Oral Answers to Questions

Harriett Baldwin Excerpts

Tuesday 11th February 2020 Commons Chamber

[Rishi Sunak]

My right hon. Friend the Chancellor met my hon. Friend and his local authority recently to discuss this issue, and I have taken representations from them in the past. My hon. Friend is right that rurality and the particular geographic challenges posed by his constituency should be taken into account in the new formula. I am sure that my right hon. Friend the Secretary of State for Housing, Communities and Local Government will do that when he looks at all the representations in the spring.

[Harriett Baldwin (West Worcestershire) (Con)]

In addition to the Secretary of State for Housing, Communities and Local Government, has my right hon. Friend had a chance to speak to the Secretary of State for Education about the pressure on school budgets from the local government pension scheme? On a visit to the excellent Hanley Castle High School in my constituency last week, I discovered that almost half its payroll is covered by the local government pension scheme and that it is experiencing a lot of budgetary pressure from that.

[Rishi Sunak]

The local government pension scheme is fully funded, which means that all local authorities contribute on an annual basis. It is right that that is taken into account when setting annual budgets. I am pleased that the Government have outlined a three-year school settlement, which will take school funding up by £4 billion in real terms over the forthcoming spending period. Those extra resources will allow schools to deal with the pension pressure and invest in our classrooms, which is where the money needs to go.