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Childcare providers including child minders, nurseries, cylch meithrin, crèches and out of school clubs can apply for up to £5,000 to cover loss of income between 1 April 2020 to 30 June 2020.

First published:
12 August 2020
Last updated:

The grant is a one-off, non-repayable payment provided by Welsh Government. 

Eligibility

You need to be registered with Care Inspectorate Wales (CIW) . 

You cannot get the grant if you have successfully applied for or had funding from the following schemes:

  • Business rate grants administered by your local authority
  • Economic Resilience Fund phase 1 or 2 (ERF)
  • Self-Employment Income Support Scheme (SEISS)
  • Welsh Government Start-Up Grant
  • Third Sector Resilience Fund (WCVA)
  • Mudiad Meithrin grant scheme

The Mudiad Meithirn grant scheme is funded from the Third Sector Resilience Fund. Childcare providers cannot have funding under both this grant and the Mudiad Meithrin grant scheme for this reason. Cylch Meithirn can still apply for this grant if they have not had funding under the Mudiad Meithrin grant scheme. 

You can apply for the grant even if you have received funding from the following schemes:

  • Economic Resilience Fund Phase 3 
  • Coronavirus Job Retention Scheme (CJRS)
  • Childcare Offer Wales
  • Coronavirus Childcare Assistance Scheme (C-CAS)
  • Foundation Phase Nursery (FPN) funding
  • Flying Start

You can check your eligibility to apply using the Business Wales eligibility checker.

If your business temporarily closed 

If your business had to close due to coronavirus, you can still apply for this grant if you meet the other eligibility criteria. You have to agree to reopen your service by 14 September 2020, or as soon as your school allows if based at a school.

If your business stayed open

You can apply for this grant provided you meet the other eligibility criteria. 

How to apply

If you are eligible, you will be directed to your local authority website which will tell you how to apply in your area.

How much you can get

The amount you receive will depend on your net income from 1 April to 30 June 2020 compared to the same period in 2019. 

If your business net income was reduced by up to 50%, you could get a grant of up to £2,500. 

If your business net income was reduced by 51% or over, you could get a grant of up to £5,000. 

The amount you get will be based on the lowest net income reduction. You will get a maximum of either £2,500 or £5,000, depending on which category your business falls under.

Businesses which started trading on or after  2 April 2019 and which also made a net loss of the period 1 April 2020 to 30 June 2020 will be entitled to grant if they meet the other criteria. The grant will be the lower of £2,500 or the equivalent to the net loss suffered during the period.

Net income

Net income is based on the period from 1 April to 30 June 2019 and 1 April to 30 June 2020. We will measure your income and your expenses for these periods. Your net income is the total after subtracting expenses from your income. 

How to calculate your net income

To get your ‘net income’ figure:

  1. add up your income and expenditure for 1 April to 30 June 2019 and 1 April to 30 June 2020
  2. subtract your expenses from your income to get your ‘net income’ figure

If your net income from 1 April to 30 June 2020 is lower than your net income for the same period in 2019, you may be eligible for this grant.

Income from public sources due for April to June 2020 but not yet received, such as the Coronavirus Job Retention Scheme (CJRS), Childcare Offer Wales, Flying Start, Coronavirus Childcare Assistance Scheme (C-CAS), Foundation Phase Nursery (FPN) and any grant funding from your local authority, must be counted towards your income. 

What to include in your application

You will need to include financial statements (such as business bank statements, or statements for bank accounts used for business purposes), to prove your income and expenses. Please indicate the business related transactions on the bank statements. 

When you can apply 

You can apply from 24 August 2020 to 31 October 2020. Applications received after 31 October 2020 will not be considered. 

When you will receive the grant 

We aim to make payments within 30 days of receiving your application.

Declaring the grant on your tax return

You will need to include the grant with your turnover on your tax return.

Applications from childminders

All childcare providers, including childminders can apply for the grant provided they meet the criteria. However, businesses who have got support from the SEISS or the Start-Up Grant are not eligible. 

Childminders registered as sole traders instead of limited companies

You do not need to register as a limited company in order to apply for this grant. 

Appeals 

You cannot  appeal if you are told you are not eligible for the grant.