School and Early Years Finance (England) Regulations 2018 Debate

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Department: Department for Education
Wednesday 21st March 2018

(6 years, 1 month ago)

General Committees
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Mike Kane Portrait Mike Kane
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I could not agree more. The curriculum is being narrowed for a whole series of reasons, but the main one is severe funding cuts in our schools.

I have talked about class sizes, and the second huge impact is teacher numbers. Staff numbers in secondary schools fell by 15,000 between 2014-15 and 2016-17 despite their having 4,500 more pupils to teach. There is a huge recruitment and retention crisis. The Times Educational Supplement says that we will be short of 43,000 secondary school teachers in the next few years. The figures are being masked by the greater supply in primary schools. That equates to an average loss of 5.5 staff members in each school since 2015. In practical terms that means 2.4 fewer classroom teachers, 1.6 fewer teaching assistants and 1.5 fewer support staff in every school.

Cuts to frontline teaching posts are happening at a time when pupil-to-teacher ratios are rising, which means bigger classes and less individual attention for children. Research published only last week by the Education Policy Institute shows how many schools have been struggling financially and are now in deficit.

Jo Platt Portrait Jo Platt (Leigh) (Lab/Co-op)
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Does my hon. Friend agree that cuts to other public services and mental health services in particular are putting undue pressure on our schools, given their teacher resource capacity?

Mike Kane Portrait Mike Kane
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I am grateful to my hon. Friend for that extraordinarily valid point. We know from our postbags that a rising number of parents cannot get special educational needs and disability provision for their children because schools are having to cut that and less specialist services back at local authority level. Local authorities have been cut—they have lost around 30% to 40% of their budgets—which has had a direct impact on the services that schools can buy in.

The number of local authority maintained secondary schools in deficit has nearly trebled, which means that more than a quarter of all such schools are now in deficit. In 2016-17, the proportion of primary schools in deficit increased significantly, to 7.1%. The average primary school deficit also notably increased, from £72,000 in 2010-11 to £107,000 in 2016-17.

Perhaps the most worrying finding was that a large proportion of local authority maintained schools are now spending more than their income, and 40% of those secondaries have had balances in decline for at least two years in a row. Similar figures are found for local authority maintained primaries; in 2016-17 more than 60% were spending more than their income. A quarter had had a falling balance for two years or more.

The Education Policy Institute report points to the inevitable outcome of the growing budget pressures. Staff account for the majority of spending by schools, at around two thirds. It is therefore likely that schools will find it difficult to achieve the scale of savings necessary without cutting back on staff. What is the Government response? Only last week we found that the new Education Secretary had been forced into an embarrassing U-turn after he claimed wrongly that school spending is going up. That is the message they would like to put out. The constant delay of the fair funding formula led to constant Conservative press releases about fixing funding in our schools, but that has been far from the case.

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Nick Gibb Portrait Nick Gibb
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We have to marshal our resources. A lot of the statistics cited on Sure Start are to do with buildings and not the provision of services in those buildings. Schools in Rotherham would attract 4.5% more funding if the national funding formula were implemented in full, based on the 2017-18 data, coming to £2.9 million. Under the national funding formula, schools in Rotherham will be funded at £4,982 per pupil, compared with the national average of £4,655.

Jo Platt Portrait Jo Platt
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Does the Minister agree that losing investment in early intervention and prevention is having a huge knock-on effect on school readiness for children, and therefore on attainment? Should the NAO figures on the closure of Sure Start centres not be taken seriously, and should we look again at investing in early intervention and prevention?

Nick Gibb Portrait Nick Gibb
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We take those issues seriously and the hon. Lady raises an important point. However, the attainment gap between those from disadvantaged backgrounds and their more fortunate peers in primary schools has closed by 10%, and there has been a huge increase in children’s ability to read. We are moving from joint 10th place to joint eighth place in the international reading surveys of nine-year-olds, and there has been a huge increase in the proportion of six-year-olds who pass the phonics check—in 2012, 58% passed, but 81% passed in 2017.

Jo Platt Portrait Jo Platt
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Look at the social mobility figures. Why are a record number of people unable to get on when they leave if attainment is good in our schools?

Nick Gibb Portrait Nick Gibb
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We have some of the lowest levels of young people not in education, employment or training —lower, certainly, than under the previous Labour Government. We have very low levels of youth unemployment compared with other countries in the European Union, and we have the lowest level of unemployment in this country for 42 years. That is the consequence of proper stewardship of our public finances and our economy. That is how we provide opportunities and social mobility, ensuring that more people have the opportunity to earn a pay packet, and pay their rent, mortgage and bills. I will give way to the hon. Member for Rotherham.