Department for Education

Lord Soames of Fletching Excerpts

Monday 1st July 2019 Commons Chamber

[Robert Halfon]

As my Education Committee colleagues who are here today will know, we are doing an inquiry into funding for children with special educational needs and the implementation of the Children and Families Act 2014. The Act is very good, but there are significant problems with implementation, funding and many other areas. We will hopefully publish a report by September, and I think the hon. Gentleman will be particularly interested in what we say.

I would like to draw particular attention to the plight of further education funding, which is close to my heart. For too long, this area of education has been considered the Cinderella sector. Participation in full-time further education has more than doubled since the 1980s, yet across 16-to-19 education, funding per student has fallen by a full 16% in real terms between 2010-11 and 2018-19. That is twice as much as the 8% school funding fall over a similar period and, as I mentioned, it is decreasing again this year. This dip in 16-to-19 education makes no sense, given the importance of further education and sixth-form colleges in providing a gateway to success in later life. Those who call it the Cinderella sector should remember that Cinderella became a princess, and we should banish the two ugly sisters of snobbery and underfunding.

[Sir Nicholas Soames (Mid Sussex) (Con)]

I congratulate my right hon. Friend, on behalf of all of us, on the excellent work he does as Chairman of the Select Committee. Talking of princesses, will he pause for a moment and join me in thanking the Minister for Apprenticeships and Skills, my right hon. Friend the Member for Guildford (Anne Milton), for her incredible support for the reopening of the sixth-form college in Haywards Heath? The college was closed under an earlier Administration, having run up an enormous amount of debt, and this is an incredibly important step for Mid Sussex—one of the fastest growing bits of the United Kingdom. Without the support and energy of the Department for Education, the Minister and her excellent officials, that simply would not have happened. In the middle of what is a very difficult period indeed for finance in the Department, the Minister deserves particular praise and consideration for what she has so brilliantly done.

[Robert Halfon]

I am delighted that my right hon. Friend’s college has reopened—that is excellent news—and I pay tribute to the Minister. She has passion and enthusiasm for further education, skills and apprenticeships. She said in a recent interview in Schools Week that hers is the best job in Government. I absolutely agree, and that shows her commitment to further education.

The debate around school and college funding has become deeply polarised. On the one hand, there are those on the Government Benches who say that more money than ever is going into the system. On the other hand, we hear that the funding system is nearing breaking point because pupil numbers are rising, and education institutions are having to provide an increasing variety of services. I hope we can move beyond that divide by focusing more closely on providing what schools and colleges actually need, rather than how we choose to interpret statistics.

That brings me on to the most important point in this debate on the DFE’s estimates: what is the Department trying to achieve with its spending? The Department is certainly not short of ideas for policy initiatives and announcements. However, my Committee has become increasingly concerned about the lack of clear long-term thinking and strategic prioritisation. It is partly driven by the politicised nature of the funding system and the short-term thinking that is encouraged by the three to four-year spending review process.

There are serious issues that we need to address. We should start focusing a lot more on tackling the gap between education and employment. The troubling state of social justice in this country will only get worse with future changes to the labour market and the march of the robots unless we take a more strategic and decisive approach to funding vocational and skills-based education routes. High-needs funding, which was mentioned by the hon. Member for Stroud (Dr Drew), is threatening to spiral out of control unless we can get to grips with the underlying drivers more effectively.

I am not confident that those big issues can be addressed within the current funding framework. The Department must recognise that education is a strategic national priority and should not be used as a political football that gets kicked around every few years during election periods or the spending review. Our school and college funding system is under severe financial strain. Simply securing a moderate top-up in the spending review will be little more than a sticking plaster.

That is why we need a 10-year plan for education, backed up with a multi-billion-pound funding settlement. The Health Secretary made a statement in the House today, setting out the NHS 10-year plan. If the Health Secretary can come to the House with a 10-year plan and an extra £20 billion-a-year funding settlement, which Members on both sides of the House welcome, why can the Secretary of State for Education not come to the House with a 10-year plan and a minimum five-year funding settlement for the education system, with the funds that it needs? Why does the Department for Education—our schools, colleges, universities, apprenticeships and skills system—not also have a 10-year plan?

