Agenda item

This report sets out the outcome of the 2023-24 school funding consultation and considers proposals for the DSG budget

The schools block proposals include that the mainstream schools funding formula is to continue to adopt the National Funding Formula (NFF), but with a cap introduced to limit per pupil gains, the existing growth fund policy is maintained, and the balance of funding is transferred to support the high needs budget. Also included are budget proposals for the central school services block. 

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 'C' to these Minutes in the Minute Book.

The Schools Forum must be consulted on the local funding formula for mainstream schools and agree a range of central DSG budgets. 

This report set out the outcome of the 2023-24 school funding consultation and considers proposals for the DSG budget.

The schools block proposals included that the mainstream schools funding formula was to continue to adopt the National Funding Formula (NFF), but with a cap introduced to limit per pupil gains, the existing growth fund policy is maintained, and the balance of funding is transferred to support the high needs budget. Also included are budget proposals for the central school services block. 

Dr Lewis made the following comments and an indication to how they would have voted, which the Chair asked to be recorded in the minutes:

I agree that the surplus schools block funding of £0.185m is transferred to the high needs budget.

I do not agree for there to be any transfer of NFF school block funding to high needs by reducing NFF allocations to schools.  Paragraph 33 is misleading (see comments above in relation to agenda item 5)

Paragraph 36 states:

“It is accepted that any reduction in NFF funding for schools is not welcome but there is a need to balance the demands of the high needs budget with funding for individual schools.”

I would contend that the budgets of individual schools have been managed well over time, whereas…

I object to any reduction in MPPFL to accommodate the on-going mismanagement of the HN budget.

If the NFF suggests and increase in funding for a school, I can see no logical reason why this should be capped – or are we suggesting that the formula is wrong? It seems counter-intuitive to maintain the approach to MFG to mitigate the effect of the formula, and then to cap budgets to do likewise. We should use the NFF and accept the outcomes.  The majority of respondents to the consultation disagree with there being a cap.

My responses:

51. Recommendations for Schools Forum to agree the following schools block proposals for 2022-23:

School members only:

1. Recommend to Council that the local mainstream schools formula continues to adopt the school NFF unit values. Agree

2. Recommend to Council that a per pupil gains cap is implemented to release funding to transfer to high needs. Disagree

3. Agree the existing growth fund policy is to apply for 2023-24 with the resulting growth fund budget set at £0.467 million. Agree

All members:

4. Agree the surplus schools block funding estimated at £0.185m (0.07%) can be transferred to the high needs and early years budgets. Agree

5. Agree the funding released from the mainstream schools NFF can also be transferred to the high needs budget (the maximum within the regulations being £1.07 million). Disagree

61. Recommendation 6: Schools Forum members to agree the CSSB budgets in table 7 in paragraph 58. Agree

It was agreed that under resolution 4, surplus funding also be allocated to the Early Years Budget wording to be added. 

It was agreed that there was a lack of overall funding. 

Following a brief discussion, it was proposed and seconded that the surplus funding was to be allocated to the early years SEND budget not allocated against the high needs deficit.  This formed new recommendation 5. 

Following a brief discussion of recommendation six, it was agreed that although the Schools forum did not agree with a cap on per pupil gains, if the council override the Schools Forum recommendations and the DfE agreed, then where a transfer is made the Schools Forum would want to consider where to allocate it.

It was RESOLVED that Schools Forum agree for 2023-24 the following:

School Members:

1. Recommend to Council that the schools NFF unit values continue to be adopted as the local mainstream school formula for 2023-24.

2. Recommended to Council that a per pupil cap on gains is implemented to release funds to contribute to the transfer to the high needs budget as set out in paragraph 42.

3. Agreed the existing growth fund policy is to continue for 2023-24 with the resulting budget requirement of £0.467 million as set out in paragraph 47.

All Members:

4. Agreed surplus school block funding estimated at £0.185 million (0.07%) is to be transferred to support the high needs budget as set out in paragraph 31.

5. Agreed that the surplus funding was to be allocated to the early years SEND budget not allocated against the high needs deficit.

6. Agreed that although the Schools forum did not agree with a cap on per pupil gains, if the council override the Schools Forum recommendations and the DfE agreed, then where a transfer is made the Schools Forum would want to consider where to allocate it.

7. Agreed the central school services block budgets as set out in table 7 of paragraph 58.

Voting:

1.     Unanimously agreed

2.     Unanimously refused

3.     Unanimously agreed

4.     Unanimously agreed

5.     Unanimously agreed

6.     Voting 4-1 in agreement. The remainder of the membership abstained from voting.

7.     Unanimously agreed

Councillor White left after consideration of this item.