Funded childcare hours explained (for childminders)
How the free childcare offers work for childminders — the 15 and 30 hour schemes, eligibility codes, headcount, term-time versus stretched, and what you can (and can't) charge on top.
7 min read
What 'funded hours' actually means
Funded childcare — often called the 'free hours' — is government money that pays for a set number of a child's childcare hours. As a registered childminder you can offer it and claim the funding back from your local authority (in England) or the equivalent body in your nation.
The important thing to understand: funded hours are not extra money on top of your normal fees. They replace your fee for those hours, and you're paid at your area's funding rate — which is usually lower than your private hourly rate. The place is free to the parent up to the funded amount.
The main offers (England)
England has expanded funded childcare a lot in recent years. As of 2026 the offers are, broadly: a universal 15 hours for every 3- and 4-year-old; 30 hours for 3- and 4-year-olds whose parents both work and meet the earnings rules; funded hours for younger children (from 9 months) of working parents, phased in up to September 2025; and targeted places for some 2-year-olds, mainly from lower-income families.
Offers, ages, hours and earnings thresholds change most years — and Scotland, Wales and Northern Ireland run their own schemes entirely. Always check the current rules for your nation before you promise a parent anything: gov.uk and Childcare Choices for England.
Tip: Never quote a parent exact hours or dates from memory — the rules shift year to year. Check the current offer, then confirm it in writing.
Hours per week, and 'stretching'
The headline figure (15 or 30 hours) is normally quoted as a weekly amount across 38 term-time weeks. A family can take it that way — say 15 hours a week, term time only.
Or you can 'stretch' it: spread the annual total across all the weeks you're open, so fewer funded hours land each week but the child is covered all year round. Stretching suits childminders, because most of us work through the holidays.
Tip: To stretch, work from the annual total — e.g. 15 hours x 38 weeks = 570 hours a year — and divide by the weeks you actually open. Don't just offer 15 hours every week or you'll over-deliver and lose money.
Eligibility codes and reconfirmation
For the working-parent offers, the parent applies through the government childcare service and gets an eligibility code. You validate that code with your local authority before the funded place starts, and again each term.
Parents have to reconfirm their eligibility roughly every three months. If they miss it, the code can lapse and the funding stops — which can leave you delivering hours you can't claim for. Keep a note of each child's code and their next reconfirmation date, and remind them early.
Headcount and getting paid
Local authorities pay on a headcount (sometimes called a census) — a set date each term when they count the children actually attending. You submit a claim with each child's hours and code, and you're paid a termly sum, sometimes with an advance payment first.
Exact dates, forms and portals vary by authority, so check yours and diarise the headcount date — miss it and your claim can be delayed a whole term.
What you can and can’t charge for
The funded hours themselves must be genuinely free to the parent. You can't charge a 'top-up' to cover the gap between the funding rate and your normal rate, and you can't make the funded place conditional on the parent also buying extra paid hours.
You can charge, as clearly optional and itemised extras: meals and snacks, nappies and consumables, and additional activities like trips. You can also charge your normal rate for any hours beyond the funded amount. The key is transparency — a parent should always be able to see what's funded (£0) and what's a genuine extra.
Tip: Put funded hours on the invoice at £0.00 and list any extras as separate lines. It keeps you compliant and heads off the 'am I being charged for my free hours?' question.
How MinderHQ handles it
MinderHQ keeps a card per child per term: it stores the eligibility code and reconfirmation date with amber and red reminders before it lapses, flags your headcount dates, and tracks hours as pending, confirmed or claimed.
Its invoices show funded hours at £0.00 with extras itemised separately, and there's a one-click CSV export for your local authority. It applies the right rules for England, Scotland, Wales or Northern Ireland — so you're not translating the guidance yourself. The first month is free at minderhq.co.uk, no card needed.
Quick answers
Can I charge parents a top-up for funded hours?
No. The funded hours must be free to the parent, and you can't charge to bridge the gap between the funding rate and your usual fee. You can charge separately for genuinely optional extras like meals, nappies and trips, and for any hours beyond the funded amount at your normal rate.
What are stretched funded hours?
Instead of using all the weekly funded hours in term time only, you spread the annual total across all the weeks you're open. Fewer funded hours land each week, but the child is covered all year — which suits childminders who work through the holidays.
Do the funded offers work the same across the UK?
No. England, Scotland, Wales and Northern Ireland each run their own funded-childcare schemes with different hours, ages and rules — for example Scotland funds 1,140 hours a year. Always check the current rules for your nation.
What happens if a parent's eligibility code lapses?
The funding for the working-parent offers can stop from the point the code expires. Parents must reconfirm roughly every three months, so keep each child’s reconfirmation date and remind them early — otherwise you may deliver hours you can’t claim for.