School Funding: Greater London

Seema Malhotra Excerpts

Tuesday 31st January 2017 Commons Chamber

[Ms Karen Buck (Westminster North) (Lab)]

I am grateful for the opportunity to have this short debate on the impact of funding changes on London’s schools. I apologise to the Minister for his drawing the short straw of having to respond to a debate at midnight, although I suspect that this will be the first of many such debates.

London Members of Parliament have some grave concerns, although I know that other parts of the country are affected by changes to the funding formula and by the wider squeeze on schools funding. In my constituency—this experience will be replicated widely, particularly in London—the story of school progress over recent years has been one of the great public policy successes. In the mid-1990s, our school estate was crumbling. We were teaching children in badly ventilated, overheated and old-fashioned buildings that had not received investment for decades. I remember when North Westminster community school, which was a sprawling three-centred school, achieved in the last year before its closure just 18% GCSE grades A to C, including English and maths. It was one of the worst results in the country. I remember when half our secondary schools and a number of primary schools were in special measures, despite some frankly heroic efforts by a number of teachers and heads. I remember when there was virtually no provision at all for pre-school education.

Over the course of the past 15 years, the situation was transformed by a number of measures, including the London challenge programme—a focused management and good practice sharing policy that, under the inspirational leadership of Tim Brighouse, was widely understood to be a key factor in driving change in London schools. The transformation was also brought about by the new infrastructure, with magnificent new buildings across the city. It was brought about by the investment that went into the Sure Start children’s centres and the early years programme. Critically, it was brought about by money. The additional funding that went into London schools was used particularly to invest in teaching and improved teacher pay; in support for schemes such as Teach First; and in generally giving headteachers the ability to marshal resources to support a better learning environment. We have seen the outcome of that investment —both human and resource investment—in the hugely improved outcomes in school performance across the capital.

In the days before the London Challenge, London was the worst performing region in the country at key stage 4 level. By the end of that programme and the additional investment that accompanied it, we were the best performing region. Yet we know that the job is not done. Despite the improvements, there are still too many children who are not going into secondary school having achieved the standard at primary that is our benchmark. Across the country as a whole, we are still not managing to close the gap in attainment with some of our competitor nations. That is, as the last few hours of debate have confirmed, more of a challenge to rise to than it was previously. More than ever, the country as a whole but London in particular requires an education system that will allow us to be a world leader creatively, technically and economically, with an education system to support that.

The pressures and challenges that face London education are as great as ever. We have problems of deprivation that are still acute, and problems of churn. I appreciate very much that the Government have, for the first time, introduced a churn or pupil mobility indicator into the funding formula. I remember having an Adjournment on this very topic 10 years ago, when I wanted a factor of mobility to be brought into the funding formula for policing, for health and for education. I welcome the introduction of the indicator, but none the less schools face enormous pressure in some cases. I know of primary schools where not a single child at key stage 2 was there at the completion of the key stage 1 process. This is a very real difficulty for schools. We know of the challenges of English as an additional language and, critically, of the higher salary, building and other operating costs that London schools have to face. Even my borough of Westminster—the hon. Member for Charnwood (Edward Argar), who was a Westminster councillor, will recognise this—despite its reputation as the glittering centre of the capital that people see with Oxford Street and, indeed, the Palace of Westminster and so forth, has the seventh highest child poverty in the whole country.

[Seema Malhotra (Feltham and Heston) (Lab/Co-op)]

My hon. Friend is making a very powerful speech. The impact of child poverty on educational attainment is very much the subject and the driver of the work we are doing in Hounslow with Hounslow’s promise. Does she agree that there is tremendous concern about comments I have heard from headteachers suggesting that schools may be reluctant to accept pupils with significant needs, who may also be quicker to be excluded, because those schools do not have the resources to deal with some of their in-depth needs? Will she, with me, congratulate Hounslow Council, which tonight, with Tory and Labour councillors together, has called on the Government to consider again the impact that these changes will have on Hounslow schools’ ability to maintain the highest standards in quality of provision?

[Ms Buck]

I am happy to congratulate Hounslow Council, and I completely endorse what my hon. Friend has said. I will come in a second to the comments of headteachers and councillors from across London who have expressed their dismay about the effect of the funding formula changes.

I want to finish what I was saying about the level of deprivation. I think that it is either not understood or glossed over by too many of the representatives from the shires, who want to negotiate a better funding settlement for their own schools—that is something that I completely understand and appreciate—but who do not always recognise the extent of the expense and the pressures faced by the capital city, which is experiencing a redistribution away of funding to meet those needs. Seven of the 10 local authorities with the highest levels of poverty in the UK are in London, so it is horrifying that the new Government formula for distributing schools funding hits London particularly hard. In briefing me for this debate, London Councils and the Mayor of London have made it clear that they are extremely concerned about that.

A higher proportion of London schools—an estimated total of 1,536—will see a reduction in funding than in any other region. Seventy per cent. of London schools face a fall in funding, compared with 58% of schools in the north-west and 53% in the west midlands—and the figures for those areas are bad enough. Eight of the 10 local authorities that face the highest percentage losses in funding are in London. Worst affected are councils known for high levels of deprivation and challenge, such as Hackney, Camden, Lambeth, Lewisham, Haringey, Tower Hamlets and Hammersmith.