New figures released by the Department for Education today reveal 247,000 codes for the 15 hour funded two-year-old offer have been generated with 195,355 codes processed by providers. This means that while 79 per cent have a place, 21 per cent of two-year-olds eligible for the new entitlement currently haven’t.
The estimated figures have been released today, ahead of confirmed figures on Monday. The DfE has also published findings from its Pulse providers survey today (19 April).
According to the DfE, the rollout of the expanded offer is on the same ‘trajectory’ as the previous expansion of the three and four-year-old places in 2017.
It says it expects more codes to be processed in the coming weeks, however expects some eligibility codes will go unused as ‘parents change their mind about formal childcare or were issued a code even though they didn’t need one.’
The DfE said all local authorities have reported they are currently meeting the demand from parents for childcare places. This is despite concerns being raised about sufficiency of places by the sector and subsequently parents previously.
According to the National Day Nurseries Association’s (NDNA) director of policy and communications, Jonathan Broadbery, however its members have said that many nurseries have waiting lists for under-threes.
Are the funded hours helping parents back into work?
Education Secretary Gillian Keegan stated that the figures show, their plan is working, with 'thousands of parents returning to work, and tens of thousands more will be able to do so later this year and next year.
However, the Early Years Alliance argued that the figures don't indicate who is taking up the hours and whether those who have a place are getting the hours and days they need.
Chief executive Neil Leitch said, ‘while these statistics may show the number of places that have been granted, what they don't reveal is whether families have been able to access all the days and sessions they need: a parent who has been given one day a week at their local setting – but needs five – may technically have a funded place, but not one that meets their needs.’
Extra staff and places
The DfE has also published projections for the additional staff and places needed for the full rollout of the expanded offer.
As previously stated by the education secretary, Gillian Keegan, an estimated 40,000 extra staff compared with 2023 are required by September 2025 to deliver the full rollout of the expanded offer. Of these, 9,000 additional staff will be needed for the second phase of the offer, 15 hours from nine months old, coming in from September.
The NDNA argued that with the numbers of employees leaving the profession, more than 40,000 extra staff will be needed.
The DfE said staff numbers have been growing over the course of this year, driven by its £1,000 cash incentive for new joiners being piloted, and its recruitment campaign, launched in February, which has already ‘driven over 73,000 people to find out more about working in early years’.
On places, the DfE estimates that 15,000 additional places – an increase of 1 per cent – will be needed for this September. Around 70,000 further places are likely to be needed for September 2025.
The DfE said that thanks to £100 million of capital investment from the Government and an additional £12 million of delivery support for local authorities, thousands more places are being created ready for the summer.
To further increase capacity, a new pilot to explore how unused school space could be repurposed is beginning this summer.
Today the Government had also put in steps to amend regulations so the period in which a parent starting new employment or returning to work can apply for the funded hours beyond the previous 31 day window.
Under the move, as long as a parent plans to return to work or start a new job by the end of September, they will now be able to apply for their 'free' childcare code on 12 May at the same time as everyone else.
'The challenge facing the sector is an immense one'.
Chief executive of the Early Years Alliance, Neil Leitch, commented, ‘Regardless of the positive spin Government is trying to put on the current situation, the challenge facing the sector is an immense one.
‘Even for a healthy sector, rolling out such an ambitious scheme would have been a tall order.’
Both he and the NDNA urged the Government to tackle the long term underfunding of ‘free’ childcare places.
New consultations
As part of ongoing work to improve routes into the sector and quality of provision, the Government is also launching two consultations next week.
One consultation is on the introduction of a new experience-based route for early years practitioners to increase the number of staff with the relevant skills and experience.
The Experienced Based Route consultation will seek views on a new proposed model for the course, as well as eligibility criteria, and process requirements.
The other consultation will seek views on proposals to strengthen EYFS safeguarding requirements.
