Agenda item

(To receive a report from Tony Warnock, Head of Finance – Children's and Specialist Services, which invites the Committee to consider the Government's recent announcements on school funding reforms)

Tony Warnock, Head of Finance – Children's and Specialist Services, introduced the report explaining the relevant key areas for Members' attention before referring to the "Next Steps" section of the report.

During discussion, the following points were noted:-

·         The position in relation to funding for children with Special Educational Needs (SEN) was explained further.  Each school are allocated a basic sum of £6k to deal with the basic elementary needs for children with SEN.  In addition, children who have a higher level of SEN would attract further funding in order to support them.  There was no requirement, therefore, to change the funding formula as the initial £6k was a notional sum.  Officers were requested to reword the bullet point to include this clarification.

·         It was asked if church schools would qualify for the sparsity factor despite many church schools being located in urban areas but whose pupils travel from rural areas.  It was explained that the sparsity factor was to protect rural schools but the LA needed to ensure that the Dedicated Schools Grant delivers value for money.  This was measured on a 'per pupil' basis with the most expensive schools being up to two and a half times more than the least expensive so a balanced approach needed to be taken.  It was confirmed that there was no differentiation between church schools or any other school, as set out within DfE Regulations, therefore no consideration could be given to specific schools when agreeing budgets.

·         Schools are able to allocate their budgets how they feel best suits their needs, no monies can be ringfenced by the Local Authority.  However, as a Corporate Parent, it was hoped that the Local Authority could influence schools in relation to the Looked After Children formula and prior attainment.

·         In relation to funding for pupils aged 16 and above, it was confirmed that schools receive money directly from the Education Funding Agency (EFA) for the amount of pupils they had on their roll from the previous year.  Should a considerable increase in pupils be evident, the schools could apply separately for additional funding.

·         "Necessary Small School" was referred to within the report and also within government guidance.  The meaning of this phrase was not defined in any DfE documentation and, therefore, open to interpretation.

·         It was confirmed that the other local authorities were not always informing Lincolnshire County Council when a "Looked After Child" was placed in a Lincolnshire school from another county, despite having a duty to do so.

·         During the last financial year, the primary maintained schools averaged a carry forward of just over 8% of their annual budget.  Schools had been advised to build their reserves following the Comprehensive Spending Review (CSR) in 2010.  The policy does state, however, that primary schools should not have more than 8% of their overall budget in reserves and anything above that amount should be earmarked for capital projects.

The Chairman thanked the Head of Finance – Children's and Specialist Services for presenting a clear and concise report.

RESOLVED

          That the report be noted.