Funding handbook for Coventry Schools: Early Education Entitlement Funding - Print version

Coventry schools' handbook for the delivery of Early Education Entitlement Funding

This guidance has been created by Coventry Business, Sufficiency and Funding Team to support Schools in meeting the terms and conditions of Early Education Entitlement Funding delivery, as set out in the following Government and Local Authority documentation:

• early education and childcare: Statutory guidance for local authorities
• early years entitlements: local authority funding operational guide
• annual Coventry Provider Funding Agreement
• annual Memorandum of Understanding for Maintained, Voluntary Aided / Controlled Schools

Please note the following:

• the term parent is used throughout this guidance to refer to the person who has parental responsibility for a child
• this document assumes that schools are delivering Early Education Entitlement places over no more than 38 weeks per year

Admissions policy

All parents should have the same rights to access a funded entitlement place regardless of whether they choose to pay for additional hours, food consumables, non-food consumables and activities.

Schools should publish admissions information, which is clear and can be easily understood by parents. This is to support parents to make an informed decision about where they wish to use their child’s funded entitlement.

The admissions information should clearly identify which hours/sessions can be taken as funded provision.

Termly Census and/or Headcount date

All children in receipt of early education entitlement funding must be registered and attending, no later than the termly census date or headcount date where a Community Powers Section 27 model is in operation. These dates are included on the early years Funded Weeks and Payment Schedule which is published on the Council website.

There are some occasions when the local authority will authorise a child to begin a funded place after the termly census / headcount date has passed. To see if the child meets the criteria for funding via the exceptional circumstances route, schools should visit the Early Years Website pages [https://www.coventry.gov.uk/early-years-childcare/early-years-pvi-providers-2-3-4-year-old-early-education-funding/6].

Operational models of delivery

Schools should deliver flexible packages of childcare, which support families to take up funded places within the parameters set out in the statutory documents. Funded places should be free at the point of delivery; no mandatory charges should be attached to any hours during which funding is being delivered. For children accessing funded hours before and after lunch, the lunchtime period should form part of the funded hours offer and must not be charged as a ‘privately paid for’ hour.

For example, for a child taking up 30 hours, over 5 days per week: 8:30am - 2:30pm, schools may offer parents the option of ‘purchasing’ the remaining time to align the session with the end of the school day, although this must be optional. Government requirements stipulate that children should be able to take up their funded place in continuous blocks of time.

To enable parents to make an informed decision about where their child takes up a funded place, schools should publish information about how and when they deliver funded places. The Department for Education expect this information to be published on the school website or Coventry Family Information Directory by January 2026. This requirement is applicable to all provisions that have 10 or more children in attendance at any one time. Information should include but not be limited to:

• days and times of funded sessions e.g. 8.30am – 2:30pm for a 30-hour place
• the times and costs of any additional ‘privately paid for’ hours e.g. those hours which sit outside of identified funded hours/days. For the purposes of this example 2.30pm - 3:30pm = £x: xx Any additionally agreed ‘privately paid for hours’ will be subject to a private contract which is separate to the funding terms highlighted herein
• any additional charges, which are not covered by the funded entitlement must be offered to parents as a voluntary purchase option. This may include but not be limited to food consumables, non-food consumables such as sun cream or nappies, activity charges and additional hours
• where the school ask parents to pay for additional hours and services, they must have a policy and/or statement which sets out alternative options for parents who choose to opt out of the voluntary charges items and/or services. For example, allowing the parent to supply their own items

Examples of models offering both funded and privately paid for hours

For the purposes of these examples we have assumed the funded nursery hours to be 8:30am - 2:30pm. School finishing time in these examples is 3:30pm.

Table 1

Table 1 assumes that the child is eligible to receive 15 funded hours per week. The parent is opting to pay for additional periods and services which fall outside of the funded hours.

Table 2

Table 2 assumes that the child is eligible to receive 30 hours funding per week. The parent is opting to pay for additional hours and services which fall outside of the funded hours.

Fees and charges

Deposits

Schools may ask parents to pay a ‘refundable’ deposit, to secure a child’s early education entitlement place.

Deposits in academies and free schools

Deposits in Academies and Free Schools The deposit must be refunded to parents by the end of the first term in which the school receives the remittance payment of government funding for the named child, from Coventry City Council.

Deposits in Maintained Nursery Classes, Voluntary aided /Voluntary Controlled and Maintained Nursery Schools

The school must refund the deposit, to the parent, upon receipt of the first quarterly bank advance from Coventry City Council, following the child being admitted to nursery. Schools will not be required to refund the deposit where;

• parents have secured a place, but the child does not attend before the termly headcount date
• the child has been attending the provision but moves to a new provider/school after the start of a new funding term, but before the termly census and/or headcount date

Charging policy

The school’s policy for optional charges must be published on their website or Coventry Family Information Directory no later than January 2026. This is applicable to all provisions that have 10 or more children in attendance at any one time. The charging policy must identify any charges made for:

• cost of additional ‘privately paid for’ hours
• food consumables
• non-food consumables
• activities

This policy should include a breakdown of what is included within each charge and highlight what happens in circumstances where the school is closed, the child is absent, or the child relocates to another setting.

The policy will need to provide parents with options for alternatives to additional charges, including allowing parents to supply their own, or waiving the cost of these items. Please note where parents have opted out of additional payment for activities, children must continue to receive provision that complies with the EYFS.

