlement. 

Only yesterday, the Department for Education (DfE) announced it is to tackle so-called 'top-up' fees charged by early years providers so all parents can access a place.

'Children who may benefit the most from early education are often missing out'.

Lydia Hodges, head of Coram Family and Childcare, said, At a time when childcare seems to rarely be out of the spotlight, these findings show that children who may benefit the most from early education are often missing out. But the study also shows that need not be the case - local councils can and do make a real difference in many areas. There’s excellent practice to learn from. 

‘There are national lessons to be learned too. Right now, disadvantaged children are entitled to only half the hours of funded early education that children with working parents get, and at a later age. We have to ask ourselves if this is what we want for our children. Childcare is important for enabling families to work, but going to nursery isn’t just about childcare, it’s early education too. The Government has recognised that in their commitment to breaking down barriers to opportunity for every child, and their ambition to boost the number of children reaching their early learning goals. To do that, the funded entitlement must be accessible to all children.

To support higher take-up of the funded hours for disadvantaged two-year-olds and the universal offer for three and four-year-olds, the report recommends:

  • A fair funding model that fully covers the costs of delivering funded hours, including the resources required to support children with SEND and other disadvantaged groups.
  • Strengthening guidance and supporting local authorities to ensure that the 15 hours are genuinely free for families and admissions are inclusive.
  • Recognising the key role local authorities can play in ensuring that children who can benefit the most from early education, access the 15-hours entitlement, with separate, dedicated funding to deliver the policy locally. 
  • A universal entitlement to 15 hours of funded early education for two-year-olds, which would reduce confusion among parents of two-year-olds regarding eligibility, and reduce the administrative burden for providers and parents, likely boosting participation among disadvantaged children.

The report also recommends making early education ‘conversations’ a routine part of work for all family-facing professionals. 

The Local Government Association (LGA) said it shared the same concerns about disadvantaged children missing out on the funded hours, and that councils have 'significant' concerns around capacity and workforce challenges to properly support providers.