Annex E - Part 1 - Funding rates
Funding rates for FEEE places (2025/26)
FEEE delivery for | Base rate per hour |
9 to 23 month olds for working families |
£10.48 |
2 year olds Up to 15 hours for children from families receiving some additional forms of support (TYF) OR up to 30 hours for children from eligible working families. |
£7.57 |
3 and 4 year olds For universal entitlement (up to 15 hours) for all families and extended entitlement (up to 30 hours) for eligible working families |
£5.05 |
All providers will be paid at least the applicable base rate and may qualify for one or more of the Supplements to be added to the base rate (see below).
Each provider will therefore have a composite funding rate for 9 to 23 month olds, for 2 year olds and for 3 and 4 year olds (i.e Base Rate plus Supplements where applicable). Details of this will be communicated to providers by the FEEE funding team.
Supplements to the base rates
Providers may qualify for Quality and/or Deprivation related supplements.
The amounts will be determined by the Funding and Grants FEEE Team, on an annual basis, every Spring term and will apply for the following summer, autumn, and spring terms. Subsequent changes to circumstances, which affect the supplements, will only be considered, and applied from the summer term in the following year.
Criteria for Quality supplements | Supplement added to base rate per hour |
A member of staff is qualified as Early Years Professional (EYP) or with Qualified Teacher Status (QTS)* |
£0.16 |
Criteria for Deprivation supplements |
Supplement added to base rate per hour |
the 10% most deprived areas of the city | £0.21 |
between 10% and 20% most deprived areas of the city | £0.10 |
between 20% and 30% most deprived areas of the city | £0.05 |
*Documentary evidence for the EYP/QTS staff qualification will need to be submitted annually, every Spring term. The deprivation supplement will be determined by the funding team based on the spring term headcount each year.
Other funding payable
- Early Years Pupil Premium (EYPP)
Additional sum of money payable to childcare providers for qualifying FEEE children from families in receipt of certain benefits. The rate from April 2025 is £1.00 per hour per eligible child, for up to a maximum of 570 hours per year. - Disability Access Fund (DAF)
FEEE children in receipt of Disability Living Allowance (DLA) will be eligible for DAF which will be paid as a lump sum payment of £938. Parents / carers can nominate one setting only to receive this funding. Find out how to apply for DAF - Special Educational Needs Inclusion Funding (SENIF)
Additional financial support payable, subject to availability and conditions, for FEEE children with SEND to enable settings to undertake essential training or offer more appropriate staff to child ratios. Please speak to your area SENDCo for more information.