Funding for the Early Years and Childcare Entitlement

Local authorities are funded for early years provision through the early years block in the dedicated schools grant (DSG). The Dedicated Schools Grant (DSG) allocations are calculated using January school and early years census data. Early years providers and schools provide data on the number of children taking up free entitlement places and the number of hours of free provision. The early years census collects data on all children receiving provision that is funded by the Department during census week (the week in which the census day falls). The school census collects data on all children who were registered pupils of the school on census day.

Which census should be used?

Schools with on-site early years free provision make their return via EITHER the school census OR the early years census, as appropriate for the individual children attending being funded as outlined in the point below:

• registered pupils of the school (2, 3 and 4-year-olds depending on the statutory age range of the school) are recorded via the school census (and not the early years census)
• children (aged 2, 3 and 4) attending a separate Ofsted registered PVI provider on a school site, are recorded via the early years census (and not the school census)
• children attending Section 27 provision (governor run) should be either:
  • recorded via the school census where they are registered pupils of the school (can include 2-year-olds if the school’s statutory age range covers 2-year-olds); or
  • recorded via the early years census where they are not registered pupils of the school

All other providers will complete the early years Census

Further information can be found here: Early Years Funding 2023-2024