Autumn Finance GroupsFunding Update

Ian HamiltonSchools & PVI

Autumn Finance GroupsFunding Update

Chris ScottSchools & PVI

News

• School Funding Reforms 2014/15• Pupil Premium Changes• PE & Sport Grant• Year 7 Catch-up• Universal Free School Meals

Mandatory Changes to the Funding Formula

• From 2014/15 the pupil led factors must distribute at least 80% of the schools block of the Dedicated Schools Grant (DSG)– Kent already distributes approximately 89% by this

measure

• There will be a new Post 16 representative on the School Funding Forum

Factor 1 – Basic Entitlement

• From 2014/15 there will be a minimum rate of £2,000 for primary pupils and £3,000 for secondary pupils– The 2013/14 rates in Kent already exceed this

threshold at £2,727, £3,788 and £4,157

Factor 3 – Looked After Children

• Currently this factor can count pupils who have been looked after for 1 day, 6 months or 12 months

• From 2014/15 the only permissible option will be 1 day– Kent has already implemented this factor using the 1

day measure

Factor 4 – Low Cost, High Incidence SEN

• Primary– Pupils will now be counted if they either have a score of

78 and below OR a judgement of less than good

– Unclear what impact this may have on the total count/rate

• Secondary• Pupils will now be counted if they have achieved

less than a level 4 at KS2 in EITHER Maths or English– This will significantly increase the number of pupils

counted and will affect the rate each pupil attracts

Factor 6 – Lump Sum

• Schools which amalgamate will receive 85% of the two previous lump sums until the end of the financial year after the one in which they amalgamate

Discretionary Changes to the Funding Formula

• The DFE has announced two new optional factors and changed the rules for the Lump Sum and Mobility Factors

Factor 6 – Lump Sum

• The DfE have removed the requirement that the Lump Sum is the same for both Primary and Secondary schools– Analysis of the modelling completed for Kent supports

the current rate of £120k for all schools and so this freedom will not be exercised

• The maximum permissible Lump Sum has been reduced to £175k– Still substantially more than the level set in Kent

Mobility

• There is an optional Mobility factor– Measured by counting in year admissions

• Last year it was decided not to use this factor and there is no intention to introduce it in 2014/15 in Kent

• However whereas all schools could previously be funded for any level of mobility, in 2014/15 at least 10% of the school pupils would have to be considered mobile before funding could be provided

Sparsity Factor

• The DfE have created an optional Sparsity Factor– Schools which meet the criteria are deemed

‘necessary small schools’ and can then attract funding– Primary schools must have less than 150 pupils and

secondary schools less than 600 pupils– Primary schools must have a sparsity distance of

greater than 2 miles secondary schools greater than 3 miles

• Sparsity distance is the mean distance that the pupils for whom this is their closest school would have to travel to the next nearest school

Sparsity Factor

• This factor will not be included in the Kent formula– Few of the many small schools in Kent actually meet

the criteria– The schools that do meet the criteria generally

benefitted already from the new formula so it is questioned whether this is needed in Kent

– Could be considered arbitrary and unfair

Schools with Falling Rolls / Spare Capacity

• The DfE have allowed authorities to set aside a ‘small budget’ for schools in a very specific set of circumstances– The school must be below capacity in a situation

where there is evidence that the capacity will be needed within the medium term to meet rising demand

– The school must be rated as Good or Outstanding by OFSTED

• The school could then receive funding for the empty capacity

Schools with Falling Rolls / Spare Capacity

• This will not be implemented in Kent– Difficult to measure whether or not there is evidence

that the capacity will be needed or when– Difficult to measure how much empty capacity

becomes a budgetary issue for the school– Requirement to be Good or Outstanding will exclude

many of the schools in this situation

Pupil Premium - Deprivation

• There has been an announcement that the primary ever 6 rate will increase to £1300

• A separate announcement suggested that the secondary rate would be £935

• These rates have not yet been documented

• There has been no explanation of the rationale for introducing separate rates

Pupil Premium – Looked After Children

• Government has announced a £1000 increase in the Pupil Premium for LAC

• Now anticipate a rate of £1900 in 2014/15

• It is possible that we may move to fund this using three counts per year rather than the current one

Year 7 Catch Up Premium

• We have received a number of queries about this but have no information at this time

PE & Sport Grant

• Allocations and Conditions of Grant are both on Kent Trust Web

• Lump Sum element has been calculated incorrectly, DFE advises that this will be corrected but we don’t know when

• Some questions over pupil numbers which we are trying to resolve

PE& Sport Grant

• Should be £8,000 plus £5 per eligible pupil

• 65% now then 35% in next financial year as Additional Grant for Schools uses school year not financial year

• Is ring fenced for Sport provision

• Schools must report on their website what their allocation is and how it is being spent

Universal Free School Meals

• Government has announced intention to provide free school meals for all KS1 pupils

• There has been no detailed announcement about how this will be funded

• Some issues which could arise are:– Kitchen capacity– Identifying FSM as defined for Pupil Premium– Lack of time to prepare