All early years providers who are eligible to receive early years funded entitlement are eligible to receive DAF payments.
DAF is payable as an annual one-off payment and is not pro-rated according to hours taken up. Early years providers receive £910 per eligible child.
If a child has two or more settings
If a child eligible for DAF is splitting their funded entitlement across two or more settings, parents must nominate one setting to receive DAF. The local authority will then pay DAF for the child to that nominated setting.
The local authority can only pay one setting but two settings can have a private arrangement to share funding with the parents’ consent. Funding must not be given to the parent to give to the setting that has not been paid.
If a child moves setting
If a child receiving DAF moves from one setting to another, the new setting is not eligible to receive DAF for this child until the anniversary of the first payment has passed. DAF payments received by the original setting will not be recouped.
Where children are still eligible for DAF, providers can claim a second payment when the anniversary of the first DAF payment has passed.
If a child attends a setting in a different local authority
In cases where a child who lives in one local authority attends a setting in another local authority, DAF eligibility checking and funding for the child is the responsibility of the local authority in which the setting is based.