Special Educational Needs and Disability Funding

Lisa Cameron Excerpts

Wednesday 29th January 2020 Westminster Hall

[Munira Wilson]

Absolutely. My right hon. Friend makes an excellent point. I was going to touch on deficits later, because Richmond’s finances are in a parlous situation for that very reason.

To return to the main topic of SEND funding, many children are missing out on the support that they require and deserve, because of the enormous funding pressures on local councils and schools throughout the country. The SEND funding landscape is complicated by the fact that there are two separate funding pots. There is the high needs block for EHCPs, special schools and alternative provision; and children with moderate SEND, requiring in-school support, are funded out of core school budgets. Simultaneous demands on both have created the perfect storm. School cuts since 2015 mean that support staff have been the first to be cut. That in turn has led to increased demand on EHCPs, causing delays.

As a parent of two young children, I know that if either of them needed additional support, I and my husband would explore every single avenue open to us to apply maximum pressure on decision makers to ensure that those needs were met fully. However, many parents do not have the time, resources or confidence to navigate the complex system of appeals, ombudsmen and tribunals—even with the support of SEND advocacy groups such as the excellent Skylarks charity in my constituency. The result is that the most disadvantaged families often lose out.

[Dr Lisa Cameron (East Kilbride, Strathaven and Lesmahagow) (SNP)]

I commend the hon. Lady for bringing such an important issue to the House today. I refer the House to my entry in the Register of Members’ Financial Interests. Does she agree that part of the funding issue is that there is now a lack of educational psychologists who are able to assess children at an early stage, particularly in relation to disability, learning disability and autism, and that means that a much greater burden is placed on teachers? That cannot go on, because we are failing the children we really need to be supporting.

[Munira Wilson]

Absolutely. The hon. Lady makes an excellent point, which feeds into all the wider workforce debates that we are having in relation to both health and social care and the education sector.

With both schools and councils under serious financial strain, perverse incentives in our SEND funding system start to emerge. Councils expect schools to cough up £6,000 before they will consider a pupil for an EHCP, so headteachers are often more reluctant to send children for a diagnosis. When councils, schools and health services are all cash-strapped, is it any wonder that EHCPs might be bland and vague, failing to guarantee the support to which a child is entitled? That in turn may lead to further delay or indecision. And what is the result? Many children are missing out, and local authorities find themselves in dire financial straits.

One report estimates a national high needs spending deficit of between £1.2 billion and £1.6 billion by 2021. Many authorities are relying on reserves to make up the shortfall. In Richmond this year alone the SEND funding gap is £4.9 million in year. The cumulative figure will be a staggering £15.85 million by the end of this financial year. That is despite tight financial management across the wider schools’ budget to keep the high needs deficit down. Such a significant and growing deficit is unsustainable and could result in other, non-statutory council services being cut. That is merely robbing Peter to pay Paul, and we are all too aware that local authorities have absolutely no fat left to cut.

The recent Government announcement about putting £780 million into SEND funding was of course very welcome, but that does not even begin to scratch the surface. Not only was it a single-year announcement but money was not targeted at those authorities where the SEND need was greatest, because of the way the funding formula operates. That meant that some local authorities with no SEND deficits received significant additional funding, whereas others, such as Richmond, received the minimum, barely 50% of the current year shortfall, so we have half a sticking-plaster solution.

The Department has previously advised Richmond Council to ring-fence the dedicated schools grant deficit, but auditors, the Treasury and the Ministry of Housing, Communities and Local Government refuse to accept that approach. I hope that the Minister can provide further cross-departmental guidance on that point. Indeed, I would like to request that the Secretary of State for Education meets me, my hon. Friend the Member for Richmond Park (Sarah Olney), and senior Richmond councillors and officers to find a solution to the incredibly challenging situation in which the borough finds itself.

I have spoken extensively about the impact on council finances, but we must not forget that at the centre of every tough and contested decision is a child in need of support in order to learn, develop and flourish to their full potential, and a family experiencing stress, anxiety and often financial hardship to ensure that their child has the appropriate support in place. Richmond SEND Crisis tells me that some families spend £30,000 on tribunals, sometimes remortgaging their homes to do so, and we know that many people cannot afford to do that.

Last year, four in 10 EHCPs were not finalised before the statutory 20-week deadline, according to freedom of information requests via the BBC. Many parents are resorting to home schooling because they have given up waiting for a placement in an education setting.

What are the solutions? As well as a significant cash injection, we need to remove the perverse incentives. For example, at the election the Liberal Democrats proposed reducing the £6,000 that schools are expected to pay for each child with SEND. We should not punish schools for doing the right thing. Councils need to get the basics rights on EHCPs, and they need adequate staff and resources to do so.

Finally, a national SEND strategy from the Government would encourage councils to share specialist SEND services where relevant, such as provision for deaf children. A national strategy should also set out steps to ensure that central Government, local government, schools and, critically, health and social services—which have not always stepped up to the plate on EHCPs—work together more effectively.