Episode 15

full
Published on:

13th Nov 2025

From Fees to 'Free' Places: What the Early Years Funding Changes Really Mean for Your Setting

“Our biggest priority is the children. But we can’t keep showing up for them at the level we want to if the system is this broken.”

Clare Crowther - Director, Atelier 

When there’s no consistency from one local authority to another, how are settings supposed to stay compliant?” This is one of the many questions we’re tackling in this episode of Atelier Talks. This episode is essential listening for any Early Years provider navigating the increasingly complex world of fees, funding and “free” entitlement.

Joined by sector trailblazers Jo Morris (Play Steps, CNLF, Early Years Voices) and Jen & Rose from Snapdragons Nurseries, we unpack the real implications of recent government funding changes, from April’s updated guidance to the September expansion of entitlements. We talk about transparency, administration overload, and the widening gap between funding rates and the real cost of delivering quality early years education.

If you’re a nursery owner, manager or educator trying to protect the quality of your provision while staying financially sustainable, this episode offers clarity (and solidarity!) and perhaps some inspiration from other settings navigating these changes. 

In this episode:

  • What changed in April and September, and what’s coming next…
  • Why the “voluntary” charges guidance has made things more confusing 
  • How the narrative of “free childcare” is misleading families
  • What additional services EY settings can charge for and what’s now restricted
  • How the changes are affecting family choice, local partnerships, and team morale
  • Practical tips for preparing your invoices, agreements and audit trail
  • Why providers in multiple LAs are struggling to stay compliant across regions
  • What the clawback risk means for your operations 
  • What Early Years Voices is doing to campaign for real change 

Find out more:

Connect with our guests:

Connect with Atelier

Website and newsletter: ateliernursery.co.uk

Instagram: @ateliernurseryltd

Consultancy enquiries: Contact us via our website

Together, we’ll unlock the potential for incredible growth and learning.

Atelier Talks is a Decibelle Creative original podcast

Produced by Decibelle Creative – decibellecreative.com / @decibelle_creative

Keywords: early years funding 2024, free childcare, 30 hours funding, voluntary charges EYFS, early years admin, EYFS fee structure, funded hours nursery, sustainability nursery funding, early years voices, champagne nurseries lemonade funding, local authority audits EYFS, clawback childcare, early years DfE guidance, provider agreements, nursery compliance UK

Transcript
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>> Clare: Welcome to Atelier Talks, the Early Years

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Collective. This is the podcast brought to you by

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the Atelier Nursery team, exploring the art and

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science of early years education. We're here to

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share knowledge and insights from our unique

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research led approach. So if you're passionate

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about early years education, you're in the right

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place. Let's find out what's in store for you on

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today's episode.

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>> Clare: Welcome to Atelier Talks, the Early Years

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Collective. Today we're really excited because we

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have our first full guest podcast. So we're joined

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today by Jo Morris from Play Steps Nursery in

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Swindon. So Jo's got two nurseries there, but

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she's also the spokesperson for Champagne

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Nurseries Lemonade Funding admin for the Day

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Nursery Hub on social media and more recently the

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board member for Early Years Voices. She's a huge

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advocate for, for fairer funding campaigning for

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the last 17 years on making sure that the

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challenges providers and Early Years settings are

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facing around funding is really hard. And we also

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have the lovely Jen and Rose from Snapdragons

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Nurseries who, if I'm honest, I'm a little bit in

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awe of. I don't quite know how they do what they

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do all day, every day because they have 10

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settings across three local authorities and are

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offering over 3,000 childcare places. So a very

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different offering that we offer Atelier. so it's

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a really exciting day to be able to bring together

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such huge voices within the Early Years sector

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together. So welcome Jo. Welcome Jan. And welcome

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Rose.

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>> Jo: Thanks Clare.

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>> Alison: Thank you.

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>> Clare: So today's a little bit different. Today we're

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taking a step outside the doors of Atelier and

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we're looking at all things fees and funding. So

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we know that actually there's a lot of talk on the

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ground at the moment about fees and funding. We've

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seen some significant changes really coming across

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into the sector, when we're looking at Early Years

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in Tycoon and the entitlements that families are

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able to access. So Jo, do you want to give us a

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little bit of an overview about some of the

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changes that Settings have faced, since September?

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>> Jo: Yeah. So I think the biggest one is obviously that

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now a huge, a huge part of our income now comes

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from funding as opposed to coming from parent fees

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which the the biggest challenge I think with the

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funding of, aside from the underfunding of the

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particularly three and four year old offer is the

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amount of admin that it's bought. It's bought a

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huge amount of administration, and we're already

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stretched for time. We already all have enough to

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do. And I think from speaking to lots and lots of

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providers, the admin side of it probably has been

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one of the more challenging. We've had lots of

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parents who've had difficulties getting codes.

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There are some complications and confusion over

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when parents can get their codes. There are

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deadlines that are set for the forgetting of the

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code, but actually then don't work with the la,

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deadlines for receiving the codes. So I think the

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admin overall has been really, really difficult

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for people.

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>> Clare: and then as I say, the.

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>> Jo: Secondary to that obviously is the fact that we

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know that the sector has been underfunded for a

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very long time, particularly those three and four

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year olds. And at the moment, currently the baby

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rates and the two year old rates are broadly

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workable. but we know that that won't continue. So

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it's not just necessarily the concerns that are

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there now, but the concerns that are kind of

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building for future years as this new funding

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doesn't keep pace with the cost of provisions.

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>> Clare: Thank you, Jo. So I think what you've done there

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was kind of summarise the whole podcast in just a

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few minutes. So we know that from September we saw

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an increase in the funded hours available to

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working families. So all of a sudden children, the

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term after their ninth month birthday, if that's

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such a thing, were entitled to have up to 30 hours

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worth of funding within a setting. So Rose, this,

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you know, we have talked long and hard, haven't

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we, for the last, gosh, what, five years, about

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the challenges of funding within Bath Northeast

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and Wiltshire. and one of the things that we

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really wanted to kind of look about was the

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challenges between what parents were facing and

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how they were almost being pitted against

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providers and how actually as providers we've

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almost been left with the really tough job of

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explaining what actually is included within the

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funding and what they are really entitled to. And

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Jo, as you said quite rightly, that that funding

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actually isn't covering the cost of delivery that

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is expected. So when we're think about families

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and we're thinking about providers and we're

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looking at all of the clarity that we're kind of

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looking for at the moment, what's exactly changed?

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Why is it that providers are now asking for

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greater clarity from their local authorities and

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families are really seeking more understanding of

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what is eligible? So we knew, you know, we know

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what's happened since the 1st of April, we know

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what's happened since the 1st of September. But

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just for our listeners, can you, Jen, perhaps

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clarify what happened, on the 1st of April and

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that guidance change?

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>> Jen: Yeah, so 1st of April, the local authorities

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issued sort of updated guidance on particularly

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the additional charges that nurseries are allowed

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to put onto funding. So although we get a set

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funding, a set amount per hour for each funded

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child, differing per age group, it doesn't cover

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everything that most nurseries will provide. Food,

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additional activities, outings, the list goes on.

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But, nurseries are able to charge for those and

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childminders, nurses and childminders are able to

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charge for those additional services that we

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provide. And for most nurseries, if I pick food,

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for instance, you probably find that they're

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offering the food themselves. They've got a really

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developed menu, they've got an in house chef

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that's preparing the food freshly. So they're not

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really allowing packed lunches. We're dealing with

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quite young children. There are issues around

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storage, reheating of food. and then one of the

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big ones will be health and safety, sort of

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choking, allergies and things like that. You've

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got young children, it's much harder to stop a

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toddler, for instance, from reaching across to

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someone else's lunchbox and understanding that

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they can't eat certain foods. So most nurseries

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will prepare their own food on site that they know

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is nutritious and safe for all the children in the

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setting to eat. Obviously in April the government

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issued new guidance around these sort of charges

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and saying that in essence, nurseries need to make

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it easier for parents to opt out of these charges.

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They need to be truly voluntary and make it sort

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of easier for parents to access the funding

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completely free of charge. Do you think that's a

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fair summary?