Although charges for additional items and services must be optional for parents, in order to support business sustainability schools are able to ask parents to agree these on a term-by-term basis, in advance of the forthcoming term. Written agreements with parents should include a section to show whether the parent has opted in or out, and for how long e.g. termly. Coventry’s Early Years Annual Parent Funding Agreement may be used for this purpose.

Fee information checklist

Fee information checklist for schools delivering early education entitlement funding

Does the school's fee information:

• include the schools name, address, telephone, and email contact details?
• state opening hours?
• make clear to parents that funded entitlement hours are completely free of charge during specified hours/sessions/days?
• tell parents which times and days funded hours will be delivered?
• tell parents about the maximum number of funded weeks/hours in each term and academic year, and which weeks/dates are covered in each funding period?
• highlight to parents that all children in receipt of funding must have taken up a place before the termly census/headcount date?
• make clear to parents, the policy the school will follow, where parents choose to relocate their child to a new provision/school, following the school’s submission of termly census/headcount data to Coventry City Council?
• highlight to parents who are in receipt of a 30-hour funded place, that they must re-confirm their eligibility every 3 months, as prompted by HMRC and the consequences, should the parent fail to do so?
• include charges for ‘privately paid for’ hours?
• set out contractual expectations relating to ‘privately paid hours and optional items and services?
• clearly outline eligibility requirements for each of the funding entitlements offered and tell parents how they can apply?
• highlight to parents that the provision of items and services, including food consumables, non-food consumables, activities and additional hours will be offered as an optional extra which parents may purchase? Costs for each item/service should be stated, for example;
  •  additional hours £?
  • food charges £?
  • non-food consumables charges £?
  • activities charges £?
• a comprehensive breakdown of all items and services that are covered by the optional extras policy, under each of the following headings:
  • food charges e.g. snacks, breakfast, lunch and tea
  • non-food consumables charges e.g. nappies and sun cream
  • activities charges e.g. weekly gym tots session
• highlight to parents the school’s policy on how they will respond if parents choose to opt out of the additional charges
• state the terms, conditions and costs incurred for late collection?
• enable parents to easily reconcile fee information against their invoice, so that they can clearly identify what they have been charged for and why? Headings must include but may not be limited to:
  • the number of free entitlements hours
  • the number and cost of additional private paid hours
  • food charges
  • non-food consumables charges
  • activity charges
• state how parents can apply for and use a Tax-Free childcare account? Inform parents about additional funding payments such as Early Years Pupil Premium (EYPP) and Disability Access Funding (DAF)?

Early Years Pupil Premium (EYPP)

Schools can claim (EYPP) for eligible children who are in receipt of early education funding. Funding provided through EYPP is intended for use enhancing the environment, purchasing additional resources or staff training.

The payment covers the first 15 hours of each eligible child’s entitlement. The hourly rate for EYPP is subject to annual change and can be found on the Early Years website in a document called ‘Funded Weeks and Payment Schedule’

Making a claim for EYPP:

• schools must use the Coventry Schools and Early Years Portal to make and validate EYPP claims
• parents must complete the relevant section of the Coventry Early Years Annual Parent Funding Agreement, prior to any information being uploaded to Coventry Schools and Early Years Portal

Disability Access funding (DAF)

DAF is an additional annual payment made to schools or providers for eligible children who are accessing a funded place and are also in receipt of Disability Living Allowance (DLA)

• the funding provided through DAF is intended for use in supporting the school to make reasonable adjustments, which help to remove barriers to attendance for children with SEND

Making a claim for DAF:

• claims must be made via the Coventry Schools and Early Years Portal. Parents will need to provide evidence that their child is in receipt of DLA. This evidence will need to be uploaded to the portal
• parents must complete the relevant section of the Coventry Early Years Annual Parent Funding Agreement, prior to any information being uploaded to Coventry Schools and Early Years Portal

Invoices and receipts

Schools should ensure they have clear invoice/receipt structures in place which enable parents to easily reconcile invoices with charges detailed in the school’s fee information.

Invoices must be itemised to show a break-down of all aspects of the overall cost including, additional ‘paid for’ hours items and services. Invoices must show:

• the number of free entitlements hours
• the number and cost of additional privately paid for hours
• food consumable charges
• non-food consumables charges
• activity charges

Please note, funded hours must not be presented as a monetary value and therefore must be shown as zero cost. This is to ensure that parents can see that their children have received funded hours completely free of charge at the point of delivery.

Invoices will not be required where parents access funded hours only and do not pay for any additional hours, items or services.

Checklist for invoices and receipts

Is the following information clearly detailed on the invoice/receipt issued to parents?

• School name
• School address
• School contact
• Invoice number
• Invoice date
• School telephone number and/or email
• Parent name and contact details
• Child’s name
• itemised pricing information which is clearly reconcilable with the information you have provided on the fee information, such as:
  • the total number of funded hours and weeks allocated for the term
  • the total number of hours contracted to attend in this invoice period (Both privately paid for and funded hours)
  • the total number of funded hours claimed
  • these must be shown as hours and are not represented as a monetary value. E.g. 60 funded entitlement hours = £0.00
  • additionally purchased ‘privately paid for’ hours are clearly itemised E.g. 10 hours @ £? (School rate) Food charges
  • non-food consumable charges
  • activity charges

Early Education Funding Delivery - Compliant Invoice Examples

Please see examples of invoices [https://www.coventry.gov.uk/downloads/download/7302/early-education-funding-delivery---compliant-invoice-examples] that would be considered compliant with government and Coventry City Council requirements. Schools should use these examples to ensure compliance against the requirements.