Agenda item

Members received a report which set out the year end position on expenditure from the Dedicated Schools Grant in 2017-18.

The carry forward balance from centrally retained Dedicated Schools Grant from 2017-18 into 2018-19 was £948,887.  The balance of DFE grant for 2, 3 and 4 year olds and 30 hour take up, staff vacancies and transfer of central costs contributed to the £193,000 Early Years Block underspend.  It was proposed that £93,000 of the underspend be used to support the Local Authority with the purchase of new software to improve the collection of census data from providers.  The recommendation to hold the underspend as an unallocated sum until the adjustment to the grant allocation by the DFE was agreed by members. 

The High Needs Block had been overspent by £296,000 partly due to the high cost of placements at residential and independent provision.  It was proposed, and agreed, that part of the overall underspend be allocated to the High Needs Block to balance the overspend.  A report on High Needs would be provided at the next meeting.  

The Schools Block had underspent by £1.031m mainly due to an underspend of the Falling Rolls Fund by £247,020,  Pupil Growth by £562,041 and School Partnerships by £144,013. Any school funded for pupil growth in the current financial year where the PAN had subsequently been reduced would have the funding  withdrawn.

The Schools Funding Forum noted the areas of underspend and overspend from the 2017-18 DSG Schools Block; and agreed the following:

i)          To balance the overspend of £296,034 in the High Needs Block from 2017-18 to reduce the pressure in that area in 2018-19.

ii)         To carry forward £50,000 from the £144,013 School Partnership budget as a contingency for the Havering Academy of School Leadership.

iii)       To retain the remaining balance of £684,727 as an unallocated contingency to support continuing high needs pressures in 2018-19 and to provide sufficient funding to implement the national funding formula in 2019-20.

The budgets that were de-delegated from maintained primary and secondary schools were balanced at year end with the exception of an underspend of £21,058 in the budget for trade union facility time due to vacancies for trade union representatives.  It was proposed that £21,058 be carried forward to the 2018-19 budget for trade union facility time with consideration given by the trade union representatives on how it should be best used in the provision of support to schools.

During discussion, members expressed concern that there had been no accountability or transparency of expenditure of trade union facility time.  It was explained that the Conditions of Service Working Group would be open to recording trade union time and a template had been drafted for comment by the trade unions.  Members discussed the impact that the increase of academies would have on the budget and the implications of not having access to local trade union representation.  Advice outlining service purchasing had been sent to all schools, including details of what services would be unavailable if trade union membership were not bought into.  It was agreed that the funding be used to support the transition to the reduced amount of £2.50 per pupil.