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>> Clare: I think that's a really fair summary. So Jo, when

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we're thinking about what Jen has said, so, you

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know, we had that April 2025 change come into play

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and from my understanding that guidance was about

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transparency. It was around actually the

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government saying, you know, yeah, it's okay to

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charge for these consumables, it's okay to charge

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for your meals, it's okay to make your additional

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service charge for the additional services or the

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quality care that you might provide or for the

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difference, the standalone things that might be

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different in your setting, but it's got to be

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transparent to parents. But then it kind of moved

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through a little bit further, didn't it, into the

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local authorities and there seems from, from our

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perspective at atelier, a real feel that actually

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now this service, should be offered and it should

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be offered completely free of charge. From what

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parents are understanding, it can be that their

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hours are free, but the statutory guidance tells

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us as providers that it's okay to charge. So if

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the charge is meant to be voluntary, the guidance

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is really, really clear. The funding received is

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not meant to cover the meals, it's not meant to

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cover the consumables or the additional services.

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But the charge can't be made mandatory. Who is

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meant to be covering the cost?

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>> Jo: I think what this stems from is there's a case, a

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case where a parent complained basically around

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additional services charges and it actually ended

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up in the High Court. And the High Court judgement

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was that this childcare, is supposed to be free.

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It doesn't say in the judgement that actually that

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everything around that you would expect to be

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covered by you know, the term childcare. When

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parents hear 30 hours free or 15 hours free, they

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think this is great, everything is going to be

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free. I can walk into the setting, have it all and

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it will all be free. That's the message that the

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government has delivered very loudly, very clearly

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and very consistently through a £90 million PR

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campaign. However, the guide, the actual, the

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legislation hasn't significantly changed. What has

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changed is the wording around charging. So we went

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from the previous wording was around funding does

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not, is not intended to cover these things so

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parents can expect to pay for them. What happened

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when this judgement then was, was handed down was

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actually the government, then the DFE changed that

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guidance and actually released this guidance on

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the 21st of Febr, giving us very, very, very short

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notice to actually put it into place that actually

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now says that effectively, charges must be on the

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basis of parents willing to opt in. It can no

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longer be a kind of an opt out. You have to almost

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opt in. And that's been the biggest change.

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Although it's a subtle, subtle wording, it's a

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huge change in terms of how we're then expected to

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deliver. And I think one of the things that we

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certainly have seen is a rise and particularly

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with families who are new to obviously funding,

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who are coming in now at nine months or at two.

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And as you say, they're funding now kind of come

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down through the age groups are walking into

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nursery saying, well this is great, it's all free.

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and it's, and it's these faces that have to say,

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well actually I'm really sorry but it's not quite

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as free as it's been made out to sound. I Think

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so. I think the, the actual, the actual

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legislation itself hasn't changed, but the wording

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and the guidance is tightened from can expect to

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pay for these items to can, you know, we can.

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Providers can charge, but these charges have to be

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voluntary for parents. So on the one hand, the DfE

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are saying to us, yeah, give the hours for free,

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but you, but it's okay to charge for the extra

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things. But then they're saying to the parents,

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oh, but they have to be voluntary charges. And

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there's this real, there's this real kind of

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mishmash of actually what does the funding cover?

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We have asked the DFE repeatedly over the last

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nine years to give us a definitive list of what it

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does cover. They have not done that. Local

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authorities, again, we've asked them give us a

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definitive list of what this funding covers and

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then therefore what sits outside of that scope.

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And then therefore we can apply additional

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services charges on the basis now of parents being

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willing to pay. Most local authorities again have

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stopped short of doing that. And what we're

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finding is that in their provider agreements it

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will say that charges can be applied as long as

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they're voluntary for parents. And then when

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settings are actually being audited, local

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authorities are saying, oh, no, but hang on, we

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don't like that charge and we don't like that

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charge and we don't like that charge. So there is

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not and has not ever been a definitive list of

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actually what does funding cover? And we kind of

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left to sort of flail around and try to make our

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own models. And I think that up until, up until I

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think quite recently, you know, parents are, this

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funding. First of all, I would certainly say I'm

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not opposed to the government helping parents with

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the cost of childcare. We know it's expensive, we

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pay the bills. We know childcare is expensive. We

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have one of the highest ratios in Europe, quite

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rightly, I believe. I don't think we should be

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messing around with ratios. But childcare is

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expensive. It would be really, really helpful if

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the DFE would come out and say these items are on

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the list that have to be include as part of the

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free hours and these are the items that can be

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charged for. That I think is what we are now being

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asked to do and expected to do and to publish this

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information on our websites, on our invoices by

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January without actually any clear guidance on

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what actually it is that we are allowed to charge

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for. And I think that's been the, that's been the

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root of quite a lot of, of of conflict and

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challenge and, you know, between parents and their

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settings. And as you quite rightly say, Jen, this

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is, is, this is childminders as well as it is

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nurseries, it's the whole sector, you know, so, so

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as I say, I, I always kind of give the example

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that as a, you know, as a nursery owner, if

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someone said to me, right, okay, you can go to

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that restaurant and have a free meal, I'd think,

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oh lovely, that's great, thank you. And I'd go to

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the restaurant, they'd say, yeah, well the food's

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free but the plate's not free and the glass isn't

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free and you've got, you've got to hire the fork

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and you know, and I know it's a sort of slightly

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sort of tongue in cheek comparison, but when, when

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parents are told something is free, that's what

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they expect it to cost them. And then they come

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along to us and we say, oh, well, this part of

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it's free, but this part of it's, it's not free.

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But, but we can charge for it, but you can choose

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not to pay for it. But if you don't pay for it,

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you've got to bring your own, but you can't. These

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are the rules around that. I mean, it's, it's,

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again, this is all part of that admin that

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settings are spending hours and hours and hours

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going through this with, with families to try to

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help them to understand. And when we do explain,

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on the whole, I would say families do understand

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and the reaction for most families is, is, oh,

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shock. You know, the government has promised it

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for free and it's not quite as good as it sounds.

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Shock, you know, so on the whole, I think once

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it's explained, families do understand it, but

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there are a cohort of families that are saying,

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no, I want it all for free. That's what I've been

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told I can have, you know, so I think, I think

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what we are crying out for and always have been is

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some really clear guidance from the DfE on what

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actually is free.

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>> Clare: So I think you echo every setting across the UK at

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the moment because, you know, we as providers

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within Bath and Wiltshire together, so Rose and

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Jen, and I provide within two local authorities.

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So, you know, before all of this came through, we

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were sharing our provider agreements, we were

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going through our fee literature, we were trying

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to find a way to make it work for families because

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like you said, you know, we want families to be

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able to access high quality early years education,

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we want them to have the funding support, but what

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we don't want to do is dilute the quality. And

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when all of a sudden we're being told, you can

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charge, but you can't charge, but you can charge

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for this, but we have to offer an alternative.

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What does that really look like when you've got,

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you know, we're quite small compared to some of

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your settings, in Bath and Wiltshire, but, you

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know, we've got 70 children a day. But you can't

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set up a fee structure for each of those

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individual children based on what they want to opt

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in or opt out of. And I think it's really hard.

