Decision ref
0028 2024/25
Decision date
09/08/2024
Portfolio
Children and Young People
Wards
All wards
Title
Childcare Expansion Capital Grant
Summary
To approve the methodology in relation to the allocation of capital funding to support the national expansion of free childcare.
Purpose
The purpose of the report is to seek approval for the proposed arrangements for allocating capital funding to support the expansion of free childcare.
Background
From April 2024, the existing entitlement to free childcare for the children of eligible working parents is being expanded nationally. Local authorities have a duty to secure sufficient childcare, so far as is reasonably practicable. The expansion is phased as follows:
- from April 2024, eligible parents of two-year-olds will receive 15 hours of free childcare per week;
- from September 2024, eligible parents of children aged between 9 months and two years will receive 15 hours of free childcare per week;
- from September 2025, eligible parents of children aged between 9 months and four years will receive 30 hours of free childcare per week.
In addition to the expansion of free childcare described above, primary schools are being encouraged to increase the supply of wraparound care (available from 8 a.m. to 6 p.m.) to families in order to tackle barriers to working.
Capital funding has been made available to local authorities to support the expansion of childcare places. Locally, St Helens has received a capital allocation of £329k. The funding can be used to provide new places in a range of provider types, including private, voluntary and independent providers, state-funded schools, and childminders. Spending should be focussed on local areas where demand is likely to exceed existing supply, and local authorities are encouraged to prioritise projects in settings that are rated outstanding or good by Ofsted. New places should be accessible to all children, including those with special educational needs and disabilities. The funding may also be used to increase the supply of wraparound childcare for primary-school aged children. Examples of appropriate projects include:
- expansion of existing provision, including expansion to a different or additional site;
- remodelling existing provision to create additional capacity;
- creation of new places via the creation of new settings;
- creation of new wraparound places or improved access to wraparound places (where suitability of space is a concern);
- improvements to existing wraparound provision to make it suitable for a wider range of needs.
It is proposed that providers are invited to bid for capital funding to deliver the free childcare expansion. Factors that will be considered when assessing bids include project feasibility, value for money, potential adverse impact on the stability of the provider, the likely impact on existing local provision, the extent to which wider pipeline school expansion schemes will affect existing capacity, the accessibility of places to all children (including those with SEND), and the extent to which the project will provide additional capacity in those areas of the borough where demand for places is predicted to exceed existing supply.
Work has been undertaken to assess which areas of the borough may have insufficient capacity to meet demand. Current indications are that additional capacity may be needed in Blackbrook, Billinge & Seneley Green, Haydock, Newton le Willows, Rainford, Rainhill, Windle and West Park. It should be noted, however, that it is difficult to accurately predict the level of take-up. In addition to prioritising bids that relate to those areas of the borough where existing capacity is likely to be insufficient, consideration will be given to assessing bids on a phased basis given that the expanded free entitlement won't be fully introduced until September 2025. Otherwise this is a risk that there will be insufficient capital funding to address capacity shortfalls that may not yet be apparent. Capacity and take-up data will continue to be refined.
It is proposed that a small panel assesses applications for funding. The panel membership will include officers from early years, finance and SEND in addition to representatives from primary school and private, voluntary and independent sector settings. Successful funding bids will be subject to approval via a future Delegated Executive Decision. Draft application and evaluation forms are attached to this decision.
Conclusion
In conclusion, it is recommended that capital funding for the expansion of free childcare is allocated in accordance with the methodology set out above.
Risk Implications
There is a risk that the data analysis doesn't accurately identify all areas of the borough where there may be insufficient supply to meet demand.
Measures to Redress Risk
The Department for Education acknowledges that it doesn't have reliable data for forecasting purposes. Locally, analysis has been undertaken using birth data, existing place capacity, discussions with providers etc. to gain as accurate view as possible as to where there is a risk that capacity may be insufficient. Providers will be asked to provide evidence of demand as part of the bidding process. Funding is likely to be allocated to providers on a phased basis to mitigate against the risk that capacity shortfalls become apparent as the implementation progresses.
Declarations Of Interest
None
Equality Impact Assessment
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More information
Please contact Greg Tyrer on 01744 671812
