Schools Bill [HL] Debate

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Department: Department for Education
Lord Liddle Portrait Lord Liddle (Lab)
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My Lords, I will intervene briefly. I apologise that I have been away and therefore unable to participate in debates on the Bill as much as I would have wanted to. I start by declaring my interest as still being a member of Cumbria County Council.

I agree with quite a bit, but not all, of what my noble friend Lord Davies of Brixton has just said. I am personally not against academies and academy chains; I think they have brought fresh thinking into the education system. The problem is how to regulate them. My impression is that the Bill is adopting far too centralised an approach.

The essence of the point I want to make is that it is my impression that, in my own authority, the schools forum approach, allowing the per capita payment to be flexed, has worked well. It has worked well in two respects, and I hope the noble Baroness might address this. I have great respect for her and her concern for education, and I hope she might reflect on these points.

First, in an area that is a mixture of big towns and lots of rural village schools, the formula can be flexed to help keep open village schools that serve important local needs. This is particularly true in areas where there are big distances, such as Cumbria.

Secondly, there is a problem when a school gets into difficulty. Schools can get into difficulty quite quickly, particularly if there is a change of head or something like that, and it does not work out well. In an area where there is no shortage of school places and parents have a lot of choice—this applies particularly at secondary level—you then get into the situation where parents can choose to take their children out and put them into other schools in the area if they think a particular school is not doing well.

You cannot turn that situation around—perhaps the noble Baroness agrees with me—by having to cut teachers as a result of school income declining. Somehow, we have to get better leadership into the school, and I am sure that this is what an academy chain would want to do. The formula has to reflect that possibility. How is that going to happen? I fully support the amendment from my noble friends on the Opposition Front Bench.

Baroness Morris of Yardley Portrait Baroness Morris of Yardley (Lab)
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My Lords, I was not going to speak on this issue; I will do so very briefly. It is really important, and it is a shame that it is so late in the evening. I am in two minds about it: I can see where the Minister is coming from but my views, on the whole, accord with those of my noble friend Lord Liddle, who has just spoken.

The point I want to make, and I would ask for the Minister’s observations on it, is this. When I was doing her job, I remember when I learned that my decision on how the money should be allocated was not replicated in the local authority. I was a bit cross about it: here we are taking decisions about this, we send the money out to the local authorities and, blow me down, they change it around. I then realised that we just had to live with it—that was democracy, and that was making sure there was some local flexibility. However, I can remember feeling irritated by it. We lived with it because we were not as centralised as this Government intend to be.

My worry about this is not that it is trying to remedy the wrong that was referred to earlier on this evening—that 20 local authorities do not pass on the funding to small schools in rural areas when it leaves the department. It does not look like that to me, although I do not doubt that she is concerned. The way it looks to me is that this Bill is about giving power to the Secretary of State over every school and over everything. The minute the Government do that they have to control all the money. It seems to me that is the order: if the Government were not taking all the powers to control every school and everything they do, they would be able to be more flexible with the money, because that flexibility with the money would go with the flexibility given to the school. Because the Government are taking all the power to control all schools over all things, it looks as though they have thought, “The only way we can do that is to control every penny as well. We have to have that lever.” That is what worries me. If you put it together with what is happening in initial teacher training, it is the last brick in the wall of an absolute top-down, very heavily controlled nationalised school system. I would really like the Minister’s observations on that.

Baroness Barran Portrait The Parliamentary Under-Secretary of State, Department for Education (Baroness Barran) (Con)
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My Lords, I will start by setting out the principles of Clause 33, in response to the intention of the noble Lord, Lord Davies, to oppose the question that the clause stand part of the Bill. I am thankful for the opportunity to debate the role of Clause 33 and this part of the Bill more broadly. This measure implements the direct national funding formula and, as I said in response to the third group, delivers on our long-standing commitment to achieve fair funding for schools. We received wide-ranging support from the sector for this vision of how we fund schools in our consultation last year, and we heard your Lordships’ views on the importance of not only holding consultations but listening to them.

A single national funding formula, replacing the current 150 local arrangements, will make funding for schools simpler, fairer and more transparent. It will allow the sector, and your Lordships in this place, to hold the department to account for school funding. This measure outlines the framework of roles and responsibilities for the new funding system. The reforms set out in this part of the Bill have been developed carefully, in extensive consultation with stakeholders, to ensure we reflect the needs of pupils and schools in the fairest and most consistent way.

The noble Lord, Lord Davies, talked about how well the system had worked previously, but when I look at the data for funding per pupil from 2017—I think this was something the noble Baroness, Lady Chapman, also touched on earlier—for Brent and Lincolnshire, both of which had 12% of children on free school meals, the funding per pupil was £5,523 in Brent and £4,305 in Lincolnshire. Similarly, there were big differences in a number of other areas, not only London boroughs. For example, Blackpool and Manchester, at that time, had 25% of children on free school meals and there was about £800 higher funding per pupil in Manchester than there was in Blackpool. I hope the noble Lord will acknowledge that is hard to see as either transparent or apparently fair.