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<p>The government recognises the importance of supporting the early years sector financially
during the COVID-19 outbreak.</p><p>We note the information provided by the Early
Years Alliance and have used it in recent discussions with HM Treasury.</p><p>Data
published on 26 October, in the latest parent survey by Ipsos MORI, shows that in
September 94% of parents whose child received formal childcare, before the COVID-19
outbreak, were either using formal childcare now, or were intending to return their
child to formal childcare, if they could, by January 2021.</p><p>Attendance data on
early years shows that children’s attendance at the majority of nurseries, preschools
and childminders is starting to climb back to pre-COVID-19 levels (an estimated 770,000
children attended early years settings on 22 October, compared with 417,000 at the
end of the summer term).</p><p>Nurseries, preschools and childminders have received
significant financial support over the past months and will benefit from a planned
£3.6 billion funding package in financial year 2020-21 for free early education and
childcare places.</p><p>We are providing extra stability and reassurance to settings
that are open by ‘block-buying’ childcare places for the rest of this year at the
level we would have funded before the COVID-19 outbreak, regardless of how many children
are attending. This will give nurseries and childminders another term of secure income.</p><p>In
addition to this, the government has provided a package of support for individuals
and businesses which are directly benefitting providers of childcare. This includes
business rates relief and grants, the extended Self-Employment Income Support Scheme,
the Business Interruption Loan Scheme, the Job Retention Bonus and the extended Coronavirus
Job Retention Scheme, which will remain open until December, with employees receiving
80% of their current salary for hours not worked, up to a maximum of £2,500.</p><p>Further,
business premises forced to close in England are to receive grants worth up to £3,000
per month under the Local Restrictions Support Grant. Also, £1.1 billion is being
given to local authorities, distributed on the basis of £20 per head, for one-off
payments to enable them to support businesses more broadly.</p><p>We continue to work
closely with both local authorities and the early years sector organisations to monitor
the impact of the COVID-19 outbreak on the sector.</p><p> </p>
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