Early learning and childcare - sustainable rates for funded providers: overview 2023 to 2024

Sets out information provided by local authorities on the sustainable rates they have set for providers in the private, third and childminding sectors to deliver funded ELC in line with guidance published for setting these sustainable rates.


Annex A

Summary of local authority data on rates paid to Funded Providers to deliver an hour of funded Early Learning and Childcare (ELC)

  • Table A1 sets out the hourly rates paid by local authorities to providers delivering the funded ELC entitlement to 3, 4 and 5 year olds and eligible 2 year olds in 2022-23 and 2023-24.
  • To provide consistency – and in line with the Funding Follows the Child guidance (i.e. meeting the costs of delivering an hour of ELC to one child) – the rates presented in Table A1 do not include any top-ups for the delivery of the free meal commitment and/or for snacks (they are presented separately in Annex B).
  • The figures presented for 2022-23 have been updated since the previous report on sustainable rates published in December 2022, to reflect changes to 2022-23 rates which were not confirmed at the time of publication.
  • The "Comments" column includes additional information provided by local authorities, including variations to the rate which might apply to some providers, temporary top-ups in the rates, specific rates offered to childminders, when the rate was last reviewed, and whether the rate was backdated. Top-ups to the sustainable rate to cover meals and snacks are not included in the comments section, as provision for meals is covered separately at Annex B.
  • Due to the variation in approaches to funding children with additional support needs, variations to the rate for this purpose are not included.
  • Where local authorities have increased their rate since 2022-23, we have included the month during which the new rate took effect. This may be a date prior to the date when the new rate was agreed upon and confirmed by a local authority (if the local authority chose to backdate any increase). The exact date in the month from which the increased rate applied is not included as it was not provided by a significant number of local authorities. This field will read "N/A" (not applicable) where there has been no change since the last report.

"2 year olds" and "3-5 year olds" is sometimes abbreviated to "2yo" and "3-5yo" respectively.

Table A1: Rate paid to funded providers for an hour of Early Learning and Childcare in 2022-23 and 2023-24

Council

Year

Rate paid to funded providers for one hour of ELC

Month during which increase is applied from

Comments

2 year olds

3 - 5 year olds

Aberdeen City

2022-23

£6.15

£5.55

August 2023

The rate was reviewed in September 2023 and backdated to August 2023.

Rates for childminders: £6.03 (2yo), £5.73 (3-5yo) (up from £5.75 (2yo) and £5.45 (3-5yo) in 2022-23).

2023-24

£6.43

£5.83

Aberdeenshire

2022-23

£6.61

£5.83

April 2023

The rate was reviewed between December 2022 and February 2023, to be introduced from April 2023.

2023-24

£7.72

£6.37

Angus

2022-23

£7.18

£5.61

April 2023

The rate was last reviewed in August 2023.

A local costs study is in progress to inform the rate setting process for April 2024.

Rates for voluntary sector providers operating from Council premises: £6.95 (2yo), and £5.26 (3-5yo).

Rates for childminders: £5.77 (2yo), and £5.77 (3-5yo). 2022-23 rates for childminders: £6.13 (2yo) and £5.63 (3-5yo).

2023-24

£7.68

£5.98

Argyll & Bute

2022-23

£6.90

£6.11

August 2023

The rate was reviewed in October 2023 and backdated to August 2023.

There is a higher rate when settings provide evidence of paying staff the real Living Wage. The higher rate is £7.87 for 2yo, £6.95 for 3-5yo (up from £7.18 (2yo) and £6.35 (3-5yo) in 2022-23). Currently 45% of settings are paid the higher rate.

Rates for Childminders: £7.87 (2yo) and £6.95 (3-5yo) (up from £7.18 (2yo) and £6.35 (3-5yo) in 2022-23).

2023-24

£7.79

£6.89

Clackmannanshire

2022-23

£6.07

£5.57

April 2023

The rate was reviewed in June 2023 and backdated to April 2023.

Rate for childminders: £5.42 (same as in 2022-23)

In 2022-23, the rate was introduced from August.

2023-24

£6.41

£5.90

Dumfries and Galloway

2022-23

£6.73

£5.71

April 2023

The rate was reviewed in April 2023 and increased in April 2023.

In 2022-23, the rate was introduced from August.

2023-24

£7.42

£6.30

Dundee City

2022-23

£5.75

£5.45

August 2023

The rate was reviewed in September 2023 and backdated to August 2023.

2023-24

£5.90

£5.59

East Ayrshire

2022-23

£5.50

£5.50

N/A

Rate approved in January 2024. Next review planned in line with the next guidance update.

Rate for childminders: £4.76 (same as in 2022-23)

2023-24

£5.50

£5.50

East Dunbartonshire

2022-23

£6.95

£5.77

August 2023

Rate reviewed in December 2023 and backdated to August 2023.

2023-24

£7.09

£5.89

East Lothian

2022-23

£7.55

£6.04

N/A

Rate last set and reviewed in August 2022.

