Business start-up grants available for new childminders

Wednesday, April 25, 2018

Newly-registered childminders in England could be eligible for funding from the Department for Education (DfE) to help them set up their business and offer 30-hour childcare.

Under the Childcare Business Grants scheme £300 is available for new childminders who have been registered with Ofsted for less than three months.

To be eligible, providers must be registered with their local authority to offer the 30 hours funded childcare entitlement for three- and four-year-olds, or be in partnership with a childcare provider that is.

If they are a childminder agency, they must be directly encouraging and supporting their registered childminders or providers to offer the 30 hours funded childcare entitlement, either themselves or in partnership with other providers.

A locality supplement of £200 to the universal award, providing a total grant of £500, can also be paid to new childminders who work within certain local authority areas where the number of childminders is low and the area faces particular challenges around rurality and disadvantage. This funding is on offer in 30 local authority areas.

The Childcare Business Grants Scheme, funded by  the DfE, was launched in May 2017 to help new childminders and childminder agencies enter the childcare market.The scheme originally offered a £500 grant for a new early years childminder or childcare provider on domestic premises. Both the £1,000 grants announced last year will continue to be offered. They are:

  • a £1,000 grant for a new early years childminder or childcare provider on domestic premises which provided care for children with special educational needs and disability (SEND)', and;
  • a £1,000 grant for a new childminder agency (CMA).

The new tiered awards are only open to childminders, childcare providers on domestic premises or CMAs in England that have been operating for less than three months.

Businesses must be able to provide a copy of their registration certificate with Ofsted or a CMA on the Early Years Register.

If providers have not yet started their business, they must plan to do so within six months of their application date.

The business grant must be used for costs directly related to setting up the childminding business, and childminders must retain proof of how they have spent the grant.

Businesses cannot apply if they have previously been awarded funding as part of the previous Childcare Business Grants scheme, unless they are now applying as a CMA.

Applicants cannot be private nurseries, after-school clubs or other type of provider.

The DfE has warned applicants there is a fixed amount of funding available that will be allocated on a first come, first served basis, and advises businesses not to delay their application.

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