London Daily

Focus on the big picture.
Saturday, Oct 24, 2026

Special schools in England face funding squeeze, headteachers say

Special schools in England face funding squeeze, headteachers say

Schools warn of ‘postcode lottery’ in which cash-strapped councils hold back money to cut budget deficits
Special schools in England are struggling to access crucial government funding worth hundreds of thousands of pounds to offset rising staff salaries and soaring fuel costs, headteachers have warned, with some facing cuts to class sizes.

The autumn spending review set out £1.2bn in funding for schools to cover forthcoming national insurance increases and “wider cost pressures”, including the new £30,000 starting salary for teachers, as well as fuel price rises.

That funding, the schools supplementary grant, has been handed directly to mainstream schools, but it goes via local authorities to special schools, alternative provision and hospital schools through the high needs budget.

Special schools are warning that this has resulted in a “postcode lottery” in which some cash-strapped councils are withholding all or part of the grant to bring down deficits in their high needs budgets, whereas others are matching or exceeding the grant received by mainstream schools.

Pauline Aitchinson, who runs the National Network of Special Schools (NNoSS), which represents 460 special schools across England, said: “Special schools are very oversubscribed so there has to be a balance – nobody would want to see children suffering as a result of this.

“Some schools haven’t had increases in top-ups for many years. They’re seeing real cuts in their funding. We have to make sure that when mainstream schools are getting guarantees of extra funding for extra costs that are no fault of their own, that special, hospital and alternative provision are treated the same. It’s got to be a level playing field.”

Aitchinson said the funding was especially important for special schools, which employ more staff members per student, and to help them avoid a looming staffing crisis, with support staff leaving the profession over low pay. “Having these funding guarantees could allow schools to be more strategic in retaining and attracting the right staff for their schools,” she added.

According to an NNoSS survey of 135 special schools from mid-March, almost two-thirds had not yet heard from their local authority, despite the health and social care levy coming into force from 1 April, while nine in 10 expected not to receive adequate funding from their local authority.

The uncertainty is making it difficult for heads to plan for next year and budget properly, Aitchinson said. She said the Department for Education (DfE) has said the delays are a matter for councils and schools, with no deadline or fixed methodology set out in the guidance to local authorities.

One multi-academy trust, the Eden Academy, said all four local authorities in which its special schools were based have so far given different responses. Hillingdon will not pass on any funding, Harrow will give some but has not yet determined how much, Cumbria has passed on 3%, just below the 4% mainstream schools are receiving, and Northumberland has not yet decided, said its chief operating officer, Sudhi Pathak.

He said the lack of clarity was making it difficult to establish what support the schools would be able to offer pupils in September, from therapy, including for speech and language, to being able to restrict class sizes to eight pupils, as well as forcing schools to dip into emergency funds to cover unexpected costs such as building works. “I can only budget on something I know is definitely coming in. The danger is I rely on it and it doesn’t materialise.”

He added: “Our heads were told this funding is coming and now it looks like it isn’t. We’re still trying to discuss with local authorities to get something out of them. It’s stressful for heads, the uncertainty of not knowing what the budget will look like.”

Warren Carratt, the chief executive of Nexus Multi Academy Trust in South Yorkshire, said he thought the decision reflected a view in government that special needs schools were to blame for high needs funding increases in recent years, which he said was an undertone to the Send green paper published last week.

“The department’s view seems to be that special schools are well-funded and that’s where the problem lies, rather than that there’s a structural deficit in high needs blocks,” he said.

“The green paper seems to suggest financial recovery will come from fewer kids being in special schools, and the department’s unwillingness to direct council’s to pass on the SSG [schools supplementary grant] is to me a clear indicator that the department is saying special schools don’t need more money, which special schools would strongly disagree with.”

A DfE spokesperson said the SSG was “paid directly to mainstream schools but for alternative provision, special schools and some others it is paid to local authorities. This replicates the approach taken through the National Funding Formula (NFF), and from 2023-24, the supplementary grant will be rolled into the NFF.”
Newsletter

