This paper reports on the findings of a natural experiment based on a sample of 1123 children aged 4–8 from the provinces of Punjab in Pakistan, and Gujarat in India. It looks at the impact of attendance (or not) in early schooling on the cognitive and social–emotional development of young children. The role of school attendance was assessed over 1 year. Children and their families were assessed twice, in or near their village homes. The study confirmed that all children progressed in learning regardless of school attendance. The overall impact of schooling is clear but relatively small. Children who attended school over the year showed greater gains in numeracy and especially in social and emotional learning, which appear to be harder than literacy to pick up outside school. Parents and children offered a range of reasons for non-attendance, including safety at home for girls, household poverty and a perception that school will not matter for their child's envisaged future. The study therefore raises a variety of issues for central and local governments to address if they want to create a school system suitable for all citizens.