Content

Salford City Council - Record of Decision (Cabinet)
I Paul
Dennett, City Mayor, in exercise
of the powers contained within the City Council
Constitution do hereby
approve:
 
The
implementation of the new Early Years National Funding Formula
allocations
for
Early Years providers as set out below:
 
1st April 2025 to 31st March
2026
 
o  
Base rate for 9 month to 2 year olds of
£10:49 per hour (an increase of
£0.49p)
o  
Base rate for 2 year old funding of
£7.70 per hour (increase of £0.35p)
o  
Disadvantaged two year old supplement of
£0.53p per hour (increase of £0.03p)
o  
Base rate for 3&4 year old funding to
£5.00 per hour (increase of £0.17p)
o  
Deprivation supplement for 3&4 year olds an
increase of £0.02p per hour for banding 2-6. 
 

BAND

 

Deprivation Supplement by Band (based on
IDAC)

1

0% - 25%                    

£0.00

2

25% - 30%

£0.12

3

30% - 40%

£0.14

4

40% - 50%

£0.18

5

50% - 60%

£0.21

6

60% -
100%

£0.24

 
o  
Quality QTS supplement for 3&4 year olds an
increase to £0.40p per hour (increase of
£0.10p)
The Reasons are:
To
enable Salford City Council to fulfil its duty to support the
delivery of Funded Early Years provision across the
City. 
Options considered and rejected were:
Not
applicable
Assessment of Risk:
Low
Risk
The source of funding is:
Dedicated Schools Grant – Early Years (DSG-EY)
 
Legal Advice obtained: 
Not applicable
Financial Advice: Supplied by Beth Mitchell (Senior
Accountant)
Under-2-year-old
funding
The full pass out of
£0.49 for under-2-year old funding is not expected to cause
any issues, the costs of administration etc will be covered by the
retained balance of allocation while still reaching the required
96% pass out rate.  The Under-2-year-old
funding will be closely monitored throughout the year along with
the Early Years DSG budget as a whole.
 
2-year-old funding
The increase of £0.35 to
the base rate and increase of the £0.03 to the supplement
allows a 97% pass out rate whilst the costs of administration etc
will be covered by the current balance per hour.  The 2-year-old funding will be closely monitored
throughout the year along with the budget.
 
3&4-year-old
funding
A £0.17 increase to the
base rate, an increase of £0.02 to each supplement, alongside
the £0.10 increase to QTS allows for a 97% pass out rate to
providers . The retained 3% will cover the costs of administration
of the service. The fluctuations of rates and hours across the
providers will be closely monitored throughout the year to ensure
all nurseries receive the funds due and that the budget is managed
sufficiently.
 
Procurement Advice:
Not
applicable
HR Advice:
Not
applicable
Climate Change Advice:
Not
applicable
 
The following documents have been used to
assist the decision process:

Cabinet report - Early Years
National Funding Formula Allocations for:- 1st April
2025 to 31st March 2026

 
Contact
Officer: David
Fielding                         
Telephone
number: 0161 778 0707
 
The
appropriate scrutiny to call-in the decision is the Childrens
Scrutiny Panel     

 

 

Signed:
        Paul
Dennett                     
Dated:                17.02.25                  
.
                       
City Mayor
 

For Democratic
Services use only

 

This decision was
published on  17.02.25                                           

This decision will
come in force at 4.00 p.m. on 24.02.25                   
                              
unless it is called-in in
accordance with the Decision Making Process Rules.