This page is here to help our parents understand how government funded childcare hours work, including what they do / do not cover. We hope this guide makes everything clearer and answers any questions you may have.
The Truth About ‘Free’ Childcare Hours
You may have heard about '15 or 30 hours of free childcare' being advertising by the local authority. While this sounds like free childcare, it's actually a government contribution toward the cost of basic childcare, and it doesn't cover everything needed to run a high-quality childcare setting.
What the Childcare Funding Covers
Government funding is calculated to cover the basic cost of providing childcare, which is essentially staffing and a safe space for children. It does not include many of the real costs involved in running a childcare setting.
What the Childcare Funding Does Not Cover
The government funding does not include:
Food and snacks
Educational materials and toys
Consumables like nappies, wipes, suncream, etc.
Trips and outings
Electricity, heating, and other essential costs
Additional hours beyond funded sessions
Supplementary Fees
As current funding does not cover the essential costs outlined above, we charge a Supplementary Fee.
Unfortunately, the funding rates we receive are set by the government and are significantly lower than the true cost of delivering quality childcare. We simply cannot operate at a loss, and this fee helps us cover the real costs so we can continue providing a safe, nurturing, and stimulating environment for your child.
How Many Hours / Days Are Covered?
From September 2025, children aged 9 months and over may be eligible for 30 hours funded childcare - please note, this funding covers term-time only (38 weeks of the year). This typically covers about 3 days per week, as 10 hours equates to one day of childcare at First Stages.
As funding only covers 38 weeks of the year, any additional care is charged separately, alongside our Supplementary Fee.
Who is Eligible for Funded Childcare
If you are a working family in England and you or your partner earn at least £183 per week (equivalent to 16 hours at National Minimum Wage), you can apply for funded childcare. As of September 2025, 30 hours funded childcare is available from 9 months old until children start school (term-time only). If you or your partner are on maternity, paternity or adoption leave, or unable to work due to disability or caring responsibilities, you may still be eligible.
You cannot claim if either you or your partner individually expects to earn £100,000+ net income.
How to Apply for Funded Childcare
Visit www.childcarechoices.gov.uk to check your options.
Go to www.gov.uk/sign-in-childcare-account and set up a Government Gateway Account using your documents (passport, National Insurance numbers, etc).
Apply for your Childcare Code through your account.
Once approved, share your code with us. You must reconfirm your details every 3 months or your code will expire.
You can also apply for Tax-Free Childcare through the same service above.
Key Deadlines for 30-Hour Funding
To access the 30 hours of funded childcare, you must apply by the following deadlines:
31 August – for funding starting in the Autumn term (1 September)
31 December – for funding starting in the Spring term (1 January)
31 March – for funding starting in the Summer term (1 April)
If you apply after these dates, your child will not be eligible for the additional 15 hours in the upcoming term. However, they may still be eligible for the universal 15 hours of funded childcare, which is available to all children aged 9 months+, regardless of parental income or employment status.
*To maintain eligibility for the 30-hour entitlement, you must reconfirm your details every three months. Failure to do so may result in the loss of your funded hours. HMRC will send reminders before your reconfirmation date, but it's ultimately the parent’s responsibility to ensure your details are up to date. We do receive reminders from the local authority about your child’s eligibility code, so we’ll help remind you ahead of the next term if needed.
Have Questions?
If you have any further questions regarding Government Funded Childcare, please feel free to reach out to us - we’re happy to help!