IEYF
Inclusive Early Years Fund (IEYF) Allocation Model for Gloucestershire
1. Introduction
Gloucestershire already provides a strong and well-established inclusion support offer for Early Years providers as well as the Early Years Inclusion Champion Award, SENCO cluster meetings and SEN Inclusion Funding. Together, these elements strengthen early identification, build workforce confidence and promote high-quality inclusive practice across the county.
To build on this strong foundation, GCC has developed this information to explain how we intend to deliver the Department for Education’s (DfE) Inclusive Early Years Fund (IEYF) locally. The IEYF is part of the national Inclusive Mainstream Fund for 2026–2027 and provides an additional mechanism to strengthen setting-wide inclusive practice.
For the 2026/27 financial year, Gloucestershire will receive £462,130.57 through the IEYF. GCC will allocate this funding in line with DfE Conditions of Grant and national expectations, ensuring that resources are directed to the sector in a way that delivers meaningful, sustainable improvements in inclusive early years practice.
DfE conditions require that IEYF:
- · Is allocated upfront
- · Is distributed without applications
- · Is not subject to panel decision-making
- · Is not linked to individual children or child-specific criteria
This document sets out GCC’s local delivery model for allocating, quality-assuring and monitoring the IEYF to ensure the fund delivers meaningful improvements in inclusive early years practice across Gloucestershire.
2. Purpose
The IEYF is intended to:
- · Strengthen setting-wide inclusive practices
- · Improve early identification of SEND
- · Build workforce capability and confidence
- · Reduce reliance on individual child-based funding
3. Eligibility
In line with the DfE requirements, GCC will allocate IEYF only to providers delivering government funded early years entitlements.
Exclusions – Independent School Nursery Units
Nursery provision within independent schools is excluded from the IEYF allocation model. These settings are only able to offer the universal early years entitlement and do not deliver the full range of funded entitlements, including the working parent entitlement. As such, they fall outside the scope of the IEYF, which is intended to support providers delivering the full early years entitlement offer and to strengthen inclusive practice across the wider funded sector.
No additional eligibility criteria, application processes or child-specific thresholds will be applied.
4. GCC’s Local Allocation Criteria
DfE guidance confirms that local authorities:
- · Are not required to fund all providers
- · May apply minimum thresholds to ensure allocations are “substantial enough to effect meaningful change”
DfE also notes that smaller settings, including some childminders, may not meet these thresholds.
Based on this, GCC will operate a two-tier funding model, supported by clear objective thresholds:
4.1 Allocation Criteria
Gloucestershire will allocate IEYF to settings that meet the following thresholds:
a) Minimum Size of Provision
- At least six 2, 3 and 4 year-old children on roll claiming only the universal element of early years funding
This ensures IEYF resources can support meaningful, setting wide practice change.
b) Local Need Indicators
Where demand exceeds available funding, priority will be given to settings in areas with:
- · Higher levels of deprivation (IMD)
- · Higher FSM eligibility
- · Higher population-level SEND indicators (including DLA)
These indicators mirror the DfE’s national IEYF allocation methodology and ensure funding is targeted where it can achieve the greatest impact.
4.2 Funding Levels
IEYF will be allocated at two fixed funding levels, based on the size and structure of provision:
- · 6-13 eligible children £1455
- · 14+ eligible children £2466
This graduated approach reflects differences in workforce size, organisational capacity and the scale of inclusive practice development likely to be required, while remaining simple, equitable and transparent.
5. Relationship between IEYF and SENIF
GCC is clear that settings can receive both IEYF and SENIF because each funding stream has a distinct purpose.
IEYF – Setting-wide inclusion development (allocated upfront without applications or child-specific criteria)
SENIF – Child-specific SEND support and targeted funding for high-needs settings (needs-led funding for individual children and groups, alongside targeted setting-based funding for settings supporting high levels of SEND)
The DfE explicitly states that IEYF is to complement not replace SENIF and other inclusion funding.
6. Position on Childminders
Due to the minimum threshold criteria, many childminders will not meet IEYF thresholds. This aligns with DfE expectations, which recognise that smaller settings may not receive an IEYF allocation.
Childminders will continue to be supported to improve inclusive practice through:
- · Child-focused SENIF
- · GCC’s Early Years Inclusion Support Offer
- · GCC’s Early Years Champion Award
This ensures equitable inclusion support across all provider types.
7. Quality Assurance (QA) – GCC’s Proposed Approach
GCC will implement a proportionate, supportive and light-touch QA model, in accordance with the DfE requirement that IEYF is allocated upfront and without conditionality.
Our QA model is designed to ensure transparency, enable learning across the sector and help GCC understand how IEYF is contributing to improvements in inclusive practice, without placing unnecessary burden on providers.
7.1. Self-Reflection Process
All settings receiving IEYF are expected to complete a brief annual self-reflection statement to support sector-wide learning and continuous improvement. This reflects GCC’s partnership approach and commitment to understanding the impact of IEYF across Gloucestershire.
This self-reflection will:
- · Describe how the IEYF allocation was used
- · Explain what improvements were made to setting-wide inclusive practice
- · Outline how staff development, training or changes in provision were supported through the funding
- · Identify any observed impact on access, participation or early identification
- · Highlight further support needs the setting may have
This is not evaluative and is not used for decision-making. It is a reflective tool to support continuous improvement and enable GCC to build a county-wide understanding of how inclusive practice is developing.
Simple, supportive, non-burdensome
The form is deliberately short, written in everyday language and designed to take no more than 10 minutes to complete.
7.2 LA Review of Reflection
GCC will review submissions to:
- · Identify themes and strengths across the sector
- · Inform future training and support
- · Share effective practice examples
- · Identify any settings that may benefit from further support
This review is support focused, not compliance based.
7.3 Supportive Conversations (sampling)
A small sample (10-15%) of settings may be invited to participate in a brief conversation to:
- · Explore how IEYF supported inclusion
- · Understand any challenges
- · Offer additional guidance where needed
This is not an audit or inspection, and participation will always be supportive and developmental.
7.4 Annual Impact Report
GCC will produce an anonymised summary report that highlights:
- · How IEYF has been used across the county
- · Key improvements and inclusion trends
- · Workforce development activity supported by IEYF
- · Recommendations for the next funding cycle
Summary
This proposal sets out GCC’s local delivery model for the IEYF, which:
- · Builds on Gloucestershire’s strong Early Years Inclusion Support Offer
- · Aligns with DfE Conditions of Grant
- · Uses transparent objective threshold criteria
- · Supports both setting-wide and child-specific inclusion pathways
- · Ensures childminders continue to be supported through SENIF and other mechanisms
- · Introduces a clear, supportive QA model featuring a concise self-reflection process