School Funding (London)

Debate between Nick Gibb and Andy Slaughter

Wednesday 29th March 2017 Westminster Hall

[Mr Gibb]

Very good. In addition to the formula, schools will continue to receive additional funding through the pupil premium to help them improve the attainment of the most disadvantaged pupils. We have also included a mobility factor in our formula to recognise the additional costs faced by schools, many of which are in London, where a high proportion of pupils arrive at different points through the year. We were influenced by the right hon. Member for East Ham (Stephen Timms) in making that change. London schools will receive additional funding to reflect the higher cost base they face from being in London, which is particularly important given that so much of schools’ spending goes on staffing costs. The higher funding for London schools will support them to continue their success in recent years, particularly for children from disadvantaged backgrounds.

I understand the reactions of those Members who are disappointed by our formula’s impact on their constituencies. The formula is not simply designed to direct more money to historically lower-funded areas or areas with the highest levels of deprivation. It is designed to ensure that funding is properly matched to need using up-to-date data, so that children who face entrenched barriers to their education receive the support they need. That includes pupils who do not necessarily benefit from the pupil premium but whose families may be only just about managing.

[Andy Slaughter]

The debate is about schools funding in London and the Minister is almost exclusively talking about the formula. Does he not understand that the additional cost pressures talked about by my headteachers in the letter they sent to the Secretary of State are having an effect on all schools in addition to the funding formula? It is that combination that is causing these difficulties.

[Mr Gibb]

I recognise that schools are facing cost pressures, including salary increases, the introduction of the national living wage, increases to employers’ national insurance and pension scheme contributions, and general inflation. We have estimated, as has been acknowledged in the debate, that national pressures will add about 8% per pupil between the start of 2016-17 and 2019-20, but it is important to note that some of those cost pressures have already been absorbed, and 8% is not an estimate of pressures to come. Over the next three years, per pupil cost pressures will on average be between 1.5% and 1.6% each year.

The current unfair funding system makes those pressures harder to manage. We felt very strongly that introducing a national funding formula will direct funding where it is most needed. That will help schools that have historically been underfunded to tackle those cost pressures more easily. We will continue to provide advice and support to schools to help them use their funding in cost-effective ways and improve the way they buy goods and services so that they get the best possible value for their pupils. We have published a wide range of tools and support, which are available in one place on the gov.uk website and include tools to help schools assess their level of efficiency and find opportunities for savings, guidance on best practice, including on strategic financial planning and collaborative buying, and case studies from schools. We have launched the school buying strategy to support schools to save more than £1 billion a year by 2019-20 on their non-staff expenditure.

In addition to those pressures, I appreciate that schools will be paying the apprenticeship levy. As my hon. Friend the Member for Sutton and Cheam (Paul Scully) pointed out, the apprenticeship levy comes with real benefits for schools. It will support schools to train and develop new and existing staff. It is an integral part of the Government’s wider plan to improve productivity and provide opportunities for people of all backgrounds and all ages to enter the workplace.

In conclusion, I am grateful for this opportunity to debate school funding in London. I hope Members are reassured to some extent that the Government are committed to reforming school funding and delivering a fair system for children in London and across the whole country—a system where funding reflects the true level of need of pupils in schools.

Academies (Funding)

Debate between Nick Gibb and Andy Slaughter

Thursday 16th June 2011 Commons Chamber

[Mr Gibb]

My hon. Friend raises an important point, which goes to how to handle opposition. That is why I asked the right hon. Member for Leigh the questions that I did. This is not about just jumping on the latest bandwagon of a Financial Times report; it is about working out where the Opposition stand on issues such as raising the bar on standards in secondary schools and how to tackle the 200 worst-performing primary schools.

[Mr Andy Slaughter (Hammersmith) (Lab)]

Since the beginning of the year, at the request of parents in my constituency, I have been trying to find out the funding basis of the several free schools due to open there. I have with me correspondence from the Department giving every possible excuse for not giving that information—it even makes “The dog ate my homework” sound plausible. The last correspondence, from two months ago, concerned my appeal against the refusal under the Freedom of Information Act. I have had no response whatever from the Department, which is concealing the information either because it does not know it because it is incompetent, or because free schools are being treated in a preferential way. Will the Minister please now answer those questions?

[Mr Gibb]

Details of free schools will be published once they open, so the hon. Gentleman will be able to see all that information once that free school opens. We are concerned about disclosing details of proposals for free schools where they have been turned down, because that can cause embarrassment to the individuals who have made those proposals, who will sometimes be teachers who have existing jobs. There are all kinds of reasons why we have to maintain confidentiality for those proposals, but all those details will be made available for any free school that opens.