Funding Follows The Child and The National Standard for Early Learning and Childcare Providers: Operating Guidance

Introduction

We recognise that the earliest years of life are crucial to a child’s development and have a lasting impact on outcomes in health, education and employment opportunities later in life. It is widely acknowledged that the provision of universally accessible and high quality early learning and childcare (ELC) can play a vital role in helping to close the poverty-related outcomes gap.

The universal funded entitlement to high quality, nurturing ELC for all 3 to 5 year old and eligible 2 year old children in Scotland increased to 1,140 hours across Scotland in August 2021. High quality funded ELC helps every child to develop socially, emotionally, physically and cognitively, supporting them to have the best start in life.

In order to ensure that the funded entitlement is delivered in high quality ELC settings, a Funding Follows the Child approach was introduced alongside the statutory roll-out of the expanded entitlement.

Funding Follows the Child ensures the delivery of high quality funded ELC. The approach is 'provider neutral' and is underpinned by a National Standard that all settings – regardless of whether they are in the public, private or third sector, including childminders – have to meet in order to be able to deliver funded ELC.

For families this means that they will be able to access high quality funded ELC with the provider of their choice – in the public, private, or third sector, including childminders – if that provider meets the criteria set out in the National Standard, wishes to deliver the funded entitlement, has a space available, is able to offer the funded hours in-line with their local authority's ELC delivery plan (subject to the capacity of the setting), and has or is willing to enter into a contract with their local authority to deliver the funded hours.

The criteria of the National Standard focus on what children and their families should expect from their ELC experience, regardless of where they access their funded entitlement.

At the heart of the National Standard is a clear and consistent set of quality criteria, recognising that ELC is fundamentally about improving the early years’ experience of our youngest children. We will continue to ensure that the funded ELC entitlement is delivered in high quality settings across Scotland.

This Funding Follows the Child approach was developed through the Scottish Government, COSLA and local authorities working in partnership, through a Service Models Working Group. It was informed by a joint Scottish Government and COSLA consultation, and through extensive engagement with providers and key stakeholders to ensure that it works for everyone in the sector and helps to improve the early learning and childcare experience for our young children.

Overview of this Document and Supporting Material

This document sets out how the Funding Follows the Child approach operates, in particular how settings meet the National Standard criteria and the role of local authorities in delivering the approach. It also includes clarification on some of the details underpinning the approach. This guidance is based on previous versions of Operating Guidance.