Childcare funding glossary: plain-English terms
Simple explanations of childcare funding jargon and terms you'll encounter when applying for 15 or 30 hours of funded childcare.
The rules for funded childcare in England come with a lot of jargon. Here's a simple glossary of the terms you'll see when applying for 15 or 30 hours, and what they really mean.
Key terms
30 hours code (eligibility code)
The 11-digit number HMRC gives you if you qualify for funded childcare as a working parent. You need to give this to your provider so they can confirm your place with the council.
15 hours universal entitlement
Every 3- and 4-year-old in England can get 15 hours of free early education, regardless of their parents' income or work status.
Working parents' entitlement
The extended offer of 15 or 30 funded hours, depending on your child's age, if you meet the income and work criteria.
Reconfirmation
Logging into your childcare account every 3 months to confirm your details. If you don't, your code lapses.
Grace period
A safety net: if your code lapses or you become temporarily ineligible, your child's place can continue until the end of term.
Adjusted net income
Your total taxable income minus things like pension contributions or Gift Aid. If either parent has more than £100,000 in adjusted net income, you're not eligible.
Stretched model
Using your total annual hours (570 for 15h, 1,140 for 30h) spread across the whole year instead of term-time only. For example, about 22h a week for 52 weeks.
Term-time model
The default funded hours: 15 or 30 hours per week for 38 weeks a year, aligned with school terms.
Tax-Free Childcare
A separate government scheme that gives a 20% top-up on money you pay into a childcare account. It can be used alongside funded hours for extras or additional childcare.
Provider
Any Ofsted-registered nursery, preschool, childminder, or school nursery class that has agreed with the local authority to offer funded hours.
Local authority / Family Information Service (FIS)
Your council's team that oversees early years funding. They hold the official list of registered providers and can help if you can't find a place.
Additional terms you might see
Early Years Foundation Stage (EYFS)
The curriculum framework that all registered childcare providers must follow.
Ofsted registration
Legal requirement for all childcare providers. Check their rating before choosing.
Wraparound care
Additional childcare before or after your funded hours (e.g., breakfast club, after-school care).
Consumables
Items like nappies, wipes, or formula that providers may charge extra for.
Free at point of use
The legal requirement that funded hours cannot be charged for - they must be genuinely free.
Eligibility period
The time during which your child can use funded hours (usually from term after birthday until school).
Code validation
The process where your provider checks your eligibility code with the local authority.
Settled status
Immigration status required for EU citizens to access public funds including childcare.
Common abbreviations
| Abbreviation | Full term | What it means |
|---|---|---|
| FIS | Family Information Service | Your council's childcare information team |
| EYFS | Early Years Foundation Stage | The curriculum framework for early years |
| LA | Local Authority | Your council or local government |
| TFC | Tax-Free Childcare | The 20% top-up childcare scheme |
| UC | Universal Credit | Benefits system that may include childcare element |
Understanding your entitlement
When you see terms like "15 hours" or "30 hours", remember:
- 15 hours universal: Available to all 3-4 year olds, regardless of parent income
- 15 hours working parents: For 2-year-olds and 9-23 month olds (from 2024/25)
- 30 hours working parents: For 3-4 year olds and 2-year-olds (from Sept 2025)
- Hours are per week: But only during term time (38 weeks) unless stretched
- Total annual hours: 15h = 570 hours per year, 30h = 1,140 hours per year
Quick reference
Working parents: Must meet income and work requirements
Term-time: 38 weeks per year
Stretched: Same total hours spread across 52 weeks
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Frequently asked questions
Disclaimer: This guide provides general information only. Always check the latest official government guidance and speak to your childcare provider for the most up-to-date information specific to your situation.
Official government resources: