In two months' time, childcare providers will be able to use the new £50m early years pupil premium (EYPP) to provide additional support for disadvantaged threeand four-year-olds.
While the creation of the fund was widely welcomed by the sector, early years campaigners have warned that the rate of £300 per year for each child - equivalent to 53p per hour - will fail to incentivise the best providers to reach out to disadvantaged children.
Furthermore, the Department for Education's decision in June to allow providers to choose how they use the money sparked concerns that the funding will be used to plug the financial hole in the free childcare scheme.
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