Universal Credit: Free School Meals

Lord Watson of Invergowrie Excerpts

Thursday 21st February 2019 Lords Chamber

[Lord Watson of Invergowrie (Lab)]

My Lords, the delay in the rollout of UC is surely a recognition by the Government that inter alia they have not offered proper protection to around 1 million children in poverty who would have become eligible for free school meals under the transitional arrangements. They are expected to miss out, at a cost of around £430 per child. As the noble Lord, Lord Addington, said, teachers know only too well that an undernourished child is in no fit state to be taught effectively. I have to say that the current Secretary of State for Work and Pensions is showing signs of a caring approach that was singularly lacking in her predecessor. Will the Government now adopt the policy consistently advocated by Labour and support all children living in poverty by completing the rollout while maintaining the existing rules under which all universal credit claimants are eligible for free school meals?

[Lord Agnew of Oulton]

My Lords, we debated this almost exactly a year ago. The key thing which may be being misunderstood is that the provisions we have put in place for children with parents on universal credit are for an expanded cohort of children. More children are now entitled to free school meals than were before universal credit.

Education, Health and Care Plans

Lord Watson of Invergowrie Excerpts

Thursday 14th February 2019 Lords Chamber

[Lord Agnew of Oulton]

My Lords, I do not have that information to hand but I will write to my noble friend to deal with it specifically.

[Lord Watson of Invergowrie (Lab)]

My Lords, autism is the special educational need that most often features in SEND appeals. Many of the cases are the result of local authorities having refused an education, health and care plan needs assessment, yet the majority of such appeals are won by parents. I very much take on board the point made by my noble friend Lord Blunkett about bringing local authorities together. But does the Minister accept that where a child has an autism diagnosis that fits in with the SEND code of practice, it should not be permissible for a local authority to deny that child’s family a needs assessment?

[Lord Agnew of Oulton]

The noble Lord is right that autism accounts for the highest proportion of all claims at about 43% of appeals. We are very much focusing on this as an area of concern. In December last year we announced a number of measures to help deal with this, including joining up the healthcare and education services to address autistic children’s needs holistically, developing diagnostics services to diagnose autism earlier, improving the transition between children and adult services so that no young people miss out, and improving the understanding of autism and all its profiles, including recently identified forms such as pathological demand avoidance.

Multi-Academy Trusts: Salaries

Lord Watson of Invergowrie Excerpts

Thursday 14th February 2019 Lords Chamber

[Lord Agnew of Oulton]

He is helping himself to a salary of some $7 million per year to promote an extraordinary organisation, which is generating mental health issues among many of our young people—and I will deal with that when answering the next Question.

[Lord Watson of Invergowrie (Lab)]

Now that the advertising is over, I make the point that in primary as well as secondary academies, head teachers earn on average more than their counterparts in the maintained sector while paying their teaching staff less than teachers’ counterparts in that sector. This is the sort of avarice that results when schools are allowed to abandon national pay scales. The Minister talked about writing to academy trusts and he did so—to those where senior staff earn more than the Prime Minister. But they can ignore him, because he has absolutely no power to compel them to moderate senior pay. It is not just salaries that are out of control in academies. The academy trusts themselves are out of the control of government Ministers; that should not be the case. Will the Government introduce measures to ensure that academy trusts are held fully accountable for the public resources they spend? The next Labour Government will certainly do so.

[Lord Agnew of Oulton]

My Lords, I do not think the noble Lord understands the degree of scrutiny to which academy trusts are subjected. It is a far higher level of scrutiny than local authority schools receive. They have to submit audited accounts every year; a comparable school in the local authority sector is audited only every three or four years on average, and that information is not published or easily available. So I disagree fundamentally with the noble Lord’s point. Regarding comparable salaries in the two sectors, a head teacher of a secondary academy is on an average of about £92,000 per year compared with £88,000 for a maintained secondary head, but the heads of academy schools have more responsibilities. The noble Lord says that we do not have any leverage but, according to the results of a recent survey, the Kreston report, in the highest of six bands—schools with 5,000 to 10,000 pupils—salaries have fallen from £140,000 to £114,000.

Teacher Recruitment and Retention Strategy

Lord Watson of Invergowrie Excerpts

Tuesday 29th January 2019 Lords Chamber

[Lord Watson of Invergowrie (Lab)]

My Lords, I thank the Minister for repeating the Statement, and welcome much of the strategy, as well as the fact that the teaching unions were fully involved in formulating it. It was certainly a long time in the making. The Government published their response to the Workload Challenge consultation four years ago next month, and the Secretary of State promised this strategy 10 months ago.

With official figures showing that teachers leave the profession at the same rate as they enter it—and with secondary school rolls due to rise by 15% in the next six years—we welcome the clarification from the Schools Minister yesterday that the £130 million annually pledged to support the strategy is indeed new money, but we shall watch closely to ensure that that commitment is delivered.

I have two questions for the Minister on issues with which I am sure he will be familiar, as they relate to academies. First, will the requirement in the early-career framework to give second-year newly qualified teachers time off-timetable be extended to every school, including academies? Secondly, the plans for a teaching school review are vague, but it seems the Government want to hand their responsibilities over to multi-academy trusts. Can the Minister say how schools that are not part of a MAT will be able to participate in these collaborative partnerships?

Finally, there is the elephant in the room in this whole debate: teachers’ mental health, which is in crisis, with studies showing that 40% of teachers are on medication. You cannot have a meaningful policy on retention and recruitment—I have advisedly reversed the order because in many ways retention is more important—without properly addressing mental health issues encountered by teachers. The Statement makes passing reference to fully funded mental health training, but what does that mean? Does it refer to teachers’ own mental health or that of their pupils? Even that brief reference relates only to early-career teachers. What do the Government have to say about support for those whose careers have developed further than that, and where is the issue of mental health in the strategy itself? I have been unable to locate it where it most sensibly should have been placed: in Chapter 3 or, failing that, Chapter 2—but no. It cannot be assumed that workload is the sole contributing factor. Making assumptions is always dangerous, and failure even to acknowledge mental health is more dangerous still, not just for the valued professionals who are our teachers but for the children to whom we entrust them.

I accept that the Minister may be unable to respond to all these issues, but we believe they are important and I ask that he writes to me to set out the Government’s position, if that is more convenient.

[Lord Agnew of Oulton]

I thank the noble Lord for his questions. Dealing with the ones that I can address straight away, I reassure him that academies will be included in the early-career framework. This is a strategy for the entire state-funded system.

Regarding the question on teaching schools, we are reviewing this at the moment and have not fully completed our thinking. One issue of concern to us is that there are too many teaching schools that between them are not receiving enough money to meaningfully engage with the surrounding areas that they are being asked to help. We are looking to rationalise that. We hope that good multi-academy trusts will play a role in that, but we are certainly not seeking to exclude good schools.

I agree with the noble Lord that retention is more important than recruitment, because there is no point pouring people into a bucket with a hole at the bottom of it. We have given a lot of consideration to how we improve retention. A big problem is the workload and how it is being imposed, particularly on young teachers. We are aware from the figures for those leaving the profession that the percentage of younger, newly qualified teachers leaving the profession is one of the highest categories. We are working on that. There are several areas of concern; for example, the pernicious expectation that young teachers should be responsible for planning their own lessons, when we want to encourage schools to provide much more support.

I shall write separately to the noble Lord to address his concerns on mental health.

Children: Special Educational Needs

Lord Watson of Invergowrie Excerpts

Tuesday 22nd January 2019 Lords Chamber

[Lord Agnew of Oulton]

The noble Lord is right that we are concerned about tribunal costs—indeed, he has asked a Question on this subject that will be taken in a couple of weeks’ time, so we will be able to deal with it in more detail then. Last year, we introduced a new measure to see how many appeals were going to tribunals: it showed that, of all the decisions made in the year by local authorities, only 1.5% were appealed by parents, and a number of authorities are seeing zero or near zero appeals. So the challenge for us is to spread the good practice of those local authorities that have very low levels of appeal, to ensure that those which are less good are learning.

[Lord Watson of Invergowrie (Lab)]

My Lords, it is no surprise at all that the Minister did not refer in any of his replies to the fact that the Ofsted annual report, published last month and looking at SEND provision, painted a bleak picture. It said that children were being failed by the education system. Amanda Spielman, the Government’s own Chief Inspector of Schools, said:

“One child with SEND not receiving the help they need is disturbing enough, but thousands”—


which is the case—

“is a national scandal”.

And yet the Minister makes no response. At least she provoked the £350 million that my noble friend Lord Blunkett mentioned. But, as he also mentioned, the local authorities are in no way assuaged by that. They have estimated that that amount is less than a third of the deficit in special needs funding which they will be facing by 2021. At least this dysfunctional Government will be history by then. My question for the Minister is this: what would he say to the families of the 2,000 children to which the noble Lord, Lord Storey, referred, who have EHC plans but who are still not receiving any provision from them?

[Lord Agnew of Oulton]

The noble Lord is taking a figure rather out of context. It is simply wrong to suggest that they are not receiving education; this category is used for several situations, such as when pupils are already in one school but waiting for a place in another, or are over 16 and waiting for a place at a college or sixth form. Some of those deemed to be awaiting provision may also be older and have recently taken up employment, and a decision to end their EHC plan is in the process of being made.

Education: English Baccalaureate

Lord Watson of Invergowrie Excerpts

Monday 21st January 2019 Lords Chamber

[Lord Agnew of Oulton]

I do not agree with the right reverend Prelate that we should include religious education in the EBacc. There is tremendous demand from various quarters to include a number of different subjects, but we are adamant that all schools should teach a broad and balanced curriculum. That is further emphasised by the changes to the Ofsted inspection framework that will come into force in September. It will put particular emphasis on academies, which have not had the same level of requirement placed on them previously. However, they will now be judged in inspections on the teaching of a broad and balanced curriculum, which will of course include religious studies.

[Lord Watson of Invergowrie (Lab)]

My Lords, following in the vein of the comments of the noble Lord, Lord Black, I offer the Minister a quote:

“Design and technology is an inspiring, rigorous and practical subject, Using creativity and imagination, pupils … draw on disciplines such as mathematics, science, engineering, computing and art … High-quality design and technology education makes an essential contribution to the creativity, culture, wealth and well-being of the nation”.


I found that earlier today on the Department for Education website yet, since the introduction of the EBacc, GCSE entries for design and technology have fallen off a cliff by more than 50%. That is largely the result of government ideology, which now dictates that studying geography is somehow of greater relevance. I wonder if the Minister can explain the logic of that and, more broadly, how adopting the curriculum of a 1950s grammar school is likely to serve the needs of a post-EU economy and of our ever-changing working life?

[Lord Agnew of Oulton]

My Lords, there has indeed been a decline in the proportion of pupils studying design and technology, but great changes have been made to the subject. As I mentioned in response to a Question last week, we have created a different and additional subject called food preparation and nutrition, which has attracted 46,000 entries. It was part of the old design and technology course. We have worked with the James Dyson Foundation, the Design and Technology Association and the Royal Academy of Engineering on the content of the design and technology curriculum. However, in the spirit of collaboration with the noble Lord, I shall quote an eminent left-wing academic on the sociology of education, Professor Michael Young of UCL, who says that social justice demands that children from low-income backgrounds have as much access to knowledge as their advantaged peers.

Education: Art and Design

Lord Watson of Invergowrie Excerpts

Thursday 17th January 2019 Lords Chamber

[Lord Agnew of Oulton]

I agree entirely with my noble friend. One of the things I have prioritised in my discussions with the independent sector is how it can improve and increase its support for the state education sector. Harris Westminster, which I referred to a moment ago, would acknowledge that it received a lot of help from Westminster School in the extraordinary outcomes it got—but there is always more to be done.

[Lord Watson of Invergowrie (Lab)]

My Lords, I am pleased to hear from the Minister that Ofsted is to look at this, because arts subjects are compulsory in the national curriculum only at key stages 1 to 3. As the noble Earl said, referring to the Fabian Society report, even there they are in decline. Arts subjects in state schools are being squeezed out by the English baccalaureate, yet the artistic, creative and technical sectors of the economy are worth around £500 billion a year and need just such skills in our young people. Will the Minister accept that the English baccalaureate is the problem here, not the issues he raised previously? Will he commit to fundamentally changing that so that—as the noble Lord, Lord Addington, said—the broader curriculum can be performed, allowing us to serve the future needs of our economy?

[Lord Agnew of Oulton]

My Lords, I am afraid I do not accept for one moment the claims made by the noble Lord. Indeed, in 2009 150,000 pupils took art and design, while 141,000 did so in 2018—that with a cohort of 50,000 fewer pupils in the system for that phase. The noble Lord always seems to avoid the number of subjects we stripped out of the curriculum we inherited from the Labour Government. We took out over 3,000 useless subjects that children were being taught, including fish husbandry, practical office skills and nail technology services. We have brought back rigour to the education that children are learning. In 2009 only 365,000 pupils took science. Last year it was 499,000—that is 130,000 children getting a much better education.

Free Schools: Educational Standards

Lord Watson of Invergowrie Excerpts

Thursday 10th January 2019 Grand Committee

[Lord Watson of Invergowrie (Lab)]

My Lords, I welcome the return of the noble Lord, Lord Nash, to the fray. For two years, we sparred across our respective Dispatch Boxes, which I very much enjoyed, but suddenly, he was gone. We subsequently learned that this was to spend more time with his family, but not in the fashion normally associated with political withdrawals: the noble Lord’s family is synonymous with the Future Academies trust, which runs six schools, including a free school. I note that, at one time, the Minister was also one of its trustees.

I was aware of the Leader of the House’s background when she was appointed to a ministerial post from her role at the New Schools Network. Prior to today, I was unaware of the role of the noble Lord, Lord O’Shaughnessy; the noble Lord, Lord Nash, described his as having “invented” the free schools programme. Adding the noble Lord, Lord Hill, to the mix, someone less charitable than myself might point to a pattern in those connections.

