School Funding Formula (London)

Alex Chalk Excerpts

Wednesday 28th June 2017 Commons Chamber

[The Minister for School Standards (Nick Gibb)]

May I begin by congratulating the right hon. Member for Twickenham (Sir Vince Cable) on his first speech in this Parliament and welcome him back to the House of Commons?

The Government want to ensure that all children, regardless of where they live, receive a first-class education. Over the past seven years, we have made significant progress. There are now almost 1.8 million more children in schools that are rated good or outstanding compared with 2010. Thanks to a curriculum that ensures that all children are taught the core knowledge that they need to be successful, to the promotion of evidence-based teaching practices such as Asian-style maths mastery and systematic synthetic phonics, and the hard work of hundreds of thousands of teachers, standards across England are on the rise. According to the latest international figures, secondary school pupils in England outperform pupils in the other nations of the United Kingdom.

The anachronistic way in which funding is distributed across the country is not fair and is in need of reform, so over the past six months I have spent a lot of time meeting teachers, headteachers, parents, governors and hon. and right hon. Members to discuss fairness in the school funding system. As a result of those conversations, I have never been more convinced of the need to grasp the nettle and address the unfairness of the current funding system. The data that are used to allocate funding to local authorities are over a decade out of date. Over that period, for example, the free school meals rate has almost halved in Southwark and has more than doubled in Dorset, but the funding that each local authority receives has not responded. It is not right that local authorities with similar needs and characteristics receive very different levels of funding from central Government. That results in a situation where, for example, a school in Barnsley would receive 50% more funding, with no other change to its circumstances, if it were situated in Hackney. That is not a rational, fair or efficient system for distributing money to our schools.

That is why the Government have gone further than any previous Government in reforming school funding, and why the Queen’s Speech made it clear that we are determined to introduce a fairer distribution of funding for schools. In doing so, we will ensure that all schools in England are funded on a consistent and transparent basis that reflects local needs. We will set out our plans shortly, and, as outlined in our manifesto, we will make sure that no school budget is cut as a result of the new formula. That will be particularly important for six schools in the right hon. Gentleman’s constituency. The other 23 schools would all see a rise in funding as a result of the national funding formula. I hope that that addresses one of the concerns that he expressed.

In March 2016, we launched the first stage of our consultation on the national funding formula. We asked for views on the principles that should underpin it and its overall design. Those principles included using robust data to ensure that funding is matched to pupil characteristics and the importance of transparency in the way in which funding is allocated. Over 6,000 people responded and there was widespread support for reforming the current system and for the principles that we set out, including the issue that the right hon. Gentleman raised of low prior attainment, which he queried. Allocating extra funding for pupils who begin school behind their peers is, I believe, absolutely right. There is no perverse incentive, because it is the child’s attainment in the predecessor school that is relevant: nursery school if they are going to primary school, or primary school if they are going to secondary school.

[Alex Chalk (Cheltenham) (Con)]

It is absolutely right, of course, that we should invest in pupils with low prior attainment, but does the Minister agree that that should not be at the expense of schools that, for whatever reason, do not hit the criteria on low prior attainment, English as an additional language or free school meals? They should have the funding they need to provide a full, rounded, liberal education.