School Funding: East Anglia — [Mike Gapes in the Chair]

Part of the debate – in Westminster Hall at 5:29 pm on 3 September 2019.

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Photo of Nick Gibb Nick Gibb Minister of State (Education) 5:29, 3 September 2019

It is a pleasure to serve under your chairmanship, Mr Gapes. I congratulate Clive Lewis on securing this debate in the week that many schools are starting the new academic year and just days after the Government announced a giant cash boost for schools across all parts of the country. I add my thanks and admiration to all teachers and teaching assistants starting the new term this week.

As my right hon. Friend the Secretary of State will set out in a statement to the House just after the statement on preparations for leaving the EU, we have committed an extra £14 billion of funding to schools throughout England over the next three years. That delivers on the Prime Minister’s pledge when entering Downing Street to increase school funding by £4.6 billion over and above inflation, levelling up education funding and giving all young people the same opportunities to succeed regardless of where they grow up or go to school.

We have been able to do this because of our balanced approach to the public finances and careful stewardship of the economy, which has resulted in the lowest level of unemployment since the mid-1970s and record levels of people in employment, a state of affairs that would be wrecked by any Labour-led Government. This funding settlement means that we can continue to build a world-class education system, helping to continue to raise standards in our schools.

The funding package includes a cash increase of £2.6 billion to core schools funding next year, which increases to £4.8 billion and then £7.1 billion in 2021-22 and 2022-23. That is in addition to the £1.5 billion per year that we are injecting into the school system to cover additional pensions cost for teachers over the next three years, ensuring that employer contributions to teachers’ pensions—equivalent to 23% of gross salaries—is fully funded. That addresses the concern raised by my hon. Friend Sir Henry Bellingham, who asked whether that teacher pension employer contribution would be fully funded. The answer is yes and it will be in addition to the £14 billion that we have announced.

This is a three-year settlement. Daniel Zeichner criticised it for going into a period beyond this Parliament, but schools are seeking a three-year settlement; most schools with which I discuss school funding have been asking for a three-year settlement. In total, across the country, core funding for schools and high needs will rise to £52.2 billion—my hon. Friend the Member for North West Norfolk was right about that figure—by 2022-23. According to the Institute for Fiscal Studies, this funding will reverse the reductions in real-terms per-pupil funding for five to 16-year-olds since 2015. That should address the concerns raised by the hon. Member for Norwich South.

As part of this significant investment, we will also deliver on the Prime Minister’s pledge to level up funding, providing increases for our lowest funded schools. Every secondary school will be allocated at least £5,000 per pupil next year, and every primary school will be allocated at least £3,750 per pupil, putting primary schools firmly on the path to receiving at least £4,000 per pupil in the following financial year. In East Anglia this means that per-pupil funding for 46% of secondary schools in the region—160 secondary schools—will level up to at least the minimum of £5,000 next year. In addition, per-pupil funding for 30% of primary schools in the region will level up to at least the minimum of £3,750 next year—that is 594 primary schools on the path to receiving at least £4,000 per pupil. We are also allocating funding so that every school’s per-pupil funding can rise at least in line with inflation and to accelerate gains for areas of the country that have been historically underfunded, with most areas seeing significant above-inflation gains.

I challenge the hon. Member for Norwich South on his characterisation of this year’s school funding. Even before this major announcement, funding in Norfolk has increased from £460.3 million in 2017-18, to £482 million, which is a 4.7% rise and equates to a 3% per-pupil rise.