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And we had exactly that same conversation with a

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really, really lovely parent. She'd had. You know,

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she's got two children with us. Her eldest has

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just gone to school in September and she just kind

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of came in and she just said this. This fee

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literature feels so alien to atelier. What's it

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all about? This is. It's so detached from

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everything that we feel and everything that we see

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every single day. Why are you doing this? Why are

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you saying, actually, you know, you have to charge

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separately to hire your plate, which is, in being

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really honest, we've done an absolute black and

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white table of what's included over and above the

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early years entitlement funding as we interpret

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it. And it was exactly that. You know, we order,

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all of our food from our local butchers, all of

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our fruit and vegetables come from our local

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greengracers. We know the provenance of all of our

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food. We employ an amazing chef. Beth went to

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River Cottage to do her staff, development

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training to think about how we could have the best

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of menus. You know, I know Rose and Jen, you work

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with the Soil association to make sure that

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everything, that you're providing for children is

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at the highest level of quality. And then all of a

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sudden we're having to justify with parents that

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actually it's not just the cost of that food, but

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actually it's the cost of the preparation, it's

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the cost of the use of the dishwasher, it's the

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cost of the detergents to wipe the surfaces down

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after your children have eaten. It's the flannel

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that they have to wash their face when they

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finished. And it feels, it feels, I think, you

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know, that as providers, we've always been made to

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feel that we're penny pinching and we're penny

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pinching back from the most vulnerable children

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and how actually we can overcome that feel because

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the conversation we had with our parent was very

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much. Yeah, we hate it too. It's not about what we

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want to do, it's not how we want to deliver. We

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don't want to see parental choice wiped out. You

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know, what we offer atelier with our, our artists

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or with our creative curriculum or with the

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gallery. Schools will always be different to what

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the nurseries right next door to us offer. And

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that's brilliant because that's actually how

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choice should be and parents should be able to

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choose for that. But none of our funding models

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match the cost of our deliveries because we were

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all going to have completely different overheads

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to match that. And so as such, for years we've

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been able to operate under an additional service

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charge that has met the difference between our

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funding and actually our cost of delivery. And all

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of a sudden that's becoming further and further

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reduced because not only are, the more and more of

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our children coming in on a funded basis, so

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you've lost your ability to recoup that loss

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within your, your private fees, but you're now

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actually capped within what you can charge for and

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what you can't charge for. So where is this going

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to take our children and families in terms of

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their choices and in terms of their rights? And

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actually then we'll look at where that's going to

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take our providers because I think we've got a

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really challenging landscape ahead of us, would

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you agree?

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>> Jen: I think we have. I think it's really difficult.

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And we've got. Obviously we work across four local

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authorities and they've all taken quite a

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different approach to this as well in respect to

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kind of our. We operate the same policy across all

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of our nurseries. Like you, we had to send out

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something earlier in the year that felt quite

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alien to us, felt quite restrictive in terms of

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trying to meet these kind of new guidelines and

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ensuring that parents were given full transparency

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on kind of what was and wasn't included. Vast

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majority of our parents, like it's been said

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before, were absolutely on board, didn't mind

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because it didn't change anything for any of them.

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They still wanted to kind of opt into that service

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where we provide what we call an all inclusive and

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premium sort of childcare for them. But then you

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do get the cohort who are questioning it. They

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have been told it's free. So quite rightly they're

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questioning why it's not free. And you know,

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you've touched on it as well. You're getting

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parents say, well, I can do my supermarket shop

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for this amount. So how can you charge this for

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food? But there is so much more that goes into it.

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We're not just sort of whacking out chicken

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nuggets or a, ham sandwich. We are really trying

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to make sure that these children have nutritious

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food, have enough of the nutritious food. And

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there's a huge amount of time and cost that goes

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into not just the physical groceries that end up

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on their plate, but the planning, the preparation,

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the waste disposal, you know, even things as

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trying to move away from just simply plastic

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plates and plastic cups and buying nice quality

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crockery for the children to use and metal sort of

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knives and forks so that they're getting used to

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using those. And it's really then frustrating to

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be feeling. You've got to, you're almost

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villainized in this case where you're having to

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display things and parents just can't understand

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it.

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>> Jo: And of course now we have the new DfE guidance on

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nutrition in earlier settings, don't we? That also

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now says, you know, take out everything that's got

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sugar in it. Everything that's, that's minimise

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salt. So you know, so it's, it's not, it's not as

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simple like you say, you know, as, you know, kind

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of popping a few chicken nuggets in the oven.

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It's. And I think one of the things that when I

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talk to families and talk to other settings about

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how they talk to their families is the example I

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always give, you know, is for example, a Happy

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meal. Not knocking McDonald's. Everyone loves a

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strawberry milkshake. but you know, a Happy meal

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is nearly £4. For some chicken nuggets and chips

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and a drink, it is £4. And that's not knocking

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McDonald's at all. When you look at the cost of a

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home cooked, as you say, in most cases, two course

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home cooked, nutritionally balanced, you know,

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organic, where we can. And you know, minimising

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our impact on the environment. We're now paying

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for our food waste as well to be taken away. So

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all of those costs have gone up significantly. And

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I think again, you know, something else, I always

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sort of talk to providers when they're talking to

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their families to give them sort of some

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confidence is to say, you know, families don't go

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into restaurants and question the price of food.

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The difference is, the huge difference is families

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haven't been told that food that is free. And this

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is our biggest issue, the government like to crow

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about free childcare. Free childcare, Free

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childcare. What there is not. And has never been.

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Is, as I said that really clear. This is what you

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can have for free. And these are the things that

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we are not paying your setting to provide. These

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are the things that we're not paying for. And I

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think in terms, Clare, of your question around

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where we're going with this, this, my concern is

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particularly around those families who maybe are,

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with living within deprivation. I think as a

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provider, just purely on a numbers basis, if you

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have the option of having two children who are

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eligible for 15 hours funding or one child is

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eligible for 30 hours funding, that one child, it

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becomes a more, sustainable business operation to

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have one child rather than two, because that's two

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sets of learning journeys, two sets of paperwork,

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two sets of administration. So my fear is that the

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children who need to be in nursery, perhaps for

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whom the outcomes are the most kind of dependent,

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I think all children have got absolutely equal

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right to be in nursery if families want that for

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them. But I think that we will start to see over,

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the next couple of years these 2 year olds and

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perhaps the universal 3 year olds, 15 hour 3 year

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olds being squeezed out of nursery provision

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because it just becomes a numbers game where you

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can have X amount M of children on roll or X

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amount M of children on roll. And so I think in

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terms of my m. Concern for the children is that my

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concern for the families is that there will be

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settings are having to really significantly

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reduce, cap maybe the hours they're offering or

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reduce the amount of hours that they are prepared

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to deliver. really having to think, as you know,

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as you say, Jen, around, what actually are we

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charging for? So I don't believe that the quality

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necessarily will suffer because I believe that

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even within, I think the eyfs, the statutory

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guidance calls it EYFS provision. So for the

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families who opt out, a child has to remain within

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EYFS provision. And we are currently, you know,

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97% good and outstanding in this country from

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Ofsted. And I think we should be extremely proud

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of that. I think the provision that's offered

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within the eifs, I think is very good, but those

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extras and those things. Now, again, I know that

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your settings go over and above. you know, we have

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a forest wall in one of our settings that's not

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cheap. I think that, you know, it's. It's going to

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come to a point where we are looking and saying,

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well, actually, what of these extras and these

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lovely phenomenal additions, can we continue to

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deliver? if more and more families are saying no,

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I just want the free stuff. so I think that the

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landscape for us in terms of children, my concern

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is for those children only eligible for 15 hours.

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and for settings it's around. Are we going to be

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able to sustain these really, really high quality

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extra curricular activities and, and offerings

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that really you know, I know for you guys and for

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us part our forest school doesn't feel like an

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extra for us. It's part of who we are. You know

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it's, it's part of play steps. and, and I love

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that but, but actually it comes at a cost and my

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concern is if we have. I think we're going through

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a honeymoon period now. I think again I've heard

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this lots of times where families are saying oh my

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goodness, you know, I've got a five year old just

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gone to school. We had to wait till he was, till

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they were three to get any funding. You're now

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getting at nine months. We're so fortunate. And

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this new cohort of parents are thinking, thinking

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this is love, this is great. Something that you

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know, wasn't around last year, wasn't around the

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year before. I think fast forward that to three or

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four years time when all families know it's here,

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all families know it's coming. All families then

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have a I don't use this word word lightly. The

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government call this an entitlement. Now

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entitlement is a very, very strong word. I prefer

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eligibility eligible for. But a family coming

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families knowing that they're having children and

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they are entitled to free child care. Whether we

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will see a shift away from oh my goodness, this is

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phenomenal, this is great. I'm very grateful and

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yes I'm happy to pay us, you know what is in most

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cases a relatively small amount of money for this

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phenomenal service I'm getting and the shift's

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more towards now just give me whatever's free. and

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I think the other thing that we've, we've seen

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again in terms of operational differences for us

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is around for example we used to have a three day

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minimum. Now obviously we can't impose a three day

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minimum because it's takes the, it takes it the

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over the amount of funded hours available. So

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we've now had to go back to offering some two day

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places and our children are taking much longer to

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settle. We've really seen that this September.

