Department for Education

Nick Gibb Excerpts

Tuesday 3rd July 2018 Commons Chamber

[Gill Furniss]

I said that there would be differences. The nub of the matter is the differences between northern areas where there is an educational divide: resources should be given to make up those differences. They should not be taken away from us, as we are now seeing.

Some of our headteachers are even warning of mass redundancies as a last resort to balance their budgets by 2020. This is not a war-torn country in 1945: this is Sheffield in 2018, and it is simply not fair. The Government’s national funding formula is not working. The Department for Education claimed it would redistribute funding from local authority control, focusing on historically deprived and isolated areas, but schools in pockets of some of the greatest deprivation, which have fought against the odds to improve their funding situation, are suffering the most. Now, after a continual uphill struggle to secure sufficient funding, Sheffield school budgets are being decimated once more.

Some schools in Brightside and Hillsborough are being pushed to the limit. One is predicted to lose a staggering £190,000 by 2020, meaning a reduction in teachers, teaching assistants and other crucial resources. At a time when the Sheffield school-age population has increased by 7% across the decade, which has also led to a greater demand for specialist services and special educational needs, the Government ought to be putting more much-needed resources into the system. They have consistently failed to do so. Instead, they are pumping money into grammar schools—so much for helping the “just about managing”. We need an alternative.

[The Minister for School Standards (Nick Gibb)]

I have been listening patiently to the hon. Lady, but I must tell her that under the national funding formula, schools in Sheffield city will attract 6.6% more funding once the formula is fully implemented. By the way, that compares with a figure of 0.9% for Manchester.

[Gill Furniss]

Well, we have done our figures up north. I am telling the Minister the figures that we have got—and they do not match his.

We know that an alternative is possible. We, on this side of the House, have pledged to reverse the cuts and replace the national funding formula with a fairer funding system; to cap class sizes at 30; to give back control to local councils; to implement an effective accountability framework in schools; and to invest in comprehensive SEN training, ensuring that all staff are able to support the diverse needs of their students.

I am extremely proud of my city and its resilience. Teachers, parents, trade unions, councillors and even the local newspaper have come together to resist these changes; last week a petition was launched by The Star to demand that the Government deliver a fairer funding system for the city’s schools. I will support that and continue to campaign locally as well as nationally to make sure that the voices of my constituents are heard. It is time that the Government stopped imposing a postcode lottery on our children’s education and stopped taking the risk of destroying their chances of success.

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[Gareth Thomas (Harrow West) (Lab/Co-op)]

It is a pleasure to follow the hon. Member for North Warwickshire (Craig Tracey). I join him in his praise for teachers not only in his constituency and mine, but across the country. I also join him in his praise for headteachers and the enormous contribution they make to the future of our country. Given that so many areas of our country are finding it difficult to recruit and retain teachers, and many schools are finding it difficult to get a headteacher on the first recruitment exercise, he may well want to reflect on whether his party’s policies are having quite the positive impact he claims.

If I may, I would like to go back to the opening remarks by the Chair of the Education Committee, the right hon. Member for Harlow (Robert Halfon). I praise his request for the message from this debate to be that we want investment in textbooks not tanks and a 10-year plan for education. It does feel that education is the public service that is not receiving sufficient attention around the Cabinet table in the negotiations with the Treasury. He was too polite to say so, but perhaps I can say that it is a pity the Secretary of State for Education is not here in person to hear the call for a 10-year plan for education. What I am sure he would not want to say at this stage is what my hon. Friend the Member for Sheffield, Brightside and Hillsborough (Gill Furniss) rightly said, which is that there needs to be more support, investment and pride in the contribution that comprehensive schools make, and more praise for the efforts of local councils to support high attainment and good standards in our schools. The idea that councils and local education authorities were ever a dead hand hindering high standards was always a nonsense and it is particularly a nonsense at the moment, given the huge cuts in funding to local authorities that LEAs have to deal with.

I want to make the rest of my remarks unashamedly parochial. I am fortunate to represent an area, the London Borough of Harrow, that has been deemed by the Education Policy Institute as offering the best education in terms of the increase in standards from when a child enters school to when they leave. While all the teachers and headteachers in Harrow are delighted with that accolade from the EPI, none would say they have sufficient resources.

