Despite the government allocating over £7 billion extra for
schools in England in the 2019 Spending Round, core spending per
pupil in 2022–23 will still be about 1–2% lower in real terms
than in 2009–10, says research by the Institute for Fiscal
Studies.
School spending per pupil fell in England by 9% in real terms
between 2009–10 and 2019–20. The extra spending will reverse
most, but not all, of this cut.
Schools serving the most disadvantaged pupils have seen the
biggest cuts over the last decade. Having been introduced in
2018, the National Funding Formula for schools has ensured extra
funding flows to areas that have become more disadvantaged over
time. However, as a whole, the formula has provided a bigger
funding boost to more affluent areas than to disadvantaged areas.
These are the main conclusions of new research at the Institute
for Fiscal Studies, published today and funded by the Nuffield
Foundation. This examines trends in day-to-day core school
spending in England and excludes extra spending during the
pandemic, such as the £3 billion allocated so far for catch-up
spending. This report forms part of a wider programme of work
looking at trends and challenges in education spending.
Other key findings include:
• Total school spending per pupil in England was just over £6,500
in the latest complete year of data in 2019–20. This is 9% lower
in real terms than its high-point of £7,200 in 2009–10.
• The government has allocated an extra £7.1 billion for schools
in England through to 2022–23. Whilst this will increase spending
per pupil by over 8%, school spending per pupil in 2022–23 will
still be 1% lower in 2009–10 after accounting for overall
inflation or 2% after accounting for the growth in specific costs
faced by schools.
• Deprived schools have seen larger cuts. The most deprived
secondary schools saw a 14% real-terms fall in spending per pupil
between 2009–10 and 2019–20, compared with a 9% drop for the
least deprived schools.
• Whilst the National Funding Formula for schools has helped to
ensure funding for different areas reflects the way they have
changed over time, it has also provided bigger funding boosts for
the least deprived schools. Between 2017–18 and 2022–23, funding
allocated for the least deprived schools will increase by 8–9% in
real terms compared with 5% for the most deprived schools.
• Over the long run, spending per pupil has gone up faster in
primary schools than in secondary schools. In the late 1980s,
secondary school spending per pupil was over 60% higher than
spending in primary schools. In 2019–20, the difference was only
14%.
Luke Sibieta, Research Fellow at IFS and author,
said: ‘The 9% fall in school spending per pupil in
England over the decade between 2009 and 2019 is the largest in
more than 40 years, and probably a lot longer. The fact that it
still won’t have recovered back to 2009 levels by 2022 shows just
how big the squeeze has been. This will make it that much harder
for schools to address the major challenge of helping pupils
catch up on lost learning alongside everything else they are
required to do. Schools serving disadvantaged communities face
the biggest challenges. They faced the biggest cuts up to 2019
and are now receiving the smallest rises. This pattern runs
counter to the government’s aim of levelling up poorer parts of
the country.’
Josh Hillman, Director of Education at the Nuffield
Foundation, said: ‘This IFS research reveals that the
largest reductions in per pupil spending have been experienced by
schools in deprived areas. We also know that the most
disadvantaged pupils are more likely to be behind on their
learning as a result of disruptions to their education during the
COVID-19 crisis. It is crucial that schools in deprived areas
receive appropriate and well-directed funding so that they can
help to close the disadvantage gap and ensure all children can
reach their potential.’
