Issue - meetings

The Board considered a report of the Strategic Director, People, on the introduction of a National Funding Formula (NFF) for schools and high needs.

The Board was advised that in July 2017, the Secretary of State confirmed the introduction of the national funding formula and announced an increase in per pupil funding and a minimum per pupil funding level for primary and secondary school pupils in 2018/19. It was reported that local authorities were advised that the minimum funding rates would be used by the Department for Education to determine the total allocation of funding to each authority.

On 11 October 2017, Schools Forum received a report which highlighted the key changes to the funding of schools. Following the release of indicative budgets a consultation paper was sent to all schools in the Borough setting out three options for their consideration. The consultation also addressed the issue of Halton’s previous financial commitments for High Needs against the key budget headings as well as its current commitments. Details of other key changes to funding the Schools Block were detailed in the report and a copy of the consultation responses were attached at Appendix B.

It was proposed that during the two year transitional phase, Halton move to an interim formula so as to retain the primary lump sum, and to follow the principles of the transitional national funding formula in all other factors. It was further noted that to address the budget shortfall in High Needs a transfer of 0.5% of the Schools Block budget would be required.

Reason(s) for Decision

To ensure that there was a fair distribution of resources across schools in the Borough.

Alternative Options Considered and Rejected

Consideration was given to either retaining the existing funding formula with uplift for the increase; however, this was not an option supported by the schools. Implementation of the transitional NFF was considered but this would have an impact on the smaller schools.

Implementation Date

1 April 2018.

RESOLVED: That

1)    an interim funding formula for 2018/19 and 2019/20 be approved, to allow the retention of the primary lump sum at 2017/18 levels to support small schools within the Authority; and

2)    the decision to transfer 0.5% from the Schools Block to High Needs Block be noted.