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Market position statement

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Since April 2024, working parents of children aged two to five have been eligible for 570 hours of funded childcare. This is usually taken as 15 hours per week, for 38 weeks of the year, term-time, but some providers will allow families to ‘stretch’ their claim to enable fewer hours to be taken per week over a longer period.

From September 2024, 15 hours of government-funded childcare will be extended to all children of working families from the age of nine months.

From September 2025, all working parents of children aged nine months up to three years old can access 30 hours of funded childcare per week.

This phased approach will give childcare providers time to prepare for the changes, ensuring there are enough providers ready to meet demand.

Sufficiency in Cambridgeshire

The Education Capital and Place Planning Team continually monitors the data available to ensure that there are sufficient early years and childcare places for families to access their entitlement in a way that best meets their needs.

Where pressures are identified, these are shared with the market so that those interested can explore the potential for growing their childcare business/starting up.

Providers wishing to develop or expand in response to this market position statement are strongly encouraged to carry out their market research and analysis of available data to safeguard their interests. Please see the early years business sustainability: supplier list and guides for further support.

Location

District

Type

Cambridge City, north of the river

Cambridge

Full daycare, nine months to five years

Cambridge City, south of the river

Cambridge

Full daycare, nine months to five years

Northstowe

South Cambridgeshire

Full daycare, nine months to five years

Wraparound

Cambourne

South Cambridgeshire

Full daycare, nine months to five years

St Neots

Huntingdonshire

Full daycare, nine months to five years

Whittlesey

Fenland

Full daycare, nine months to five years

Wisbech

Fenland

Full daycare, nine months to five years

Littleport

East Cambridgeshire

Full daycare, nine months to five years

Cheveley

East Cambridgeshire

Sessional provision or full daycare, nine months to five years

Fordham/Isleham

East Cambridgeshire

Sessional provision or full daycare, nine months to five years

Location

District

Type

Darwin Green

Cambridge

Full daycare, nine months to five years

Marleigh

Cambridge

Full daycare, nine months to five years

Waterbeach New Town

South Cambridgeshire

Full daycare, nine months to five years

Sawston

South Cambridgeshire

Full daycare, nine months to five years

Alconbury Weald

Huntingdonshire

Full daycare, nine months to five years

Wraparound

Grange Farm

Huntingdonshire

Full daycare, nine months to five years

Wintringham Park

Huntingdonshire

Full daycare, nine months to five years

Ramsey

Huntingdonshire

Full daycare, nine months to five years

If you have an interest in expanding or setting up new provisions, please contact the Education Capital and Place Planning Team at placeplanningreferrals0-19@cambridgeshire.gov.uk who can provide further information and support.

What financial support is available?

To support the expansion of the working parent entitlements for children aged from nine months to five years, alongside the launch of the wraparound childcare programme, capital funding is now available for all providers who offer (or are looking to offer) provision that supports the roll-out of either or both of these programmes.

Funding requests will only be considered for capital works and must not be used for revenue expenditure such as staffing, or staff training.

Please read the Cambridgeshire Childcare Capital Expansion Grant process to find out more and to determine if you are eligible for funding.

To apply, please complete the Cambridgeshire Early Years and Wraparound Childcare Programme Funding Grant 2025-26 application form.

Cambridgeshire childcare capital expansion grant

To support the expansion of the working parent entitlements for children aged nine months to four years, alongside the launch of the Wraparound Childcare Programme, applications for capital funding remain open to all providers who currently offer, or are planning to offer, provision that supports the roll-out of one or both of these programmes.

Whilst applications for provision across the county will be considered, we are particularly keen to hear from providers who are looking to expand or establish provision in the following areas, where there is currently an identified pressure for additional places:

  • Brampton.
  • Fordham and Isleham.
  • Great and Little Paxton.
  • Manea.
  • Melbourn and Meldreth.
  • Sutton and Witchford.
  • Ramsey and Bury.
  • Warboys.
  • Whittlesey.
  • Wisbech.

