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Commenting, Neil Leitch, chief executive of the Early Years Alliance, said: 

"While we welcome the news that the government will be continuing to provide financial support to protect jobs once the Job Retention Scheme ends, it remains unclear how exactly this latest announcement will benefit the early years sector - and in particular, providers who currently receive early entitlement funding.

"With many providers still feeling the impact of the last-minute government U-turn on the furlough scheme, it is absolutely vital that the Department for Education provides clarity on exactly how nurseries, pre-schools and childminders employing assistants are able to access this scheme now, and not weeks down the line.

"With so many in the sector struggling to remain afloat as a result of low parental demand for places, the increased costs of operating safely during a pandemic, constant staff shortages as a result of a lack of testing availability, and of course, inadequate government funding rates, the next few months are going to be incredibly difficult for many providers.

"As such, it is vital that the government steps up its support for the sector and ensures that providers can operate sustainably, both now and in the long term."