My local schools work extremely closely together. The headteachers pride themselves on their co-operation and collaborative spirit. It is led in particular by the high schools. In my constituency, Whitmore High School, Nower Hill High, Harrow High and Rooks Heath work particularly closely together. All have very strong academic reputations. In particular, I want to single out the heads of Rooks Heath and Whitmore High School. The head of Rooks Heath was named not so long ago as the London headteacher of the year and the headteacher at Whitmore has a particularly good reputation, having led the school through a period of refurbishment and redevelopment.

Bentley Wood, Park, Canons Salvatorian and Sacred Heart are schools just outside my constituency—not quite as well politically represented as the four I have already named. All have strong reputations, all have effective leadership and all show good academic performance. However, all are crying out for more investment in funding. They have noted, as the heads of primary schools in my constituency have, that they are having to cope with an increase in employers’ contributions, an increase non-teaching pensions, teachers’ pay awards not being fully funded, non-teaching pay awards not being fully funded and the apprenticeship levy. Those pressures amount on average to an extra £54,000 in costs per primary school in Harrow and an extra £159,000 per secondary school. Similarly, schools in Harrow are having to cope with reductions in income from the way in which the minimum funding guarantee works and from reductions in their pupil premium grant. On average, primary schools are losing income. In 2017-18, £37,000 was lost per primary school and every secondary school lost £79,000. In terms of the additional school funding pressures facing every headteacher and governing body, the average overall in Harrow last year was almost £100,000 per primary school and £238,000 per secondary school, and that urgently needs to be addressed.

[Nick Gibb]

I am listening very carefully to the points that the hon. Gentleman is making, but he should be aware that no school in his constituency will lose funding. In fact, they will gain funding under the national funding formula, once we reach the end point, of 2.4%.

[Gareth Thomas]

I gently say to the right hon. Gentleman that he is very welcome to come to Harrow, and I would be very happy to organise a roundtable for him with headteachers of primary schools and secondary schools, because the experience that he describes is not the one that they have to face on a daily basis in managing their funding needs. He is sitting next to his colleague, the Minister for Apprenticeships and Skills, who I was glad to meet to discuss the funding needs of a sixth-form college that faces significant additional financial pressures.

More funding needs to be put into the school education system. Harrow needs it and every other school needs it—

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[James Frith (Bury North) (Lab)]

I refer Members to my entry in the Register of Members’ Financial Interests.

Improving education chances for all young people in my constituency is one of my top priorities, as it will be for many across the House but, sadly, for too many the reality does not match the Government’s rhetoric. So I want to record the reality shared with me by the 67 head teachers from primary, secondary and special schools across the borough of Bury in their letter to The Bury Times in April this year, in which they said:

“Ministers repeatedly claim that education funding is protected and seem to be in denial about the realities of school funding and its impact on children. They talk about there being more money in education than ever before, when there are half a million more children in schools than in 2010. Tough decisions will have to be taken. Governors and Headteachers can no longer guarantee that such cuts will not impact on our children.”

Their letter goes on to warn of the consequences of this funding shortfall—larger class sizes, fewer teachers and senior staff, decrepit school buildings, loss of teaching assistants, fewer GCSE options on offer, difficulty in recruiting teachers and so on. One Bury head told me:

“It is quite simple—there is less money in schools. Government rhetoric says that schools’ funding has been maintained but does not mention the additional costs (NI payments, paying for services which were previously free, pay increases, pension increases etc.)”

Most alarmingly, this impacts on children with special educational needs and disability. I am pleased to have secured, with colleagues from the Education Committee in the Chamber today, the SEND inquiry, which has now started. More than half of the Bury heads responding to my survey told me that they had been forced to cut special educational needs provision. Three quarters say that the number of staff they have dedicated to SEN support has either stayed the same or fallen, despite increasing numbers of pupils needing access to it, while 52% expect to have to cut it further in the next two years. One primary head said, “I do not have the necessary funding to support some of our most vulnerable children in terms of SEND.” Schools need support if we are to create and sustain the dynamic mainstream education system that I would advocate.

