The Business Advisor (Schools) will present a report, Document GH, which provides an overview of the latest information from Government, on the introduction of a National Funding Formula for the Schools and High Needs Blocks, in announcements made since the Forum meeting in July.

Recommended –

The Schools Forum is asked to consider and to note the overview provided.

(Andrew Redding – 01274 432678)

The Business Advisor (Schools) presented a report, Document GH, which provided an overview of the latest information from Government, on the introduction of a National Funding Formula for the Schools and High Needs Blocks, in announcements made since the Forum meeting in July.

The Business Advisor (Schools) explained that, due to the delay in the publication of the 2^nd stage of consultation by the DfE, there is still significant uncertainty about the timing and implications of a National Funding Formula. It is hoped that announcements will be made in time for the October meeting. He stated that, because of this uncertainty, and because we can only assume that the ring-fencing of the Schools Block restriction will come into place at April 2018 (thus preventing from this point further contributions to the High Needs Block), there is a line of inquiry on whether we should seek to take the maximum contribution we can from the Schools Block in 2017/18 in order to maximise resources for High Needs provisions, as this may be our final opportunity to do so. This was a line of discussion in the Formula Funding Working Group meeting. It was explained that the most that the Schools Block could contribute would be to the point that all primary and secondary schools are funded at their level protected by the DfE’s Minimum Funding Guarantee, which is a reduction of 1.5% per pupil. This would go beyond the simple 1.5% reduction in all pupil-led factors, which is shown in the consultation document. The Business Advisor (Schools) explained that the Forum was not being asked yet to make a decision on this, but that this would need to be further discussed.

The Business Advisor (Schools) explained, following the DfE’s current proposals, that 2 out of the 3 DSG Blocks (the Early Years and the High Needs Blocks) would remain locally managed under National Funding Formula arrangements. He also reminded Members that we have previously speculated that the primary and secondary ‘hard’ National Funding Formula will not favour Bradford, because we speculate that the weighting given to additional educational needs / deprivation may reduce in favour of increasing the basic amount of funding for all authorities. He stated that the proposals for the Early Years Block, which appear to give an inadequate weighting to deprivation, are suggestive that this may be the case. 

The Chair clarified for Members that what is shown in the consultation document (Document GK) was not the worst case scenario for primary and secondary schools and academies in 2017/18. Referring back to the earlier discussion on the DfE’s proposals for Early Years Funding reform, and the potential significant financial implication for the District’s Nursery Schools, he stated that Bradford has a larger number of Nursery Schools than the average of other authorities, with 70% of authorities having fewer than 7 and 30% not having any. The Chair also stated that the need for the Schools Block to contribute to the High Needs Block is not unique to Bradford. 75% of authorities have transferred Schools Block monies to their High Needs Blocks over the last 2 years. 27 authorities have made bigger transfers than we have, up to a 20% increase in High Needs Block spending. He stated that it feels like there is a lack of information coming from Government telling us this.

The Strategic Director, Children Services, emphasised this we do now have sight of the probably movement of funding away from deprivation and that this this is not just happening within the DSG and schools budgets. It is critical that we make a substantial volume of noise about this.

Resolved –

That the information in Document GH be noted.