Funding
Implementing more flexible provision of the free entitlement will require changes to the way in which local authorities allocate funds to providers.
Local funding systems will need to accommodate different patterns of provision, including the splitting of free entitlement funding between providers so that parents can choose to access the free entitlement from more than one setting.
The changes to local funding mechanisms, announced in June 2007, are designed to support this need for increased flexibility. With immediate effect, each local authority is required to analyse the costs of delivering the free entitlement in PVI settings, and more closer align this with the way in which pupils are counted for in PVI and maintained settings from 2009. These two key elements are key staging posts in moving to a single funding formula for the free entitlement from 2010/11.
Additional guidance, including further details about the cost analysis, is available on our Funding Reform page
Resources and documents
These documents describe the approaches taken by different local authorities to
adapt their funding system. They include an explanation of the purpose behind
each initiative; the problems and pitfalls encountered; the solutions applied,
and 'next steps'.
Blackpool's funding
proposals and their implications for increasing take-up and flexibility
Rochdale's system of
differentiated funding between sectors (including the PVI, methods of
calculation and the consultation process involved)
This page was last updated on 05 December 2007
