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School run and school site options

Information for school governing bodies/Headteachers about school run and school site options for early years and childcare, with a benefits and considerations sheet and example structures and links for further guidance.

Fact sheet for schools

Voluntary Aided/Voluntary Controlled/Community/Foundation schools are exempt from registering early years and childcare provisions for two, three- four, and four-year-olds if:

  • The provision is run by the school, for example, staff are on the school payroll.
  • And, at least one child is a pupil of the school.

What is the difference between pupils and non-pupils for early years children? A young child becomes a pupil of the school when their name is on the register of pupils. If a school is operating early years provision under Section 27 community powers, even if the child is within the school’s published age range, they do not become a pupil just because they are receiving early education at the school.

Registering and inspecting school-based provision - GOV.UK.

Governors' Section 27 community powers option

Section 27 community powers, Education Act 2002 – these powers allow schools to provide any charitable purpose, such as early education, for the benefit of families of pupils at the school, or families who live or work in the locality of the school. The children attending this provision are not usually registered as pupils.

  • The school governing body takes responsibility for running the provision through Section 27 community powers.
  • Practice will be overseen by a QTS, but the provision will be led by a minimum level 3 Leader, a 1:8 ratio will be in operation, with early years foundation stage (EYFS) qualification requirements in place. Refer to the EYFS statutory framework for specific staffing qualifications and ratios. There is no entitlement to FSM or right of admission to the school.
  • Separate Admissions Policy.
  • The school-age range will be four to eleven. Get Information about Schools.
  • PVI funding rate for two, three, and four-year-olds, up to 30 hours, where eligible. Funding will be claimed through the Provider Portal.
  • The early years provision will be inspected as part of the school's inspection.
  • Separate cost code for managing and monitoring income and expenditure/budgeting.
  • The early years provision can be run on-site or off-site.

Foundation unit

Combines reception and preschool children and follows the EYFS statutory framework guidance about ratios and curriculum. 

When a school chooses to mix the reception class with groups of younger children, it must determine the ratios within mixed groups, guided by all relevant ratio requirements and by the needs of the individual children in the group. In exercising this discretion, the school must comply with statutory requirements relating to the education of children of compulsory school age and infant class sizes.

3.55 Statutory framework for the EYFS 2025.

  • Schools may need to apply to lower their PAN to accept preschool-age children. The Published Admission Number (PAN) for every year group into which pupils can be admitted. The PAN is the maximum number of pupils that the admission authority will admit to each year group.
  • Separate Admissions Policy.
  • The school may need to consider lowering its age range. Making significant changes (‘prescribed alterations’) to maintained schools [Size: 807KB File format: pdf]
  • PVI funding rates for two, three, and four-year-olds. Funding claimed through Provider Portal, up to 30 hours, where eligible.
  • Get Information about Schools.

 Third-party registered provider 

  • The school lets appropriate space/premises to a third-party registered provider, voluntary or private.
  • May have to follow a tender process.
  • Third-party manages own finances, staffing, curriculum, admissions, and so forth.
  • PVI is funded through the provider portal.
  • The staff are employed by a third-party provider.
  • This provider will have to register the premises with Ofsted under their RP URN.
  • The lease/Licence agreement would be agreed upon by LA in discussion with the school.
  • There should be written terms of an agreement between the third party and the school to agree on protocols, procedures, policies, and safeguarding.
  • Separate Ofsted inspection.

Academies

Registering and inspecting school-based provision - GOV.UK.

The Department for Education (DfE) has provided a range of models for academies wishing to run childcare. The requirements in terms of registration with Ofsted are set out below.

  • The academy directly runs early years or childcare provision for two, three, and four-year-olds on its site. Exempt from registration for children from two to four years old.
  • The academy directly runs early years or childcare provision on a site other than the academy, for example, at another academy.
    The provision will be covered by the exemption from registration as long as the academy has overall control of the childcare, in terms of management, staffing, and so on. Inspected as part of the school's inspection.
  • The Academy will need to refer to the guidance 'Academies: making significant changes or closure by agreement' as to the age range change.
  • The academy arranges for a third-party provider to run early years or childcare provisions from the academy site. Separate Ofsted registration with a separate Inspection.
  • A lease/licence agreement for the use of space would be agreed upon with the Academy/Cambridgeshire County Council.
  • The academy sets up a subsidiary company to run the early years or childcare provision.

The registration requirements depend on the nature of the relationship between the subsidiary company and the academy.

If the subsidiary company is completely owned and controlled by the academy, the academy is effectively managing the childcare and will be exempt from registration if the exemption rules set out above apply.

However, if the subsidiary company is independent of the academy or at arm’s length and the academy does not exercise a high level of control over it, then it is likely that the subsidiary company will need to register the childcare separately. In considering whether or not the exemption from registration applies, we use the following questions to decide on the extent of control the academy has over the subsidiary and whether or not it is exempt from registration.