Please note that Cambridge City, Cottenham and Willingham, Mepal and Witcham, Kennett and St Ives are no longer identified as areas with a current pressure for places and therefore are not priority areas for this round of capital funding.

Who can access the funding?

All early years and childcare providers, including both wraparound providers and childminders, who are registered with Ofsted or legally exempt from registration, are eligible to apply for funding.

This capital funding is in addition to the revenue grants for the Wraparound Programme.

What can the funding be used for?

Funding requests will only be considered for small capital works and must not be used for revenue expenditure, such as staffing or staff training.

Examples of eligible projects may include:

  • To create new childcare places, either through the creation of new settings or expanding provision delivered by existing providers.
  • To adapt, re-model or improve existing childcare provision to enable providers to accommodate a wider range of needs, or age groups.
  • To purchase fixed assets such as building modifications to enable the use of space outside main school/setting operating hours, for example, secure external access, and provide additional toileting facilities.
  • To purchase new physical assets, such as a minibus, to support a hub model of wraparound provision, or play equipment, including outdoor play equipment.

This is not an exhaustive list, and all capital projects meeting the criteria will be considered by the panel.

How much funding can I apply for?

Local authorities are able to utilise the funding in ways that best match the needs of their local communities. The approach used in Cambridgeshire may not therefore reflect the approaches taken in neighbouring authorities, or further afield.

To ensure that the Council is compliant with the Subsidy Control Act, funding will be awarded by way of Minimal Financial Assistance (MFA) to any enterprise seeking assistance. This means that a maximum of £315,000 will be awarded to a provider to deliver new places.

The MFA route means that the provider must receive subsidies of no more than £315,000 from any source in a rolling three-year period, which is the elapsed part of the current financial year and the previous two. For example, if a provider is applying for a grant in December 2024, they will need to check what subsidies their company has received within the period December 2022 to December 2024.

Large providers, or those who are part of a franchise or chain, including those with a regional or national presence, may have received several separate MFA awards, albeit not directly impacting the provision in question. These do need to be taken into consideration, which will reduce the maximum amount of funding which can be requested.

Payments to a maintained nursery or other state-funded school are not enterprises and are therefore exempt from the Act, but to ensure fairness of funding, a maximum amount of £315,000 can be requested by providers of this nature.

Further information on the MFA award route can be found in Chapter 7 of the associated guidance: Statutory guidance for the United Kingdom subsidy control regime, Subsidy Control Act 2022 Size: 2.4 MB File format: pdf

When can I apply for funding?

Providers can apply to access funding at any time. The window for applications will not close. However, they will be considered at Grant Panels scheduled once per half term. These are as follows:

  • Summer Term 2 2024 – 9 July 2024.
  • Autumn Term 1 2024 – 3 September 2024.
  • Autumn Term 2 2024 – 10 October 2024.
  • Spring Term 1 2025 – 14 January 2025.
  • Spring Term 2 2025 – 11 March 2025.
  • Summer Term 1 2025 – 6 May 2025.
  • Summer Term 2 2025 – 10 June 2025.
  • Autumn Term 1 2025 – 2 October 2025.
  • Autumn Term 2 – 18 November 2025.
  • Spring Term 1 – 27 January 2026.

What evidence will be required when submitting my application?

  • Application form.
  • Capital grant criteria checklist.
  • Confirmation of approval from the full governing body/trust board/committee/company owner.
  • Confirmation permission has been sought landlord/site/building owner.
  • Copy of premises agreement, hirers/lease/licence, where applicable.
  • Copy of any plans, drawings, or full site plan.
  • At a minimum, three quotes with a justification of the preferred option to be pursued.

How will applications be scored?

Each application will be considered on a case-by-case basis and scored as follows.

Scoring

Criteria

Outcome

Priority 1

Meets eligibility criteria.

Funding sources explored and utilised, where applicable.

Sufficiency data suggests additional places are required within the area.

Existing provision in the area is considered and not negatively impacted.

Detailed breakdown of cost and delivery timescales provided, including who will be responsible for managing the project.

Funding agreed

Priority 2

Meets eligibility criteria.