2023-24

£7.55

£6.04

East Renfrewshire

2022-23

£5.69

£5.69

August 2023

Rate reviewed in Spring/Summer 2023 and introduced from August 2023.

2023-24

£5.87

£5.87

Edinburgh

2022-23

£6.48

£6.03

N/A

Rate reviewed for April 2023.

In 2022-23, the rate was introduced from August 2022.

2023-24

£6.48

£6.03

Eilean Siar

2022-23

£5.75

£5.55

N/A

Rate reviewed in May 2023 and introduced from August 2023.

2023-24

£5.75

£5.55

Falkirk

2022-23

£5.70

£5.70

April 2023

Rates reviewed in March 2023 and introduced from April 2023.

In 2022-23, the rate was introduced from August 2022.

Rate for childminders: £5.50 (up from £5.20 in 2022-23).

2023-24

£6.00

£6.00

Fife

2022-23

£5.65

£5.65

April 2023

Rate agreed in February 2023 and introduced from April 2023.

In 2022-23, the rate was introduced from August 2022.

2023-24

£6.52

£6.52

Glasgow City

2022-23

£6.86

£5.79

August 2023

Rate agreed in September 2023 and backdated to August 2023.

2023-24

£7.11

£6.00

Highland

2022-23

£6.66

£5.75

N/A

Rate reviewed in February 2023 and introduced from April 2023.

In 2022-23, the rate was introduced from August 2022.

2023-24

£6.66

£5.75

Inverclyde

2022-23

£5.69

£5.69

August 2023

Rate agreed in November 2023 and backdated to August 2023.

2023-24

£5.87

£5.87

Midlothian

2022-23

£6.50

£6.02

N/A

Rate last approved in November 2022 and backdated to August 2022

2023-24

£6.50

£6.02

Moray

2022-23

£7.95

£6.62

N/A

Rate last reviewed in September 2023.

Next review planned as part of the annual budget setting processes.

2023-24

£7.95

£6.62

North Ayrshire

2022-23

£5.76

£5.76

N/A

Last review held in April 2023 and backdated to August 2022.

2023-24

£5.76

£5.76

North Lanarkshire

2022-23

£6.03

£5.77

August 2023

Rate reviewed in June 2023 and introduced from August 2023.

2023-24

£6.14

£5.87

Orkney Islands

2022-23

N/A

N/A

N/A

Orkney does not use private nurseries for funded provision - only childminders. For consistency with other authorities, these rates are stated below, not in the main table.

Rate for childminders: £5.50 (2yo), £5.50 (3-5yo) (up from £5.00 in 2022-23).

The rate for childminders was reviewed in 2023 and introduced from April 2023.

2023-24

N/A

N/A

Perth and Kinross

2022-23

£5.65

£5.45

August 2023

The rate was reviewed in 2022 and an inflationary increase was applied from August 2023.

Perth and Kinross started a pilot of community childminding, to support families facing life challenges (such as domestic abuse, bereavement, or wellbeing issues), for which the rates are the following:
Retention Rate: £5.59

Care-experienced rate (2yo): £6.66

Care-experienced rate (3-5yo): £6.20

2023-24

£5.79

£5.59

Renfrewshire

2022-23

£8.50

£5.71

August 2023

Rate agreed in November 2023 and backdated to August 2023.

2023-24

£8.50

£5.97

Scottish Borders

2022-23

£6.52

£6.21

April 2023

Rate agreed in February 2023 and introduced from April 2023.

Scottish Borders paid the 2023-24 rate only to providers who were paying their staff the real Living Wage. There are currently 2 providers who stayed on the 2022-23 rate as they do not as yet pay the RLW but are working towards it.

In 2022-23, the rate was introduced from August 2022.

2023-24

£7.17

£6.83

Shetland Islands

2022-23

£7.77

£5.97

August 2023

Rate agreed in June 2023 and introduced from August 2023.

The quoted rates are for providers who are not in receipt of the local authority's Building Support Package.

Rates for nurseries eligible for Building Support Package: £7.94 (2yo), £6.11 (3-5yo)

2023-24

£8.44

£6.49

South Ayrshire

2022-23

£5.76

£5.76

August 2023

Rate agreed in June 2023 and introduced from August 2023.

2023-24

£6.33

£6.05

South Lanarkshire

2022-23

£6.34

£5.71

August 2023

Rate agreed in June 2023 and introduced from August 2023.

2023-24

£6.53

£5.88

Stirling

2022-23

£6.51

£5.70

April 2023

Rate agreed in March 2023 and introduced from April 2023.

Rate for childminders: £5.10 (up from £4.85 in 2022-23).

2023-24

£6.51

£6.00

West Dunbartonshire

2022-23

£5.84

£5.67

August 2023

Rate agreed in September 2023 and backdated to August 2023.

2023-24

£5.84

£5.84

West Lothian

2022-23

£6.50

£6.50

N/A

Rate reviewed in February 2023 for April 2023.

Rate for childminders: £6.30 per hour (same as in 2022-23).

2023-24

£6.50

£6.50

Contact

Email: elcpartnershipforum@gov.scot

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