It is unlikely to be a coincidence that the number of excluded pupils in alternative provision with SEND is on the rise. Some 77% of excluded pupils in 2016-17 had special educational needs and disabilities, with heads marking the reason for their exclusion from an extensive list of options as “other”. “Other” now represents nearly 20%, despite being a category intended for rare use on which the Department holds no data. In his recent letter to the Education Committee, the Minister for School Standards provided no data for 2017-18 SEND exclusions, which will have been submitted already but are not disclosed. Perhaps he might announce those figures in his closing remarks.

We need more scrutiny of schools’ use of “other” as a reason for excluding, as well as a more sympathetic system that supports and encourages schools to include and does not penalise them through the Ofsted framework. Pressures on our local authorities compound the problem. Some 250 children are being educated out of borough in Bury, at a cost of £6.5 million. I urge the Government to introduce a pupil premium-style funding allocation for children with SEND. Let us call it “SEND spend” and fund it properly. The high needs block funding must rise in line with costs, and the rise in SEND numbers needs to be better reflected explicitly in the system.

In Bury, I have challenged the local authority to commit to no out-of-borough care in five years. Let us not unsettle children who wish to remain, but enable a return to mainstream for children for whom a reasonable adjustment can be made. Alternative provision has a profound role to play—one that I celebrate and defend—but it must not become an alternative to a patient, sympathetic and inclusive mainstream system. This Government have presided over a highly pressurised, poorly funded system that leads schools to off-roll and to exclude, not include. Where now for Every Child Matters? We have a plan for some children, not all, and our most vulnerable are being left behind.

If we delve a little deeper into the Government’s auto-response that 1.9 million more children are in good or outstanding schools since 2010, we see that it is misleading. As I said to the Minister at last month’s Education Committee session, and as the Education Policy Institute confirmed in its report yesterday, a large part of that increase is due to a rise in the birth rate. About a quarter of the 1.9 million pupils—nearly 600,000—are the result of an increase in the population of pupils.

[Nick Gibb]

Can I point out that, in 2010, 68% of schools were judged by Ofsted to be good or outstanding and that figure is now 89%? In between those two dates, Ofsted has raised the bar of what constitutes good or outstanding.

[James Frith]

With respect, the Minister will have a chance to address these points when he sums up.

I have heard of Government intervention, but I am unsure how this Government can take credit for an increase in the birth rate—and anyway, the birth rate increase happened on Labour’s watch. Another quarter of pupils are in schools rated good or outstanding that have not been rated by Ofsted for at least eight years, and 300,000 pupils are in schools not inspected since 2010 because they are in converter academies. I know there is much agreement across the House on these issues, so I say to Ministers: take note of the forensic attention that our heads and your colleagues are paying to performance and ensure that, come the Budget, that is reflected in the allocation.

I will conclude with a brief word on capital spending. In response to my recent request for Lord Agnew and the Secretary of State to consider rebuilding Tottington High in Bury in my constituency, I received a letter acknowledging that the cost of a new school is on average between £9 million and £12 million in current money. Lord Agnew referred us to the £2 million pot given to Bury to look after all its schools. Since the ambitious days of Building Schools for the Future, capital funding has all but disappeared. Tottington High has been overlooked. It was booted off the BSF when the new Government came into power in 2010 and then pushed off their list for new builds. School governors expect more contact from the HSE than the DFE. As I asked the Secretary of State last week, will he send officials from his Department to visit the school to see for themselves the case to rebuild? If he responds to me in this debate, I will update the school when I am proudly its prize-giving speaker on Thursday night.

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[Mike Kane (Wythenshawe and Sale East) (Lab)]

I want to apologise to you straight away, Mr Deputy Speaker. I prepared diligently for this debate, but I had not realised the importance of estimates day debates to the House. I woke up today to headlines in all the newspapers talking about Kane for England, “Go Kane” and Kane for Harry, England and St George. It was not until the shadow Secretary of State turned up in her England top that the penny dropped. However, I am sure that the one thing that the Minister and I would agree on is that we wish our team all the best for tonight. Straight out of the gate, the Chair of the Education Committee, the right hon. Member for Harlow (Robert Halfon), got the tone right for the debate. He also came up with the best soundbite of the day when he talked about funding “textbooks, not tanks”. I shall carry on with the alliteration and say that textbooks, not Tories, are the best thing for our education system.

