Early Years funding
Free entitlement funding rates for April 2025 – March 2026
The following table is a breakdown of the hourly rates for each of the free entitlements:
| Type of free entitlement funding: | Hourly base rate: |
|---|---|
| Under 2 year olds | £9.94 |
| 2 year olds | £7.30 |
| 3 and 4 year olds | £5.32 |
| Deprivation supplement * | £0.22 |
| Early Years Pupil Premium ** | £1.00 |
* Deprivation
This supplement recognises deprivation in local authorities’ areas and supports children in those areas in taking up the early years entitlements. Children whose home address postcodes are within the IDAC Bandings A to F receive a deprivation funding rate of £0.22 per hour in addition to the hourly rates.
** Early Years Pupil Premium
Early Years Pupil Premium (EYPP) gives providers additional funding to support disadvantaged children accessing a free entitlement place. For each hour an eligible child takes up any of the early years entitlements, up to a maximum of 570 hours (15 hours per week).
Low income families who are in receipt of one or more of the benefits used to access eligibility for free school meals, children who are looked after by the LA for at least one day, adopted from care, have a special guardianship or subject to a child arrangement order are entitled to the Early Years Pupil Premium.