Chancellor announces additional £66m EY funding
The Chancellor of the Exchequer Sajid Javid MP today announced his one-year Spending Review, outlining the priorities for the UK’s first year outside the EU.
This included an increase in early years spending by £66 million to boost the hourly rate paid to childcare providers through the government’s funded entitlement.
He has not provided any further details on this, including when it will be implemented or which type of providers will be eligible.
Purnima Tanuku OBE, Chief Executive of NDNA said: “For three years providers have faced stagnating funding rates to deliver the Government’s childcare policy so any announcement of plans to increase the rate will be welcomed. However, the devil will be in the detail.
“The Chancellor’s announcement of an additional £66 million of additional funding amounts to an increase of less than 2% and we will have to wait and see how this will breakdown between regions and providers.
“We welcome the Chancellor’s plans for an additional £700 million funding for children with SEND and hope that some of this will be allocated to early years.”
Speaking in the House of Commons to announce the Review, Mr Javid said the cost of government borrowing had fallen to historic lows, giving the government further room to increase spending, and announced no government department would have its budget cut in real terms next year.
Other education spending:
The government reiterated its commitment, as announced over the weekend, to a £7.1 billion increase in funding for schools by 2022-23 (£4.6 billion above inflation) with school budgets to rise £2.6 billion in 2020-21 and £4.8 billion in 2021-22. This includes the £700m for SEND support in mainstream schools also announced over the weekend.