Agenda item

AL introduced the report and outlined the information contained therein. 

DM and TY clarified the carry forward position with regards to the potential underspend and what could and could not be utilised as confirmed by the DfE and outlined in the report.  Underspend due to school closures could be identified separately but essentially formed part of the overall Schools Block and in effect could be used within the DSG balance for the High Needs block.

In response to the report, DM clarified that the formula for the initiation of the ‘Safety Valve’ had not been specified as a deficit figure and it had been established that other elements were considered.  As BCC were a part of the Delivering Better Value in SEND programme rather than the Safety Valve programme, discussions therefore focused on sustainability rather than total historical deficit.  The Statutory Override was scheduled to end March 2023 and arrangements with Auditors would take place regarding the next steps along with demonstration of good progress and longer term mitigations.  DM confirmed that concerns were shared by Cabinet who continued to review the risk and progress of the Transformation Programme advocating collective ownership in order to reach solutions and move forward.

RH reported that nursery school deficits were a particular risk which currently stood at £5.2m.  Work was ongoing with nursery school headteachers and governors to understand the challenges and pressures.  Strategic proposals had been formed and shared with those groups and discussions continued around aspects such as non-class based roles, shared resources, SEND and 2 year old funding, co-location and the integrated offer along with family hubs.  It was noted that in terms of funding, nurseries had been required to absorb costs associated with COVID as they had not been funded in the same way as schools.  A Terms of Reference and strategic proposals would be developed into clear plans.  The proposed ring fenced carry forward would be helpful to support the Nursery Schools in the work outlined.

In response to RH, the following points were raised:

1.      Following a request, TY undertook to circulate information regarding how the £5m deficit compared to the total income of nurseries.

2.      Only 50-70% of children who were eligible for 2 year old places accessed them with take up reportedly lowest in the two areas of lowest deprivation.  To tackle funding for 2 year olds in the City would likely have an impact on deprivation.

3.      The role of nurseries in family support had continued despite funding having been removed.  The family hub model could assist with that dynamic.

The Schools Forum endorsed the approach of a ring fenced allocation to support Early Years as outlined within the report and requested an update on next steps to utilise that funding as resource to form strategies and support future viability.  A report would return to the Schools Forum July meeting.

TY confirmed that of the 15 schools (11 nursery schools and 4 primary schools) that started the year in deficit, 14 of those had ended the year in deficit with one primary school no longer in deficit at the end of the year.

The Schools Forum:

a) noted the 2021/22 provisional outturn position of £14.647m as set out in Table 1, which was a favourable movement of £2.142m from the forecast position at Period 10 (last reported in March 2022).

b) noted that the total provisional cumulative DSG deficit carried forward to 2022/23 was £24.650m including brought forward balances of £10.004m from previous years.

c) noted the maintained schools and children centres provisional end of year balances of £4.258m as set out in Table 2.

d) noted 14 maintained schools had a deficit balance totalling £2.103m.