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Children coming twice a week are taking a lot

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longer to settle. So there are all sorts of

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operational reasons why we had things in place.

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And this guidance come in and gone. Nope. Sweep

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that out you know, start again. you know, and, and

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you can't charge this and you can't charge that.

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And I think the other thing with the local

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authorities that really worries, worries me and

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you've got more experience with this than I have

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because we only have settings in one la. But I've

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worked with other providers across the country is

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that what they put in their agreements isn't

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necessarily what they then tell their providers at

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audit. So, you know, and the interpretations. I

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think I can give you one example of around, a part

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of the guidance that surrounds all children having

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equal access to a place. some local authorities

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will interpret that as being, you can't have any

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conditions on your places. So every child world

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has got the equal access to come. Others will say,

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well, that has to mean equal access to this, to

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this, the, the same sessions. So you can't have a

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session in, in the afternoon. That's just for, if

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you just want to use your free hours. Because

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that's not equal access for a family who are, who

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are, you know, paying for more hours. So the same,

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the same line, the same thing that we're all

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reading is being interpreted in ways that makes a

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massive difference to actually what settings in

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each LA can and can't deliver. So there has never

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been a level playing field in early years, but I

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believe that factor alone makes this such an

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uneven playing field for us. And for settings like

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yourselves, you've got, you know, you've got kind

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of, two or dual or multi las, that you're working

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with. You know, you may well find that something

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one LA says, yeah, that's absolutely fine,

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perfectly acceptable. The other one says, no,

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sorry, no, you can't do that. And that again, you

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know, is a massive struggle for providers and

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just, just, just takes that playing field and just

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rips up the surface.

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>> Clare: So Jen, is that something that, you know, between

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you and Rose, you're finding across your local

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authorities that discrepancy? I know, Jo, you've

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got an absolute ear to the ground across the whole

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of the country and are supporting huge amounts of

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providers, in negotiating with their local

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authorities what is allowed, what isn't allowed.

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But where are you at? Because I think you've

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recently had a funding audit, haven't you, Jack?

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>> Jen: Yeah, we've. So like I said, we work across

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different local authorities who are hugely

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different in their approaches to funding. We've

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got two that we don't really hear a huge amount

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for and just sort of let us get on with it. we've

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got One that is. And, has always been really,

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really supportive. We've had audits in the past,

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find no issues whatsoever. And then we've had one

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local authority where we've had brilliant

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relationship with them. We've been audited pretty

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April, no issues, no issues. And then suddenly

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we're finding ourselves locked in a bit of a

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battle with them because they're asking us to do

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things that we're finding really restrictive,

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which is then being passed on to parents. And

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we've actually just recently had an audit where

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they've had issues around kind of, parents who

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have flexible working and then sometimes want to

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pick children up earlier than, say, their planned

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session time. So we've essentially had to write to

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all parents in this local authority and say to you

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can't pick up until the end of the session. Which

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obviously feels a lot more school based and

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doesn't match those parents who are working

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flexibly, wanting to work from home. If you finish

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at 4 one day and want to pick up your child so

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they're not in Nursery until 6, why shouldn't you

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be allowed to do that? And I've been very clear

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with the parents that this directive hasn't come

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from us, it's come from the local authority. And

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we're really fortunate. We've had an amazing

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response from our parents who are quite rightly

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livid. Luckily not towards us, I think most of

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them towards the local authority. But it does feel

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now we're somewhat locked in a battle with a local

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authority that we'd had a really, really good

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relationship with before, had no complaints and in

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fact, I would frequently say in many groups that

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it had been our most supportive local authority.

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And now that's changed things for us, which also

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feels really difficult. We don't want to have a

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difficult relationship with the local authority.

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We want to feel supported. We've been chasing

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confirmation as we've had from our other local

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authorities. Right. This is our policy. Are, you

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thinking it's compliant? And they won't answer us.

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They say it's not our place, we don't know

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contractual law. And I said, but it's your

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contract, it's your provider agreement. You should

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be able to tell me now whether I'm compliant

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rather than waiting for an audit or rather than

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waiting for a parent complaint. as nurseries, we

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deserve to have that security. You've set the

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provider agreement, you tell me whether I'm

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compliant with it before I go out to with one

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policy to warn my parents and then have to change

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it a few weeks into term. And that's really

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frustrating, I can tell.

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>> Jo: You Jen, that is replicated across the country. We

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have had that so many times. Where in LA has said

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we're not here to advise you. Well actually what

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are you there for then? What are you retaining a

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percentage of this funding for? Why are you

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putting out a legally binding document? Those,

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those provider agreements are legally binding

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documents that you don't understand yourself. And

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I find local authorities, it's like a windscreen.

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They're either, they're either this side because

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they're very supportive and they want, and let's,

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let's face it, local authorities have a statutory

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duty to find childcare for every family that wants

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it. They need us more than they have ever needed

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us before. So some of them will say, look, you

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know what? Actually, you know, yes, that's fine.

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We think that's within the scope. Others will then

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don't understand it well enough to give advice and

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support. And I think what's also really

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frustrating and I think you've just touched on it

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there Jen, is to say that actually what a lot of

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LAs are saying is that, you know what, what? Yeah,

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it looks, it looks broadly. Okay, keep going. But

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the minute there's a parent complaint they will

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come down, they will take a sledgehammer to a nut.

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And it is because the local authorities after this

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case with in, in Bournemouth, ah, are terrified of

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the DfE and terrified of the ombudsman.

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>> Jen: Ombudsman.

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>> Jo: And that is the crux of this. Las are I do feel

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for las because I think they're in a difficult

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position. They've got providers saying what does

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this mean? They've got the DfE saying well, why

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have you let your providers do that? That I do

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feel that LAs are in a difficult position. But I

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100% agree. Jen, when you are putting out a

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statutory document that you are asking people to

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follow then you should understand that well enough

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to know what that means in, in your la. And I have

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heard that over and over again and I think again

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this, this thing about, you know, parental

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complaints. They, the, the, the parent who

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complained in the case of that went to the High

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Court, they referred to him as Mr. X. You only

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need to have one Mr. X in your local authority for

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your local authority authority to panic and knee

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jerk reaction and change everything and clamp

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down. And I've seen it time and time again and I

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think, yeah, and that's what they're doing.

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Absolutely.

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>> Jen: And I think the difficulty is the conversation I

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was Having with the local authority around this,

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this sort of compliance, I said. And he mentioned

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the, the Ombudsman. And I said, I am happy to talk

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to an ombudsman. I, I, I feel I can defend what

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we're doing and that I think we're compliant

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according to your provider agreement. So it's not

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me. I don't think that needs to argue with the

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Ombudsman. You need to tell me me if that's the

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case, because if we're having these conversations

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and you won't confirm whether I'm compliant or

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not, I'm going to assume I am. And I am very happy

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to tell an ombudsman that and that I have sought

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advice over and over and over again from

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yourselves. I'm not scared of talking to those

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people. But what we do deserve is some clarity on

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where the local authority would stand if there was

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a case that went that far.

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>> Jo: Yeah, absolutely, I said.

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>> Jen: And I said, if you can tell me why I'm not

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compliant, I'll happily look at this. But I do

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need to explicitly know why I'm, not compliant.

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And then they can't answer that because I don't

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think I am not compliant. So. But they just don't

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want to say it because they are terrified of being

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held accountable. But we are held accountable for

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so much, not just all the funding and the admin

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that goes alongside with that, but we are

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accountable to Ofsted, we're accountable to

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Riddle, we're accounted to so many different

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outside entities. Working in the early years is an

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absolute hazard, because at any moment something

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could trip you up completely out of your control.

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We're accountable all the time. And I don't think

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it's unreasonable that local authorities should be

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accountable for telling us whether or not we're

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compliant before it comes to an audit or a

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complaint. And we have got some that will do that.

