Catherine McKinnell

Catherine McKinnell

Labour — Newcastle upon Tyne North

Speaking in the House of Commons on 6 May 2025

Debate

Dedicated Schools Grant

Contribution

I think the hon. Gentleman will appreciate that I cannot get into the detail of a particular local authority area, or indeed a particular aspect of the funding. He will also appreciate that the national funding formula is fairly complex and obviously any changes to it will be very carefully considered, so that we make sure that it is allocated fairly. Nevertheless, I appreciate the issues that various hon. Members have raised today about the different challenges faced by different parts of the country, different demographics and different geographies. Obviously, all those factors will need to be taken into consideration. Members have also touched on the issue of pay. In its written evidence to the review body, the Department proposed a 2025 pay award for teachers of 2.8%. We were clear that schools will be expected to fund that award from the overall funds they will receive next year, including the additional £2.3 billion provided in the autumn Budget. The schools’ costs technical note, which was published in March, forecast a £400 million headroom in school budgets nationally in this financial year before staff pay awards. As I said at the beginning, I recognise that individual schools will have to balance funding and costs differently, which will matter in how any staff pay award might affect their budget. We will continue to support schools as they navigate these decisions, which are in line with the asks of the rest of the public sector, too.

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