The plan would need to take a long, hard look at what schools and colleges are needing to deliver and what it costs. Taking the politics out of funding with a 10-year plan would mean that we can have a properly financed education system that is characterised by strategic investments rather than reactive adjustments. Only then will we ensure that children and young people receive the high-quality education and support that they deserve, and our education system will be confident that it has the plan and the funds that enable it to plan properly for many years ahead. We must build a sturdy education ladder of opportunity fit for the 21st century, so that everyone, no matter what their background, can climb it to achieve jobs, security and prosperity.

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[Tim Loughton (East Worthing and Shoreham) (Con)]

It is a pleasure to follow the hon. Member for Stretford and Urmston (Kate Green), a fellow member of the Home Affairs Committee. May I endorse her last point about children coming from Europe and assessments? However, there is a bigger issue about asylum-seeking children, who often have family connections over here. Certainly from my experience—having visited Greece, in particular, along with my right hon. Friend the Member for Loughborough (Nicky Morgan)—a delay is often caused by social worker assessments for the fitness of whatever accommodation those children may be coming to in the UK taking quite a long time to undertake. In the meantime, they are kept in refugee camps and in unsuitable conditions overseas. That is just another aspect of social workers, who do of course come under the Department for Education, being problematic.

School funding is the most important issue in my constituency, and in the constituencies of all hon. Members who represent West Sussex and other counties like ours that have been historically poorly funded. We are seeing the cumulative effects of many years of underfunding, to the extent that, as I have said in every debate in which I have spoken over the years, the tank is now empty. The capacity to make further savings or cuts elsewhere simply does not exist. All those savings—all that fat—went a long time ago.

We were obviously grateful for the additional £28 million that West Sussex was given, but we went from being the worst funded shire authority for schools to about the seventh worst, which means that we are still in the bottom decile. The Minister for School Standards will know from his own West Sussex constituency that the new fair funding formula is only a work in progress.

Last week’s Department for Education report referred to the fact that children in schools in coastal areas achieve several grades lower than other children, certainly at GCSE level. My constituents therefore suffer from the double whammy of being in one of the lowest funded local authorities for schools, and the serious challenge to schools in pockets of deprivation, often in coastal areas, of which there are many on the south coast as well as in other parts of the country.

I therefore ask the Minister to look again at the suggestion that I made last year—I wrote it again in my letter of 12 September to the Secretary of State—to consider a coastal schools challenge fund to examine plugging that gap in the outcomes for children in coastal constituencies. The London Challenge, which the Labour Government set up in 2003, went a long way towards plugging the gap between outcomes in London and in other parts of the country. However, it is now a problem that there is such a large gap between schools in London and those in West Sussex and other shire counties.

[Sir Nicholas Soames]

My hon. Friend has been a fantastic champion for West Sussex schools. I endorse his suggestion for a challenge fund. It is an extremely good idea and I hope that it makes some progress. He and I have sat in endless meetings with the Secretary of State and others, and he knows that the funding situation is not confined to the coastal district and that it is just as serious further inland.

[Tim Loughton]

My right hon. Friend is absolutely right that the situation is not just confined to coastal areas. However, the problem is that there tend to be more deprived communities in coastal areas around the country. Seemingly affluent shire counties such as West Sussex disguise pockets of deprivation. We have high special educational needs in many of our schools and we need to focus more on bringing the funding up to at least the average in the rest of the country to give those children a better chance.

I have spoken in numerous debates on the problems that schools in my constituency face. I wrote my notorious eight-page letter to the Secretary of State last year after I had summoned all the heads of all the schools in my constituency and all the chairs of governors and asked them to tell me not what they thought might happen and their fears, but what was actually happening now. That included the reduction in teaching assistants and the fact that, with 90% of school budgets in many cases being spent on staffing, any cut means that non-staffing expenditure on, for example, maintenance and buying new computers, does not happen, and real reductions mean fewer staff, or, as happens in many cases, less qualified staff being taken on to replace experienced staff who have left to take others job, retired or gone on maternity leave.

I was particularly concerned about the cuts to counselling services in schools. As the hon. Member for Stretford and Urmston said, we need a much more joined-up approach to that. I welcome the Prime Minister’s commitment to additional funding to deal with mental health needs in schools, with mental health first aiders and training for teachers and others, but we need to do so much more before children get to school. As chair of the all-party parliamentary group on conception to age 2 and the 1001 critical days campaign—I should also declare my entry in the Register of Members’ Financial Interests—I stress that the biggest impact on a child’s brain happens in the first 1,000 days between conception and age two. That is when a child forms attachments to a parent and the brain grows exponentially. If there is not a good attachment with a parent—if the parent does not have good mental health—that child will be at a disadvantage when they get to school. It is a truism, but if we consider a 15 or 16-year-old who suffers from depression, as is now common in our schools, there is a 99% likelihood that their mother suffered from some form of mental illness during pregnancy or soon afterwards. We need to do so much more preventively earlier so that fewer children experience the mental health pressures to which too many succumb in our schools, with all the challenges that they face.

