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By 1 January 2025, 80% of home-based educators will be required to hold at least a Level 4 ECE qualification, Te Ara Tuarua, a primary teaching qualification or a grand-parented Level 3 ECE qualification.

As part of the transition to a qualified home-based workforce, the minimum requirements for the quality rate will be progressively increased.

From 1 January 2021, home-based services must have at least 30% qualified educators to receive the quality funding rate.

The timeline for changing the requirements is shown in the table below:

Requirements for the quality rate

Date requirement would be effective

Minimum percentage of educators with a required qualification*

Percentage of educators with at least 5 credits towards a required qualification*

Maximum percentage of educators able to be in training or induction^

1 January 2021

30%

50%

20%

1 January 2022

50%

30%

20%

1 January 2023

70%

10%

20%

1 January 2024

80%

0%

20%

* A required qualification is a grand-parented Level 3 ECE qualification, a Level 4 or higher ECE qualification, Te Ara Tuarua or higher, or a primary teacher qualification.
^ Educators who do not yet have credits towards a required qualification

The qualification requirements for the standard rate will also increase from 1 January 2022.  From this date, 10% of educators must hold a required qualification.

This will be gradually increased until it reaches 80% by January 2025.

The requirements will be lifted gradually, as shown in the table below:

Requirements for the standard rate for home-based services

Date requirement would be effective

Percentage of educators with a required qualification*

1 January 2022

10%

1 January 2023

30%

1 January 2024

60%

1 January 2025

Full implementation

80%

* A required qualification is a grand-parented Level 3 ECE qualification, a Level 4 or higher ECE qualification, a primary teacher qualification, Te Ara Tuarua or higher.

From 1 January 2025, the standard funding rate will be removed and there will be one single quality rate. This single quality rate will require 80% of educators to be qualified, and up to 20% of educators are able to be in training or induction.

Educators entering the home-based workforce from 1 January 2025 will have up to six months for induction before they must be enrolled in the Level 4 ECE qualification or Te Ara Tuarua, and would have two years to complete the qualification.