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Extended hours: New funding rates fail to meet 10 per cent rise to minimum wage, analysis shows

Many local authorities won’t receive the headline funding rates the DfE is promising providers from April, with rises well short of the minimum wage increase, according to the NDNA.
PHOTO Adobe Stock
PHOTO Adobe Stock

National Day Nurseries Association chief executive Purnima Tanuku said their analysis of local authority funding ‘rings alarm bells’, and as they stand, the funding rates do not fully support providers to enable the expansion of the funded hours from next year.

The National Day Nurseries Association (NDNA) has analysed the funding rates local authorities will receive from April to deliver the extended entitlement.

DfE confirms extended 30 hours funding rates, but sector says they don't reflect the 'real delivery cost'

It follows the confirmation of rates by the Department for Education (DfE) earlier in the week, which stated that national average hourly funding would rise to £11.22 for under-twos, £8.28 for two-year-olds and £5.88 for three and four-year-olds.

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