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So it's frustrating that not all will.

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>> Clare: Jo, is that something that Early Years Voice are

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kind of picking up and trying to run, with in

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terms of that discrepancy across the local

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authorities? You talked right at the beginning

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about that kind of real challenge back to the DFE

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and the legal challenge. Can you give us a bit

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more detail about what's kind of going on behind

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the scenes or what we can kind of look for?

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>> Jo: Yeah, absolutely. So we have got, within

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earlier's, voice, we've got two solicitors who sit

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on the board with us. We've also got a, barrister

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that we have been, been, consulting, and the The.

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The answer, which I'm sure is not going to come as

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a surprise to anyone, is that it's def. It's tough

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to get legislation changed. It's very difficult.

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And the, the kind of. The kind of getting out of

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jail, if you like, for the government is that this

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funding doesn't. We don't have to offer it so they

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can put whatever rules they like into it and if we

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don't like it or we can't make it work, they say,

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well, then, just don't offer it. Now, we know that

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that at the moment that's business suicide,

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because if we're not offering it then, then

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parents will go and find, you know, a nursery that

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is understandably, they need that, you know, they

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want to utilise their funding. So I don't believe

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that. It's just an issue of, you know, and I think

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we, We've tried across the sector to sort of look

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at, you know, whether we do all pull out on the

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whole. And it just, just. It's not going to

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happen. Nurseries don't want to penalise their

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families, they don't want to risk their

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businesses. We're not going to see a national, a

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national pullout. we've also been campaigning with

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CNLF for over nine years now to remove the word

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free. I don't think free is going anywhere. It was

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introduced by Labour, it's been extended by the

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Conservatives and that extension has been

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supported by Labour. So I don't think the word

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free is going anywhere. So what we're actually

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looking at is more around the, the nuances of this

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legislation, this guidance. Because within the

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legislation, the Child care Act of 2006 and 16

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says that the child care, the hours must be free.

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There is an act of law that sits behind that

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guidance when it talks about charging for things

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like meals and, and things. There is no act of

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Parliament that sits behind that guidance. It's,

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it's, it's a. It's, an interpretation from the DFE

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and from the local authority that, that, you know,

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that child care must be free. But, but it doesn't

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cover. Again, we're back to this. What does it

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cover and what doesn't it. So what we're looking

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at is we are looking at individual local

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authorities and we are looking at challenging some

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of those that are being overly restrictive. So,

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for example, one of one local authority. I'm not

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sure if you're happy for me to mention them or

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not. So Kent put out an addendum. They didn't

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release A new provider agreement. In February,

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when this new guidance came out, they released an

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addendum that says, effectively, you as a provider

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in Kent, agree to. To, unilaterally accept any

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changes that we impose on you. Now, you know, that

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is. And our solicitor, our barrister, said, you

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know, that that isn't a contract that would stand

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up in any, in any other sector. Who on earth, as a

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business is going to accept a contract that says,

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right, if we decide tomorrow that you've got to

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wear a green hat to work, you know, and stand on

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your head and do your day on your. You know, it's.

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Again, it's almost laughable. and it's basically

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because. Because, Kent are a very, very strict

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local authority. They are very difficult. Maybe

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that's unkind. They are very rigid in their

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thinking. and they are very, very strict. And

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there are a couple of examples of local

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authorities that are like that. There are also

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examples of local authorities who really don't

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understand this well enough at all to issue

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anything at all. So they just go, well, we're not

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really sure. so what we are looking to do is to

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see if we can work towards getting the more rigid

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practise tax las. To. To change their agreements

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or to clarify, we're asking for clarification.

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Jen, you said this a few times and you're right.

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Just tell us what you want us to do, you know, and

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then we will work out within our. Within our own

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settings and our own groups whether we can

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actually do that or not. so we're looking at kind

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of targeting one or two settings, one or two local

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authorities that are being perhaps a bit

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overzealous and seeing if we can make some changes

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there. Because the local authorities do talk to

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each other, they do look at what they're doing.

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The DFE does have. Is supposed to have that kind

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of overarching control over local authority. So

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again, we've gone to the DFE and said, actually,

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can you tell us if the local authorities aren't

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willing to tell us, can you tell us, does this

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part of the legislation or guidance mean this? The

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DFE don't come back with that either. They just

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come back and tell us to read the guidance. So in

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terms of a legal challenge around the whole, you

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know, remove the word free, we know that that's a

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massive ask. And actually, if they change the.

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Some of the. Some of the. The, guidance around

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charging, we wouldn't necessarily need to have the

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word free removed. You know, I think. I think that

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the Two things that do the most damage for us as

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settings are the, the 15 and 30 hours. Because

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it's only 15 or 30 hours if it's term time only.

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The vast majority of Pvis in this country are not

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term time, only with 51 weeks or 48 weeks. So, so

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automatically it's not 30 hours or 15 hours a

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week. That's, that's a huge, a huge issue for us

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in this repeated explaining. and I think. So maybe

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the challenges are more so around better

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clarification, clearer guidance and clearer

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wording. Not for us as settings necessarily, but

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for parents as well. You know, a bit more

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openness, a bit more honesty about what actually

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are you providing. Because 30 hours free childcare

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sounds incredible. The reality is not that, that's

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not what it is. and then the other sort of thing

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to that is to look around. There is a piece of

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legislation within, within the, from the DFE that

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says that, that local authorities should be,

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should be treating their, their providers

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equitably so fairly and, you know, as much as

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possible in the same way. And we've seen over and

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over and Jen, you've seen it, we've talked about

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it today that local authorities are not treating

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their providers equitably. We've also got, we've

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also got within some las where child might minders

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are being given slightly different rules to, to

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PVIs or there's a bit more flexibility for

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settings. So for example, one of the biggest

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things there is that from the DFE is that if

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you're a childminder or a setting with less than

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10 children, you don't have to publish your your

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fees, your additional service charge, you don't

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have to itemise your invoices. If you have more

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than 10 children, you do. That's not fair, that's

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not equitable. So there is, there are pieces of,

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there are smaller pieces that the big overall

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legislation around free child care. I don't think

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we're going to see that budged. But the smaller

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things around, you know, around you know, charging

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and, and if we could just, if we could make these

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charges, for the additional services, make them,

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make them mandatory. So we're saying to families,

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look, you know, these are the costs of coming to

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have a place with us here. We're very clear about

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what they are. Are you willing to pay them? Yes.

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If you're not willing to pay them, this is maybe

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isn't a setting for you. Now what that will do is

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that will mean that market, market forces Keep

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those additional services fees competitive. We're

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not going to start Suddenly start charging 55

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pounds for lunch just because we can. We're going

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to be going right, okay. We are, we are in the PVI

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sectors particularly. We are businesses that are

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in competition with our local, our local settings.

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We might be very friendly with them and in lots of

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cases we are. And one thing I will say is that

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this, this funding, and this especially this

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newest funding from, from the February 21st

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guidance has bought providers, providers together.

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We are now seeing local groups being established.

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We are seeing providers talking to each other and

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saying, well actually I'm struggling with this.

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Are you struggling with this? And I think what

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CNLF has done over, the last few years is it's

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brought the country's providers together. I think,

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you know, we may have had a provider in Liverpool

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who was struggling and one in Nottingham and one

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in, you know, one in Swindon and one in London,

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but we were all kind of struggling on our own. And

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then suddenly CNL says, actually, you know, we're

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all having these struggles. So I do think that as

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a sector, we have, we are more united now than I

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think we have been. But there are still big

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variances within the sector. and, and you know,

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there are sets, there are some settings that, that

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can and do offer these hours and everything that's

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included with no charges. There are other settings

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that say I wouldn't be here. I can't survive doing

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that, you know, because we're private businesses

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with massively different cost basis. So I think

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that, I think that overall, yeah, it's, it's

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challenging. And I don't know what the, I don't

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know what the absolute definitive answer would be.

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I think it's a combination of a few smaller bits

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of legislation or guidance being, being adapted.

