The advice on early years funding reform sets out the process local authorities should go through to calculate the cost of private and voluntary nurseries when providing free childcare places to three- and four-year-olds.
Early years organisations have welcomed the advice, which they say is an important step towards addressing their concern that the current method of funding free nursery places for three- and four-year-olds is penalising private and voluntary sector providers.
Purnima Tanuku, chief executive of the National Day Nurseries Association, said: "This process will in some cases highlight the difference between costs and actual funding."
- www.teachernet.gov.uk.
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