Nursery profiting from Funding?

[JoJoMun]

I have 2 kids who go part time to a private nursery. The nursery give a 10% discount for the cheaper (the elder) childs fees, as I have more than one child at nursery. The elder child has just become eligible for government funding, but I don't agree with the way the nursery have calculated the bill. They have subtracted the funding before subtracting the 10%, which means that they are actually getting more money in total for my elder child than they were before funding. Example: my elder child's bill is £400 per month less 10% = £360. Funding is £150 a month. They take £150 off the £400, which leaves £250 - 10% = £225 for me to pay. So in total, they receive £150 plus £225 = £375, whereas before funding they received £360. I have argued with them that the full funding should come off my bill - which was £360, so subtract £150 would leave me £210 to pay. They say most nurseries use the same programme to calculate the fees. It can't be right that they are getting more money now my child is being part funded. I know it is a small amount of difference per month, but I reckon it will add up to around £250 in total. Is anyone else in the same position? How does your nursery calculate the fees if your child gets a discount? Thanks

Ours does it exactly the same. DS has not started yet, but we're not challenging it because in all other respects we love the nursery and don't want to sour the relationship. Were a bit miffed to find out though.

Funding is in total hours and not in ammounts of money the nursery charges per hour and depending whre you are in the country the ammount of funding received for the pre school place it might not even cover the fee the nursery charges

So you need to work out in hours (15 total funded hours) what you use at the setting which hours are covered by the funding (different settings have different sessions which are funded through eyee) and work out the price that the remaining hours cost and see if it adds up that way

Can you ask for the sibling discount to be applied to your younger child? That would make your costs cheaper.

The nursery has to make a profit you know. They are giving you a discount regardless of how they calculate it.
The fee for your elder child is £400. You have never paid £400, so I don't see how you have any grounds to complain.

It's amazinbg the way some people quibble over paying someone for looking after what is supposed to be the most precious things in their lives!

the nursery where I work offers a sibling discount. I haven't had a payrise for 3 years. The 2 are possibly connected.

Thanks for those who left useful comments. I tend to agree with 'MyLifewithStrangers' that we are happy with the nursery so don't want to rock the boat. I was just interested in what other nurseries did and what other people thought.

I think a couple of you have missed the point - I am happy to pay a reasonable rate for people to look after my kids. I pay over £100 a day for my 2 children and with my train fare to work it barely covers my salary. I could find cheaper child care but want to pay for what I think is the best for my kids. I think the nursery staff are great and very caring. However, I still don't think the nursery should make money from the government funding - it should just cover some of the fees. As is stands they are making money from the funding and I think that is wrong.

I get the impression a couple of the respondents are nursery workers - perhaps even at my nursery. I hope you enjoy your work as you don't seem very happy with your terms and conditions! I haven't had a pay rise either - not everyone who uses nurseries is wealthy you know.

wow you asked for an opinion. Would you rather pay full price for both