I want everything I have said in previous debates on schools funding to be taken as read. However, today’s debate is on education estimates and we neglect the fact that education funding includes provision for children’s social care. Although more than three quarters of the Department’s budget goes on day-to-day school funding, this year, some £9.1 billion will go into children’s social care through local authorities.

Children’s social care is in a state of crisis. I want to spend a few minutes dealing with that subject. Before doing so, I endorse the comments of the Chairman of the Education Committee on the problems that face further education. I know about that from colleges in my constituency and I endorse his frequent calls for a 10-year education plan to allow teachers and lecturers to plan ahead in the same way as the national health service.

There have been so many reports in recent months. The all-party parliamentary group on children, which I chair, produced “Storing Up Trouble”, which gave an alarming account of huge variations in the experiences of children coming into the care system, or not reaching the threshold for coming into the care system. In Blackpool, 166 in 10,000 children are likely in to end up in care, whereas the figure for Richmond is only 28 in every 10,000. There are differences in deprivation between Blackpool and Richmond, but by a factor of seven? The Department is not properly assimilating that sort of information and data, which our report revealed. That is one ask from our report.

There have been several reports, for example, by Action for Children, the Children’s Society and the Education Policy Institute. The Children’s Commissioner for England recently found that England now spends nearly half of its entire children’s services budget on the 75,000 children in the care system, leaving the other half for the remaining 11.7 million. The Children’s Commissioner will produce a further report at the end of this week, identifying the percentage of children in need, constituency by constituency, and asking why we are not doing more to focus on those children at an early, preventive stage.

The evidence is there. Local authorities say that they face a shortfall of at least £2 billion by 2020 in children’s social care. We have a recent record of the number of children in care at the moment. There are other issues around the funded 30-hour childcare entitlement, of which I am a big supporter. However, many of my independent providers tell me that the remuneration they get is not nearly enough to cover the cost. There is a danger of losing places, and the least well off, who most need them, will not be able to access places for their children.

I have concerns about social worker recruitment. Despite the Munro report and everything we did for the social work profession some eight or nine years ago, too many social workers are being driven out of the profession early. I also make a plea for the troubled families programme, which has its origins partly in the Department for Education. It was one of the Cameron Government’s most successful initiatives. It was about joining up the different Departments because, in a family with problems, the problems are not limited to mental health, physical health or school truancy. It is usually a combination of those and they need to be dealt with holistically. When the funding comes to an end in 2020, it is absolutely essential that the project is continued. I would like to see a pre-troubled families programme to deal with families much earlier on—from, as I said, perinatal mental illness stage onwards—so that they are less likely to express those symptoms, which then cost us so much as a society. Child neglect in this country costs £15 billion a year. Perinatal mental health problems cost some £8.1 billion a year. We are spending £23.1 billion a year on getting it wrong and dealing with the problem. That money could be used much more effectively earlier on.

My final point is to ask what has happened to the inter-departmental ministerial group, which was being chaired by the former Leader of the House, my right hon. Friend the Member for South Northamptonshire (Andrea Leadsom). That was a great initiative which brought together Ministers from six different Departments, including the Children’s Minister from the Department for Education and the Chief Secretary to Treasury, who will be conducting the comprehensive spending review. It is all about having a joined-up approach and pooling funding to make sure we put investment in to support families where they need it early on to see them through those challenging early years. That work is groundbreaking and it is absolutely essential that it continues. Perhaps the Minister can update us on where it has got to. It is essential that it is a major component of the comprehensive spending review, so that we stop wasting money dealing with the symptoms of failure and start investing upstream to prevent the huge social problems that bring about huge financial problems. If we get that right, it will be better for all our children and young people.

We need more money for our schools. I am glad that all the leadership candidates and the Prime Minister recognise that, but please do not forget children’s social care. If we do, the problems of dealing with children with problems when they arrive at school will be far higher and far more challenging than if we sorted them out before they are even born.