There is a great deal to discuss in the Department’s spending review, but as colleagues have had to be brief, I will follow suit. I will start with schools, where the Department does the majority of its spending. In particular, I would like to focus on a claim that the Minister made over the weekend that is particularly relevant to this debate. He took to Twitter to say that

“claims that schools would lose money next year are inaccurate. School funding is protected in real terms per pupil—contrary to some inaccurate and misleading claims”.

I for one am glad that the Minister has decided he has a problem with inaccurate and misleading claims. With that in mind, does he believe that every school is going to get more money in the coming financial year? After all, it was the Secretary of State who said that under the current spending plans,

“each school will see at least a small cash increase.”—[Official Report, 29 January 2018; Vol. 635, c. 536.]

Unfortunately for his Department, this has been queried by the independent Institute for Fiscal Studies and the UK Statistics Authority. So I ask the Minister to offer us some clarification and to state clearly whether schools will lose money or whether they will see a cash increase.

[Nick Gibb]

I should just like to point out that in the hon. Gentleman’s own constituency, his local authority has been funded to enable schools in Wythenshawe and Sale East to be funded with an increase of 2.3% once the national funding formula is implemented.

[Mike Kane]

I was so looking forward to that! The Prime Minister came to my constituency a few weeks ago to visit a school in Brooklands, in Trafford. That seat had never turned Labour in the history of municipal authority, but it did so that night and Labour took Trafford, because Trafford is losing £3.3 million in spending power for its schools.

Under the Department’s spending plans, schools will see cuts to their budgets for the third year in a row. I know that the Minister will be tempted to rehearse his prepared rebuttal and tell us how the Government have protected per-pupil spending in real terms, despite the fact that £2.7 billion in real terms has been cut since 2015. Those were the first schools cuts in a generation. Despite all the shallow talk of protecting budgets and extra funding, the future of our schools is not safe under the Tories.

While we are talking about the Department’s spending plans for next year, I know that there is one issue that teachers and school leavers across the country need an answer on, and that is pay. The Government’s own research has shown that their pay policy has left teachers nearly £4,000 worse off in real terms since they came into office. It is hardly a surprise that the Government are overseeing a crisis in the recruitment and retention of the teachers that our children and country need. Will the Minister admit that his pay policies have played a role in driving teachers out of the profession? If not, will he tell us why they are leaving the classroom in record numbers? For every teacher coming in, one is leaving the profession.

Teachers and other public sector staff have been repeatedly promised that the public sector pay cap has come to an end, but schools have been given no certainty about any pay rise or how it will be funded. So, will the Minister tell the House when the School Teachers’ Review Body will be publishing its annual report? Surely the Minister agrees that, without enough money to pay for higher wages, anything he utters from the Dispatch Box about an end to the pay cap is absolutely meaningless to the thousands of hard-working teachers who have not seen a real pay rise in years.

Before I end my speech, I want to discuss our student finance system. The Department’s estimates show that spending on the payment of student loans will be over £21 billion this year. They also show that the Department will be considering over £3 billion of interest payments on student debt as revenue. My hon. Friend the Member for Bootle (Peter Dowd), the shadow Chief Secretary to the Treasury, has already shown that the Government’s use of an unreliable inflation measure for these debts costs students around £16,000, and they will now discover that that is being done to line the Treasury’s coffers. Will the Minister tell us how that £3.2 billion is going to be spent? Will he tell us whether the fact that his Department has a vested financial interest in keeping interest rates high means that it will not be acting to address the fact that students are paying more than 6% in interest before they are even able to repay their debts?

It is traditional for the Opposition spokesman to thank Opposition Members for their speeches, but not today. I want to thank all the Government Members for their speeches—[Hon. Members: “Ahh.”] Isn’t that nice of me? The hon. Member for North Warwickshire (Craig Tracey) made a fine speech, but he failed to mention that North Warwickshire Borough Council is losing £12.5 million from its schools budget. We had the most supportive unsupportive speech that I have ever heard in this House from the hon. Member for Hazel Grove (Mr Wragg). He is right to say that Manchester teachers are the some of the best in the world—I was one of them—but Stockport Metropolitan Borough Council is losing £5.9 million over the funding period. What a fine speech it was from the hon. Member for Horsham (Jeremy Quin). I believe that Horsham is in West Sussex, where primary schools are losing £8.9 million over this Parliament. I have already had it out with the hon. Member for Erewash (Maggie Throup) about Derbyshire, which is facing an £11.5 million cut. Who else do we have? The hon. Member for Stoke-on-Trent South (Jack Brereton)—

