What will happen to my school budget?

The financial year starting on 1 April 2019 will see a number of changes:

  • Norfolk schools will be moving to the National Funding Formula which will reduce the budgets of some primary schools. There will be some protection from the Minimum Funding Guarantee
  • Norfolk County Council is applying to the Secretary of State to move £4.58mn from the Schools Block (maintained schools and academies) to the High needs Block  (special schools and alternative provision). If this is agreed there will be less money for schools budgets.
    The Secretary of State may not decide until February so final budgets for schools may not be available before the deadline of 28 February 2019.
    Schools can get some idea of the impact if they look at the Funding Consultation – Option 1A shows the impact of the full transfer to the High Needs Block.
    http://www.schools.norfolk.gov.uk/School-administration/Finance/Fair-funding/index.htm

    That is the income side but schools should also be aware of expenditure pressures:

  • Teachers Pay Award – the government is funding the amounts above the 1% increase but not by matching the actual increase in pay costs as the Grant is paid according to pupil numbers. Also , the Teachers’ Pay Grant is only guaranteed until 1 April 2020.
  • Support Staff Pay Scales (Green Book) – new scales based on the National Living Wage come in from 1 April 2019. There is no compensating increase in funding.
  • Teachers’ pensions contributions with rise from 16.5% to 24.6% from 1 September 2019. The government says is will provide additional funding but no details are yet available and this compensation may also be time limited to 1 April 2020.

Budget setting will be a challenge this year.