I listened closely to what the noble Lord, Lord Nash, said in his introductory remarks. I have to say that he did not surprise me. I say that because my research for the debate revealed a newspaper article from October 2013 in which the noble Lord was taken to task by my predecessor, my noble friend Lady Jones of Whitchurch, and accused of misleading Parliament on the performance of free schools. I understand and accept where the noble Lord is coming from, which naturally colours his view of free schools. Mine, however, is rather less rose-tinted.

As has been pointed out by noble Lords and in recent reports by the Education Policy Institute and the Sutton Trust, judging the contribution of free schools to improving educational standards after seven years in existence is somewhat premature. Even with that caveat, it should be pointed out that free schools account for just 2% of all state-funded schools in England and parents in two-thirds of the country are not within reasonable travelling distance of either a primary or secondary free school. Surely any improvement that it is possible to demonstrate can only be a tiny one; there is no evidence that free schools are better overall than any other schools, once intake is taken into account.

I chuckled at the plea of the noble Lord, Lord Kirkham, for ideology to be put to one side. Free schools form part of a wider ideological drive by the Conservative Party, aided and abetted for five years by the Liberal Democrats, to undermine and weaken local authorities in general, particularly through preventing them developing the maintained school sector. Since 2015, there has been a presumption that no new school can open unless it is part of the free school programme. In the main, new free schools have been opened since then as part of academy chains, meaning that they are not in the mould originally intended.

My noble friend Lord Winston pointed to the successes that he has encountered in free schools, but when these schools were launched, they aimed to encourage parent groups to establish their own schools, increase the number of schools with innovative approaches to their curriculum or ethos and meet the demographic needs of specific areas. Having noted that research bodies have expressed the view that not enough time has passed for meaningful judgments to be made on free schools improving education standards, I will be careful in assessing those aims, but it is not unfair to say that, thus far, free schools have not lived up to their billing of being either led by parents to a sufficient extent or a major source of curriculum innovation. The number of schools established with parental involvement was at its height in the early years of the programme, with more than 40%, but that figure has now dropped to less than 20%, which is most regrettable.

Of those that parent groups did launch, several have since been taken over by academy trusts. One high-profile casualty was reported last summer, when the Greenwich free school—one of the first to be approved under the scheme and founded by a group that included a former head of strategy at the DfE—was handed over to a large multi-academy trust. That free school is now just another academy, suggesting the Government’s vision of schools created by enthusiastic activists has run out of steam.

Academy chains now dominate the free school programme, as we have heard. Some 39% of all free schools have now been opened by multi-academy trusts, which is reflected in the view of the Sutton Trust’s report that,

“as free schools have now become the default model for new schools, with all new academies characterised as such, it has become a vehicle for the expansion of MATs”.

In other words, it is a monopoly—something referred to disparagingly by the noble Lord, Lord Nash, as Marxist. As a Marxist, I can say that he needs to do some more reading on that subject. I am not advocating monopolies. I really worry about the blindness of anything that can be seen to be countering the argument for academies and free schools we encounter from the Government side.

On the assumption that it was not the Government’s intention that free schools should become a vehicle for the expansion of MATs, I would be interested to hear the Minister’s view on that development and whether he and his ministerial colleagues intend to take action to redress the balance and provide the necessary resources for the pendulum to swing back towards parents. That is what we want to see, and it is why Labour in government will end the programme to further extend free schools and academies, to be replaced by a model that I will refer to later.

There is also the question of a failure of free schools to address demographic need. The Government have allowed the situation to develop where local authorities have statutory responsibility for providing school places in their area, yet they cannot tell free schools or academies to take in more pupils to meet that need, even where those schools are below capacity. That anti-local authority policy makes no sense and Labour will bring it to an end.

In its report of November 2017, the Education Policy Institute found that free school growth had been greatest in the areas most in need of new school places, as it should be, but it also found significant numbers in areas where there was already an excess number of places. More worryingly, I suggest, the proportion of pupils who attend free schools that are eligible for free school meals is 13.3%, against 14.7% in all schools. That was even worse in reception year, with proportions of 32% eligible for free school meals, but only 24% in free schools. That is clearly an issue that has to be addressed by the Government.

I am also concerned that free schools drive a coach and horses through sensible planning of school places and consequently waste considerable amounts of money, as outlined by my noble friend Lady Morris. I do not welcome the closure of any school so I will not overemphasise the fact that 10% of free schools have closed, but they have obviously done so at considerable cost, as outlined by my noble friend Lord Winston.

The question of what price is paid for school sites is obviously a serious one, because it has been highlighted by the National Audit Office that considerably above the going rate or the market rate has been paid. That represents profligacy with public funds, especially at a time when school budgets are stretched to breaking point. Transparency should be at the heart of state-funded schools policy. Perhaps the Minister would care to say whether the DfE is still playing fast and loose with public finances as regards free schools and with the information provided on those finances, which is often difficult to achieve?

As the shadow Secretary of State has made clear, Labour will end the free school programme and restore the right of local authorities to open and commission new schools, but we are not doing so at the expense of parents. We have often voiced our concern about the cost-effectiveness of the programme, but we will ensure that there is sufficient capital investment and that the manner in which we spend public money is not hidden from the public. Labour policy is centred on accountability and, wherever possible, local accountability. We will return decision-making about new schools and changes to schools to the local level. We are clear that this kind of decision-making should be centred in one place and that there should be proper local engagement. Local authority decision-making is done through a proper and transparent process, unlike, I have to say, regional schools commissioners, who make decisions behind closed doors with no proper public consultation or process. That will come to an end under the national education service that we will establish.

We will introduce a new generation of co-operative schools. Those community-run schools were introduced under the Government of Tony Blair, and there are currently around 350 of them in place at the moment, which is not widely known and perhaps not widely enough talked about. We want to encourage more of these schools to open again where new schools under parental control are sought. We will allow parents and teachers who want to get involved in running them to work with local authorities to do so. But the ultimate decision as to where they should be established will rest with local authorities, not with the DfE. I think it somewhat bizarre that it is the Conservatives who favour central planning over a devolved structure, but that will change as soon as we have a general election.

What we will not do is close existing free schools or academies. Going forward, the educational landscape will be based on local accountability at the heart of it, not central control, with parents increasingly marginalised, as we have heard, under the free schools programme. That may not involve the major structural change that the noble Lord, Lord Hill, fears, but it will offer a more positive and participative approach to our children’s education in the future.

[The Parliamentary Under-Secretary of State, Department for Education (Lord Agnew of Oulton) (Con)]

My Lords, I am grateful to my noble friend Lord Nash for calling this debate to provide the opportunity to speak about the successes of the free schools programme and the contribution that they have made to improving educational standards across our country. I thank my noble friend for his continued commitment to the free schools programme and the dedication he showed as Parliamentary Under-Secretary of State for the School System before me. I acknowledge his work with Future Academies, the trust responsible for establishing Pimlico Primary, a free school that has been rated outstanding.

