Annual report on education spending in England: 2022

Abstract

This report is the third in a series of annual reports on education spending in England. The authors gratefully acknowledge the support of the Nuffield Foundation, which has funded this series of annual reports (grant number EDO/43355). The Nuffield Foundation is an independent charitable trust with a mission to advance educational opportunity and social well-being. It funds research that informs social policy, primarily in Education, Welfare and Justice. It also provides opportunities for young people to develop skills and confidence in science and research. The Nuffield Foundation is the founder and co-funder of the Nuffield Council on Bioethics, the Nuffield Family Justice Observatory and the Ada Lovelace Institute. The Nuffield Foundation has funded this project, but the views expressed are those of the authors and not necessarily the Foundation. For more Schools 1 School spending per pupil in England fell by 9% in real terms between 2009-10 and 2019-20. This represents the largest cut in over 40 years, but it came on the back of a significant increase in spending per pupil of over 60% during the 2000s.2 Over the 2010s, cuts in spending per pupil were lower in Wales (5%), but similar in Northern Ireland (10%). In contrast, spending per pupil in Scotland rose by 5% in real terms over the 2010s, reflecting extra funding to pay for increases in teacher pay totalling more than 10% over 2018 and 2019. Spending per pupil is highest in Scotland (£7,300), at similar levels in Wales and England (£6,100) and lowest in Northern Ireland (£5,800).3 The government has allocated an extra £7.1 billion for schools in England in 2022-23. This will increase spending per pupil by 9% in real terms between 2019-20 and 2022-23 (as measured against expected general inflation) and near enough reverse past cuts. If we account for expected increases in teacher pay, the real-terms increase in spending per pupil will be lower, at 6%. In any case, spending per pupil in 2022-23 is set to be no higher in real terms than in 2009-10.4 Secondary school spending per pupil in England (£6,000) was about 16% higher than in primary schools (£5,200) in 2019-20. This is down from a secondary/primary funding difference of 30% in 2010-11, partly reflecting large cuts to school sixth-form funding. It also continues a long-run trend, with the funding difference down from over 50% during the 1980s. Whilst empirical evidence shows high benefits to spending at younger ages, it is not clear evidence supports such a dramatic shift. 2020 annual report on education spending in England  The Institute for Fiscal Studies, November 2020 9 5 The school funding system in England provides greater levels of spending to more deprived schools to help narrow the achievement gap between rich and poor. During the 2000s, the extra funding received by the most deprived schools compared with the least deprived ones grew from 20-25% in 2000-01 to 35% by 2010-11. 6 Despite the introduction of the Pupil Premium in 2011, the deprivation funding premium shrank back to 25% in 2018-...

How does school spending per pupil differ across the UK?

“…This mostly reflects increases in funding announced at recent spending reviews. The figures for England are also higher than we have previously published as we include the grant for additional employer pension contributions (Drayton et al, 2022). This ensures consistency with figures for other nations.…”

What has happened to college teacher pay in England?

“…A large part of the reason for these low pay increases is the squeeze on college budgets over the last decade. In our recent annual report on education spending (Drayton et al, 2022), we showed that between 2010-11 and 2019-20, public spending per student (aged 16-18) fell by 14% in colleges, while spending on classroom-based adult education almost halved in the same period. These cuts to post-16 education funding have made it difficult for colleges to allocate money towards higher levels of staff remuneration.…”

Teacher recruitment, training and retention: submission to the Education Select Committee

“…College leaders face the challenge of finding money within already stretched budgets to fund pay increases for their staff. Between 2009-10 and 2019-20, public spending per student aged 16-18 declined by 12% in colleges in real terms, while spending on classroom-based adult education almost halved (Drayton et al, 2022). These cuts to the post-16 education budget have made it difficult for college leaders to allocate more money to higher pay levels.…”