Nurseries say South Tyneside Council has slashed funding for the free childcare entitlement from more than £500 to just £307 per child. But the council insists there have been no cuts and blames the shortfall on an unexpected surge in pupil numbers.
A council spokesman said cash to fund the 12.5 hours of free childcare for three- and four-year-olds each week was calculated at the start of the year.
Nurseries were asked to predict pupil numbers and a budget was calculated from the projected figure of 148 pupils. However, the council said some nurseries were late in providing figures for the spring term and so it agreed to make an interim payment of £518.50 per pupil. When figures were collected, the council said the actual number of pupils was 30 per cent higher, but the budget had already been fixed.
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