Issue - meetings

This report provides the latest DSG budget monitoring for 2024-25, with the DSG funding gap estimated at £44.5m (compared with the  budget gap of £28m) and an accumulated deficit at March 2025 of £108m.      

Due to the change in government, there is delay in the DfE issuing the DSG information for 2025-26. General policy announcements have been made to enable local authorities to consider their local mainstream formula and whether any disapplication of the expected regulations will be needed. This report includes consideration of the local mainstream formula and a transfer of school block funding to high needs.

The deadline for disapplication requests remains according to the usual annual timescale of 18 November 2024. DfE accept that consultation with schools and Schools Forum will not have concluded by that date.

The Assistant Chief Finance Officer presented a report, a copy of which had been circulated to each Member and a copy of which appears as Appendix 'A' to these Minutes in the Minute Book. The report provided the latest DSG budget monitoring for 2024-25, with the DSG funding gap estimated at £44.5m (compared with the budget gap of £28m) and an accumulated deficit at March 2025 of £108m.      

Due to the change in government, there had been a delay in the DfE issuing the DSG information for 2025-26. General policy announcements had been made to enable local authorities to consider their local mainstream formula and whether any disapplication of the expected regulations would be needed. The report included consideration of the local mainstream formula and a transfer of school block funding to high needs.

The deadline for disapplication requests remained according to the usual annual timescale of 18 November 2024. The DfE had accepted that consultation with schools and Schools Forum would not have concluded by that date.

The Forum discussed how a 1 percent transfer would be allocated and it was considered that it would be difficult without more information to be able to show modelling. The Forum supported being able to see the values in order to help make a more meaningful decision and therefore requested that a paper outlining the method to allocate be brought to the next Forum meeting on 13 January.

The Forum was asked to note the information in the report, and specifically the request to the DfE to disapply aspects of the expected regulations for 2025-26 as follows:

1.     To allow a transfer from the school block to high needs of 1%.

2.     To enable all schools to contribute to a transfer to enable the minimum per pupil funding levels to be reduced by close to 1%.

Following discussion, the School Forum did not support the request to allow a transfer from the school block to high needs of 1%

Voting: 3 in favour; 10 against; 1 abstention

Although it was not supported, it was noted by the Forum that the Council would be putting in the request to allow for the 1% transfer.