Nursery funding typically stops when a child reaches school age. However, the exact timing depends on the type of funding a child receives and their family’s circumstances.
With government schemes offering free childcare for eligible children from as young as 9 months old, it is important for parents to understand when support ends and what options are available beyond nursery funding.
What Are The Different Types Of Nursery Funding?
The government provides several types of nursery funding to support families with childcare costs. The main schemes include:
- 15 hours of free childcare: Available to all 3 and 4 year olds, regardless of household income.
- 30 hours of free childcare: Available to 3 and 4 year olds in families where both parents (or a single parent in a single-parent household) work and earn above a set threshold.
- Funding for 2 year olds: Available for children from low-income families or those meeting specific eligibility criteria.
- New funding for younger children: From April 2024, free childcare has gradually been extended to younger age groups, including some 2 year olds and eventually children as young as 9 months old by 2025.
These funding schemes are designed to help children access early years education while supporting parents in managing childcare costs.
When Does 15 And 30 Hours Free Childcare End?
For most families, free nursery funding stops when a child is ready to start school. In England, this means the term after their fifth birthday, when full-time school attendance becomes compulsory. However, in practice, the majority of children begin school in the September following their fourth birthday, meaning their funded nursery place ends before they turn 5 years old.
For example, if a child turns 4 years old in February, they would usually start Reception in September of the same year, and their nursery funding would stop at the end of the summer term in July. Parents who delay their child’s school start (known as deferring or delaying entry) may be able to continue receiving funding until the legal school starting age, but this is dependent on local authority policies.
What Happens If My Child Doesn’t Start School At Four?
While most children start Reception at 4 years old, some parents choose to delay school entry, particularly if their child was born in the summer months (between April and August). Under UK law, children do not have to start full-time education until the term after their fifth birthday.
If a child’s school entry is deferred, they may still be eligible for nursery funding. However, local authorities manage this on a case-by-case basis, and parents should check with their nursery and council to confirm funding arrangements. Some nurseries allow children to stay for an additional term or two, while others may require a transition to private, unfunded childcare.
Does Tax-Free Childcare Continue After Nursery?
Although free nursery funding stops when a child starts school, parents may still be eligible for other financial support. The Tax-Free Childcare scheme allows families to save on childcare costs until a child turns 11 (or 16 if they have a disability). Under this scheme, the government contributes £2 for every £8 parents pay into a childcare account, up to a maximum of £2,000 per year per child.
Many parents use Tax-Free Childcare to help cover the costs of after-school clubs, holiday camps and wraparound care once their child moves on from nursery.
How Many Families Use Nursery Funding?
The number of families accessing nursery funding has grown significantly in recent years. According to the Department for Education, over 90% of 3 and 4 year olds in England benefit from government-funded early education each year. The introduction of expanded funding in 2024 is expected to increase participation further, particularly for younger children.
What If I Still Need Childcare After Nursery Funding Stops?
When nursery funding ends, parents have several options for continuing childcare support:
- Reception Class in Primary School: Most children transition from nursery to full-time primary school, which is free for all children in the UK.
- Private Nursery or Childminder: If parents need additional childcare, they can pay privately for nursery care, childminders or nannies.
- After-School Clubs and Wraparound Care: Many schools offer breakfast clubs and after-school care, which can be covered by Tax-Free Childcare or Universal Credit childcare support.
Understanding these options can help parents plan for their child’s next stage of education and care.
How Can I Make the Most of Nursery Funding?
With nursery funding only available for a limited time, it is important for parents to maximise their entitlement before it ends. Some useful tips include to:
- Check your eligibility: Some families may qualify for additional funding, such as the 30 hours scheme or support for 2 year olds.
- Plan ahead: With high demand for funded places, applying for a nursery place early ensures your child benefits from early education.
- Use all available hours: Even if you don’t need full-time nursery care, making use of the free hours can help prepare your child for school.
- Explore additional support: Look into Tax-Free Childcare and other schemes to help with childcare costs after funding stops.
The Bottom Line
Nursery funding in the UK typically ends when a child reaches school age, which for most families means the September after their fourth birthday. While the legal school starting age is 5 years old, most children transition to Reception at 4 years old, meaning their nursery funding stops earlier.
With growing demand for early years education and changes to government funding, parents should plan ahead to make the most of available support. Understanding when nursery funding stops and exploring alternative childcare options ensures a smooth transition from nursery to school while helping families manage their childcare costs effectively.