Agenda item

To receive a report on the forecast financial position for 2020/21. The position is reported against the budget set in consultation with the Schools Forum and submitted to the Department for Education on the Section 251 budget return.

Aly Dena, Senior Finance Analyst at Brent Council and Olufunke Adediran, Head of Finance at Brent Council presented a report on the forecast financial position for 2020/21. The position was reported against the budget set in consultation with the Schools Forum and submitted to the Department for Education on the Section 251 budget return.

The Forum was then invited to raise questions on the report, which focused on a number of key areas as highlighted below:

·       In response to a question from the Forum, it was noted that there was a risk of overspend in the High Needs Block if the number of children and young people with Education Health and Care Plans (EHCPs) continued to grow at the same rate as previous years.

·       As a result, there was an expected increase in the Dedicated Schools Grant (DSG) deficit due to an expectation that DSG expenditure would exceed income by £4.2 million in 2020/21. As such, the DSG deficit would increase from £4.9 million to £9.1 million by the end of the financial year.

·       In response to a question from the Forum, it was noted that many schools were becoming increasingly concerned at demand on schools provision as a result of the growth in the number of EHCPs. The Forum was assured that resourcing and provision is being considered as part of the Banding Review and that particular attention was being given to special school place planning. Immediate actions to expand provision were underway as well as longer-term strategies.

·       It was recognised that many mainstream schools, as well as special schools, had engaged with the Council in supporting the development of additionally resourced provision. However, Forum members expressed concern over the funding for additionally resourced provision and the long-term effect this could have on retaining providers. 

·       In response to a question from the Forum, it was recognised that the number of EHCPs had been rising over a number of years. There was a need for sufficient funding to cover the rising costs associated with special needs provision. The efforts of the Society of London Treasurers to lobby central government on children’s services funding was welcomed.

·       It was suggested that forecasts for the growth in the number of EHCPs recognise the likely increase in mental health issues as a result of the pandemic.

·       It was noted that the funding made available to state-funded mainstream and special needs schools to claim back additional premises and cleaning costs associated with the pandemic was only available for costs incurred during the Easter holiday.

·       In response to a question from the Forum, it was noted that schools had submitted claims of up to £104 million nationally. The first batch of funding that was paid out nationally amounted to £58 million, of which Brent schools received £99,000. The value of the second batch of funding was not yet known.

·       Concern was raised over the additional costs that would be incurred due to the current lockdown. Schools were encouraged to evidence the level of additional costs so that it could be fed back to central government.

Resolved

1.    To note the contents of the Dedicated Schools Grant Budget Monitoring Report.

2.    That an update regarding the progress of special educational needs provision planning within the borough be provided to members of the Forum at a future meeting. (Action 68: Brian Grady)

3.    That officers survey Brent schools in the borough regarding the additional costs incurred due to the current lockdown, so that it could be fed back to central government. (Action 69: Olufunke Adediran)