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Rate increase agreed for early years funded providers
North Ayrshire Council’s Cabinet approved an increase to funding arrangements for local early learning and childcare (ELC) partner providers.
The increase was approved at a recent Cabinet meeting, to help strengthen the local childcare sector, ensure fair wages for workers, and support families across the region.
The council agreed a 6.2% increase in the sustainable hourly rate paid to funded providers, which surpasses the Scottish Government's minimum required national uplift of 5.2%.
Under the new structure, rates rose to £7.19 per hour for eligible three- to five-year-olds and £7.52 per hour for eligible two-year-olds, backdated to 1 April 2026. Supported by an additional £317,000 in Scottish Government funding, this measure was designed to address varying operational costs and empower partner settings to pay staff the updated Real Living Wage of £13.45 per hour.
Additionally, the Cabinet approved a 4.2% increase in meal cost payments to £3.22 per meal. To ensure equity across the sector, this enhanced meal rate was consolidated to apply uniformly to all contracted nurseries and childminders.
At the time of the review, North Ayrshire Council partnered with 16 independent nurseries and 51 childminders alongside its 44 council-run establishments to deliver 1,140 hours of funded ELC per year.
Quote: Our partner nurseries and childminders were vital to delivering high-quality early learning across North Ayrshire. By going beyond the minimum national guidelines with a 6.2% rate increase, we directly responded to the financial pressures our providers faced while firmly securing our commitment to the Real Living Wage.
Quote from: Councillor Margaret Johnson, Cabinet Member for Education and Young People
North Ayrshire Council helps support partner providers through a comprehensive package of non-financial benefits, including professional development, pre and post-inspection guidance, and direct support from the local Early Years team.
Published: 24 June 2026