School Funding

Angela Rayner Excerpts

Wednesday 25th January 2017 Commons Chamber

[Angela Rayner (Ashton-under-Lyne) (Lab)]

I beg to move,

That this House regrets the impact of school funding cuts on the ability of children to reach their full potential; and calls on the Government to ensure that all schools have the funding that they need to provide an excellent education for every child.

I will try to keep interventions to a minimum, Madam Deputy Speaker; I warn hon. Members of that as I start my contribution.

We have heard much this week about respecting the mandate that the British people have given us, so today I am giving Conservative Members the chance to do that, by implementing the pledge that they gave to the country in their election manifesto. It stated:

“Under a future Conservative government, the amount of money following your child into school will be protected. There will be a real terms increase in the schools budget in the next Parliament.”

That pledge was repeated by the last Prime Minister—the one who actually fought an election—and he was very clear about what it meant. He said:

“I can tell you, with a Conservative Government the amount of money following your child into school will not be cut.”

There is one question that the Secretary of State has to answer today: will she keep her party’s promise to the British people?

The National Audit Office has revealed that, under the current spending settlement, there will be

“an 8 per cent cut in pupil funding”

between 2015 and 2020. That same conclusion was reached by the Institute for Fiscal Studies. That means that schools in every region, every city, every town and, yes, every constituency will lose money because of the failure of this Government to protect funding for our schools.

[John Redwood (Wokingham) (Con)]

Will the hon. Lady give way?

[Angela Rayner]

I want to make some progress.

Will the Secretary of State tell us whether she intends to keep that manifesto pledge? Let us consider the context.

[John Redwood]

Will the hon. Lady give way?

--- Later in debate ---

[Angela Rayner]

I want to make some progress.

Let us consider the context.

“Britain has a deep social mobility problem, and for this generation in particular, it is getting worse not better”—

as a result of—

“an unfair education system, a two-tier labour market, an imbalanced economy, and an unaffordable housing market.”

That was the conclusion of the Government’s own Social Mobility Commission. And what about our education system?

“We still have too many underperforming schools and low overall levels of numeracy and literacy. England remains the only OECD country where 16 to 24-year-olds are no more literate or numerate than 55 to 64-year-olds.”

Again, that is not my conclusion, but that of the Government’s own industrial strategy Green Paper, which quite rightly makes it clear just how central education is to our economy, especially following Brexit.

[Clive Efford (Eltham) (Lab)]

My hon. Friend is talking about the broken pledge on increasing funding for schools. Is she aware that 74 out of 77 schools—that is 96% of them—face real-terms cuts of more than £200,000 by 2019? How is that defensible? How is it evidence of a Government who care about education?

[Angela Rayner]

I absolutely agree with my hon. Friend—there is no justification for these cuts.

The Secretary of State has, of course, unveiled the proposed solution, her so-called national fair funding formula, which she presented to her Back Benchers as a kind of reverse distribution. On the Government’s own figures, they are quite literally robbing Peterborough to pay for Poole, but it will not take long for Members on both sides of the House to discover that not only is there nothing fair about the proposed funding formula but that it will not make up for overall real-terms cuts. Concerns about what that means for our constituents are shared on both sides of the House. The hon. Member for Bexhill and Battle (Huw Merriman) has said that his message to the Minister for School Standards is:

“I don’t get this and I don’t think it’s particularly fair.”

I hope that we will see the hon. Member for Bexhill and Battle in the Chamber this afternoon and that he will put his concerns forward. I hope he will speak.

The hon. Member for Altrincham and Sale West (Mr Brady) has said:

“Every secondary school in Trafford will lose funding, even though it is one of the places famously underfunded for education.”

Perhaps we will hear from him, too. The hon. Member for Cheltenham (Alex Chalk), who of course co-chairs the f40 group of historically underfunded local education authorities, said just this morning:

“The bottom line is that it’s created some distorted outcomes which we think require some significant remodelling.”

