School-based Nursery Capital Funding

Last year the Department for Education delivered the first round of the School-Based Nursery Capital Grant scheme, with 300 schools awarded a total of £37 million for the 2024-2025 funding round.

The School-Based Nursery Capital Grant offered eligible primary schools up to £150,000 to convert surplus space into nursery facilities. This initiative supported the government’s commitment to provide 30 hours per week of government-funded childcare and early education to working parents, addressing the uneven distribution of early years provision where disadvantaged areas often receive the least support.

The government confirmed that the next round of the scheme will be in autumn 2025. With over £2 billion extra investment going into the early years sector over the coming years to assist with the funding.

New Front Entrace - Beaconsfield High School - M+C

While the 2024-2025 application window has closed, Schools that registered their interest but were not successful in the last round, or those considering this opportunity for the first time, should prepare for the future funding round. The government has set a deadline for applications to be set in December 2025.

Potential benefits include:

Increased accessibility to nursery places.

Smoother transitions between nursery and primary education

More equitable distribution of early years provision across the country

Enhanced community-based childcare options

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Expert Help From Design to Build

In the last round of bids M&C helped several schools secure their bid for the scheme.

At Munday & Cramer, we understand that securing capital funding requires thorough preparation and compelling applications. Our team of education specialists and bid writing professionals can support your school through:

Strategic Planning

Helping you assess your school’s readiness and potential for nursery expansion.

Business Case Development

Creating well-evidenced proposals that demonstrate need and viability.

Application Support

Guiding you through the application process when future rounds open.

Project Planning

Supporting the implementation of successful bids

FAQ’S

Who can apply for the funding?

State-funded primary-phase schools that currently provide some early education, like a reception class, are eligible to apply for grant support. Projects must make advantage of any available space in the school, including primary-phase satellite locations.

Since maintained nursery schools and special schools lack the extra space provided by declining primary school enrolment, they are not eligible to apply for this funding. Nonetheless, they are urged to express interest in hiring more nursery staff in the future.

VA schools are allowed to apply, but will only receive 90% of funding (governing body to contribute 10%).

When is the application deadline?

We are expecting the deadline for applications in 2025 to be in December as per the governments guidelines

What must the application include?

Floor spaces
Photographs as records of before/after.
Cost plan / Addressed competitive quotations
Summary of consultation process and responses

What can the grant include?

Conversion/refurbishment costs
Some new physical assets (if they can be depreciated over more than one year).
Professional fees

Do I need to undergo consultation?

Some schools may need to undergo 3-4 week consultation. Mostly for wholly-new nurseries (thus lowering age-range of school), or expanding a nursery beyond 30 places, thus reducing school capacity by 30+ places to accommodate the nursery. Must be completed ahead of the application.