The '30 hours funded childcare' offer for 3-4 year olds began in September 2017, and has gone through many iterations since! In 2024, the largest expansion of the funded hours will roll out, to reach the government's ambition of all families of eligible children accessing up to 30 hours of funded childcare from 9 months old to 4 years. Nurseries, childminders and pre-schools are expected to provide the majority of the '30 hours childcare', but out of school clubs are also eligible so long as they are registered on the Early Years Register.
Key issues for out of school clubs
The main issues that out of school clubs should be aware of when considering whether to offer funded childcare, are:
- It is entirely optional. There is absolutely no obligation to participate in the scheme.
- The funded childcare offer is open to eligible parents of pre-school children. Children who attend reception classes are not eligible, even if they are still aged four.
- You don't have to offer the full 30 hours per week. Parents can split their childcare between providers, if they wish. For example a child could attend a pre-school for part of the day, and your after-school club for a couple of hours at the end of the day.
- If you do want to participate, your local authority must first approve your childcare setting and usually expect providers to have an Ofsted rating of 'good' or 'outstanding' - this could be problematic for some wraparound providers who received a met or otherwise judgement at their last inspection.
- The final amount you will be paid per hour is decided by your local authority, based on the amount that they have been allocated by central government.
- If you do participate in the scheme, you will be taking pre-school children. This means that the exemption from the standard early years staffing ratio and qualification requirements that most out of school clubs enjoy, will no longer apply.
Hourly rate
You cannot choose the hourly rate that you charge for funded childcare. The amount that you will be paid for providing funded hours is decided by central government and by your local authority. The government allocates a certain amount to your local authority, which keeps a small proportion of this to cover central services then passes the rest on to providers at an agreed rate. You can find out the government allocated rate for your area here: DfE's Early Years Funding Guidance
You cannot charge parents 'top-up' fees if the amount paid by the local authority is less than your usual hourly rate. However you are allowed to charge extra for meals, trips, etc. This is tricky to navigate and we'd advise you seek clarification from the local authority.
Most local authorities will pay providers monthly in arrears for providing funded childcare hours.
Implications of taking pre-school children
If you you start caring for pre-school children at your club, you lose the exemptions from the standard early years staffing ratios and qualification requirements that ordinary out of school clubs enjoy. This means that:
- The manager will need to have a 'full and relevant' Level 3 qualification (or above), a member of staff with a 'full and relevant' Level 3 qualification will need to be present at every session, and half of the remaining staff who are looking after the pre-school children will need to have a 'full and relevant' Level 2 qualification. See our article on Full and relevant qualifications for more information.
- You will need to operate at a staffing ratio of 1:8 for the pre-school children who are aged 3-4.
- In addition, in order for newly qualified members of staff to count as Level 3 or Level 2 qualified staff within your staffing ratios, they will need to have a current paediatric first aid certificate. See our article on First aid qualifications for more information.
Tax-Free Childcare
The 30 hours 'free' childcare offer is separate from the government's Tax-Free Childcare scheme, although both schemes use the same Choose Childcare website in order to manage accounts for providers and parents. See our article on Tax-Free Childcare for out of school clubs for more information.
More information
Very useful summary of the 30 hour free childcare scheme (PACEY)
Early years funding guidance (DfE)
Related articles
Essential qualifications
Full and relevant qualifications
First aid qualifications