2 year old - Working family funding
How it works
The working family funding is designed to assist working families with the costs associated with early education and childcare for their little ones. The funding is intended to ensure that children receive a strong foundation for their development and prepare them for school. This funding covers a range of approved childcare providers, including nurseries, childminders, and pre-schools.
From September 2025, working family funding for 2 year olds will increase to 1,140 hours of childcare, and can be claimed from the term after the child turns 2 years old. This equates to 30 hours funding per week over the school year (38 weeks). However, the funding offers complete flexibility, allowing you to access the 1,140 hours over anything from 38 to 52 weeks. Different providers offer different options on how funded hours are distributed throughout the year.
Are you eligible?
To determine if you are eligible for the working family funding, consider the criteria. Over the next 3 months you and your partner (if you have one) must each expect to earn at least National Minimum Wage or Living Wage for 16 hours a week on average.
You can earn up to £100,000 adjusted net income per year and be eligible. If you or your partner have an expected adjusted net income over £100,000 in the current tax year, you will not be eligible.
To be eligible for free childcare, you (and your partner if you have one and they live with you) must have a National Insurance number. The person who applies must also have:
- British or Irish citizenship.
- settled or pre-settled status, or you have applied and you’re waiting for a decision.
- permission to access public funds - your UK residence card will tell you if you cannot do this.
If eligible, you will be given an 11 digit eligibility code beginning with 50.
For more information and full criteria please go to the Government website and Childcare Choices website.
When to apply
| When your child turns 2 | When to apply for working family funding | When your child can start using working family funding |
|---|---|---|
| Between 1 January and 31 March | Between 1 January and 31 March | 1 April (Summer term) |
| Between 1 April and 31 August | Between 1 April and 31 August | 1 September (Autumn term) |
| Between 1 September and 31 December | Between 1 September and 31 December | 1 January (Spring term) |
Important to know
You have the freedom to use your child's 30 hours with up to 3 childcare providers (with a maximum of 2 providers on the same day). This enables you to mix and match providers based on your preferences, ensuring the best fit for your family's needs.
Keep in mind that the eligibility codes will need to be reconfirmed every 3 months. Stay informed about any renewal requirements to continue receiving support. You may also fall in and out of eligibility depending on if your working status changes. This means you may lose the funded hours.
How to apply
For working family funding, please apply via the gov.uk website using the link. It shouldn’t take long to apply. You may find out if you are eligible straight away, but it can take up to 7 days. Once your application has been approved, you will get an 11 digit eligibility code for funded childcare to give to your childcare provider.