Funding follows the child and the national standard for early learning and childcare providers: guidance on criteria 7 - business sustainability

Childminders who have not set up their own company to provide the services are not required to submit accounts to Companies House. However, they should be registered with HMRC as self-employed.

The local authority may ask the childminder to confirm (or provide evidence) that they are registered as self-employed.

The Scottish Childminding Association (SCMA) produces annual guidance on tax and national insurance (developed specifically for childminding services) and, as small businesses, most childminders complete a self-assessment form to submit a simple account of turnover, expenses and profit.

Simple accounts may be requested as evidence of appropriate financial management and due diligence.

An assessment of cash balances / cash flows and identification of material negative trends may take place to determine the risk of funding.

The local authority may also check public records (such as the Debt Arrangement Scheme (DAS) Register and Register of Insolvencies) to confirm the childminder is not under financial duress.

Continuity planning evidence for childminders should focus on the day-to-day operational requirements of the service.

Inclusions for contingency planning may be holidays or medical emergencies, along with staffing issues and sickness.

This should be aligned with information required as part of their Care Inspectorate registration, shown in Annex B.