14.1 Suspension of registration by Ofsted due to a breach of statutory requirements or safeguarding issues, will result in the termination of the arrangement and withdrawal of funding.
14.2 The provider will be informed of the withdrawal of funding or the termination of the agreement in accordance with the provisions of the provider agreement.
14.3 Where a provider's registration has been suspended by Ofsted, their portal account will be suspended with immediate effect and no further claims can be made from this point. Following the suspension being lifted, the provider will be invoiced for any funding payments already received, which covered this suspension period.
14.4 The local authority is not required to fund places with providers who do not meet the quality standards set out in the statutory guidance.
14.5 Following the local authority receiving notification from Ofsted of a published 'inadequate', 'requires improvement', 'not met' or 'not effective' Ofsted or equivalent childminder agency judgement, reports will be considered at regular early years' panel meetings. More information is available in the appendices.
14.6 The local authority will consider continuing to fund a provider, based upon current data entered on to the Provider Portal, the local sufficiency of places and any information published by Ofsted at the time of the providers published report.
14.7 Following the receipt of a 'requires improvement' Ofsted judgement, the local authority will only fund places for 2-year-old children eligible for the assessment-based funding (6-digit code issued by the local authority) where there is insufficient, accessible 'good' or 'outstanding' provision in the area.
14.8 The local authority will take account of the concerns and actions raised by Ofsted when considering any restrictions to funding.
14.9 Where an Ofsted or childminder agency report identifies serious safeguarding issues, the provider may not be permitted to offer funded places to both existing and new children. Providers will be notified in writing by the local authority of any such decision. Support will be given to the provider and parents/carers to find alternative provision for funded children.
14.10 The local authority reserves the right to withdraw the funding if the provider is not meeting the requirements, which are set out in writing in the funding notification letter and the provider no longer commits to working with the local authority to ensure an improvement in the quality of the provision.
14.11 Providers receiving an 'inadequate', 'requires improvement' or 'not met' Ofsted judgement will be notified in writing by the local authority of any restrictions placed on the setting for claiming the early years entitlements. The provider must not submit funding claims once notified of the restrictions imposed by the local authority.
14.12 A childminder registered with a childminder agency receiving a 'not effective' judgement; or a childminder registered with a childminder agency receiving an 'inadequate' or 'requires improvement' or equivalent judgement from the agency, will be notified in writing by the local authority, upon the publication of the setting's agency report, of any restrictions placed on the setting for claiming the early years entitlements. Childminders must not submit funding claims once notified of the restrictions imposed by the local authority.
14.13 The local authority will not accept any new funding claims for children, following the receipt of an 'inadequate', 'requires improvement', 'not met' or 'not effective' Ofsted or equivalent childminder agency judgement, from the date agreed at the early years' panel meeting, as notified in writing to the provider.
14.14 Providers claiming for children despite the restrictions notified in writing, will have funding reclaimed by the local authority.
14.15 Providers who receive 2 consecutive 'inadequate' or 'not effective' Ofsted inspection judgements may be removed / suspended from the Directory of Providers by the local authority. Support will be given to the provider and parents/carers to find alternative provision for funded children.
14.16 The local authority should secure alternative provision and withdraw funding when Ofsted publish a second consecutive inspection judgement of a childminder agency of 'ineffective'. Following a second consecutive 'ineffective' inspection judgement, the local authority should continue to fund the childminder agency's providers if the childminder agency has assessed them as being of acceptable quality and Ofsted has not identified any concerns about the childminder agency's assessment arrangements. It is for local authorities to determine an appropriate timeframe for withdrawing funding. When withdrawing funding from a childminder agency-registered provider, local authorities should also take account of the impact on children and their families.
14.17 The local authority will take account of any historical evidence of consecutive 'requires improvement' and/or 'inadequate' Ofsted judgements, even where a provider has re-registered with Ofsted.
14.18 Where funding is restricted, the provider must provide the local authority with contact details of funded parents/carers. Providers should ensure parents/carer's contact details are kept up to date on the FE1 form.
14.19 The local authority will inform parents/carers of the local authority's decision to restrict or remove approval to deliver the funded entitlements. Assistance will be offered to parents/carers to find alternative provision for funded children, where appropriate. It may not, however, be possible to meet the first preference of each parent.
14.20 The local authority reserves the right to suspend payments of early years entitlement funding where a provider fails to allow an officer of the local authority to visit the setting.
14.21 The local authority will not fund providers who do not actively promote fundamental British values or if they promote as evidence-based, views or theories which are contrary to established scientific or historical evidence and explanations.