Main parties ‘silent’ on urgent school funding problems

School finance leaders and trust governors call for the main political parties to set out how they would tackle the ‘most significant’ issue that schools are facing
24th June 2024, 4:21pm

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Main parties ‘silent’ on urgent school funding problems

https://www.tes.com/magazine/news/general/main-political-parties-conservative-labour-silent-school-funding-problems
Main parties ‘silent’ on urgent school funding problems

The two main political parties have been “silent” about urgent school funding issues, leaders are warning, as the country gears up for next week’s general election.

This is despite the fact that funding is the “most significant” issue that schools face, according to finance leaders, governors and trustees who have spoken to Tes.

“There have been a few things dripping through but we have concerns that there is no proper conversation going on about school funding,” said Stephen Morales, CEO of the Institute of School Business Leadership.

Mr Morales called on the main political parties to set out more detailed plans on what they would do in terms of school funding in their first 100 days in government, with a particular focus on funding for capital building projects and special educational needs and disabilities (SEND), and reviewing the distribution of the National Funding Formula (NFF).

“We need some recognition that the school estate is close to collapse and in some cases it is collapsing,” said Mr Morales.

Uncertainty over school funding

He appealed for a “proper, costed” five-year plan setting out funding for the maintenance and rebuilding of school buildings over the next spending review period.

More money for SEND is also needed, along with a “complete reimagining” of how SEND provision is commissioned, Mr Morales added.

“At the moment it feels like we’re just throwing money into a well that has no bottom to it. It feels very broken,” he said.

In a letter seen by Tes, ROBUS multi-academy trust, which has four schools in Essex, has told the education secretary that it is dealing with “significant” financial issues.

“We are facing significant financial challenges with little to no room for manoeuvre,” David Norris, chair of ROBUS’ board of trustees, wrote to Gillian Keegan this month.

Tes understands that this is the third letter the trust has written to the Department for Education in the past three years, and the trust has also raised its concerns with its local Conservative MP, Rebecca Harris.

Mr Norris writes: “Underfunding and the lack of clarity on future funding is forcing MATs to use their reserves to fund in-year deficits.”

His letter references the finding, revealed in Tes, that there has been a 42 per cent rise in the number of MATs with reserve levels that suggest “financial vulnerability”, according to the DfE’s own definition.

ROBUS is being forced to “make short-term decisions, in particular with regard to staffing levels, to remain viable”, the letter states.

Emma Knights, chief executive of the National Governance Association, said these concerns are shared by many other governing boards.

“Funding issues are the most significant issue that [governing boards] have, and that is increasing,” she said.

“More boards are concerned about balancing the books in the short term but even the medium term.”

Parties’ school funding pledges

The Conservative Party has pledged to protect day-to-day per-pupil core school funding. Its party manifesto also reiterates commitments to rebuild 500 schools through the existing School Rebuilding Programme and deliver 60,000 more school places and new free schools for children with SEND.

Labour has made no firm commitment on core school funding or capital funding. On SEND, the party has pledged to improve inclusivity and expertise in mainstream schools and ensure that special schools cater for those with the most complex needs.

The Liberal Democrats, meanwhile, have pledged to increase per-pupil school funding above the rate of inflation every year. The party also plans to establish a new national body for SEND to fund support for children with high needs.

The Institute for Fiscal Studies has warned that while the next government could save £3.5 billion by freezing per pupil spending until 2029, as a result of pupil numbers dropping, the costs that schools face would mean many would have to cut staff and some may be forced to close.

Mr Morales said the total amount of school funding should not be decreased in line with falling pupil rolls. He instead called for the total £60 billion in funding that schools are currently getting to be ringfenced, and any extra used to provide equity in the distribution of funding.

Unions have also warned about the impact of a failure to address school funding issues.

In a survey by the Association of School and College Leaders, around three-quarters of headteachers predicted they would have to increase class sizes in the next year, and nearly 60 per cent predicted they will have to reduce their curriculum offer.

The Education Policy Institute think tank has also warned that limited funding commitments for pupils with SEND “pose a serious threat” to provision.

Schools will have to wait until after the election to see what the teacher pay rise for 2024-25 will be. Several multi-academy trust CEOs have warned they will struggle to afford a pay rise above 2-3 per cent without extra government funding - but said the pay rise should be higher to address the teacher recruitment crisis and avoid strike action.

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