Question to the Department for Education:

To ask the Secretary of State for Education, what recent assessment her Department has made of the adequacy of funding provision for early years settings.

In the 2021 Spending Review the department announced additional funding for early years of £160 million in 2022/23, £180 million in 2023/24 and £170 million in 2024/25, compared to the 2021/22 financial year.

The department has recently announced that we will invest an additional £20 million into early years funding in 2023/24, on top of the additional funding announced in the 2021 Spending Review. Taken together, this will help support providers at a national level with the additional National Living Wage costs associated with delivering the free childcare entitlements next year. The department will also be investing an additional £10 million into Maintained Nursery School supplementary funding from 2023/24.

In 2023/24, local authorities are set to receive average funding increases of 3.4% for the 3- and 4-year-old free childcare entitlements and 4% for the 2- year-old entitlement, compared to their 2022/23 rates.

The department has again increased the early years pupil premium, which for 2023/24 will provide up to £353 per eligible child per year to support better outcomes for disadvantaged 3- and 4-year- olds. The department has also increased the Disability Access Fund, which will be worth at least £828 per eligible child per year.

The department continues to engage with sector stakeholders and local authorities to monitor the sufficiency of childcare places and sustainability of the early years sector.