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But certainly what ah, what Earlier's voice is

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calling for is we've actually just put, we've put

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in place now a petition and I know that people

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say, oh, another petition. unfortunately the way

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that the the, the democracy works in this country

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is that in order to get anything actually debated

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within Parliament, you either have to have a very

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sympathetic MP who will raise it for you, or you

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have to have a petition that means that they have

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to, they have to respond and discuss it. So our

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petition is calling for an independent review into

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the costs of child care and and the, the funding

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levels and some kind of commitment that that

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funding will raise year on year, within some

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scale, I don't know. And I'm not An economics

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expert. I don't know what the best scale of

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comparison that that would be. I would say a good

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starting point would be whatever percentage

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minimum wage goes up by the funding should be

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going up by at least that if not a little bit

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more. We know that funding doesn't keep pace. In

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Swindon we didn't have an increase in funding for

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seven years until, until very, very recently. So

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you know that's a real term decrease in funding

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year on year. At the moment what earlier's voices

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are ah calling for is that we were promised within

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the 2015 when this new, when the 30 hours was

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being introduced within the draught memorandum was

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a requirement for the Secretary of State to order

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an independent review and that was then taken out

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in the actual legislation never happened. And we

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are calling to have that review. We've got

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Frontier Economics who are publishing documents

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saying this funding doesn't cover the cost. I

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don't know how much else we can do to show that

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the funding, particularly the three and four year

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old funding feeling, you know it's at the moment

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the baby rates are workable for most settings, not

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all but most settings the two year old rates are,

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are manageable. They're workable. The three and

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four year old rates fall off of a cliff. And my

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concern is that if we don't do something now

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around I don't know what the, what the correct

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amount of funding is. I don't think there is one

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figure because all of our cost bases are so

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different. We have two settings in the same town

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and our costs for RA rent and utilities are vastly

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different in and they're five minutes away. So I

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don't think you can say funding should be X amount

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per hour. I don't think that's the way it needs to

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work. What it needs to be is saying we are the

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government are going to put this into the setting

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for the hours. The setting can then make the

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charges that they need to make for the extra

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things that they're providing. So that's probably

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the kind of the biggest win I think that we can

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kind of hope for because as I said before, you

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know challenging legislation is very, very

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difficult. We also however saw with COVID that a

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stroke of a pen legislation can be changed so it's

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doable. But there has to be the drive, the

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motivation, the need, the want from a lot of

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people within government to do that. And at the

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moment that's just not there.

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>> Clare: Jay, we know that you're working tirelessly and

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have been for so many years. So thank you for kind

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of summarising up everything that you're currently

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working on. and I think, you know, a bit like you,

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we, we've spent so many years, haven't we, trying

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to find ways around the legislation because like

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you, we don't believe that it's going to change.

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But actually, how do we hold on to what we know

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we're delivering is best quality? What we know

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we're delivering is right for the children and

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families within our areas. But actually, you know,

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within Bath and North East Somerset, we have a

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funding rate of £5 and 60, £5.63 and our actual

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cost of delivery is £8 and 95 pence. The two don't

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add up. If we want to continue to work in the way

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in which we believe is right for children with,

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you know, whether that's enhanced ratios, whether

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that's, we know our creative practises, whether

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it's your forest school, whether it's, you know,

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anything and everything that sits above that early

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years foundation stage, provision. And how do we

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continue to fight that? Because actually the

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sustainability is not just there from financial

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perspective, is it? But it's really, really,

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really exhausting to continually fight and battle

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what actually should be seen as an investment for

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our children and for our families to be able to

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return to work safely in the knowledge that their

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children are cared for in a way that they're

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choosing.

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>> Jen: And I think it's a battle none of us really want

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to be having. I don't think anybody here got into

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child care to try and battle with local

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authorities over funding and money. All of this is

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detracting from what we actually want to be

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focused on, which is just making things better for

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children, providing a lovely experience for

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children. And we're having to do that whilst we're

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fighting these battles. And it is absolutely

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exhausting, particularly if you're kind of a

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standalone provider. I think that is so difficult.

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You're trying to be everything for everyone all at

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once. And then this added burden, not just of the

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admin but also of trying to fight the battle is so

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much. And that's why it is sometimes hard. It's

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brilliant that people are coming together, but it

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is sometimes hard to get the earliest sector to

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unite because it's just, just too much for some

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people, trying to be everything to everybody.

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>> Alison: I think also you don't know what's around the

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corner in terms of keeping your business

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sustainable. So, okay, there's 15 and 30 hours at

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the moment, but there are rumblings that it's Such

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a huge bill for the government that are they going

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to be able to continue with it? So they could

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possibly start looking at the threshold at which

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parents are eligible for 30 hours. So at the

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moment it's 100,000 per person. We don't know that

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that will actually continue because it's such a

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lot of money for the government. So if they did

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reduce that threshold and made it, for example,

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100,000 for total income, that could then

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seriously impact on settings as to how many people

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were taking up, up the full entitlement. So once

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again, you don't really know with early years

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what's around the corner, especially now that so

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much of your income, possibly, I don't know, 70,

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80% of it is driven by funding. And that's quite a

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big concern as well, that if they, if the

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government doesn't get this right, whether it's

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additional charges or whatever, then every, every

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year at least brings another challenge of right,

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how are we going to get around this? How do we

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maintain our staffing levels? How do we maintain

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an income level? Because why shouldn't you

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maintain an income level? It's a business, you

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know, you should be able. They've sort of imposed

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this on us and I do understand we don't have to

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take the funding, but we also, we're not stupid.

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If we don't take the funding, there's not enough

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rich parents around who will just say, oh, I'll

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come to you anyway, that's very niche. So, you

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know, it's, I feel really sorry for the people I

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know who are standalone providers who have to do

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it all themselves. And you read the chat,

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especially like on local NDNA groups and so on,

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and it's really quite sad. They've had their

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businesses 25, 30 years and they're not enjoying

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it at the moment because every day is like, I'm

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stressed out and I've had too much that.

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>> Jo: So I think you're absolutely right and I think, of

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course we've now got this, we've now got the

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Labour government drive to get children of. And

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it's not, this isn't political because the

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Conservatives wouldn't be any different but you

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know, trying to get children of three into schools

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and saying that school is the best possible start

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for children, in fact two year olds in schools.

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So, you know, we're now in this, in this battle

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of, now trying to kind of keep hold of our three

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year olds, but actually what we're doing is trying

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to keep hold of our three year olds on A rate that

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is ridiculous. So I think it's just that there is

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so much. And I think again, what I believe is that

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we'll start seeing is that as the government

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realises there's not enough provision in schools

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because there isn't enough provision in schools.

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And, they could not build enough porter cabins

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quickly enough to house all of the three year olds

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in the country. So what we're going to start to

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see now is we'll start seeing the media. The tide

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will turn. We'll start to get these articles about

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how good the PVI sector is and how great we are

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and, you know, and then you'll start to see some,

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some m. Things coming out about, you know, a

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dangerous occurrence has happened in a school and

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it's all this, it's all this media kind of spin

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that basically starts to sort of turn the tide

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because the government go, actually, we're going

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to get you all into schools. Oh, no, we can't do

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that. So we need to put you in PVIs. But we told

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parents that PVIs aren't that great and that they

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should be in school. So now we need to make sure

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that school doesn't look that great. So pvrs and

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it's a political early age is a political

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football. And I think we've, we've had our remit,

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sort of manipulated, over the years. Anything at

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all that seems. Anything about outcomes for

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children. We are early education. Anything about

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getting parents back into work, we are childcare.

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And that in itself brings problems. Problems.

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Because actually we know, we do both, you know,

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but actually what you. Child care does bring more

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of that kind of, oh, you need just sit and play

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all day now. Absolutely. We know that we don't do

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that. We do sit and play, but it's not play. Play

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is. I, I don't need to tell you guys that, you

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know, early education is, is. Is and childcare

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sound like they're, they're different things. Now.

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We know they're not. They sit very comfortably

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together. But that in itself, it's been so

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frustrating having had that really, really. The

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concerted drive around, driving up standards in

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the sector and becoming early education now. Oh,

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yeah, now your child care again now. Because

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that's what suits at the moment. Wait until we

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find out now that our children are, are, you know,

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having a. Having, you know, having low income.