The free schools programme was established in 2010, with the first ones opening in 2011. The Government invited proposers to take up the challenge of setting up a free school—groups which were passionate about ensuring that the next generation is best placed to face the challenges and opportunities that lie ahead. Now, eight years on, the benefits of their hard work can be seen across the country. As of 1 January this year, 444 free schools are open, which will provide 250,000 places when at full capacity. To reassure the noble Lord, Lord Watson, 121 of 152 local authorities now have at least one free school in their area, and we are currently working with groups to establish a further 265 free schools, currently at different stages of pre-opening.

I agree, obviously, with my noble friend Lord Popat that the free school story is a positive one. There is a growing body of evidence to show that free schools are improving educational standards. I will come to that in more detail later. I am pleased that my noble friend highlighted in particular two free schools in Harrow: Pinner High School and Avanti House. These schools are a credit to those involved in setting them up and the teachers who work there.

Ofsted’s latest information shows that, of those free schools that have been inspected, 85% are rated good or outstanding. This is a fantastic achievement, and I congratulate the proposers and teachers who have worked so hard to achieve this. The performance data of free schools speaks for itself. Free schools are among the highest- performing state-funded secondary schools, with pupils at the end of key stage 4 having made more progress on average than pupils in other types of state-funded schools in 2018.

In 2018, four of the top 10 provisional Progress 8 scores for state-funded schools in England were achieved by free schools: William Perkin Church of England in Ealing, Dixons Trinity in Bradford, Eden Girls’ School in Coventry and Tauheedul Islam Boys’ High School in Blackburn. The latter two were opened by Star Academies, which has grown, through the free schools programme, from running a single school in the north-west to running 24 across the country, made up of nine academies and 15 free schools, and it has approval to open two more free schools. Of the 10 free schools that have been inspected by Ofsted, every single one has been rated outstanding. In addition, Dixons Trinity Academy achieved extraordinary results in 2017 and last year with its first set of GCSEs, placing it among the top schools in England for progress achieved by its pupils. Strikingly, the progress score for disadvantaged pupils was higher than for the whole school, including their more affluent peers.

The noble Lord, Lord Winston, asked about some longitudinal analysis on the impact of free schools. I have offered data here and I can offer some more, but I will write to him to bring all these strands together. On a personal note, I happened to be at that lecture at Pimlico Academy six or seven years ago. I was as inspired as the hundreds of children listening to the noble Lord that day. I speak as someone who failed chemistry O-level, but the noble Lord brought that subject alive to me that night.

My noble friend Lord Kirkham and the noble Earl, Lord Listowel, asked about disadvantage. There are numerous examples of free schools helping to improve outcomes for these children. There is the Reach Academy Feltham, which opened in 2012, which is a small all-through free school set up by a group of teachers in an area of high deprivation. Ofsted rated it outstanding in 2014. It was one of the top-performing schools nationally for progress in 2017, with disadvantaged pupils making more progress than other pupils. In 2018, provisional results show that the school has a progress score well above the national average.

I join my noble friend Lord Hill in publicly thanking my noble friend Lord Harris for the achievements of his trust. In just one example, Harris Westminster, which opened in 2014 and with close ties to Westminster School, 40% of its pupils are from disadvantaged backgrounds and 18 pupils got into Oxbridge last year. These schools show that the socioeconomic background does not need to be a barrier to excellence. To reassure my noble friend Lord Kirkham and the noble Earl, Lord Listowel, the whole of the country is benefiting. Last year, 16 free schools achieved outstanding judgments from Ofsted. Eleven of those were outside London, including Birmingham, Lancashire, Slough, Leeds, Coventry and Stockton-on-Tees.

Free schools have challenged the status quo, injecting fresh approaches. We are drawing on the talents and expertise of groups from different backgrounds, giving local communities and parents more freedom and choice so that every child can go to a good school that suits their child’s needs, whether that be a mainstream school with a specialism or an alternative provision or special school. Indeed, I give public credit to my noble friend Lord Baker for his tireless work in creating the UTC programme. In 2016-17, 21% of UTC key stage 5 pupils went on to an apprenticeship, which is three times the national average.

My noble friend Lord O’Shaughnessy made the crucial point that this is all about creating more good school places. This is not the only route, but it is leading the way through social entrepreneurship. Many noble Lords in this debate have played a crucial role in the free school programme, but I can safely say that my noble friend Lord O’Shaughnessy has to be one of the godfathers.

My noble friend Lady Stroud also asked about disadvantage. It is important to stress that nearly half of all open free schools are in the 30% most deprived areas in the country. We are proud of that fact. Results also show that when disadvantaged pupils attend these free schools they perform well at key stage 4. However, we know that there is more to do to ensure that free schools reach out to pupils in these areas, and with the most recent free school wave, Wave 13, we targeted the third of local authorities with the lowest standards and lowest capacity to improve, putting free schools in places most in need of good schools. We are currently evaluating those bids.

The noble Lord, Lord Watson, is concerned about the cost of school buildings, but it is important to point out that we have reduced the building cost per square metre by over 30% from the framework that we inherited from the Labour Government. My predecessor, my noble friend Lord Nash, created LocatED as a specialist buying agency for property sites for free schools and it is already showing data that it is acquiring sites below the red book value, which is the benchmark for the cost of buildings.

I turn to special schools and AP schools. Our ambition includes children with special educational needs and disabilities, and children in alternative provision. We want them to be able to do their best in school, reach their potential and find careers leading to happy and fulfilling lives. To help achieve that ambition, as of 1 January this year we have opened 34 special and 41 alternative provision free schools. This includes the Pears Family School, which achieved an outstanding rating from Ofsted in 2017, with inspectors noting the high-quality therapeutic care and teaching alongside the strong progress made by its pupils.

My noble friend Lady Finn pointed out that we have now opened two maths schools in partnership with highly selective maths universities, King’s College London Maths School and Exeter Maths School. The aim of these schools is to prepare our most mathematically able students to succeed in maths disciplines at top universities and pursue mathematically intensive careers. We have two further maths free schools in pre-opening—one with St John’s College Cambridge and the University of Liverpool Maths College.

At the other end of the educational spectrum we have in pre-opening the London Screen Academy, supported by Working Title, which last year was the inaugural recipient of Screen International’s outstanding contribution to UK film award. This new school will provide film industry-focused vocational training for 16 to 19 year-olds alongside a broader curriculum. I give that as just one example to reassure the noble Baroness, Lady Morris, and my noble friend Lord O’Shaughnessy of the innovative groups still becoming involved. We are certainly encouraging free schools to be part of MATs to draw on the central support that they offer. This is simply part of the evolution of the programme and addresses the problem mentioned by my noble friend Lord Polak about school collaboration.

[Lord Watson of Invergowrie]

I take the point that the Minister is making, but will he address the point about parental involvement and the decreasing number of free schools being established at the behest of local parents?

[Lord Agnew of Oulton]

The noble Lord will be aware that any academy needs to have an academy council that must include two parental representatives.

[Lord Watson of Invergowrie]

That is not the same point.

