The Early Years Single Funding Formula (EYSFF) sets the hourly rate of payment for providing early years education. The rate is determined separately for each registered provider based on the information about the services they provide. Once the rate has been calculated and set, it is in place from the beginning of the financial year for the whole of the year.
From 1 April 2013 the Department for Education (DfE) no longer allows local authorities to allocate a deprivation supplement to early years providers based on characteristics of the setting but must do so on the characteristics of individual children. This change means that Settings will no longer receive a single rate supplement for deprivation for all children who attend. There was a consultation regarding these changes in September 2012. (link to consultation document Hampshire EYSFF Consultation).
The payment for deprivation must now be based on the post code of individual children which means that each child will have a deprivation funding value attached to them. It was agreed to use the same bandings as applied to schools. The rate will be based on the Deprivation Affecting Children Index (IDACI) which is the only national index of deprivation that is focussed on children. Each postcode attracts a score of between 0 and 1 with 0 being the least deprived and 1 being the most deprived. The table below indicates the range of IDACI bandings.
0 - 0.19
0.20 - 0.24
0.25 - 0.29
0.30 - 0.39
0.40 - 0.49
0.50 - 0.59
0.60 - 1
Providers will be paid according to the hours children attend as collected through the headcount/late claim processes and the postcode address of the child.
How Providers will receive the Deprivation Funding
The headcount and late claim forms will collect child level information. It is important for settings to provide correct postcodes for children for whom they are claiming, which must be clearly entered on to the headcount forms. This will be used to work out how much deprivation funding will be paid against each child’s claimed attendance. The deprivation amount will be added to your headcount claim and paid in the usual way.
The Income Deprivation Affecting Children Index (IDACI) tool will be used to allocate funding as it uses the postcode of each child. The link below can be used to find out what band a postcode falls within: Department for Education IDACI Score and Rank of IDACI
At the beginning of the following term you will be sent a notification of the amount of the IDACI payment. Please do not phone for these details before this notification.
The rates per child can be found on the following link:
If you are unsure of a child’s postcode then you can check this through the Royal Mail post code finder. Royal Mail Postcode Finder .
If you have any issues relating to the business viability of your setting regarding this change in deprivation funding or other business related issues then please contact your Business Support Officer. Contact details can be found the following link: SfYC Local Office Teams
EYSFF basis of calculation 2013/2014
The Early Years Single Funding Formula (EYSFF) sets the hourly rate of payment for providing early years education. In September 2012 providers were sent their EYSFF data collection forms and were advised to use the EYSFF basis of calculation 2013/2014 document to understand what was required.
The rate is determined separately for each registered provider based on the information about the services they provide. Once the rate has been calculated and set, it is in place from the beginning of the financial year for the whole of the year.
The basis of the 2012/2013 EYSFF calculation is outlined in this document:
Data collection from registered providers informs the budgetary process and used to set the funding bands and subsequently the hourly rate.
Providers receive data back to check.
The value of the base rate and the funding bands for each of the elements is set and published on this website.
Each registered provider is formally notified of their funding bandings and the hourly rate that will be paid to them with an indicative budget for the whole financial year (starting on 1 April).