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Love outcomes. Sorry. In things like maths and

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English. Oh, suddenly we'll be early education

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again. And that's, that's. We've got to fix that

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as well. You Know, so it really is in the early

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years we are, we are a political football and,

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and, and the people that, that suffer as a result

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of that are the providers and the children that

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are within that you know, mess. Kind of like what

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are we doing? You know, what are we this month,

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what are we now? And I think that's been, that's

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been really disheartening for me that actually,

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you know, the government could have changed that

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so easily by, by, by packaging this up as, as 30

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hours of early education. But they've gone with

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childcare because from a parent point of view

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that's a bit more emotive, it's a bit more, you

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know, I want my baby cared for, not educated.

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Well, we know we can do better both and we do do

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both. you know, but I think that this, this

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constant manipulation of our remit and, and of you

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know, pitting PVI against, against schools, it's

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all designed to basically fit a political

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narrative that when that changes then that the

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narrative will change and the media will change

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and the, the whole feeling around it will change

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and, and we'll be again, as you say Jen, we'll be

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expected to go with, go with that change and keep

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up with that change again.

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>> Clare: I think it's incredibly difficult it, because we

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know that we have so many families that are

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struggling and so many families actually really do

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want to and need to and have a right to access

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their funding. But we also have then another,

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another sector, don't we? We've got our funders

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who are accessing universal credit. And where are

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they going to go now? Where we've heard the

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Department for Work and Pensions are not going to

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reimburse parents for those optional actions

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extras. So it's a further, further challenge in

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terms of what that political narrative is really

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going to look like for our most vulnerable

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children. Because actually these 30 hours that

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we're talking about are for working families.

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They're for families that are already earning

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anything under a hundred thousand pounds per

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person, if it's within a two family or two

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parental household or up to a hundred thousand

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pounds in a single parent household. But we also

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don't have that same level for the funding for our

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disadvantaged, children. And now any of those

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working families who are also using universal

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credit are going to be further penalised and

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disadvantaged. Have you found that in your setting

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so far, Jo? I don't know how you're kind of

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looking in terms of your demographic, Jen. I know

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you and Raise have several families, within Many

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demographics that are probably facing that

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challenge.

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>> Jo: We haven't seen that so much at the moment. We do

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have some families that access funding and

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universal credit. It, and at the moment we haven't

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had that issue. But I know that lots of settings

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have and what some settings are now doing is

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producing two invoices. One that is compliant for

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the local authority and one that is just a lump

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sum invoice that is going off to Universe Credit

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Payments. again, if I was being cynical, which I

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am, I would say that actually by squeezing and by,

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by, by a government department saying we're not

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paying for these additional services, if parents

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offer to have them, they are trying again to, to

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put another barrier in settings where even

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charging additional services, you know. So I think

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it's. Again, I think it is political. It's the DWP

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supporting the, the the DFE in terms of, well,

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actually if we won't pay for it then settings

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can't charge it. So I think we haven't seen that

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yet. But, but we know it's coming and we have, we

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have on one occasion had a parent who actually

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just said to me, I'm not, I don't want to claim

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any funding for me. I just wanted you to give me a

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receipt that is the full value of what my child

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costs and I will then claim, claim my 85 from

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Universal Credit. So whether or not that will

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become more of a trend and again whether or not

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that will then change, that actually says if a

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family is eligible for funding that they must

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claim it. The DWP through, through universal

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credit won't pay a full bill anymore because the

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family is eligible for funding. Who knows? As you

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say, Rosemary, the only consistency in early years

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is, is, is inconsistency and change. so who knows?

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But I think, yeah, when, when, when you, when you

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have a family who are saying, actually I don't

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want to claim this funding because, because I'm

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better off claiming universal credit, something

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has gone very wrong in the system that actually

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something that is designed to really help support

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working families, isn't it is a.

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>> Alison: Really big concern that you're producing two

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invoices. It's because at the end of the day.

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Right, does that mean you're compliant? I can see

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the point of doing that, but I don't like the idea

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of producing two. It's a bit like having two

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registers or anything else. It's confusing and

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could trip you up. I'd rather just do something.

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>> Jen: It feels like you're trying to cover something up.

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I think you don't want to feel like you're

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covering anything up. And again, Jo's echoed it.

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It's completely different. So we have seen only

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one area, where universal credit has become an

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issue. In most of our nurseries and for most of

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our universal credit families, it hasn't. Nothing

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changed. And that's great. It might, obviously, in

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the future, but in one area it has changed and

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they won't pay it. And we've gone sort of back and

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forth on what we can do. We have had one family

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that have decided to opt out of the funding and

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see how that goes. But we have sort of forewarned

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that to the families by saying we're not sure that

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they. Just like you said, Jo, that they won't say,

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why aren't you taking your funding when you

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should? we haven't quite entirely figured out what

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we're going to do with that yet because we, we

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haven't been producing second invoices because,

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again, I don't want anything that's going to sort

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of come back on us and be like, why are you doing

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this? This isn't compliant. If you. It all just

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feels a little like, you're trying to help the

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families, but you don't want to get yourself in a

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sticky situation where someone could come in and

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question you over what you're doing. You do want

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to be completely compliant. You want to make sure

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that you're doing everything by the book. You

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know, we're not trying to trick anyone, we're not

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trying to do anyone dirty. We're just trying to

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run in the way that we've always run.

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>> Clare: I think it's really, really fair to say, though,

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isn't it? You know, that's the same for the

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majority of our settings. We want to be compliant,

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we want to be transparent with families. but it's

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just a really, really tricky situation when you've

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got families who are making, you know, their claim

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for their funding. We're processing that claim on

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their behalf. All of a sudden you're finding

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yourself for audit with families that might be

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picking up at 5 to 5, and then all of a sudden

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you're having a claim back for that last hour of

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the day when actually your staffing costs have

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remained the same. You know, your electricity and

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heating costs have remained the same. Everything

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else, in terms of your overheads have remained the

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same. So where does that line sit and fit? And, I

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think it's not just now for providers to be really

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asking for that clarity, is it it's also for the

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parents because there's going to be so much ahead

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of us. And I think, Jo, you know, you really

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talked about that earlier when you were looking

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about that clarification from earlier's voice and

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what we really need. Is there a way that we can

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get parents and providers working together to make

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that ah, happen for government more, do you think?

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>> Jo: I think putting out things onto your local, you

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know, your nursery, social media, if you have it,

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or sending them out, you know, via your kind of,

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your communication systems to really explain

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what's happening is key. I think most parents,

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when we actually sit down and have those

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conversations, they do understand. And I think

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your point about, about the clawback, which is

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the, where like las can reclaim funding, the

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biggest, I mean if it wasn't so serious, it would

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be funny. What the government are crying out for

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and offering is flexible, flexible child care. And

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then when you try and be flexible by saying if you

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can come and pick him up an hour early, they go,

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no, well if you do that, we're going to take that,

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that hour back. But we don't know you're going to

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pick up early every day so we're gonna have to

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claim it and then we're gonna give you ability. I

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mean it's just it, as I say, if it wasn't so

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serious, it would be laughable. you know, and I

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think that in terms of what we can do to try to

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bring parents together, I think is to explain

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things like that. And I think your letter, Jen,

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where you said, actually I'm really sorry but you

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can't pick up your child earlier. If you're using

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funding and you're, and you're funded until 6 o',

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clock, you can't pick them up earlier. I have one

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sitting in Leicestershire that was actually

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charging an early collection fee.

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>> Jen: Oh, we thought about it.

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>> Jo: I mean it's just, it's just, it's absurd. Not the

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setting, the situation, you know, to actually say

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to a family if you want to come and pick up your

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child and have a couple of hours with them because

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you finished work early, it's going to cost you

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£15. I mean it's absurd. But that's where we are

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because we have to protect ourselves from this

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clawback, you know. So I think in terms of when

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you, when I think using something like that as an

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example to say to parents, this is why we would

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ask you, urge you to contact your, your, your mp,

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to follow the earliest groups online and look at

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what's going on, on to sign these petitions into,

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into independent, you know, reviews of funding.

