Financial Sustainability of Schools in England

Public Accounts Committee Closed Inquiry
Opened: 21 Oct 2021 Closed: 26 Apr 2022 Parliament page
In a 2016 investigation the NAO found that on the basis of the Department for Education’s planned funding at that time, schools would need to find significant savings to counteract cost pressures caused mainly by rising pupil numbers and increases in staff costs. Since then Government has increased funding for … Read more
10 Recommendations
17 Conclusions
1 Report
1 Oral session
4 Letters
1 Event
Activity timeline 8 events
28 Apr
2022
Report published
28 Mar
2022
Correspondence
4 Mar
2022
Report published
31 Jan
2022
Correspondence
24 Jan
2022
Correspondence
8 Dec
2021
Oral evidence
8 Dec
2021
Correspondence
8 Dec
2021
Formal meeting (oral evidence session) · The Grimond Room, Portcullis House
Oral evidence sessions 1 session
8 Dec 2021
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Financial Sustainability of Schools in England
Indra Morris · Children’s Services, Communications & Strategy Group Susan Acland-Hood · The Department for Education Warwick Sharp · Education and Skills Funding Agency
Title HC No. Published Items Response
Forty-Second Report - Financial sustainability of schools in Eng… HC 650 4 Mar 2022 27 Responded
Recommendations & Conclusions
2 results
Clear
8 Conclusion Acknowledged
Forty-Second Report - Financial su…
We asked the Department why so many maintained schools were in deficit.
We asked the Department why so many maintained schools were in deficit. The Department highlighted that the financial health of the school system had held up well and that most maintained schools and academy trusts were in surplus. The ESFA … Read more
Government Response
The government agrees with the Committee’s recommendation and states that the national funding formula (NFF) distributes funding to schools fairly, regardless of geographical location. They are introducing a consistent approach to budget planning and monitoring across local authority-maintained schools, including analysis of reserves in different phases, and a local authority level breakdown.
HM Treasury
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16 Conclusion Acknowledged
Forty-Second Report - Financial su…
We have heard examples of local schools taking steps such as cutting staff, particularly teaching...
We have heard examples of local schools taking steps such as cutting staff, particularly teaching assistants, and reducing provision for pupils with SEND, in order to make savings.34 We also received written evidence from stakeholders in the sector about how … Read more
Government Response
The department will commission research on how a sample of schools has experienced and responded to previous financial pressures and on the anticipated impact of additional funding, with results expected by end-March 2023.
HM Treasury
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Government Response AI assessment · 25 of 10 classified
Accepted 21
Acknowledged 2
Deferred 1
Not Addressed 1
Total 10 recs + 17 conclusions
Correspondence 4 letters
28 Mar 2022 Correspondence from Susan Acland-Hood, Permanent Secretary, Department for Education, re 42nd PAC Report of Session 2021-2 – Financial Sustainability of Schools in England, dated 23 March 2022
Parliament page
31 Jan 2022 Correspondence from Greg Ellwood-Hughes, Head of England, Parentkind, re - PAC inquiry Financial Sustainability of Schools in England Parentkind response, dated 10 December 2021
Parliament page
24 Jan 2022 Correspondence from Susan Acland-Hood, Permanent Secretary, Department for Education, re Financial Sustainability of Schools in England, dated 14 January 2022
Parliament page
8 Dec 2021 Correspondence from Southend High School for Boys relating to the Committee's inquiry into the Financial sustainability of schools in England, dated 23 November 2021
Parliament page