  • Which people will make up the organisation that is to provide the childcare?
  • Who will have the main/lead responsibility for childcare?
  • Who will recruit and pay the staff who will work in the childcare provision?
  • Who will make the decisions about how the childcare is run, for example, in terms of its opening hours, the age group it covers, and how much parents pay?
  • Who will determine the educational programme that the childcare will offer, and who will make the decisions about how the childcare will meet the welfare and learning and development requirements of the Early Years Foundation Stage?
  • Who will the manager of the childcare setting report to?
  • Who will account for the income and expenditure associated with the childcare provision?

All schools offering early years provision should have policies regarding admissions, funding, and chargeable extras including private fees. Details about what can be charged for are contained in the DfE statutory guidance: Early education and childcare (valid from 1 April 2026) - GOV.UK. A third-party provider will have their own policies.

Responding to requests for wraparound childcare - GOV.UK.

Options that schools may want to consider include:

  1. Third-party provider inspected separately from the school - a third-party provider would normally be selected through the school’s procurement process.
  2. School-run inspected as part of the school, unless on the early years register.
  3. Working with other schools with the school-age childcare inspected as part of each school.

Wraparound care providers have to implement the early years foundation stage (EYFS) statutory framework if caring for children of five years or younger, specifically, children in the reception year.

In deciding how to deliver wraparound and holiday care, schools should consider the following:

  • Practicalities, for example, providers’ access to the school site, security, and cleaning.
  • Finance and sustainability, for example, include charges to parents, rental rates, purchase of materials and equipment, the cost of wear and tear, the time needed to build demand and break even, and likely changes in demand over time.
  • Expectations and accountability, for example, service level agreements, contract management, and evaluating provision.
  • Legal responsibilities, for example, Ofsted registration, staffing, health and safety, reasonable adjustments to allow disabled children to take part, governance, and insurance.
  • Provider track record, for example, providing a suitable quality and age-appropriate experience for the child and awareness of inclusion, helps with fees for the most disadvantaged families.
  • Analysis of demand, for example, marketing and advertising costs.
  • Safeguarding, for example, involves having clear policies and procedures to safeguard children.

Example structures

VC/VA/Community School Governing Body

Foundation Stage Unit (combined pre-school and reception class)

 

Head Teacher

 

EY Foundation Stage Teacher/QTS

 

Foundation Unit staff of at least there must be one Level 3 Early Years practitioner. Check and adhere ratios for two-year-olds

School Governing Body (Age range four to eleven).

PVI-funded preschool (Section 27 Education Act 2002).

Separate financial accounting.

School terms and conditions.

EYFS statutory framework Section 3 ratios apply.

 

Early Years Foundation Stage Leader (QTS).

 

Lead practitioner (EYFS 3.50).

Who is line-managed and supervised by the EYFS leader.

 

Preschool staff working in accordance with the EYFS statutory framework line-managed and supervised by the preschool manager.

The Charity/Company/Sole Trader

Registered Person

Employer

Charity trustees/Company Directors/Sole Trader

 

Day-to-Day Manager

Minimum level 3

Paid Admin Clerk/Bookkeeper

 

Named Deputy

Minimum level 3

(Named Deputy would assume management responsibility in the absence of the day-to-day manager)

Senior Preschool Assistant

Level 3 or working towards

Minimum level 2

Preschool Assistants

Level 2

Volunteers who have no unsupervised access to children

Benefits and considerations

Section 27 Community powers

Benefits

Considerations

Directly managed by the school under governing body control, and no need to lower age range.

Requires a head and/or Governor(s)/Early Years Foundation Stage (EYFS) leader to direct and manage the service, so need to allow some time for this.

The school’s standards, ethos and policies extend to the childcare service.

Must ensure cover under the school insurance scheme.

Easier to integrate as a part of the school

Pay and conditions are determined by the Local Authority/Academy job families

Inspected as part of the school’s inspection, no separate registration required unless taking children under two.

Preschool children will be recorded on the early years’ census.

No requirement for a qualified teacher (QT) to lead provision. The EYFS lead with a qualified teacher status (QTS) would oversee provision and line manage the preschool manager.

Income must meet expenditure with a stand-alone cost code from the school to monitor that the provision is sustainable and viable. Separate administration costs/time and budget setting.

EYFS Ratios/staffing/qualifications will apply.

EYFS Ratios/staffing/qualifications will apply.

School will administer preschool admissions and Early Years funding.

Separate admissions policy for the preschool.

 

If the school is considering taking over an existing provider, a due diligence exercise must be completed by the governing body to ascertain their organisational procedures, staffing, Transfer of Undertakings (Protection of Employment) Regulations 2006 (TUPE) implications, sustainability, transfer of assets, reserves funds, and so forth.

 

Consult with the Cambridgeshire Place Planning Team to determine the sufficiency position.