Funding sources explored and utilised, where applicable.

Detailed breakdown of cost and delivery timescales provided.

But

Sufficiency data suggests additional places are required within the area. However, other projects are in the pipeline and not confirmed.

Postpone the funding decision until the future meeting when the details of the pipeline projects are clear.

Priority 3

Meets eligibility criteria.

Funding sources explored and utilised, where applicable.

Detailed breakdown of cost and delivery timescales provided.

But

Sufficiency data suggests additional places are not required at this time.

Decline but revisit in Spring 2026.

Declined

Does not meet eligibility criteria and/or

Funding sources not explored or utilised, where applicable.

Sufficiency data suggests additional places are not required within the area.

Other known projects already underway, which would address the deficit of places/concerns that other provisions would be negatively impacted.

Decline, feedback provided.

How will cases be prioritised if several applicants apply?

The Council has identified six areas where there is a current, identified pressure on places. These are: Littleport, Whittlesey, Cambourne, Northstowe, Wisbech and St Neots. Applications submitted for these areas will therefore be given the highest priority, and existing providers within these areas, or those looking to expand, are strongly encouraged to submit applications as soon as they are able, in the summer term 2024.

If my bid is declined, can I resubmit?

Yes, applicants may choose to resubmit an application in a future round after actioning the feedback received. There is no limit to the number of applications which can be submitted as part of this process.

Should I share my ideas before applying?

We would encourage any provider or interested party to share any expressions of interest with their early years adviser, if applicable, or by emailing earlyyears.service@cambridgeshire.gov.uk at the earliest opportunity. Your plans, even if they lack detail, can then be taken into consideration when considering other proposals.

Will I receive the funding straight away?

The funding arrangements will be determined on a case-by-case basis and will be dependent upon the level of expenditure required and the works being carried out. However, unless otherwise agreed, 25% will be provided as an upfront cost, with the remaining balance to be provided at key delivery points within the project, or upon completion of the works. The proposed payment schedule will be discussed with the provider following approval from the Panel to fund the project.

Providers should ensure that all documentation is read carefully and are encouraged to raise any concerns regarding the payment schedule at the earliest opportunity.

Early years entitlement and wraparound project board meetings, and agendas

This section contains the agendas from the early years entitlement and wraparound project board meetings, which commenced in January 2024, shared for transparency and information. The project board plays a vital role in providing strategic direction and governance for the early years expansion and wraparound project. Its key objectives include:

  • Providing strategic direction and governance for the project.
  • Evaluating the work of workstreams and updating elected members on progress.
  • Understanding the impact of the project on families with protected characteristics.
  • Overseeing the allocation and use of capital and capacity funding.
  • Governing the wraparound grants programme.
  • Ensuring stakeholder voices, including those of children, are heard and considered.

The project board is composed of representatives from across the early years and education landscape, including:

  • Project senior responsible officer – Head of Cambridgeshire Early Years, Childcare, and School Readiness Service.
  • Project administration.
  • Project manager.
  • Places and planning lead.
  • Senior adviser for quality improvement.
  • Senior adviser for intervention, safeguarding and sustainability.
  • Senior adviser for inclusion and vulnerable groups.
  • Area education officer for Huntingdonshire and early years.
  • Strategic finance manager.
  • Head of targeted support.
  • Public health.
  • Cambridgeshire Skills.
  • Health representatives
  • Voluntary sector.
  • Private nursery provider.
  • Coram PACEY.
  • Pinpoint.

If you would like more information about any of the agenda items, please contact Gemma.Neal@cambridgeshire.gov.uk or earlyyears.service@cambridgeshire.gov.uk.

How are opportunities in council-owned premises advertised

The council uses its Pseudo Dynamic Purchasing System (PDPS) to identify suitable providers of early years and childcare to run settings in council-owned premises. It enables a streamlined method of selecting the most suitable provider while minimising gaps in provision for Cambridgeshire’s families. 

If you or your organisation are interested in securing contracts to run early years and childcare from council premises, including schools, you should apply to join the PDPS.