How much are providers paid for funded hours?

• 2 year olds (Think2) - £7.55 per hour, per child (a £1.88 increase from £5.67)

• 3 and 4 year olds - £4.86 per hour, per child. (a 0.34p increase from £4.52).
  
  
• Maintained Nursery Schools - 3 and 4 year olds - £4.86 per hour, per child. (a 0.34p increase from £4.52).

Additional deprivation supplement rates for 3 and 4 year olds only will be as follows: 

• £0.20 lower rate - (per hour, per child for every funded three and four year old in attendance) if between 10-32% of funded children reside in areas of disadvantage. Settings eligible for this could have an hourly rate of £5.06 per hour.

• £0.30 higher rate - (per hour, per child for every funded three and four year old in attendance) if between 33-100% of funded children reside in areas of disadvantage. Settings eligible for this could have an hourly rate of £5.16 per hour.

In April 2023, it was confirmed the Contingency fund will continue, this is to mitigate financial risk and to manage any unforeseen budget variances as a result of changes in demand. This will be c. 0.7% of the overall budget. Any unused contingency will be returned to the sector in the following year (subject to affordability).