Question to the Department for Education:

To ask the Secretary of State for Education, how school leaders can set budgets for the next school year without (a) the information on pay for leaders and teachers contained in the School Teachers’ Review Body report and (b) a response from Government on funding for the report’s recommendations on pay; and if she will make a statement.

The Department understands the timing of the national pay award announcement presents budgeting challenges for schools. The Department is continuing to work across Government to ensure announcements are made as early as possible. This year, the Department has allowed trusts more time to prepare their budgets by extending the deadline to 31 August 2023 for the Budget Forecast Return (BFR) that academies are required to provide, setting out their budget plans.

Following unions’ rejection of the Government’s 4.5% offer in March 2023, the independent School Teachers’ Review Body has submitted its recommendations to government on teacher pay for the 2023/24 academic year, as part of the normal process. The Department will be considering the recommendations and will publish our response in the usual way.

Funding for both mainstream schools and high needs, including the additional funding announced at the Autumn Statement, is £3.5 billion higher in the 2023/24 financial year, compared to 2022/23. This is the highest ever level per pupil, in real terms, as measured by the Institute for Fiscal Studies. The Department provides these increases to school revenue budgets so that schools can cover cost increases in the year ahead, including to teacher pay. As usual, schools should plan for how teacher pay awards could be managed within this existing funding.

The Department’s position remains that a 4% teacher pay award should be affordable, nationally, from the funding increases already promised to schools, as set out in an Education Hub post published at the time, which can be found at: https://educationhub.blog.gov.uk/2023/03/28/teacher-strikes-latest-everything-you-need-to-know-about-the-teacher-pay-offer/.

It would be sensible for schools to consider the range of possible scenarios on pay that might materialise, and what the implications would be for their individual school.