Applications for the SBN Capital Grant are open
- You can apply for the School-based Nursery Capital Grant until the 11th December 2025
- Please contact us if you need any support with your bid
What is the School-based Nursery Capital Grant?
The School-based Nursery (SBN) Capital Grant is a 2025/26 funding scheme designed to help early years providers create or expand buildings. Up to £150,000 is available for your project if you meet the eligibility criteria.
Department for Education (DfE) first introduced this scheme in 2024/25, which was seen as a major success. Now in its second phase, the funding scheme is reopen for applications, but this time there is increased focus on helping disadvantaged families access early years provision.
Whether you are considering applying for the first time or need guidance after failing with a SBN Capital Grant last year, we are here to help. Call 0808 301 9531 or complete our contact form to speak to our experts today.
What can the SBN Capital Grant be used for?
As previously mentioned, the School-based Nursery Capital Grant will be used to expand existing buildings or create new ones to ensure as many children as possible can access early years provisions.
“The School-based Nursery Capital Grant offers early years education providers a chance to support more children in their community. Taking advantage of the scheme ensures you can deliver a project that will have a lasting positive impact on families in the local area.”
Ian Harrington, Regional Managing Partner (North)
Who can apply for the School-based Nursery Capital Grant?
Phase 2
To apply for Phase 2 of the SBN programme, you must be:
- A state-funded primary-phase school in England currently offering early education, such as reception classes
- Seeking to create or expand your School-based nursery
- A maintained nursery school in England wanting to expand nursery provision on your current school premises
Please note, you will be ineligible for phase 2 if you were successful with an application in 2024/25. If you are unsure if you meet the eligibility criteria, contact us for confirmation.
Phase 3
Local authorities will be responsible for creating multi-year funding proposals from 2027 to 2030. Guidance for phase 3 is expected to be published in early 2026.
Key considerations before applying for the SBN funding
- Suitability of proposed space – Decide whether spare space within your school could be repurposed before considering physical expansions
- Ofsted of childminder agency registration – Determine whether you require registration with Ofsted on the Early Years Register or with a childminder agency
- Funded childcare entitlements – The increase in childcare places offered should support the delivery of the government’s early education and childcare entitlements
- Published Admission Number (PAN) – Published Admission Numbers must be set up for each relevant age group to show how many pupils you intend to admit
- Insurance – You will be required to insure your building project. It is advised that you regularly consult with your legal advisors to ensure you have the appropriate insurance coverage
How do I apply for the School-based Nursery Capital Grant?
Your internal bid coordinator must submit your application through the online application service by 5pm on the 11th December 2025. You will need a DfE Sign-in account to get started.
Once you are signed in, you will be able to start a phase 2 application, which will clearly state what you need to complete a bid. After submission, you can also track the status of your application here.
If you are not ready to submit an application yet, you will be able to register your interest in a future round/phase after you sign in.
When will I find out if my SBN funding application is successful?
All outcomes should be communicated to applicants in April 2026, but this timeline is subject to change. To decide if you are successful, your bid will go through the following stages:
Stage 1: Eligibility Check
It will be confirmed that you meet the required eligibility criteria, which consists of no previous SBN Capital Grant participation, the correct project aim of increasing childcare places, the right budget of up to £150,000, SBN being operational by September 2027, a suitable location, landowner permission, and local authority approval.
Stage 2: Scoring
Your bid will be scored based on a weighted calculation that assesses the levels of disadvantage in your area, project value for money, local need and Ofsted key judgements. Specific scoring details can be found in the DfE’s Information for Applicants.
Stage 3: Assessment
You responses to the project overview, local need, approach to education, and management of provision will be assessed. This stage is designed to ensure you have made adequate considerations during the project planning process.
Can I get assistance with my DfE nursery grant application?
Yes, call 0808 301 9531 or complete our contact form to discuss your requirements with our team. You can depend on us to support your School-based Nursery Capital Grant bid for the following reasons:
- We have more than 180 years of experience
- Our experts have a proven track record supporting funding applications
- We are rated highly by past clients
- Our building consultants can assist with the delivery of your project
Get nursery building funding support now
Are you ready to apply for the School-based Nursery Capital Grant 2025/26? Allow our funding specialists to support your bid. Complete the form below to get started, and we will be in touch to discuss the next steps.
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