Funding for early years providers

Some of the funding available to providers.

Inclusive Early Years Fund (IEYF)

The earliest years of a child's life are critical. During this period, brain development is at its fastest, and the right support at the right time can have a lasting positive impact. Early identification of additional needs and timely intervention can help prevent difficulties from escalating and improve long-term outcomes for children.

The Inclusive Early Years Fund (IEYF) grant has been given by the DfE to local authorities to distribute to providers alongside existing Special Educational Needs and Disabilities (SEND) funding. Existing funding streams remain available and include:

  • SENIF (Special Educational Needs Inclusion Fund): Targeted support for individual children or groups of children, depending on local arrangements.
  • DAF (Disability Access Fund): Supports disabled children's access to funded early education places. This funding is available for children who receive Disability Living Allowance (DLA).
  • High Needs Funding: Specialist support for children with more complex needs.

IEYF complements these existing funding streams by providing funding directly to eligible early years settings, enabling them to respond quickly to a range of emerging needs and strengthen inclusive practice across their provision. Providers do not need to apply for this funding.

IEYF is intended as a strategic, setting-level fund that supports whole-setting approaches to inclusion. To ensure allocations are meaningful and have a positive impact, local authorities have been asked to make payments above a minimum funding threshold.

As a result, not all early years providers will receive IEYF funding in 2026/27. Funding is allocated based on locally agreed criteria, and only eligible providers will receive an allocation. Providers that have been awarded IEYF funding will have been contacted directly by the local authority.

Childminders and smaller settings can engage with Best Start Family Hubs to support children aged 0 to 5 and their families. This includes access to Best Start Inclusion Practitioners (BSIPs), who can:

  • identify emerging or developmental needs
  • link families to evidence based interventions
  • support transitions into reception
  • help navigate SEND pathways and local services
Making the environment more inclusive

Making practical adaptations to ensure environments are accessible for all children. This includes:

  • inclusive approaches by design, which support access for all children (for example, using visual timetables, visual supports, consistent gestures, and structured routines to help children understand expectations and transitions)
  • targeted adaptations to meet individual needs (for example, adapted equipment or environments, or adjustments to routines to support children to participate and regulate)

These approaches help create environments where children can learn and play together, reducing the need for separation and supporting inclusive participation for all.

Adaptations to consider:

  • remove obstructions to outside views, to connect to nature
  • improve acoustics through fire-rated acoustic ceilings or wall baffles and soft furnishings, and by considering equipment use, such as paper towels versus hand dryers 
  • separate noisy and quiet activity areas
  • clearly define activity zones and circulation routes between activities to improve access and spatial clarity 
  • reduce visual overload, declutter and simplify displays 
  • consider natural materials and soft colour hues when choosing finished 
  • create low stimulus quiet corners and quiet spaces, such as a soft-furnished den 
  • create familiar, comfortable spaces, for example, with soft sofa seating, cushions and a rug
  • visual and textural cues and Makaton signs to aid comprehension Sensory and regulation support spaces
  • small group room or quiet space for focused support
  • multi-sensory rooms for low-level sensory stimulation using controlled dimmable lighting, sound, textures and interactive equipment, supporting specific sensory stimulation needs, or soft play spaces for bouncing 
  • spaces to support gross motor skills, like walking, running.
Building workforce knowledge of inclusive practice

Funding to support:

  • whole team inclusion training (for example, termly training)
  • special education needs coordinator (SENCO) coaching
  • staff release time to attend training during working hours
  • staff to attend the Early Years SEND conference

This may include time to pay for staff to attend local authority training bit not for the cost of training itself.

Training should focus on improving the quality of universal inclusive practice, including high quality provision for all children and approaches to supporting those who need additional support.

Embedding and sustaining inclusive practice

  • Funding to support leadership time to embed learning from training, including through coaching and mentoring within the setting. This helps ensure that improvements in knowledge translate into changes in practice and improved outcomes for children.
  • Settings may also use funding to access coaching and mentoring from external inclusion specialists (for example, speech and language therapists (SALTs) or educational psychologists) to support sustained improvements in practice.

Facilitating multi-agency working

  • Allowing staff time and capacity for coordination with health and other professionals, including joint planning and participation in multi-agency support. This may include working with health services to deliver integrated reviews, such as the progress check at age 2, carried out jointly with health professionals or in collaboration so that information is shared effectively between services and with families. This supports early identification of need and provides timely, joined-up support.
Monitoring form DOCX, 16.45 KB Opens new window

Universal funding

Targeted funding

SEND funding

Funding for schools