The Department for Education (DfE) has confirmed a further expansion of school‑based nurseries, with more than 300 additional settings due to open or grow from September after capital awards to 331 schools worth £45 million. New DfE figures say over one million parents are now using funded childcare, though take‑up remains lower in poorer communities, so new capacity is being targeted accordingly. (gov.uk)
DfE expects the awards to create over 6,000 additional places nationwide, on top of up to 6,000 delivered in the first phase. Phase one activity began from September 2025, when the government confirmed the first wave of new or expanded school‑based nurseries. (gov.uk)
From May 2026 the programme moves to a locally led model: councils, rather than individual schools, will propose plans for new places in communities with the greatest need. Formal DfE guidance for the School‑based Nursery Capital Grant sets out a third phase running 2027 to 2030, with local authorities required to submit proposals by 5pm on 30 September 2026. (gov.uk)
Eligibility in the capital guidance confirms projects may create or expand provision in state‑funded primary‑phase schools and maintained nursery schools, and-newly-on Best Start Family Hub sites. The policy intent is to combine childcare with family support, health visiting and early SEND identification in a single location. (gov.uk)
DfE analysis indicates school‑based nurseries contribute a significantly larger share of childcare access in deprived communities than in affluent ones-around 35% of accessibility in the most deprived decile versus 16% in the least deprived-supporting a targeted approach to new places. (gov.uk)
Polling cited by DfE reports that 37% of parents value being able to drop multiple children at one site and 59% say school‑based settings help prepare for the move into Reception. The department also highlights that children in the most deprived areas are more than 20 percentage points less likely to reach a good level of development by age five. (gov.uk)
The expansion sits alongside the wider childcare reforms. By September 2025, the 30‑hours entitlement for working parents extended from nine months to school age; DfE’s latest analysis suggests average savings of about £8,000 per child per year for families accessing funded hours. (gov.uk)
Cost‑of‑living measures run in parallel. Free breakfast clubs are being rolled out nationally, with estimated savings of up to £450 a year per child, and free school meals will extend to all children in households on Universal Credit from September 2026. (gov.uk)
Quality funding is also being strengthened. Early Years Pupil Premium (EYPP) increases by a further 15% in 2026/27 to £1.15 per hour-up to £655 per eligible child per year-building on a 45% uplift implemented in 2025. From September, providers in Brighton and Hove, Durham, Islington, Leeds, Luton, Nottingham, Rochdale, Rotherham, Torbay and Sandwell can access an additional £363 per eligible child through a test‑and‑learn pilot. (gov.uk)
For delivery bodies, immediate tasks include updating childcare sufficiency assessments, assembling multi‑site proposals that meet the capital guidance, and scheduling delivery across the 2027–2030 window, including estates approvals, procurement and workforce planning. Co‑location with Family Hubs and maintained nursery schools is intended to streamline SEND pathways and improve targeted take‑up. (Policy Wire analysis.)
Policy Wire analysis: Delivery risk sits in staffing and timing. In May 2025 DfE estimated around 35,000 additional staff and 70,000 places were required to meet the entitlement expansion; the new capital schedule overlaps with breakfast‑club rollout and free‑school‑meals changes. Sequencing and workforce supply will shape the pace of benefits through 2026/27. (gov.uk)