[Lord Agnew of Oulton]

No, I accept that, but we review all bids and they are selected on merit. One of the lessons that we have learned from the programme is that free schools are better inside MATs. Being inside a MAT does not mean that it is one size fits all. I speak as someone who set up four free schools myself inside a MAT. There is a wide range of different practice inside those schools. To reassure the noble Lord, just because a free school is in a MAT does not mean that it is outside parental involvement or input.

Religious Education

Lord Watson of Invergowrie Excerpts

Monday 17th December 2018 Grand Committee

[Lord Watson of Invergowrie (Lab)]

My Lords, this is a welcome debate on an important subject, and I congratulate the noble Lord, Lord Alderdice, on securing it. Of course, the sands have shifted considerably since he did so; as we know, the Secretary of State has set out the Government’s position in a letter to the commission’s chair, the Very Reverend Dr John Hall. That letter amounted to little more than platitudes, followed by a blunt dismissal of the report’s recommendations and a firm refusal by the Secretary of State to address the current state of the delivery of religious education in our schools. The noble Lord, Lord Alderdice, was being kind when he described it as negative and disappointing.

Religious education is a vital academic subject, providing important knowledge as well as the tools to develop critical thinking and ask informed questions. It is important for pupils to have the opportunity to learn about all faiths and beliefs and to understand the way that these impact on how people view the world.

The commission’s report is the result of two years of consultation and has been widely welcomed, most notably by the Church of England, the National Association of Teachers of Religious Education, the National Association of Head Teachers and Humanists UK. We share the view of the National Education Union that it should form the start of a much-needed conversation about the place of religious education in our schools. The report confirmed that the pressures on schools to focus on limited, tested subjects and the shortage of teachers with the appropriate subject knowledge make it difficult to focus on religious education.

The commission’s headline recommendation is that the subject of religious education should be renamed religion and world views, which we endorse. That would allow the subject to be fully inclusive of humanism, reflecting the facts—uncomfortable for some, no doubt—that more than a quarter of people have humanist beliefs and values, and that more people self-identify as non-religious and humanist than the total number of adherents of all non-Christian religions in this country.

I note from their responses to the report that the Catholic Education Service and the Board of Deputies of British Jews—bodies that I respect—oppose the addition of humanism and other non-religious perspectives to religious education. Both organisations suggest that the incorporation of world views into the syllabus would somehow diminish religious education. In his response to the report, the Secretary of State said that he had received similar representations. I contend that, with the number of pupils taking religious studies at A-level having fallen by 22% since 2017, and with 70% of people aged 18 to 24 identifying as having no religion, the inclusion of a diverse range of world views would make religious education better equipped to remain relevant to young people growing up in 21st-century Britain, both those with religion and those without.

Currently, legislation and funding agreements require all state-funded schools to deliver religious education. Yet it is clearly not a subject that the Government hold as being of much importance, having been further sidelined by the introduction of the EBacc. Further evidence was provided earlier this year when the Schools Minister, Mr Gibb, stated in a reply to a Written Question:

“Ofsted does not routinely compliance check whether schools, Standing Advisory Councils on Religious Education … or Agreed Syllabus Conferences … are meeting all of their statutory requirements”.


Why would that not be a matter of routine importance to Ofsted? As the right reverend Prelate the Bishop of Chichester said, if the requirements relating to the teaching of religious education are statutory, then by definition they must be complied with. That echoes the point made by the noble Lord, Lord Alderdice, that 33% of schools do not offer religious education at key stage 4.

Will the Government begin ensuring that the current law is upheld by schools in terms of religious education, or are they planning to rescind that part of the statute? Which is it? The Government cannot continue conniving in the law being effectively ignored in such a manner. This laissez-faire approach adds weight to the commission’s recommendation that a national entitlement to the subject should be introduced in place of existing legal requirements. With the Government apparently unable or unwilling to ensure that religious education meets their statutory requirements, having a nationwide entitlement would ensure that parents knew what they could demand of their child’s school and have clear recourse were it not to be met. This should become statutory for all publicly funded schools and, for maintained schools, should replace the requirement to follow the locally agreed syllabus.

The commission also recommends that for faith schools, a requirement should be introduced to provide religion and world views within the national entitlement. This would be provided in addition to any faith-based education and, again, is not supported by either the Catholic Education Service or the Board of Deputies of British Jews—I think I can understand why. Labour is minded to support that recommendation but, before doing so, we intend to meet both those organisations and those representing other faiths to understand why they believe that by teaching pupils at their schools about world views, they would undermine the teaching that they currently offer. Surely, those religions are more than robust enough to withstand their adherents receiving a broader understanding of the philosophy that underpins the beliefs of others. No matter; the law is quite clear that humanism should be included on an equal basis to the major religions—indeed, this was the conclusion of a 2015 judicial review of the matter.

This is not, as the noble Lord, Lord Alton, suggested, about telling faith communities that they are no longer welcome. That is a mischaracterisation of those who advocate broadening and deepening the curriculum through critical thought and reasoning. In its response to the Secretary of State’s letter, the Religious Education Council said that it was disappointed by his reaction to the report which,

“fails to grasp the urgent need for reform of Religious Education to better prepare young people for life in modern Britain”.

That is a view with which we concur. The Government should think again.

[The Parliamentary Under-Secretary of State, Department for Education (Lord Agnew of Oulton) (Con)]

My Lords, I thank the noble Lord, Lord Alderdice, for securing this debate. I am grateful for this opportunity to set out the Government’s position on religious education and our response to the Commission on Religious Education’s report. During this debate, noble Lords have argued strongly for the importance of religious education and a commitment to its continuation and improvement. The Government share that commitment.

We have decided that now is not the time to implement the commission’s ambitious recommendations radically to reform religious education. However, the Government agree that good-quality religious education can develop children’s knowledge of the values and traditions of Britain and other countries. It can foster understanding among different faiths and cultures. It is an essential part of a school’s legal duty to promote young people’s spiritual, moral and cultural development. I agree with the noble Lord, Lord Alderdice, when he said that we have to help children to understand their way of being in the world.

Schools and colleges have a duty actively to promote fundamental British values as part of the duty to prevent people becoming drawn into terrorism. These shared values—democracy, the rule of law, individual liberty and respect and tolerance for those of other faiths and beliefs—unite us and underpin our society. The religious landscape of this country forms part of those principles, and the noble Lord, Lord Stone, referred to the value of unity and oneness. Understanding our British values is a vital part of that. I perhaps have more faith in the power of the teaching of British values than other noble Lords who have spoken in the debate, and it is of course still an evolving part of the responsibility of schools, having been introduced only recently.

According to the school workforce statistics, 3.3% of all teaching hours in state-funded secondary schools in 2017 were spent teaching religious education. This compares with a figure of 3.2% in 2010, so it has remained broadly stable over that period. The noble Lord, Lord Alderdice, worries that we do not have enough time in the curriculum for the teaching of religious education. However, we do not specify that equal time needs to be spent by each year group on the subject, only that it must be taught throughout a pupil’s school life. For example, there is no reason why schools could not dedicate more time at key stage 3 than at key stage 4, when pupils are generally not studying for GCSE. The key stage 3 national curriculum is designed as a three-year programme of study to prepare children to start GCSEs in year 10.