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[The Minister for School Standards (Nick Gibb)]

I start by congratulating my right hon. Friend the Member for Harlow (Robert Halfon) and the hon. Members for Colne Valley (Thelma Walker) and for Manchester Central (Lucy Powell) on securing the subject of this estimates debate.

The Government are determined to create an education system that offers opportunities to everyone, at every stage of life, and an effective funding system is a cornerstone of such an education system.

Education funding has been a key priority for this Government, which is why we have been able to maintain core school funding in real terms since 2010, at a time when we have been tackling the historically high budget deficit we inherited from the Labour party. It is only through such a balanced approach to fiscal policy that we have been able to secure a strong economy that provides opportunities for young people, with the highest level of employment and the lowest level of unemployment since the 1970s.

[Sir Edward Leigh (Gainsborough) (Con)]

As the Minister knows, the Government had a manifesto commitment to remove the cap for faith schools, which they decided not to implement. However, they have promised to fund voluntary-aided faith schools 100%. Can he confirm that that pledge stands? What steps is he taking to ensure that money is forthcoming for new voluntary-aided faith schools?

[Nick Gibb]

My right hon. Friend the Secretary of State for Education has said that that is the approach we are taking to assist Catholic schools in particular. We are spending £23 billion on capital funding because of our balanced approach to managing the public finances.

We have made historic reforms to the way we fund our schools, supported by an additional £1.3 billion investment, and we have announced ambitious plans for a new world-class technical education system, backed by £500 million a year of additional funding.

As is clear from this debate, our work as a Department, and our investment in young people, extend far beyond schools and colleges. Members have raised issues relating to priorities across the Department’s remit—from early years to further and higher education—and I aim to address some of those important questions.

[Lucy Powell]

I thank the Minister for giving way; he did intervene on a number of colleagues during the debate. He champions numeracy, but does he accept that spending power is reduced when costs go up and income remains the same? The number of teachers who can be employed, the amount of training that can be put on and the support that schools can provide has reduced, and budgets have therefore fallen.

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[Nick Gibb]

Of course I acknowledge that, but the hon. Lady also has to acknowledge that school funding is at a record level—£42.4 billion this year, rising to £43.5 billion next year. Of course I acknowledge there are costs that schools have absorbed, and I will come to the measures we have taken to help schools to deal with those rising costs, which include employers’ national insurance contributions. Those costs have been absorbed by the private sector, and they have been incurred across the public sector—public sector pensions have also been an increased cost across Whitehall. We are helping schools to address those issues.

By prioritising frontline spending within the Department’s budget, we have ensured that core funding for schools and high needs has risen over and above the allocations set out at the last spending review. The total core schools and high needs budget will rise from almost £41 billion in 2017-18 to £43.5 billion by 2019-20.

The hon. Member for Bury North (James Frith) mentioned Ofsted, and he pointed out that pupil numbers have increased. Of course he is right, which is why we have created 825,000 new school places since 2010, in contrast with the cut of 100,000 school places under the last Labour Government, despite the increased birth rate being very clear even then.

Sixty-eight per cent. of schools were judged good or outstanding by Ofsted in 2010, compared with 89% today. Although outstanding schools are exempt from routine inspection, Ofsted will trigger an inspection if academic results begin to slide in an outstanding school. The schools in the constituency of the hon. Member for Bury North will see a 6.9% per pupil increase in funding once the national funding formula is fully implemented.

