Early Years Pupil Premium (EYPP): Making Every Penny Count

Improving outcomes for children who need it most

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In every early years setting, there are children who may need a little extra support to thrive.

The Early Years Pupil Premium (EYPP) is there to help you do just that - providing additional funding to make a real, lasting difference to children’s learning, development and wellbeing.

But EYPP isn’t just about funding. It’s about being intentional, reflective and ambitious in how support is planned and delivered.

What is EYPP - and why does it matter?

EYPP gives providers extra funding for eligible children so that support can be tailored to their individual needs.

Used well, it can help to:

  • Narrow gaps in development and attainment

  • Strengthen communication, language and early social skills

  • Enhance the overall quality of provision

At its best, EYPP supports thoughtful, evidence‑informed decisions that improve outcomes - not just for individual children, but across the whole setting.

Turning funding into impact

The most effective use of EYPP isn’t about isolated interventions - it’s about embedding high-quality practice.

The Education Endowment Foundation highlights that, in the early years, the strongest approaches include:

  • High-quality, adult–child interactions

  • A strong focus on communication and language

  • Ongoing professional development for staff

These approaches are most powerful when they are part of everyday practice - consistent, meaningful and responsive to children’s needs.

What does effective EYPP use look like in practice? 

Here are some examples of how settings may use EYPP to make a difference.

1. Strengthening communication through daily interactions

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Scenario: A nursery identifies that several children eligible for EYPP have delayed speech and language.

Solution: They might use funding to:

  • Train staff in sustained shared thinking and quality questioning

  • Introduce small-group language sessions alongside everyday interactions

  • Build in more storytelling, singing and conversation-rich routines

Impact: Children become more confident communicators, with noticeable improvements in vocabulary and engagement.

2. Investing in staff development to raise quality

Scenario: A setting uses EYPP to fund targeted Continuing Professional Development (CPD) for staff on early language and child development.

Solution: The setting might:

  • Access evidence-informed training

  • Build in time for reflection and coaching

  • Share learning across the team to improve consistency

Impact: Practice improves across the whole setting - benefiting all children, particularly those at risk of disadvantage.

3. Supporting social and emotional development

Scenario: A child eligible for EYPP finds transitions and social interactions challenging.

Solution: The setting might:

  • Use funding to introduce consistent routines and purchase visual support software/subscription

  • Allocate additional time for a key person to develop strong, secure relationships

  • Create small-group opportunities to practise turn-taking and communication

Impact: The child shows greater confidence, improved emotional regulation and increased participation in play.

4. Enhancing the learning environment

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Scenario: A setting identifies that some children need more opportunities for talk and exploration.

Solution: They might use EYPP to:

  • Develop communication-friendly spaces

  • Introduce open-ended resources that encourage discussion and curiosity

  • Create cosy areas for shared reading and conversation

Impact: Children engage more deeply in play, with richer language and stronger interactions.

Supporting families is part of the picture

Identifying eligible children is key. Providers play an important role in:

  • Having sensitive, supportive conversations with families

  • Encouraging completion of eligibility forms

  • Ensuring no child misses out on the support they are entitled to

Small conversations can lead to significant opportunities. 

EYPP and Ofsted: focusing on impact

Ofsted places strong emphasis on:

  • How well leaders understand their cohort

  • How additional funding is used to support those who need it most

  • The difference that funding makes to children’s outcomes

Inspectors will want to see that EYPP is:

  • Carefully planned

  • Used purposefully

  • Regularly reviewed for impact

In short, it’s not about how much is spent, but rather the difference it makes.

Making it count: key reflections for your setting

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Take a moment to reflect:

  • Do we know which children are eligible for EYPP?

  • How are we using the funding and why?

  • Is our approach informed by evidence of what works?

  • Can we clearly describe the impact on children’s learning and development?

Access support around EYPP eligibility

Children may be eligible for EYPP if they meet one or more of the following criteria: 

  • Their parent or carer receives certain qualifying benefits

  • They are, or have been, looked after by the local authority

  • They have left care through adoption, special guardianship, or a child arrangements order

Providers can support families by sensitively discussing eligibility and encouraging them to complete the relevant declaration forms.

Find out more about EYPP eligibility for children in Birmingham

‍Final thoughts

EYPP is a valuable opportunity to make a meaningful difference, especially when it is used thoughtfully and strategically.

By focusing on high-quality interactions, strong communication, and ongoing staff development, settings can ensure this funding has a lasting impact, helping every child feel supported, included, and able to thrive.  

Finally, be sure to explore the Education Endowment Foundation EYPP Myth Buster, part of ‘The EEF Guide to the Early Years Pupil Premium’.

Further reading and resources


Stephnie Kettle – Quality, Impact & Outcomes Officer, Birmingham City Council Early Years & Childcare Service

Headshot photograph of Stephnie Kettle

My role with Birmingham City Council’s Early Years & Childcare Service centres on championing the best start for Birmingham’s children.

I work collaboratively with colleagues and partners to continuously improve children’s outcomes, focusing on developing smoother early years transitions, using data to narrow the attainment gap, and leading on the implementation of strategies to enhance workforce quality and sufficiency across the city.


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