Turn workplace partnerships into long-term nursery enrolments.

Supporting sustainable nursery operations.

The Workplace Nursery Scheme helps you attract committed families, reduce admin friction and secure consistent income through employer-backed childcare.
Turn workplace partnerships into long-term nursery enrolments.
How it works

A structured partnership
with employers.

A Workplace Nursery Scheme is a formal arrangement between a nursery and an employer that allows employees to pay for nursery care in a tax efficient way.

Rather than families paying fees directly to you from net pay, the employer finances and manages the childcare provision in line with HMRC rules. The nursery continues to deliver the same care, but you get paid more, with no compromise on quality or independence.

Feel The Benefit manages the structure, contracts and administration, creating a compliant, long term partnership that supports both your nursery and the families you care for.

Nursery setting with children
Day to day

How families join
and fees are managed.

Once a partnership is agreed, the scheme is simple to operate day to day.

Employees who are parents opt into the scheme through their employer. Feel The Benefit coordinates the formal arrangements between the employer, the nursery and the employee acting as the authorised employer representative.

Nursery fees are agreed in advance and paid through the employer and are in your account prior to the month starting. Feel The Benefit manages the documentation, funding confirmations and ongoing administration, so your team is not burdened with additional paperwork.

Your role remains focused on delivering outstanding childcare, not managing employer schemes.

For Nurseries

For Nurseries

A partnership built around you

Feel The Benefit manages all scheme administration, contracts and HMRC compliance — so your team can stay focused on delivering outstanding care.

Fees are paid directly into your account before the 1st of each month, every month.

Why this works for nurseries

The Workplace Nursery Scheme is designed to support sustainable nursery operations, not short term discounts.
1
More stable enrolment
Because fees are structured through an employer, families are more likely to commit for longer periods, helping reduce churn and improve occupancy planning.
2
Employer backed funding
The scheme includes a clear employer financial contribution, reinforcing stability and reducing reliance on individual household affordability alone. Your nursery will benefit from additional revenue and predictable payments.
3
No change to your pricing model
You continue to set your own fees and deliver care as normal. The scheme changes how fees are paid, not what you charge. Funds are paid directly into your account before the 1st of each month for the month ahead, so you are never out of pocket.
4
Reduced admin burden
Feel The Benefit manages the scheme setup, compliance and ongoing governance, meaning no complex payroll or tax handling for your nursery team.
5
A credible, compliant framework
Only Ofsted registered (or devolved equivalent) nurseries can participate. The scheme is designed to stand up to HMRC scrutiny, giving reassurance that the arrangement is properly structured and sustainable.
NURSERY FAQs

Frequently Asked Questions for Nurseries

Answers to common questions for nursery owners and managers considering a partnership. If your question is not answered here, browse all nursery FAQs or get in touch.

Understanding the Scheme

A Workplace Nursery Scheme is an arrangement where an employer partners directly with a nursery to support employees with the cost of childcare. The employer makes a financial contribution to the nursery and contributes to the nursery management. This creates a genuine partnership between the employer and the nursery, rather than a simple fee-payment arrangement.

The scheme is relevant to both nursery owners and managers. Owners are typically involved in the commercial and strategic aspects of the partnership, while managers may be involved in discussions around staffing, training, resources, and day-to-day operational challenges.

Funding and Payments

In addition to normal nursery fees, the employer provides additional funding to the nursery and participates in structured management discussions. This funding is not linked to occupancy or attendance levels and is intended to support the nursery beyond standard fee income.

Nurseries receive at least £1200 per child per year in additional funding from participating employers. This funding is in addition to the agreed normal nursery fees for each child.

All payments are made so that cleared funds are in the nursery's bank account before the 1st of the month in which the childcare is delivered. Payments cover the full month of care in advance. Funds are only ever delayed if an employer withholds payment.

Yes. The employer's contribution is committed for the full length of the agreed contract. The additional funding remains payable even if the employee leaves employment or the child leaves the nursery before the contract ends.

Yes. Employer funding can either be spent as it is received or ringfenced for larger projects, such as capital improvements, facilities upgrades, staff training programmes, or other agreed investments.

Funding and Evidence

Evidence is required only for the additional employer funding, not for normal nursery fees. Acceptable evidence includes receipts, invoices, PDFs, emails, photographs, or other documentation that shows how the agreed funding has been used.

Evidence is uploaded through the Feel The Benefit online portal and verified by the FTB admin team. This allows all parties to view the information and confirm that funding has been used as agreed.

Meetings and Governance

A small number of structured meetings are required during the contract. These meetings are facilitated by Feel The Benefit Ltd, recorded, documented and the details are shared with all relevant parties. The purpose is to discuss management matters and how employer funding can best support the nursery.

Meetings may cover staffing levels, staff qualifications and training, recruitment challenges, retention, facilities, long-term business plans, capital expenditure, and strategies for the nursery's ongoing success. These discussions are intended to be constructive and supportive. They are specifically not to do with the day-to-day running of the nursery.

No. Employers do not run the nursery and are not involved in daily operations, admissions decisions, curriculum delivery, or routine management. Employer involvement is focused on strategic and management-level matters rather than operational control.

A fundamental requirement of the legislation is that the employer is at least partly responsible for financing the care and managing the provision of the care. This can take the form of structured meetings, management discussions, or participation in agreed governance arrangements. This involvement must be genuine and substantive.

Eligibility and Participation

Nurseries must be Ofsted registered and meet or exceed expected standards. Nurseries rated as requires improvement may be considered on a case-by-case basis.

Changes such as reduced hours or a child leaving the nursery do not affect the employer's committed funding for the contract term. The nursery continues to receive the agreed employer contribution.

Yes. Participation is based on agreement between the nursery, employer, and Feel The Benefit. Any decision to end participation would be managed carefully to ensure existing commitments are honoured.

About Feel The Benefit

Feel The Benefit administers the scheme, coordinates employers and nurseries, facilitates and conducts the meetings, manages documentation, manages the funds and fees, and provides the online portal used to support transparency and record keeping.

Nursery children with carer
Get in touch

Ready to find out more?
We are here to help.

If you would like to explore whether the Workplace Nursery Scheme is right for your nursery, please feel free to call us on 0800 888 6629 or use the contact form and give us your details and we will contact you.

Call 0800 888 6629 Use our contact form