The shadow Minister thanked Conservative Members, and I would like to thank Labour Members for their contributions to this debate because it gives me the opportunity to point out to the hon. Member for Burnley (Julie Cooper) that schools in her constituency will see a 3.2% increase in funding as a result of the introduction of the national funding formula. The right hon. Member for Wolverhampton South East (Mr McFadden) will see a 3.5% per pupil increase at the end point of the introduction of the national funding formula. The hon. Member for Gateshead (Ian Mearns) will see an increase of 3.4% per pupil under the NFF. The hon. Member for Kingston upon Hull West and Hessle (Emma Hardy) will see a 4.2% increase in per pupil funding as a consequence of the introduction of the NFF. She also talked about teaching assistants, and I should point out to her that in January 2010 there were 194,000 full-time equivalent TAs in our schools, whereas today there are 263,000 TAs. Finally, I should point out to the hon. Member for Reading East (Matt Rodda) that schools in his constituency face a 3.9% increase in pupil funding.

[James Frith]

I appreciate such sharpened focus and attention in the Minister’s remarks. He feels strongly supported by that information. Would he care to respond to my request for additional SEND funding to be maintained in line with the increase in the number of SEND pupils? Does he believe it acceptable that 77% of excluded pupils have special educational needs and disabilities?

[Nick Gibb]

I should point out that special educational needs funding is rising from £5 billion in 2013 to £6 billion this year. The statistics that the hon. Gentleman referred to in his speech—the exclusion figures—will be published on 19 July in the usual way, as we do every year.

I wish to point out—

[Huw Merriman]

rose—

[Nick Gibb]

I will not take any interventions for the moment, if my hon. Friend will forgive me.

In addition to the funding distributed through the NFF, eligible pupils will also attract the pupil premium, which has a specific focus on raising the attainment of pupils from disadvantaged backgrounds—we are talking about £2.4 billion this year. As a result, the attainment gap between disadvantaged pupils and their peers has closed by 10%, and standards are rising in our schools.

Our focus on phonics has transformed the way reading is taught in our primary schools. When we introduced the phonics screening check in 2012, just 58% of the six-year-olds taking the test reached the expected standard. Last year, that 58% had risen to 81%. However, we need to go further to ensure that every primary school is using the best approach to teaching reading. That is why we have funded phonics roadshows and why we are rolling out English hubs across the country to promote, and train schools in, the use of systematic synthetic phonics in the teaching of reading. We want every child in every primary school to be a fluent reader.

[Jeremy Quin]

Will the Minister give way?

[Nick Gibb]

I will not give way, if my hon. Friend will forgive me.

In 2014, we introduced a more demanding primary curriculum. In the first standard assessment tests, taken in 2016, which reflected that new curriculum, 70% of pupils reached the expected standard in the more demanding maths and arithmetic SATs. A year later, that had risen to 75%. But we want it to go higher still, which is why we are spending £75 million funding 35 maths hubs across the country, promoting the highly effective south-east Asian maths mastery approach to teaching maths. Our ambition is for half of all primary schools to be trained to use that approach by 2020, and for 11,000 primary and secondary schools to be in that position by 2023.

Next year, we are rolling out a computer-based multiplication tables check for all nine-year-olds, ensuring that every child knows their times tables by heart. What a contrast to the days when teachers were told they must not teach times tables. We are promoting the use of high-quality textbooks in primary schools, undoing the damage from the 1970s, when textbooks in primary schools were consigned to the store cupboard. High-quality, knowledge-rich, carefully sequenced textbooks promote understanding and reduce teacher workload.

In a global trading nation, we need to reverse the decline in the study of foreign languages that began under Labour in 2004. Since 2010, the proportion of 16-year-olds taking a GCSE in a foreign language has increased from 40% to 47%, but our ambition is for 75% to be studying for a GCSE in a foreign language by 2022 and for 90% to be doing so by 2025.

Let me respond to the typically thoughtful speech of my right hon. Friend the Member for Harlow, in which he paid tribute to the Secretary of State for Health and Social Care for securing a five-year funding settlement. He is right that longer-term visibility is helpful in every sector, and we are committed to securing the right deal for education in the spending review. I am grateful to my right hon. Friend for raising this important issue. Our track record gives us much to be proud of, but we will of course continue to listen carefully and take into account the issues raised today and the findings of the Education Committee inquiry. Investing in our young people’s future is one of the most important investments that we can make as a country. As a Government, we are committed to getting it right.

[Mr Speaker]

For the right hon. Member for Harlow (Robert Halfon) to be denied at least a minute would seem to be an act of cruelty, and that is unwarranted, so he can certainly have at least a minute.