Figuring out childcare funding can feel a bit like tackling a jigsaw puzzle, and just when you think you’ve got it, along come new changes for 2025 to mix things up! But don’t worry, our webinar on demand is here to help you put all the pieces together.
Watch now to hear from our expert Funding Manager who will guide you through everything you need to know about the new extended funding options. We cover eligibility, how to apply, and all the ways you can use your funding to help make high-quality childcare more affordable - because every family deserves access to quality early years education.
Plus, you’ll hear from one of our amazing nursery manager about how the application process works and how funded childcare opens doors to enriching learning experiences at Bright Horizons.
(Webinar on Demand, 12th June 2025)
From September 2025, working parents of children aged 9 months to 3 years can access up to 30 hours per week of funded childcare for 38 weeks a year. Eligibility requires working at least 16 hours per week and earning under £100,000 per year per parent. If one or both parents have an expected net adjusted income of over £100,000 you will not be eligible.
All 3- and 4-year-olds are entitled to 15 hours of free childcare regardless of the family’s income. Some 2-year-olds qualify for 15 hours if their families receive Universal Credit, have low income, or for a child with SEND, or who has been looked after (or has previously been looked after) by the Local Authority.
Applications are made through the Govt. website. You can apply once your child is 23 weeks old, and funding starts the term after they turn 9 months. 3 & 4-year-old Universal Funding does not require a code.
If you are already receiving Working Family Funding 15 hours you do not need to apply, you just renew your code and from September the 15 hours will increase to 30 hours.
You can update your existing account through the government gateway to apply for 30 hours and tax-free childcare.
There are a number of income sources which are included, please see the details on the Government website Personal Allowances: adjusted net income - GOV.UK
Universal funding of 15 hours for 3&4 years olds has no income criteria and funding is available the term after the child’s third birthday.
Yes, tax-free childcare has an income cap of £100k per parent.
Funding may be limited for Skilled Worker Visa holders. Check specific criteria on the Childcare Choices website.
Eligibility may consider SMP. It's best to check specific criteria on the Childcare Choices website.
Eligibility may consider SMP. It's best to check specific criteria on the Childcare Choices website.
EYPP can be claimed for children who have been adopted. Check specific criteria on the Childcare Choices website.
The grace period is typically 3 months, allowing parents to continue receiving the 30 hours of funded childcare while they seek new employment. The Grace Period End Date will be included with your code information.
Only approved providers (e.g., registered nurseries, childminders, preschools) can offer funded hours. Informal care (e.g., grandparents) doesn’t qualify.
Only approved providers (e.g., registered nurseries, childminders, preschools) can offer funded hours. Informal care (e.g., grandparents) doesn’t qualify.
At Bright Horizons the funded hours are stretched across 50 weeks of the year; the government funded 30-hours equates to 22.8 hours per week. These hours are used first to a maximum of 10 hours per day, then private fees begin.
Yes, many providers, including Bright Horizons, offer a stretched model to provide a more sustainable solution for working parents, e.g., 22.8 hours per week over 50 weeks instead of 30 over 38 weeks.
Funded hours can be claimed during the nursery's operating hours, which may vary. Funded hours at Bright Horizons nurseries start when the nursery opens and are offered in 10-hour blocks. Any residual funded hours can be used when additional days are purchased. Please check with your local nursery for specific timings.
The funding hours cannot be transferred to another week. Unfortunately, funded and unfunded hours cannot be transferred or 'bank' and used at a later date.
The claims and adjustment periods are set by the Local Authority and can vary, please check with the Nursery Manager who can support with this.
You can apply for a code to start in one term and delay the start to the next term. Check with your nursery for specific local authority policies.
If you wish to continue with your childcare, please ensure you continue to reconfirm your working family funding code every 3 months.
Yes, tax-free childcare can be combined with salary sacrifice schemes.
Yes, you can apply to have both tax-free childcare and 30-hour funded childcare.
Yes, your Tax-Free childcare account can be used as a means of payment for nursery fees even when accessing funding.
Residents of Scotland on a visa with no recourse to public funds may still be eligible for universal funded childcare for 3-year-olds. You can initiate the process through your local council.
Childcare funding policies vary by region due to different government priorities and budgets. Scotland has its own set of rules and funding schemes separate from England.
Nursery fees for 30 hours funding will be updated and communicated by your nursery. Check with them for specific timelines.
Funding forms/Parent Declaration forms will be available towards the end of the term ready for the new term.
Under the latest government guidance, families may choose to opt out of paying for essentials and extras during the funded hours yet still receive the services and consumables. However, because the government funded hours do not cover these costs, this will be at the direct cost to the nursery. It is important to understand that the flexibility of the current model works as a sustainable offer for families and the nursery. We will be keeping this under review and may need to make changes pending the impact of the changes from the government guidance.
Bright Horizons’ funding model is reflective of the changes made by the DfE in April 2025 to the Early Years Gunding guidance.