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This isn't just to benefit providers, this is to

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benefit parents because providers wouldn't have to

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tie themselves in knots and jump through these

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hoops and put these knots and hoops onto parents

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if the, if the government was clearer, if the

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thing, if the some of this guidance was relaxed.

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So I think, I think trying but, but I also

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understand when you've got a busy parent and it's

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pick up and it's five o' clock and they just want

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to get home and you're going, oh, could you write

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to your MP for me please? You know, they're kind

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of going, I really sympathise and it must be

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really difficult for you, but I've got bath time

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and bedtime, you know, so I think maybe, maybe

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it's about. Some settings are producing, you know,

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like I said, a pro forma that parents could then

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forward to their MP sort of on their behalf to

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show that sort of parent voice. Because ultimately

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this is about a better deal for everyone in this

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sector and that absolutely includes parents.

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Parents. So I think the more that we can kind of

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tell our parents, you know, drip feed these

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messages, it also helps them to understand why

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we're putting these charges in. Why it's not all

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as, as, you know, as glamorous as it sounds. I

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think it's, it's a very. Getting change is a very,

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very slow process and it's frustrating and it's

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painful and it's, it's very easy to think, oh,

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it's just easier not to, not to bother. But I

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think if we, if we all stop bothering then, then

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the DfE does then just have a complete car blanche

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to do as it feels. So, you know, provider and

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parent power. Parent power is probably stronger

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than provider power only in that there are more

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parents than providers. What that means there are,

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there are more electorate within the parents, you

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know, parent power than there are within provider

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power. So parents I think have got a vital role to

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play in this and on the, on, on the whole, I

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believe do want to support their settings. So the

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more that we can do to kind of get them on board

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and make it as easy as possible, possible for them

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to have things maybe to present to their mp also.

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>> Alison: Where does the money go that they claw back?

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That's what I want to know.

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>> Jo: It goes back into a, in most local authorities it

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would all be dealt with via schools forum, but in

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most local authorities it comes back into a sort

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of almost like a slush pot and then that pot is

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then divvied out at schools forum. And I can tell

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you in 99.9% of cases that that goes towards the

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high needs block.

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>> Alison: Exactly.

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>> Jo: Which is always overspent.

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>> Alison: Exactly.

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>> Jo: So early years funding has not ringed. So it's, it

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goes back into this and, and again some local

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authorities don't have an early years rep on their

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schools forum. So there is, there might be some

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head teachers that have got school based nurseries

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but there aren't, there is not on every school's

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forum an early years representative fighting for

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that money to stay within, within the early years

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block. And as I say it generally ends up in the

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high needs block.

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>> Clare: We first met really when we were campaigning for

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two whole pence at schools forum and it felt

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absolutely ridiculous list at ah, that really kind

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of championing the early years sector and what we

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were talking about was 2 pence and I think it's

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just, it's just so hard that all of these years

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later we're still fighting the same battles to

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have a fairer funding and to have parents not Ms.

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Sold and to actually have the information. I loved

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that you created what was it, a 19 million pound

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PR campaign campaign, you know that would have

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been so much better spent actually really, truly

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informing parents this is what we can really

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afford and then this is what you could really have

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for it. And maybe rather than going for 30 hours

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funded, you know, let's look at 20, let's look at

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actually what it really could have cost to deliver

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and what we should have actually been able to

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offer. It feels a really tough place to be. So for

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providers. Jo, you've shared your thoughts about

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what our parents should be doing in terms of being

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able to support their providers. But where do we

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stand with our providers and our provider

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agreements? Are there any top tips that we can put

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out to our listeners?

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>> Jo: Honestly the most. The top tip is read it. You'd

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be surprised at the amount of people that don't

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necessarily read their agreement. What I would

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suggest is that everyone gets a copy of the

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statutory guidance and a copy of their provider

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agreement and go through it line by line and look

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at anything in your language, local authority

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guidance that isn't, isn't in the statute

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guidance. Because if your local authority has put

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something into its guidance then there's a reason

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it's done that. So LA's can put whatever they like

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in their guidance. So for example, one example I

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used to give was an example of a local authority

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that had a very high rate of teenage pregnancy,

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they put into their provider agreement that

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children, that families that were under the nurse

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partnership, practise, which is a service for

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young, young families, would have priority

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placements and could be funded out of a, now non

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existent plot when they might not otherwise be

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eligible. So there are things that, in local

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authorities agreements that do make sense that are

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specific to that la. And if you're, and you can

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understand the reasons for it, other local

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authorities will just put things in there because

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they don't understand it enough, we've said this

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before, or because they feel they've had one case,

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one concern, one complaint raised from a parent.

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So in it goes to the next agreement. So top, top

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tip is to know where your local authority guidance

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differs from the statutory guidance. Ask the

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questions about why. Why does it vary? I think

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there, there was a drive to sign it under, under

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duress. some local authorities refused to accept

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contracts, agreements that were signed under,

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under duress. ultimately if you sign your provider

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agreement you are, you are agreeing, agreeing to

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adhere to its rules. So understand what you are

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signing. I think is, is absolutely critical and

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don't be afraid to go to your la and if necessary

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to the DfE to say, actually I want to know why

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this is in this agreement. And as you quite

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rightly said, Jen, if local authorities cannot,

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cannot explain and understand and interpret their

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own document, then then that is something that

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needs to be seriously looked at. Again, that

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should be going to the DfE.

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>> Clare: Brilliant advice. Thank you, Jo. And I think, you

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know, so, so many points for discussion points for

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debate points in terms of seeking clarity. So I

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just need to say a huge thank you to everybody for

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joining us. I think Jo, you've opened up and

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shared so many of the points that as providers

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we're looking for clarity, we're looking for

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discussion. it was really, really useful to have

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you share all of the information from earlier's

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voice. so thank you so much on behalf of all of

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the providers for what you and the team are doing

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in terms of continuing to campaign. To Jen and to

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Rose, thank you for everything that you do to

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continue to champion the local authorities and

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make sure that everything that's happening is fair

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and transparent, for everybody, on everybody's

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behalf. But just a huge thank you from us at

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Atelier Talks for your time and for joining us

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today.

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>> Jo: Thanks for hosting. Clare.

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>> Clare: Thank you for joining us for Atelier Talks. If you

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enjoyed this episode, don't forget to subscribe

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share and leave us a review. It really helps us to

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reach more educators, parents and early years

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professionals just like you. For more insights

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into our unique research led approach or to find

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out more about our services at both the nursery or

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the collection consultancy and how we can help you

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in your early years practise, visit our website or

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follow us on social media. All the details you

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need to find us are in the show notes. In the

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meantime, it's goodbye from us. Thank you for

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joining us. We look forward to seeing you next

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time for another episode of Atelier Talks. Thanks

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for listening.

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>> Jen: SA.

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About the Podcast

Atelier Talks
A podcast for educators by educators. Exploring child-led learning. Unpacking the magic of outstanding Early Years practice at Atelier. Nursery.
Atelier Talks is a podcast for educators who want to deepen their understanding of outstanding Early Years education. Hosted by the expert team behind the award-winning Atelier Nursery, join Clare, Beth, Lauren and Laura to explore the magic of Atelier, unpacking their real-life Early Years practice rooted in Reggio Emilia, Froebelian principles, and child-led learning.

From free-flow and mixed-age provision to creating inspiring learning environments, each episode offers valuable insights to support child development, professional growth, and Early Years practice. Whether you're a nursery practitioner, manager, consultant, or parent curious about progressive Early Years approaches, you'll find inspiration and practical strategies to apply in your own setting.

Step inside a truly unique nursery with the most passionate team you'll ever meet - and discover how principles become practice, where children thrive and educators grow.

This is the podcast that puts principles into practice and brings research to life, to hit subscribe and come and discover the fine line between chaos and cosmos that defines the outstanding Early Years practice at Atelier Nursery.

Atelier Talks is a Decibelle Creative original podcast.