The noble Lords, Lord Addington and Lord Alderdice, worry that there is not enough time at key stage 4. Having said that, the EBacc was designed to be limited in size to allow pupils to continue to study additional subjects and reflect their individual interests and strengths. This allows not only for schools to teach RE, as we would expect, at key stage 4, but for religious studies to be a feasible GCSE option.

However, one of the commission’s most concerning statements was that it had found a number of maintained schools and academies either no longer teaching RE or no longer teaching it as a dedicated subject. On that point, I would like to be very clear: RE is not optional. Schools not teaching it are acting unlawfully or are in breach of their academy funding agreements. We will take action if this is found to be the case.

I assure the noble Lords, Lord Watson and Lord Alderdice, that where we are made aware of a school not meeting its duty to provide religious education, my department will investigate, as long as the school’s complaint procedures have been followed. In the last two years, the department has received only one formal complaint about a school not complying with its area’s agreed syllabus for religious education. Following the department’s intervention, the school has revised its curriculum to meet requirements.

One of the commission’s key recommendations is to change legislation so that all state-funded schools have to deliver the national entitlement on religion and world views. Reworded legislation would therefore be extended to encompass non-religious world views. Many teachers already cover aspects of world views in their RE lessons. Both GCSE and A-level content specifications include reference to non-religious views. But the potential scope of what could be considered a world view is very wide. Agreeing precisely what should be taught as part of a national entitlement would be fraught with difficulty.

The commission’s report suggests that existentialism and Confucianism are examples of suitable non-religious world views as they each make ontological and epistemological claims. This illustrates how defining world views and then deciding those worthy of study is complex. There is a risk that religious education is diluted in an attempt to embrace many other strands of thinking. The noble Lord, Lord Alton, raises the responses of the Catholic Education Service and the Board of Deputies of British Jews. Both have publicly expressed their concern about this. They are unlikely to be alone. This would make it difficult to agree a consensus.

An important focus of the commission report was the need to recruit, train and retain specialist teachers of religious education. This is key to maintaining the integrity of the subject and the quality of teaching. In recognition of this, we made two announcements in September. First, we increased bursaries so that RE trainees with a First, 2.1, 2.2, PhD or Master’s will now receive £9,000. Secondly, we allocated new funding for religious education subject knowledge enhancement courses of up to eight weeks. These offer graduates the chance to refresh their subject knowledge either before or during initial teacher training.

The right reverend Prelate the Bishop of Chichester raises the importance of Ofsted assessments of religious education, and I agree with him that this is an important part of an inspection of a school. I will take back his suggestion that to achieve an outstanding grade, schools should provide good-quality religious education.

The noble Lords, Lord Addington and Lord Watson, worry about the decline in teaching of religious education in schools. Actually, the picture is not quite as bleak as one might think. There was a 21% increase in the number of pupils entered for the full-course RE GCSE between 2010 and 2018, from 176,000 to 213,000 pupils. There has also been an increase in the percentage of the total key stage 4 cohort entered for this examination, from 28% in 2010 to 37% in 2018. This is important.

[Lord Watson of Invergowrie]

I thank the Minister for giving way. He talks about key stage 4, but as the noble Lord, Lord Alderdice, said and I repeated, a third of key stage 4 students do not get religious education, so cannot sit exams in it. If the Minister wants to increase the figures, as I think we all do, surely he should be getting those 33% of schools to make sure they do what they should be doing under the law and teach religious education at key stage 4.

[Lord Agnew of Oulton]

Referring to my earlier point, we will always investigate any serious allegation about the non-teaching of religious education, and this report certainly highlights examples of that. If they are referred to us, we will certainly investigate. To reassure the noble Lord, Lord Watson, we are committed to ensuring that religious education remains a key part of a child’s education.

The noble Lord, Lord Alton, mentioned Article 18—freedom of religion—and violations of it. The Government are concerned about the severity of violations of the freedom of religious belief in many parts of the world. Defending and promoting human rights is an essential aim of the foreign policy of global Britain, and derives from the International Covenant on Civil and Political Rights.

The report mentions that the right to withdraw from religious education has existed in our education system since 1870 and was reconfirmed in legislation in the 1944 and 1988 education Acts. The commission found that many schools are not clear on the scope of this right and how to handle applications for withdrawal. The report recommended that the DfE provide clearer guidance. Since then the National Association of Head Teachers and the National Association of Teachers of RE have produced guidance for schools on this issue. The Government are comfortable with this guidance; my department will help to raise awareness of it.

The noble Lord, Lord Alton, raised a concern about the locally agreed syllabus for RE. For many schools the current requirement is that they follow a locally agreed syllabus monitored by the standing advisory councils for religious education. The department’s guidance is clear: that at local level, representatives of religious and other interests can serve as formal or co-opted members on both SACREs and in groups of this conference to review the locally-agreed syllabus. These are important principles which should not be lost without more careful consideration.

I thank the Commission on Religious Education for its well-considered report. Although it offers radical options for reform which at the moment we cannot consider implementing, we welcome the debate that it generates. The Secretary of State for Education has been clear that reducing teacher workload is one of his top priorities, and as part of that he committed in March not to make further changes to the curriculum. In this context we must decline to take forward the commission’s vision for the future of RE in England.

Schools: Funding

Lord Watson of Invergowrie Excerpts

Thursday 29th November 2018 Lords Chamber

[Lord Watson of Invergowrie (Lab)]

My Lords, I thank my noble friend Lady Morris for opening the debate with all the passion and authority of a former Secretary of State. I thank noble Lords for their contributions.

As noble Lords have mentioned, it has to be said that on school funding, the Government seem to enjoy less-than-full support from their Back Benches—and not only in your Lordships’ House. In a debate on this subject in another place two weeks ago, many people expressed concerns. Today, only the noble Baroness, Lady Eaton, was willing to put her head above the parapet, although she was hardly fulsome in her praise of the new funding formula. Indeed, I am indebted to her because by quoting in detail the shocking figures on school deficits contained in the Education Policy Institute report from earlier this year, she saved me from doing so.

Given his hands-on experience, I suspect that I am not the only noble Lord who regrets that the noble Lord, Lord Harris of Peckham, was not able to take part in the debate. However, I doubt that the Minister will feel the same way because the noble Lord clearly called the Government out on funding. He said that schools in his multi-academy trust had already made £12 million of savings but were facing a further 20% real- terms cut in funding over the next five years. He also criticised the Government’s free schools policy as an expensive drain on limited resources. He is only too aware of the impact on schools of the Government’s approach to school funding.

Recently, the Prime Minister promised us that austerity is over but the Budget made it clear that it will continue for years in our schools, colleges and early years providers. All the Chancellor offered schools during the Budget was what were patronisingly labelled “little extras”: £400 million in capital funding after the Government cut the capital budget by £3.5 billion in real terms. That reverses barely one-tenth of the cuts in this area. The Budget did nothing to provide additional revenue funding to schools that are struggling to afford the essentials; per-pupil funding will fall again next year as a result. Further and adult education once again received no support, and no action was taken to reverse the £3 billion-plus of cuts they have suffered since 2010. My noble friend Lady Massey outlined very effectively the impact of that on early years provision.

