The Sutton Trust have released their annual survey report on School Funding and Pupil Premium, highlighting a funding shortfall which has led to SLT’s using their pupil premium to plug gaps in the general budget.
Key findings from the 1282 teachers surveyed were:
- 74% of Primary Headteachers report cutting teaching assistants this year.
- 47% of school leaders are using the pupil premium to plug gaps in the budget.
- 50% of schools are cutting spending on trips and outings this year.
You can read the full report here: https://www.suttontrust.com/wp-content/uploads/2024/04/School-Funding-and-Pupil-Premium-2024.pdf
What’s driving this school funding deficit?
This funding shortfall is being driven by a variety of outside pressures on the government and central funding bodies, stemming from long-term impacts of austerity, rising costs that aren’t always matched by funding increases, increasing demands on schools, disparities in funding allocation, and challenges related to maintaining school infrastructure and retaining staff. While government funding for schools has increased in cash terms, when adjusted for inflation and increasing costs, many schools still face significant financial pressures.
Teachers UK gives a useful breakdown of understanding the school budget and funding deficits here: https://www.teachers-uk.co.uk/school-budget-pressures/
Key Principles for Effective School Funding Allocation:
- Transparency: Be clear and open with staff and stakeholders about how funding is allocated and the rationale behind spending decisions.
- Equity: Allocate resources fairly based on the needs of all students, recognizing that some students require more support than others.
- Impact-Driven: Focus on spending that has the greatest potential to improve outcomes for students.
- Sustainability: Ensure that spending decisions are financially sustainable in the long term.
- Flexibility: While adhering to regulations and grant conditions, maintain some flexibility to respond to emerging needs and priorities.
Fixing School Funding Deficits:
The National School Leaders Union is heading up a campaign entitled ‘Fix School Funding’ designed to target these key areas:
“What we want to see
- The government needs to be more ambitious for schools and set out a proper funding plan that addresses the 15 funding squeeze.
- The government needs to offer more support for schools experiencing severe financial pressures as a result of rising energy costs.
- The government should set out a proper long-term capital funding plan to bring all schools up to ‘good’ condition.
- The government should commit to a truly ambitious recovery plan based on the work of its own recovery commissioner.
- The government should commit to at least restoring pupil premium funding in real-term terms, and increasing the Early Years Pupil Premium to reach parity with the primary pupil premium.
- A consultation on the long-term future of the approach to maintained nursery school funding should be launched without delay.
- The government must use the ling-awaited SEND review to develop a truly needs-led approach to SEND funding.
- Sufficient and sustainable funding for small schools.”
To find out more about this campaign, recent news and developments, and how you can support it by visiting: https://www.naht.org.uk/fixschoolfunding
Has this affected you and your setting? Would you like additional support? Contact our team on support@amhie.com or on our helpline 02381 120010.
References:
Sibieta, Luke. “School spending in England: trends over time and future outlook.” Institute for Fiscal Studies (IFS), Briefing Note 334 (2021).
Arestis, Philip, and Malcolm Sawyer. “On the sustainability of budget deficits and public debts with reference to the UK.” Fiscal and debt policies for the future (2014): 38-75.
Siddiqui, Kalim. “Government Debts and Fiscal Deficits in the United Kingdom: A critical review.” World Review of Political Economy 10.1 (2019): 40-68.
Birchall, Sue. “Create a School Budget Culture That Supports SLTs and Teachers” The Headteacher (2018) https://www.theheadteacher.com/school-procurement/financial-systems/create-a-school-budget-culture-that-supports-slts-and-teachers
Cannon, Kim. “How to approach a school budget”. Juniper Education (2025) https://junipereducation.org/blog/how-to-approach-a-school-budget