No wonder he is concerned, because nearly half of the f40 group face further cuts, rather than increases, under the Minister’s national funding fiddle.

Of course there is one Government Member who seems quite happy to accept the cuts in her own constituency: the Secretary of State herself. Schools in her own constituency are set to lose some 15% of their funding per pupil. Perhaps she will be lobbying herself.

--- Later in debate ---

[James Duddridge]

The figures I have are from the House of Commons Library. I apologise if I have misread them, but that is my reading. Is not the point that this is a consultation? If this were a fait accompli, I would not support the Secretary of State, but this is a consultation.

[Angela Rayner]

I hope that the hon. Members I mentioned will make contributions today, because the motion before the House makes it clear that our schools are facing a cocktail of cuts that will see 98% of schools lose out in the funding formula. I hope that the Government think again about their proposals.

[Seema Malhotra (Feltham and Heston) (Lab/Co-op)]

My hon. Friend is making a powerful speech. In my constituency we are looking at cuts of £437 per pupil between 2015 and 2019. With the Government saying that they believe in and want to support social mobility, and with a third of our children across the country not achieving even five good GCSEs, does she agree that this is absolutely the wrong time to be cutting school funding for the pupils who most need it and that it is an own goal when it comes to thinking about our future shared prosperity?

[Angela Rayner]

I absolutely agree with my hon. Friend, and I would go so far as to say that the meritocracy that the Prime Minister talks about is already in tatters.

The National Audit Office has said that the Secretary of State expects schools to make £1.7 billion of savings by “using staff more efficiently.” Can she guarantee today that those so-called efficiencies do not mean fewer staff? A £1.7 billion cut could mean up to 10,000 redundancies for teaching staff in our schools. She has resolutely failed to give us figures on the impact of the planned cut, but her own analysis of the research conducted by the education unions shows that, for example, the cuts in my region—the north-west—would amount to well over £400 million, requiring the loss of more than 2,000 teachers. Given that the Government have failed to meet their own teacher recruitment targets for the past five years in a row, I urge her to think again before she tries to solve school budget crises on the back of hard-working staff.

Make no mistake, this is a crisis. Indeed, schools are already resorting to staff cuts in order to cope. A Unison staff survey conducted last year showed that, even then, more than one in 10 respondents were reporting redundancies in the past year and in the coming year. More than one in five said that their school had left vacant posts unfilled over the past year or had cut maintenance. Nearly a quarter had seen increased class sizes, and over a quarter had experienced cuts to budgets for books and resources over the past year.

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

I am grateful to the hon. Lady for giving way. I am sorry that she does not agree with fair funding. How can she possibly justify a child in the constituencies of the Leader of the Opposition and the shadow Home Secretary receiving, on average, £6,229 a year and £6,680 a year respectively while a child in my West Sussex constituency, which has deprived wards, will receive less than £4,200?

[Angela Rayner]

The Labour party is for fair funding, but this is not fair funding; this is unfair funding for every school in our nation. The hon. Gentleman should take heed of what that might mean for his constituency. Pulling people down is not the way forward. If we want to make the best of our economy post-Brexit, we must ensure that we invest in all our schools, not take from one school, robbing one group of young people, to give to another, leading to an overall cut in distribution.

[John Redwood]

Will the hon. Lady give way?

[Angela Rayner]

I have given way once, so I am going to make some progress.

It was no surprise when the National Audit Office found that the number of maintained secondary schools in deficit rose from 33% to nearly 60% between 2010 and 2015. Its report refers to a sample of schools that said that typical savings came through increased class sizes, reduced teacher contact time, replacing experienced teachers with new recruits, recruiting staff on temporary contracts, encouraging staff to teach outside their specialism, and relying more on unqualified staff, none of which are measures that parents would want to see at their school. The NAO tells us that the Department’s savings estimates do not even take account of the real impact on schools. For example, the Government seem to remain committed to cutting the national education services grant, which amounts to £600 million, but they have not yet completed any assessment of how that will impact on schools across England. When will that assessment be put to the House?

