Funded childcare for two year olds
Parents who are receiving certain benefits will be able to apply for funded early education for their two year old child.
You may be eligible for a funded childcare place of up to 15 hours per week or 570 hours a year if your family receive at least one of the following benefits:
- Income Support
- Income-based Jobseeker’s Allowance (JSA)
- Income-related Employment and Support Allowance (ESA)
- support through part 6 of the Immigration and Asylum Act and sections 95 or 98 of the Immigration and Asylum Act
- the guaranteed element of State Pension Credit
- Child Tax Credit or Working Tax Credit with a gross annual income of no more than £16,190.
- Working Tax Credit 4-week run on (the payment you get when qualifying for working tax credits)
- Universal Credit with net earnings below £15,400
You are not eligible if you claim Working Tax Credits and Child Tax Credits at the same time.
Child specific criteria
If you care for a 2 year old child who meets any of the criteria below they will also be eligible for a funded childcare place (TYF code) if:
- Child is in receipt of Disability Living Allowance (DLA).
- Child has a current Statement of Special Educational Need or an Education, Health and Care Plan
- Child is Looked After by the Local Authority
- Child has left Local Authority Care through Special Guardianship Order, Adoption or Child Arrangement Order
Families receiving home office asylum support
A 2 year old child will be entitled to 15 hours free childcare when the family are receiving home office asylum support provided under part 6 of the Immigration and Asylum Act 1999. This includes section 95 and section 98 asylum support.
Families with no recourse to public funds
15 hours free childcare for a 2 year old can be accessed by all families with no recourse to public funds, subject to meeting an income threshold when this applies. Groups that have no recourse to public funds include families with:
Leave to remain that has a No Recourse to Public Funds' condition
No lawful status in the UK
Where the parent(s) can work, they must also meet an income threshold.
The family must have a household income of no more than:
- £26,500 for families outside of London with 1 child
- £30,600 for families outside of London with 2 or more children
Families cannot have more than £16,000 in savings or investments.
How do I apply?
To check your eligibility based on the Families in receipt of government benefits criteria please complete an economic application, for all other criteria please make an application under non- economic criteria. Please apply directly to Leicester City Council via our Citizen’s Portal Online Application link. There is not termly cut-off date to apply for this scheme.
If you are eligible, you will be sent a confirmation letter and this needs to be taken to your childcare provider and you can take up your funded place from the next intake.
How are the funded hours delivered?
You can either take the funded hours as:
- Term time - 15 hours per week over 38 weeks
- Stretched - 11.18 hours per week over 51 weeks.
Please ensure you speak to your chosen childcare provider about their models of delivery before taking a funded place.
How do I find a childcare provider who offers 15 hours funded childcare?
Choosing a childcare provider is a big step for you and your child and finding the right place can be a hard decision to make. Our information on choosing a childcarer can advise you on things to consider when making your choice.
Use the childcare directory to find childcare providers listed with Leicester City Council to deliver funded places for 2 year olds
How much will this cost me?
Your child’s funded hours are free of charge. However, the funding entitlement does not cover the cost of meals, consumables, or additional services.
Therefore, you may be charged for the following:
- Meals and snacks - if you choose to take this up you would be expected to pay for them.
- Consumables such as nappies, suncream or wipes but you could ask whether you are able to supply your own.
- Extra hours - if you choose to take these up you would be expected to pay for them. This should not be a condition of accessing your funded place.
The provider must be clear and transparent about how you can access the funded place and help you understand, before you accept the place, which hours/ sessions can be taken as funded provision and the amounts of additional charges that may be applicable for different sessions. If you choose to pay for meals, consumables, or additional services these items should be clearly listed on your invoice, and you are aware of what you are paying for.
If you have any questions, please discuss them directly with your chosen childcare provider who will be able to explain their process to you.
Change in hours or move to another childcare provider during the term.
You need to set a pattern of attendance for your funded hours for the term with the childcare provider on your parental declaration form. Therefore, you and your childcare provider are clear on what is to be claimed on your behalf.
If you wish to move some or all your funded hours to another childcare provider during the term, that is fine. Please check your contract that you agreed with your childcare provider on what notice period you need to give if you would like to terminate the contract.
Your new childcare provider can only claim after the notice period and not before. If the date of the notice period falls after the date the provider needs to submit data to the authority, the new provider will not be able to claim your funded entitlement until the next term. The Local authority checks all claims are not exceeded and if they are, the nursery will not be funded for their claim, meaning you will be liable for the expense.
If you are eligible based on meeting the above criteria and then you become eligible as a working parent, your childcare provider will claim based on the criteria rather than the HMRC Code. This is the advice that has been given by the Department of Education.
If you are the parent and you still have further queries, please contact us by email on: earlyeducation@leicester.gov.uk or telephone us on 0116 4541680.