Third-Party provider (Ltd. Company, Charity, Sole Trader)

Benefits

Considerations

Third-party is responsible for setting up, managing, and business risk, Ofsted registration and policies/procedures.

May not always reflect the school ethos or be flexible about the services it provides.

Staff employed by a third party.

Pay and conditions set by a third party, not tied to local authority/national agreements.

Trustee, directors/owners' decisions may not reflect the school’s wishes.

May be able to apply for grants and get rates/tax relief, dependent on legal status.

Trustees are volunteers who may not have management skills or time and may change regularly, charity-run provision only.

Community involvement and shared responsibility for the childcare service.

Third-party will require a lease or licence agreement – this will bring with it associated professional and legal costs. Consider occupancy agreements, if a Cambridgeshire County Council (CCC) building, consult with Cambridgeshire Strategic Assets.

Head, EYFS lead or governors can be elected as trustees, possible conflicts of interest will need to be carefully managed, charity-run settings only.

Recommend that the provision is incorporated as a Charitable Incorporated Organisation (CIO) or a Company Limited by Guarantee (CLG), Limited Company, depending on the legal set-up.

Third-party will administer admissions to their provision and Early Years funding/fees.

The third party will require public liability insurance.

 

School and the provider will need to invest time in effective partnership working.

 

Current Ofsted grading and reputation.

 

Safeguarding policies and procedures.

 

Consult with the Cambridgeshire Place Planning Team to determine the sufficiency position.

Foundation Unit

3.55 Some schools may choose to mix their reception classes with groups of younger children, for example, nursery pupils, non-pupils, or younger children from a registered provider. In such cases they must determine ratios within mixed groups, guided by all relevant ratio requirements and by the needs of individual children within the group. In exercising this discretion, the school must comply with the statutory requirements relating to the education of children of compulsory school age and infant class sizes. Schools’ partner providers must meet the relevant ratio requirements for their provision.

Benefits 

Considerations

Combines reception and pre-school children.

Follow Making significant changes ('prescribed alterations') to maintained schools guidance. Size: 699KB File format: PDF

School’s standards, ethos and policies apply.

Must ensure cover under the school insurance scheme.

Inspected as part of the school’s inspection, no separate registration required unless taking children under two.

Pay and conditions determined by the school.

QTS leads the provision and specific EYFS ratios, staffing and qualifications will apply alongside.

EYFS Ratios/staffing/qualifications will apply alongside QTS lead for children under statutory school age.

 

Financial monitoring to ensure income meets expenditure.

 

Space requirements for children under statutory school age

 

Consult with Cambridgeshire Place Planning Team to determine sufficiency position.

Wraparound: School run

Benefits

Considerations

School’s standards, ethos and policies apply.

Financial monitoring to ensure income meets expenditure.

Inspected as part of the school’s inspection, no separate registration required unless taking children under two.

Must ensure cover under the school insurance scheme.

Staff employed by the school.

Pay and conditions determined by the school.

For school age children there are no restrictions on staffing qualifications/ratio requirements. However, risk assessments would determine this.

EYFS Ratios/ staffing /qualifications will apply for children under statutory school age.
  Space requirements for children under statutory school age.
 

How you will evaluate the quality of the offer and how it you will know it meets the needs of families in your area. Please note the Early Years’ Service offers a continuing professional development (CPD) programme and membership offer for wraparound settings.

 

Qualifications and experience of the workforce, for example, playwork qualifications, designated safeguarding lead, and so forth.

  If school is considering taking over an existing provider, a due diligence exercise must be completed by governing body to ascertain their organisational procedures, staffing, TUPE implications, sustainability, transfer of assets, reserves funds, and so forth.
Wraparound: Third Party

Benefits

Considerations

Third party is responsible for set up, management and business risk, Ofsted registration and policies/procedures.

May not always reflect school ethos or be flexible about services it provides.

Staff employed by third party.

Pay and conditions set by third party.

Provider decisions may not always reflect school’s wishes.

May be able to apply for grants and get rates/tax relief, dependent on legal status.

Trustees are volunteers who may not have management skills or time and may change regularly, charity-run provision only.

Community involvement and shared responsibility for childcare service.

Third-party will require a lease or licence agreement – this will bring with it associated professional and legal costs. Consider occupying agreements, if a CCC building consult with Cambridgeshire Strategic Assets.

Third-party will manage admissions and set/collect fees.

Recommend the provider is incorporated as Charitable Incorporated Organisation (CIO) or Company Limited by Guarantee (CLG), Limited Company dependent on legal set up.

Third-party will adhere to staffing qualifications and ratios in accordance with current guidance and EYFS requirements.

The third-party will require public liability insurance.

 

School and the provider will need to invest time into effective partnership working.

 

Reputation of third-party provider.

 

Current Ofsted grading.

 

Space requirements/premises needed.

 

Safeguarding policies and procedures.