Just this Monday, the Public Accounts Committee heard from headteachers who are desperately trying to keep providing an excellent education in the face of funding cuts. I hope that the Secretary of State heard the contribution of Kate Davies, headteacher of Darton College in Barnsley, for example. She said that as a result of funding cuts she had had to

“reduce the curriculum offer and cut out the whole of the community team. We have reduced staffing and reduced the leadership team.”

I am sure the Secretary of State heard Tim Gartside, headteacher of Altrincham Grammar School for Boys, say only this morning that the funding cuts that his school faces are so severe that he only has three options left: reduce the curriculum, increase class sizes, or ask parents to make a cash contribution to keep the school running. What is the Secretary of State’s plan? Does she want schools to cut subjects, increase class sizes, or make parents foot the bill? Is she not worried that routinely requesting termly cash donations from parents risks discriminating against low-income families and schools in lower-income areas? We have heard similar from not only the representatives of teachers, but unions that represent teaching assistants, such as Unison and the GMB. If she thinks assistants are a soft target for cuts, she is much mistaken.

Evidence from the Education Endowment Foundation shows that teaching assistants have a particularly important impact on the literacy and numeracy of pupils on free school meals and on those who were previously struggling—the very pupils that the Government said only earlier this week needed extra support if we are to increase skills and productivity. Teaching assistant pay has declined so far since the Government abolished the school staff negotiating body that many are now on the minimum wage. There are literally no more cuts to make to pay. Any further cuts will hit teaching staff directly.

[Alison McGovern (Wirral South) (Lab)]

I have in my constituency a big secondary school that gets the pupil premium for 67% of its kids, and it believes that it will lose £300,000. Does my hon. Friend believe that that lives up to the Prime Minister’s rhetoric?

[Angela Rayner]

I absolutely agree with my hon. Friend. I am sure that the reason the debate has been over-subscribed is that many hon. Members from both sides of the House have realised that the national funding formula and the cuts faced by our schools are taking them over the edge and building a crisis in our school system.

The Conservative party’s promise was not to spend more on schools; it was to spend more on each pupil, in real terms. Yet the Government will cut per-pupil spending. Under Labour Governments, education spending increased by 4.7% per year. The fact of the matter is quite simple: the Secretary of State and her party entered government on a manifesto that pledged to protect per-pupil funding. That promise is being broken.

[Kevin Hollinrake (Thirsk and Malton) (Con)]

I have noticed over the past two years that the Opposition seem to have an awful lot of money to spend, and the hon. Lady is obviously suggesting spending more. Does she accept the analysis performed by the Institute for Fiscal Studies of the Labour and Conservative manifestos, which effectively said that the two parties’ commitments to investment in education came to exactly the same figure?

[Angela Rayner]

The difference between the Labour and Conservative manifestos is that when Labour was in power, in 1997, 2001 and 2005, our manifesto pledged to increase spending on education, and we delivered on that. It is the Conservative Government who are not delivering on their promises. Government Members should hold them to account.

Instead of proper funding for our schools and investment in our future, we have seen years of regressive tax giveaways to the wealthiest, and now the Prime Minister and the Chancellor have threatened to turn Britain into an offshore tax haven for billionaires—a bargain- basement economy that loses billions of pounds in tax revenues each and every year. The Government are faced with choices, and time and again they make the wrong decision.

I know that every Member, on both sides of the House, will want every child in their constituency and in our country to get the best possible start in life, but if the Government do not change their course, that simply will not be possible. So today is the chance for the Secretary of State to tell us whether she will keep her manifesto pledge and commit to provide the real-term increase in school budgets that was promised. If she will not, I call on all Members of the House to send a clear message today: that we will accept nothing but the best possible start in life for every child in our country.