State schools in England are on the brink of significant funding cuts, which could lead to school closures, larger class sizes, and reduced extracurricular activities. This alarming prospect follows an announcement by Chancellor of the Exchequer Rachel Reeves, stating that from the 2028/29 fiscal year, the costs associated with special educational needs and disabilities (SEND) provision will be integrated into the existing budget of the Department for Education (DfE) instead of being funded by local authorities.
The Government has yet to clarify how it intends to manage the anticipated £6 billion cost associated with this funding shift. Additionally, the Office for Budget Responsibility (OBR) has indicated that “no savings have been identified” to alleviate the financial pressure the DfE will face. If SEND provision were to be fully funded within the DfE’s core schools budget of £69 billion, it would result in a 1.7 percent fall in spending per pupil in mainstream schools, rather than the planned 2.4 percent increase, raising serious concerns among education leaders.
The implications of these funding changes have prompted strong reactions from education unions. The National Education Union (NEU) has warned that cuts to per-pupil funding would have a “catastrophic impact on educational provision.” The union has signaled its readiness to ballot for strike action in response to these funding pressures.
The situation is compounded by the increasing financial strain on local authorities, which have been grappling with a surge in the number of children requiring Education, Health and Care Plans (EHCPs). These plans are costly and have contributed to growing deficits within local budgets. In 2020, the Government allowed local authorities to disregard deficits related to SEND, but this measure is set to expire in 2028, at which point cumulative deficits are projected to reach £14 billion.
Education leaders are voicing urgent calls for clarity from the Government on how it plans to manage the financial implications of SEND provision without negatively impacting broader school funding. Julia Harnden, deputy policy director at the Association of School and College Leaders (ASCL), pointed out that even with current funding plans keeping pace with inflation, schools are already facing significant cost pressures.
“If we end up in a situation where funding rates actually fall in real terms, the impact on schools would be even more severe,” she stated. Harnden emphasized that without adequate funding, schools would likely have to close smaller primary schools, increase class sizes, and implement deeper cuts to both curricular and extracurricular activities.
The impending reforms to the SEND system, which are expected to be announced early in the new year, have also raised concerns among parents. Many fear that their children might lose access to critical support through EHCPs, particularly if the system is not adequately funded.
In addition to the SEND funding changes, Reeves announced funding for secondary school libraries and playground improvements. Nevertheless, education unions have criticized the Chancellor for not providing adequate support to boost overall school budgets, which they describe as “running on empty.”
The NEU’s general secretary, Daniel Kebede, emphasized the need for urgent action, stating, “We must convince this Government to change course – even if that means balloting for strike action. We must – and we will – save our schools.”
As the education sector braces for potential upheaval, the pressure on state schools continues to mount, leaving many stakeholders anxious about the future of educational provision in England.
