Schools: Funding Reform

Lord Davies of Stamford Excerpts

Tuesday 19th July 2011 Lords Chamber

[Baroness Howe of Idlicote]

My Lords—

[Lord Davies of Stamford]

My Lords, the noble Baroness is a very distinguished Member of this House, but I think Labour Back-Benchers are the only group who have not had a turn so far. We have a certain amount of time.

On design, did not the Victorians produce some extremely distinguished school buildings that have stood the test of time on the basis of just three or four rather standardised models? I hope the Minister will look at that example and perhaps be inspired by it.

On revenue funding, at first sight, one sees that it appears very just and sensible to cut back proportionately revenue funding to LEAs where a portion of that funding is earmarked for services that are now being paid for directly by funding academies. However, is it not the case that there are very considerable economies of scale in education, including in the operation of LEAs, and that the administrative and other fixed costs of those LEAs in providing those services will now, under this new system, fall on a reduced volume of funding for the LEA schools and therefore be a higher proportion of that funding? Therefore, schools that remain within the LEA system, will lose out, simply because there are academies in that area, and they will lose out more, the more academies there are in that area. Surely that is not fair either.

[Lord Hill of Oareford]

I agree with the noble Lord about Victorian schools. I am not an expert, but I think one of the reasons why, when one goes around London, they all look quite similar is because they were procured by a board. He is absolutely right about the question of how one goes about doing that. That demonstrates that it is possible to have something that looks recognisable but is also good quality and stands the test of time. My observation, as someone who gets sent around academies quite a lot, is that they all had fantastic architects and a lot of expense, and they all pride themselves on how original they are, but they all look quite similar if you look around the country. Going back to our earlier debate, I think the point about how design is accepted at a time is well made.

I understand the noble Lord’s point about economies of scale and academies. It is obviously the case, and it is indeed happening, that many academies are choosing to carry on buying services from the local authority if they think they are good quality local services and that they are delivering what they want. It is also the case that some local authorities are embracing, if that is the right word, a different role and are thinking that they want to be in the business of becoming commissioners and selling their services to a range of schools across broader areas. A number of different approaches are developing. I accept the underlying point he makes, but there is a varied response going on across the country.