Core School Budget Allocations

Baroness Blower Excerpts

Tuesday 17th October 2023 Lords Chamber

[Baroness Barran (Con)]

We understand that this has a clear impact on schools and on local authorities in particular. That is why we are working through this closely with local authorities. But to be clear, they make their final allocations once they have the definitive pupil numbers, which were published on 5 October. The earlier publication of this data allows them to do initial planning, but no definitive allocations would have been made ahead of the publication of the projected pupil numbers. We are honouring the initial commitment, which was £59.6 billion. Over three years, that is a 20% increase in funding for school budgets, with a tilting of that increase towards some of the most disadvantaged areas in the country. It would obviously be irresponsible to increase funding based on an error by officials. There is a very rigorous process, as the noble Lord knows, for approving funding and we cannot sidestep it in a situation like this.

[Baroness Blower (Lab)]

My Lords, I listened carefully to the Statement and the Minister’s response, so I wonder if she can answer two specific questions. First, the department has committed to undertake an investigation, so when will that investigation be commenced? Secondly, might the department decide at the end of that investigation, as it has done in previous, recent years, to keep the per-pupil funding as announced in July? In response to my noble friend on the Front Bench, the Minister talked about the overall spending but the issue with the recalculation of pupils is that the per-pupil funding is now lower. The department has in previous years honoured the allocation at per-pupil level rather than the global total so, after the investigation, might the department have the opportunity to reconsider and honour the per-pupil level of funding?

[Baroness Barran (Con)]

The noble Baroness needs to forgive me, but I am not familiar with the instances to which she refers. I am not aware of anywhere that there has been an error made by officials and the per- pupil figure was honoured, which would require finding, as I understand it, an additional £370 million. I do not think that is likely. I do not have an exact timeline for the investigation but, clearly, we want to get clarity on this as quickly as possible. We are absolutely committed to publishing the lessons learned from that.

--- Later in debate ---

[Baroness Barran (Con)]

There are areas of the country which, for historic reasons, have had lower than average per-pupil funding: the north-east, the north-west and Yorkshire and Humber, to give some examples. Conversely, inner London has historically had the highest per-pupil funding. That increase for inner London has been protected, but it means that those regions that I mentioned, and others, will attract above-average increases in per-pupil funding, which has been part of our strategy to ensure that the allocation of funding is fair.

[Baroness Blower (Lab)]

My Lords, given that we have time remaining, may I ask the Minister if she has a view on how the lower per-pupil funding allocation—at least £43 per pupil—is likely to impact on the mental health work in schools, particularly those wrestling with incredible child poverty?

[Baroness Barran (Con)]

I can only repeat what I said to the noble Lord, Lord Addington. Each school, as the noble Baroness well knows, has a deep understanding of the needs of their school community and is best placed to make the decision on where to prioritise spending, including the adjustments that, sadly, have to be made.