I obtained my British citizenship last year (2023) and I hold British Passport. My wife obtained her ILR in November 2019 and my daughter obtained her ILR in February 2021. Due to family emergency they had to travel to India in March 2021 and India entered UK red-list soon after their travel (thus making hotel quarantine mandatory for Indians arriving in UK). since my daughter was 3 years old in 2021, my wife waited until India moved to amber list in August and returned after an absence of 4 months in August 2021. Also, We had travelled to India since 2021 during school vacations in 2022 and 2023 to catch up with relatives. Last night when I calculated all the absences from UK I see that my wife and daughter have been absent from UK for 272 days

My questions:
1) For my wife's naturalization application - Is it too risky to apply for naturalization for my wife now since she has obviously crossed the 270 day absence limit from UK? Or is there any leniency for COVID related absences from UK?
2) For my daughter's naturalization application - When I was reading the MN1 guidance, I saw that it is possible to apply for 'Registration at the Home Secretary’s discretion – Section 3(1) application'. Is it possible to apply in category of children applying in line with parents (page 16)? because this route seems to tick all the points:
a) I (father) am a British citizen since 2023.
b) Her mother has ILR since 2021.
c) My daughter has been resident in UK for last 2 years.
d) My daughter has settled status (ILR) since February 2021.
e) She has good character and both parents consent to the application.
Or does the 270 days absence limit also apply for this route?