Almost half of councils in England plan to withhold money from early years providers that is earmarked to fund free childcare for disadvantaged two-year-olds, according to a survey by CYP Now.
Freedom of Information requests submitted to all local authorities reveal that 48.2 per cent plan to hold back funds from the frontline, with some retaining more than £1m.
While many intend to spend the money on activities related to the programme, some plan to use it on services for older children.
This is despite a Department for Education instruction issued last November, which said: “We expect local authorities to pass all available funding to providers and not to retain any centrally.”
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