Councils granted fresh powers to fund smaller village schools

RURAL campaigners are claiming a key victory after the Government agreed to change funding rules so extra money can be used to keep village schools open.
Commons education committee chairman Graham StuartCommons education committee chairman Graham Stuart
Commons education committee chairman Graham Stuart

Commons Education Committee chairman Graham Stuart, the MP for Beverley and Holderness, hailed a “significant breakthrough” after Ministers said councils will be given new powers to pour funding into rural areas.

There were fears schools in many smaller villages – including across large parts of North and East Yorkshire – could disappear in the next few years after a significant change to the Government’s “lump sum” funding model from April 2014.

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To reward schools that attract more pupils, each school will receive a lump sum and an amount related to the number of pupils, determined by each council.

But the Government wanted to impose a new condition that every school in its area must receive the same lump sum, regardless of size or location – raising the prospect of funding being reduced to small rural schools and, in turn, threatening their viability.

However, after being pressed by MPs and councillors from across rural England, the Department for Education (DfE) has agreed to give local authorities power to provide schools in “sparsely populated areas” with additional cash.

“We have made a significant breakthrough,” said Mr Stuart, who also leads the all-party parliamentary group for rural affairs.

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“The coalition’s announcement marks a milestone on the road towards a fair share for rural communities. I very much welcome these decisions – the increased flexibility is great news for the education of young people.”

Schools in rural areas have long complained they are under-funded, and the move by Ministers this week does not mean councils will get any extra money. But with the DfE now formally recognising the difficulties facing the countryside, it could signal a better deal when a new funding formula is put in place from 2015.

Julian Smith, the Conservative MP for Skipton and Ripon, said: “Many schools in North Yorkshire have been concerned at the impact the changes to the school funding formula would have.

“The changes outlined do not solve all the challenges facing our schools, but they will go some way to addressing many of the most important concerns that have been raised over the specific challenges of sparsity and giving local authorities greater flexibility.”

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The move was warmly welcomed at North Yorkshire County Council, which runs many of the most rural schools in the country.

“This appears at first sight to be very good news,” said Coun Arthur Baker, the council’s executive member for schools. “We welcome the fact the Government has apparently responded positively to our intensive lobbying.

“All we have asked for throughout this process has been for the Government to allow some small element of flexibility in how we distribute the resources locally. We now need to look at the detail of the proposed amendments.”

East Riding Council was more cautious, with education portfolio holder Coun Julie Abraham stressing there was no extra money on the table.

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“Changes around the size of the lump sum between primary and secondary phases and the introduction of a new sparsity factor will have to be considered very carefully as, unless there is any new money from Government, we will only be redistributing our existing resources,” she said.

“That could create a different list of winners and losers.”

And Mr Stuart made clear the fight will go on to secure increased funding post-2015.

“I will keep up the pressure for a new national funding formula for schools, which Ministers have committed to introduce in the next Parliament,” he said.

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