The Secretary of State should have fought much more vigorously for a share of the Budget that properly recognises the real needs of schools. Ministers may choose to ignore what they regard as politically motivated criticism from opposition parties but they should take note of impartial and respected research organisations, which have highlighted underfunding in schools. I mentioned the Education Policy Institute, for example, and many noble Lords, not least my noble friend Lady Morris, highlighted the Institute for Fiscal Studies report that identified the 8% cut in real terms between 2010 and this year. Of course, that was driven mainly by a 55% cut to local authority spending on services and cuts of more than 20% to sixth-form funding. These figures are alarming. I take no pleasure in repeating them but it is clearly necessary to do so because the DfE and its Ministers are simply not listening. Ignoring a problem does not make it disappear.

The reality is worse than what was outlined by the IFS because it did not take account of future additional burdens that will be loaded on to school budgets—additional national insurance and pension costs that the DfE will not fund, most notably. The Minister needs to tell noble Lords whether he accepts those figures because it seems that only those in the citadel of the DfE refuse to believe that the IFS report reflects the all-too-real difficulties experienced daily by our schools.

As I am sure the Minister has done, I read the Secretary of State’s speech when school funding was debated in another place two weeks ago. As usual, Mr Hinds concentrated on overall spending, ignoring the rise in pupil numbers. He compared current funding with that in 1990 or 2000, rather than 2010—a point made by my noble friend Lord Bassam. Education was not in a good place after 18 years of a Tory Government; being a bit better than that is hardly something to be proud of. I plead with the Minister to spare me the mantra that none of this matters much because standards are rising and since 2010, 1.8 million more pupils are now in “good” or “outstanding” schools. Many of us regard that as code for, “Academies, good; maintained schools, bad”. That figure has little to do with government policy; it is more a reflection of increases in pupil numbers and the result of changes to the inspection system.

Equally, schools that have been rated “outstanding” often do not see an Ofsted inspector for 10 years or more, with those performing less well naturally receiving the most attention. Before I leave this issue, let it be noted that Ofsted’s statistics on outstanding schools have improved much more sharply in the primary sector, where only 25% are academies, compared to secondary schools, 75% of which are academies. So, are academies good and maintained schools bad? The figures tell a different story.

There is an existential funding crisis in schools, which manifests itself in many ways. One way is the growing teacher shortage, which is partly, but not exclusively, a result of pay; workload is certainly an issue too. My noble friend Lord Knight powerfully outlined the spiral of decline that often follows the departure of teachers from their classroom. The Minister should take note of that. Another product of underfunding is the narrowing of the curriculum mentioned by the noble Lord, Lord Storey, and my noble friend Lady McIntosh. Although the EBacc is a factor, cost pressures are also responsible for schools ending or reducing the provision of subjects such as music, art, drama, design and technology and other creative subjects.

Then, there is the crisis within a crisis: provision of support to children with special educational needs and disabilities. That was mentioned by many noble Lords, not least the noble Lord, Lord Addington, and the right reverend Prelate the Bishop of Worcester, who spoke passionately about the effect of funding cuts on vulnerable children. Yet the Government expect local authorities to find the first £6,000 of SEND funding per child from within their existing budgets. I often wonder what world DfE Ministers inhabit. Noble Lords will have noted from the briefing provided by the Local Government Association that councils are reporting huge pressures on the high needs funding block; indeed, they say it is one of the most serious financial challenges they are dealing with at present. We all know that they are dealing with a number of such challenges.

If the Minister remains unconvinced, he should study the survey carried out two months ago on SEND provision by the National Association of Head Teachers. Its general secretary stated:

“Schools are left struggling to meet the needs of our most vulnerable pupils. Without sufficient funding and a more coherent approach, the SEN code of practice is nothing more than an empty promise from government to parents and children”.


These dedicated professionals are in charge of our children’s education. That same group felt so concerned about overall school funding levels that, recently, more than 1,000 of them marched on Downing Street to bring their message to the Chancellor of the Exchequer. They are head teachers. Who would have thought that a Government could so comprehensively fail to support the people who run schools and set their budgets that they would be forced into that kind of action? Desperation drove them to it, and the Government should be ashamed that they caused that to happen.

The schools funding crisis even stretches to libraries closing. The School Library Association reports that it has lost 10% of its members since 2015, and recently, one member was told by their head teacher that the library was a “luxury” the school could no longer afford. Many parents regularly receive requests to contribute to the cost of new whiteboards, iPads or playground equipment; in some schools, it is textbooks or stationery. Parental contributions are not always voluntary. Last month, a Guardian report found that 43% of parents have been asked to make contributions in some form, up from 37% two years ago. This should come as no surprise; it is a sign that free education—a right enshrined in the 1944 Education Act—is being eroded.

Of course, there is another side to cuts to school budgets: the scale of the Government’s waste of resources. I have no time to go into the details, but 91 academy trusts have now closed, as reported by Schools Week recently, which used Companies House records to get that information due to the lack of transparency in the DfE and academy trusts. Nominally the DfE bears the costs when an academy fails, but of course it is other schools that do so because they are denied the cash they desperately need. Directors of education in England’s largest local authorities are being paid much less than the chief executives of the largest academy chains, even though the latter are running far smaller organisations.

These skewed statistics might be merely irritating were there adequate funding for all schools, but when schools have had their budgets squeezed to the point where they often cannot afford to replace staff, they become a scandal in which the Government are complicit. I could also talk about written-off debts for free schools before we even get to grammar schools— £50 million was miraculously found earlier this year to pave the way for their damaging expansion. It is one law of funding for the Government’s pet projects and another for the hard-pressed maintained school sector. That is completely unacceptable.

We believe in the value of education and its power to foster social mobility and ambition. That is why Labour has worked widely with parents, teachers and many others to plan a national education service. That is why that national education service does not promise “little extras”. I point out to the Minister that last year’s election manifesto was fully costed on this.

As my noble friend Lady Morris said, it is never the right choice not to invest in the future. Education spending is about nothing other than the future of our children and, through them, the country as a whole. Investing in education is an area in which the Government have been found seriously wanting. The next Labour Government will put that right.

--- Later in debate ---

[Lord Watson of Invergowrie]

The Minister has not mentioned the fact that schools are meant to meet the first 1% of the pay rise themselves, so that is not funded. Can he explain that? Can he also answer my earlier question as to whether he accepts the figures in the Institute for Fiscal Studies report?

[Lord Agnew of Oulton]

The noble Lord is correct that the first 1% of the pay rise is expected to be funded by schools. We believe that that is possible within the efficiencies that I have mentioned. As for the Institute for Fiscal Studies, I believe that it includes within its figures the 16 to 19 year-olds sector, which has seen a tougher regime than the mainstream system: I acknowledge that. We are fully funding the teachers’ pay award beyond the 1%. This will be worth £187 million in 2018-19 and £321 million in 2019-20.

