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Information for practitioners about funded childcare for 2-year-olds

Information for practitioners about funded childcare for 2-year-olds

The 2-year-old funding allows eligible 2-year-old children to access a funded early education place with a childcare provider. This funding is a targeted scheme and is a statutory entitlement to families claiming certain benefits.

If you’re a parent or carer looking for more information, visit the childcare section.

Eligibility Criteria

Either parent or carer income based criteria:

  • Income Support
  • Income based Jobseekers Allowance
  • Income related Employment and Support Allowance
  • Support under part 6 of the Asylum Act 1999
  • The guarantee element of State Pension Credit
  • Child Tax Credit or Working Tax Credit and you have an annual household income no more then £16190 as assessed by HM Revenue and Customs (TC602 Final Award Notice)
  • Universal Credit - provided you have an annual net household income as assessed by HM Revenue and Customs that does not exceed £15400 (assessed on three most recent assessment periods)

Eligibility based on the child:

  • the child attracts Disability Living Allowance (you must submit a copy of your award from within the last 12 months when requested)
  • the child has an Education, Health and Care Plan (EHCP)
  • the child is looked after by the local authority
  • the child has left care through an adoption order child arrangement order or special guardianship order

No Recourse to Public Funds families.

The parent or carer must have a maximum household income of:

  • £26,500 for families outside of London with one child
  • £30,600 for families outside of London with 2 or more children
  • a maximum capital threshold of £16,000 in all areas
  • student visa holders
  • zambrano carers
  • families who have no recourse to public funds with a right to remain in the UK on grounds of private and family life under Article 8 of the European Convention on Human Rights
  • families receiving support under Section 17 of the Children Act 1989 who are also subject to a no recourse to public funds restriction
  • those who have claimed asylum in the UK and are waiting for a decision (known as ‘part 6’)
  • a subset of failed asylum seekers supported under Section 4 of the Immigration and Asylum Act 1999
  • those with a UK Ancestry Visa
  • those with temporary protection status under Section 12 of the Immigration and Nationality Act
  • those with pre-settled status who do not meet the qualifying right to reside test
  • chen carers
  • families holding a BN(O) passport
  • spousal visa holders
  • work visa holders
  • those with no immigration status

Should a family's circumstances change, they will not lose their funded childcare place.

Please note: there may be children currently attending your setting who may now qualify for a funded childcare place. If you think families may be eligible please advise them to complete an online application form.

Once a family has completed an application form and they are found to be eligible, the family will receive an email with a letter and voucher code attached explaining their entitlement. The voucher should be presented to you, and this is what you will use to make your claim on the provider portal.