Overview
The government provides Early Years Entitlement funding for children under 5 who are accessing childcare. Funded childcare supports parents and carers who wish to return to work or access training and is part of the Governments ambition to give every child the Best Start in Life.
Depending on the age of your child, and your personal circumstances, you could be eligible for up to 15 or 30 hours per week of funded childcare. This is based on a 38-week term-time offer providing Early Education and care for children under 5. Some providers ‘stretch’ the funding and offer fewer hours a week over more weeks of the year to meet the needs of working parents.
The early years entitlements cover the cost of high-quality childcare places at an Ofsted registered provider delivering the Early Years Foundation Stage. This could be in a school nursery (maintained, academy, independent), private full day care nursery, pre-school or childminder.
The Statutory Guidance for Early Education and childcare sets out the requirements for the Local Authority and its legal duty to have sufficient early years funded childcare places available for families. In Devon, we have a Provider Agreement with all early years registered providers to ensure that funded places are delivered as required.
Providers set their opening and closing times and manage the number of places they offer based on staffing ratios, qualifications and space. They also specify what time is funded and when it is available. This may be across the whole day or only during certain times of the day. You will usually have the option of purchasing additional hours or sessions if the setting has space.
Some providers may offer ‘Chargeable Extras’ to enhance their childcare offer to families and children which are not included in the Early Years funding paid to settings. This must be set out as either food, consumables or activities and providers need to be clear and transparent about what is included in each of their charges. The charges may apply to your funded hours but fully included if you purchase additional hours with the setting.
There is a diverse childcare market in Devon so you will need to speak with your local preferred childcare providers about their offer, read their policies and ask questions.
To find out which entitlements you are eligible for, please visit Best Start in Life
Funding Offer or Model
The entitlements are typically known as 15 or 30 hours a week (570/1140 hours for the year). However, this can be misleading as this relates to a term-time offer (38 weeks). Some providers will offer fewer hours a week across the whole year which we call a ‘stretched’ offer.
The government sets out that the funding can be used over 7 days a week and at times between 6am – 8pm. A maximum of 10 hours can be claimed in a day. Funding can be shared at two or more providers, but your child cannot be funded at more than two providers in a single day. This can help parents who want some childcare near home and some near a place of work.
Providers can decide how the funding is offered and delivered. Some providers may offer a morning and afternoon funded session, some may only offer full funded days and others may have the flexibility for you to choose where you wish to use your funded hours.
It is important that you find out what funded options are available when looking for suitable childcare and read the providers charging policies or information about their fees.
Additional Hours
Providers will often offer additional hours/sessions/days for parents to purchase if more childcare is required, and they have spaces available. This is a private arrangement between you and the provider and chargeable in line with the providers charging policy.
You must not be asked, or required, by a provider to book or buy additional hours if you only want funded childcare.
Financial help may be available for parents in receipt of Universal Credit who need to pay for additional hours. Ask your work coach or enquire via your online account.
Tax Free Childcare is also available for eligible families. For every £80 deposited into your Tax Free Childcare account, the government will contribute £20. Your provider will invoice you in the normal way and you will make payments to them from your Tax Free Childcare account. Further details can be found: Tax-Free Childcare – GOV.UK
Chargeable Services
Some providers offer additional services that are not covered by the funding or enhance the setting and learning opportunities for children. Charges may apply for the following:
- Food and snacks: some settings have kitchens and a cook providing healthy, nutritious food throughout the day. Knowing that your child will have meals and a hot lunch whilst in childcare is reassuring and supports working families. Other providers may buy in meals for children.
- Consumables: such as nappies, wet wipes, sun cream etc – some settings provide these items and more. Your provider will advise what items are available within their charges.
- Activities, outings and events: some settings offer French, Yoga, dance sessions etc. or have termly outings to enhance children’s learning. The instructor costs, additional staffing, transport or entry fees are all additional costs not covered by the early years funding.
Providers are required to be clear and transparent regarding the services that they offer that are over and above the Early Years Foundation Stage offer and what is included in their Chargeable Extras. There cannot be a daily charge for all services, and they must be broken down as above. You can choose the services you require such as access the food offer but not the activities and review the Chargeable Extras you require each term. You cannot opt out of Activities and then opt back in for part of the offer such as outings unless the provider allows.
The advantage of accessing additional services is that all children within the setting can enjoy the same foods and access the same activities and it helps busy working parents knowing that everything is provided for their child.
If you access food, consumables or activity charges these must be listed on your invoices, and we recommend included in any signed contract or agreement with the setting.
If you do not wish to access Chargeable Extras you must have the choice not to pay for anything. Your provider will advise what items you will need to be provide if you choose to opt out.
Deposits, Registration Fees and Retainers
If you enquire about a childcare place well in advance of your child starting, providers may charge you to secure a place. Details of these charges must be clear and transparent in their charging policies.
Deposits can be requested and must be refunded once your child has started with the provider. If a deposit is made for funded time only, it must be returned to parents at the end of the first month attended. If a deposit is made for private chargeable hours, the provider will confirm when this is refunded in their charging policies. The deposit may be held to ensure invoices are paid and it may be deducted from your last invoice when your child leaves. A deposit linked to charged hours is a private arrangement between you and the provider.
Registration fees can be charged if the provider is, for example, supplying items such as branded clothing or book bags. It may also include induction or settling in sessions before your child joins.
Retainers can be charged if you have not yet started to use your funded entitlements and is a private arrangement with your provider. You may wish to reserve a place with a provider in the 6 months’ or so, before your child starts. The provider cannot fill your place but will still have staffing and overhead costs and a retainer fee may apply to cover those costs.
Parent Enquiries
We encourage you to speak with providers about their childcare offer to find out:
- when funded time is available,
- If funding can be used during term-time only or stretched over more than 38 weeks to fit with your work
- if there are any additional Chargeable Services.
This information should be available in their policies or provider information and must be published on their websites from January 2026.
If your child is already attending a setting, please refer to your contract or agreement or previous communications that you have had from your provider.
If you have any queries regarding their offer or invoicing or charges, please speak with the appropriate person at the provision. It is also useful to confirm the details of the query by email and ask for clarification if you feel your questions have not been answered.