On pensions, we propose to fully fund the increase in pension contributions recently announced for state-funded schools. We know that school budgets for the academic year have already been agreed and, in most cases, schools have allocated those budgets. That is why we have worked with the Treasury to get agreement to implement the changes from September 2019, rather than April 2019. We will consult on the best mechanism to distribute funding to individual schools and announce how it will be distributed in good time, before schools experience the pressures in September 2019.

As we distribute this funding, we will be at the same time more fairly in line with the best available evidence. For example, by using a range of indicators to measure deprivation we are able to ensure our funding reaches all those pupils who need it. It is not limited simply to those who qualify for free school meals. Alongside the additional needs funding in the formula, we continue to deliver the pupil premium, with more than £2.4 billion this year. This is above the funding that we provide through the national funding formula. We will have invested over £13 billion in the pupil premium since 2011 to improve the outcomes for less well-off pupils.

I will now try to address specific questions raised by noble Lords. The noble Lord, Lord Bassam, asked about Barnet but I think he has gone. No, he has not—apologies. Under the NFF for 2019-20, schools in Barnet will attract £4,999 per pupil. This is an addition of £68 per pupil, or 1.3% compared to the 2017-18 figure. The total cash funding will increase by 3.2% and an additional £7.7 million, once rises in pupil numbers are taken into account. Just to explain how important that is, the marginal additional cost of educating one more pupil in a school is not the average per pupil amount. Barnet’s local authority received £48.1 million for high needs, an increase of £1.2 million compared to 2017-18.

My noble friend Lady Eaton and the noble Lord, Lord Watson, referred to the EPI report and the rise in deficits. They are rising, which is a concern, and I am having to spend a great deal of time on that. We are offering advice to local authorities on how to deal with this, but to put things in perspective, 91% of maintained schools reported a cumulative surplus, or that they would be breaking even in 2016-17, with total surpluses of more than £4 billion against a total deficit figure of less than £300 million.

The noble Baroness, Lady Morris, mentioned the shortfall in academy accounts. This is a myth that I want to slaughter early before it gathers traction. The figure referred to is driven almost entirely by an increase in impairment charges, which are non-cash changes to the value of land and buildings. Academies do not have to spend money on impairment charges, and a more realistic figure is that of the net cumulative reserves of the academy sector, which has seen an increase from £2.1 billion to £2.3 billion.

I share the concerns that the right reverend Prelate the Bishop of Worcester and the noble Lord, Lord Storey, have about rural schools. That is why I attended the Lambeth Palace address earlier this week and met the right reverend Prelate the Bishop of Ely yesterday, when we specifically discussed rural schools. I again make a pitch for multi-academy trusts, which are a very good solution to the problem. It is complicated in rural areas because of distance and how small many schools can be but, as I said in my address at Lambeth Palace, we are committed to always having a presumption against the closure of a rural primary school. They are the glue of these rural communities. My own son went to one, which faced closure last year. Since it was in Norfolk, the noble Lord, Lord Watson, would have been upset if I had intervened, but I did not. However, I am pleased to say that it has now joined an academy trust—one which I can tell your Lordships I have nothing to do with. It is important that we have sparsity funding, which is allocated to rural schools. The NFF allocates £25 million and we also give every school a lump sum of £110,000. When that lump sum is coupled with the sparsity factor, it provides meaningful support.

The right reverend Prelate made particular reference to a school where he said that the head teacher was struggling because the school had been asked to double the number of pupils. We have allocated a tremendous amount of basic need funding, with £7 billion during the current spending review between 2015 and 2021. Over the course of the Parliaments since 2010, we have increased the number of pupils by some 825,000 and they have all been funded. I want to reassure him on that.

The noble Lord, Lord Knight, asked about teacher recruitment and supply teachers, among other issues. I mentioned that we have just created a teacher recruitment service, which is now being rolled out across the country. It is a much more cost-efficient service than that provided in the market generally. Likewise, with supply teachers we have created another portal which has got the main supply firms in the country together. It has made them cap their fees and stopped the pernicious practice of charging a recruitment fee if the supply teacher becomes a permanent employee after a number of weeks. These may be only small things, but they all add up.

The noble Baroness, Lady Morris, raised issues about capital. We have committed some £23 billion to capital between 2016 and 2021 but, significantly, I should stress that we have also reduced the build costs per square metre by some 30%. This rises to 35% per square metre when improvements in efficiency and design are included, so we are very committed to that.

The noble Lord, Lord Storey, gave an example of a friend who wrote about possible boiler problems in his or her school. I am not sure whether he said it was under a local authority or an academy but, if it was a local authority school, we make an allocation to local authorities every year of the school condition allowance. It is then for schools inside a local authority to bid in for that. If it was an academy and had more than 3,000 pupils, the academy trust is given an amount of capital which it can then choose to spend as it sees fit.

This leads me on to the BBC documentary “School”, which I have not seen all of, although I of course will do so. However, I saw the first part and felt it was a very disappointing piece of journalism, because it was clearly set up to show how bad everything was. There are a number of challenges in that trust, but just on repairs one line from the journalist said that there were terrible, draughty windows and that the classrooms were therefore cold. When I looked up the figures for the school condition allowance, this trust receives over £1 million from that a year. The school in question—I think it is called Marlwood—is the biggest and, although we do not publish individual amounts per school, because the academy trust is free to use it as it sees fit, I can assure the House that there was plenty of money to deal with those windows. If it had a better call on its money than windows that increase heating costs, this is the sort of thing I get frustrated about. It is not all as one-sided as people think.

I am running out of time—my goodness, I apologise—and I had better sum up. On efficiencies in schools, I heard the comment from the noble Lord, Lord Watson, about the Harris Federation. The fact is that the Harris Federation is so efficient that it is able to employ centrally 80 school improvement teachers, who go out into its weaker schools—or ones it has just taken on—and provide the extra resource. That is one of the secrets of it being such a high-performing trust. Outwood Grange, a trust in the north of England, does a similar thing: it has 65 centrally employed school improvement teachers doing exactly the same and raising standards. It already has more than 900 pupils registering year-on-year for the schools that it took over from WCAT—a trust that failed—because of the improvements being seen.

[Lord Watson of Invergowrie]

I apologise for interrupting the Minister. I just want to be clear for the record that I was not criticising the Harris Federation, for which I have a high regard, but I wish that the noble Lord, Lord Harris of Peckham, had the same regard for the Government’s new funding formula.

[Lord Agnew of Oulton]

I had dinner with my noble Friend, Lord Harris, two nights ago and he is always frank in his views. He is a passionate advocate for his schools and what he has achieved is fantastic. I would like that to go on the record.

I would also like to give an example of a relatively small trust, the Thinking Schools Academy Trust in Kent, which has taken the novel approach of paying £2,000 more to its newly qualified teachers when it recruits them. You may say, “There’s no money around, so how has it done that?”. It has done so because its retention rate on teachers is double the national average. It has only a 10% turnover of staff every year, as against a national turnover of 20%. Thinking in ways like that can make such a difference.

I have been told to stop. I am very grateful to the noble Baroness, Lady Morris—