Agenda item

(To receive a report from Elizabeth Bowes, Strategic Finance Manager, Schools Finance Team, which provides the Schools' Forum with a copy of the Section 251 budget statement for the 2019/20 financial year)

The Forum gave consideration to a report from Elizabeth Bowes, Strategic Finance Manager Schools Finance Team, which provided a copy of the Section 251 budget statement for the 2019/20 financial year.

The Forum noted that the Local Authority (LA) was required under Section 251 of the Apprenticeship, Skills, Children and Learning Act 2009 to prepare and submit an education and children's social care budget statement for the relevant period to the Secretary of State for Education (DfE) by 30 April each year.  The Forum noted further that the Section 251 return was intended to provide a clear picture of the LA's planned spending on its schools budget, de-delegated items; high needs budget, early year's budget, central provision within the schools budget, and children and young people's services.

It was reported that the information for 2019/20 had been submitted to the DfE via its collection and management system for education. It was reported further that the LA, to ensure compliance with statutory requirements published the Early Years report, the LA table report and the Schools Table report in the 'Downloads' section of the LCC's website.

The report presented highlighted that for 2019/20, the Dedicated Schools Grant comprised of four blocks: the Schools Block, Central Schools Services Block, High Needs Block and Early Years Block, with each block having been determined by a separate national funding formula.  It was highlighted further that the Schools Block continued to be ring-fenced and that LA's were only able to transfer 0.5% of their Schools Block funding to an alternative block, following consultation with all schools and academies and the approval of the Schools Forum.  No budget transfer was planned for in 2019/20 from the Schools Block in Lincolnshire's funding arranagements.

Attached to the report at Appendix A was a copy of the Schools Funding arrangements for 2019/20.  The table provided an overall picture of the funding being allocated direct to schools and high needs delegations, and the amount being spent on education centrally and children's social care.  The Forum was taken through the details shown in Appendix A.  The percentages of funding devolved to schools through each of the blocks were detailed within the main body of the paper on page 14.

The Forum was advised that for 2019/20 Lincolnshire had received c.£5.776m of protection funding following the implementation of the government's new High Needs national funding formula to provide stability against its existing funding level.  The Forum was advised further that the government had also responded to national concerns over the increasing costs to support growth and increased complexity of young people requiring additional support; Lincolnshire had received a one-off allocation of £1.533m to its High Needs Block in 2019/20.

It was reported that this was the final year of the four year funding settlement for 2019/20; and that funding levels from 2020/21 were subject to the government's next spending review.  The Forum was advised that officers from the Education Skills Funding Agency had indicated an announcement on schools funding for 2020/21 would not be known until the Autumn of 2019 at the earliest.

A concern was expressed regarding future fairer funding levels for Lincolnshire.  Officers advised that they continued to lobby the government for fairer funding and for greater certainty and predictability in funding.  It was highlighted that maintained schools had been advised that where overspends were forecast they were to contact the LA to enable next steps to be considered; and that maintained schools were encouraged to review benchmarking data including the supplementary requirements within the revised Schools Financial Value Standard. 

One member enquired whether the LA was aware of the financial position of Academies.  It was outlined that the LA did not have a list of academy school balances available, since they were reported directly to the Education & Skills Funding Agency who were the responsible body.  It was highlighted that the LA was not aware that they were published in a single document; however they were reported in each academy Trust's financial statements.

RESOLVED

            That the Section 251 Budget Statement for 2019/20 be noted.