Related Articles

0:00
0:00
Close
Tour de France Organizers Confirm Historic Grand Depart Featuring Edinburgh and Yorkshire Stages
National Cyber Security Centre Issues Urgent Alerts Following Global Security Vulnerability in Core Programming Software
Independent Energy Analysts Warn Great Britain Faces Highest Winter Power Tariffs in Europe
Major British Defense Contractors Commit to Delivering Forty Thousand New Apprenticeships and Training Placements
New Bradford Railway Station Infrastructure Project Approved to Transform Regional Transit Connectivity Across Northern England
Welsh Infrastructure Stakeholders Press Government for Accelerated Local Sourcing in Military and Uniform Manufacturing
Scottish Council Governance Crisis Triggers High-Court Legal Challenge Over Leadership Ouster Bid
High Street Bakery Chain Greggs Announces Major Factory Closures and Seven Hundred Job Cuts
Automotive Manufacturer Jaguar Land Rover Advances Advanced Defense Technology Partnership with European Allies
Treasury and Bank of England Officials Signal Persistent Concern Over Inflation-Driven Interest Rate Path
International Monetary Fund Upgrades United Kingdom Growth Forecast While Issuing Inflation Warnings
National Health Service Leaders Warn of Severe Capacity Pressures as Early Winter Respiratory Infections Surge
Government Issues Emergency Resilience Guidance Advising All British Citizens to Stockpile Essential Supplies
United Kingdom Private Sector Growth Beats Expectations in October Driven by Resilient Services and Manufacturing
Barclays to Cut Five Thousand Jobs in Major Artificial Intelligence Adoption and Cost-Cutting Overhaul
Piper Tomahawk Aircraft Crash Near Drymen in Stirling Claims Two Lives as Investigators Deploy
North Sea Transition Authority Approves Jackdaw Gas Field Production After Ministerial Authorization
Government Injects One Hundred and Forty Million Pounds to Expand Urgent Care Ahead of Winter Crisis
Department of Health Warns Further Pay Rises Will Derail National Health Service Waiting List Targets
Major Environmental Emergency Declared in South Wales Following Aerospace Kerosene Spill
Tank Barrel Production Returns to Britain as Defence Contractors Accelerate Domestic Rearmament
Government Approves Controversial Jackdaw Gasfield Development in the North Sea
National Health Service Maternity Safety Review Condemned Over Flawed Artificial Intelligence Integration
Dozens of United Kingdom Government Services Taken Offline Amid Critical Software Vulnerability
Barclays Announces Five Thousand Job Cuts Citing Artificial Intelligence Productivity Gains
Treasury Relaxes Post-Financial Crisis Accountability Rules for City of London Executives
United Kingdom Government Issues Unprecedented Guidance Urging Citizens to Stockpile Essential Supplies
United Kingdom Consumer Inflation Accelerates to Eleven-Month High Driven by Transport Costs
United Kingdom Public Sector Net Debt Breaches Three Trillion Pounds Ahead of Autumn Budget
Department for Science, Innovation and Technology Commits Fifty Million Pounds to Establish Regional Artificial Intelligence Innovation Clusters
Ofgem Directs Major Energy Suppliers to Expand Vulnerable Household Support Funds Ahead of Winter Heating Season
Home Office and National Police Chiefs Council Unveil New Intelligence-Led Strategy to Tackle Organised Immigration Crime Networks
First Minister John Swinney Secures Scottish Parliament Approval for Comprehensive Climate and Green Energy Infrastructure Strategy
National Health Service England and Trades Union Congress Finalize Agreement on Emergency Winter Staffing and Pay Frameworks
HM Treasury and Department for Business and Trade Announce Multi-Billion-Pound Sovereign Investment Pact to Spur Regional Advanced Manufacturing
Bank of England Governor Andrew Bailey Signals Potential for Faster Interest Rate Cuts as Domestic Inflation Pressures Ease Below Forecasts
Parliamentary Inquiry Highlights Urgent Need to Address Housing Shortage as Scottish Completions Hit Eleven-Year Low
United Kingdom and Singapore Sign Comprehensive Financial Agreement to Deepen Digital and Sustainable Market Ties
Greggs Announces Plan to Close Four Manufacturing Facilities and Cut Seven Hundred and Forty Jobs
International Monetary Fund Raises United Kingdom Economic Growth Forecast While Warning of Inflationary Pressures
Energy Security and Net Zero Committee Urges Government to Shift Policy Costs Onto Gas to Lower Household Bills
Housebuilding Across Scotland Plummets to Eleven-Year Low Despite Government Pledges to Tackle National Housing Emergency
Greggs Announces Factory Closures Across Northern England and Scotland Affecting Seven Hundred Forty Jobs
United Kingdom and Singapore Conclude Eleventh Financial Dialogue in Singapore to Deepen Cooperation on Digital Finance and Capital Markets
Energy Security and Net Zero Committee Urges Government to Shift Policy Costs to Gas Bills and Tap Windfall Profits to Lower Consumer Prices
British Broadcasting Corporation Announces Major Cost-Cutting Overhaul to Close Linear Broadcast Services for Television Channels BBC Three and BBC Scotland Alongside Digital Radio Station BBC Radio Four Extra
London Capital Markets Face Renewed Scrutiny After High-Profile Offerings Underperform Post-Listing
Green Party Wins Historic First Westminster Parliamentary By-Election in Gorton and Denton
Environment Secretary Emma Reynolds Unveils Sweeping Regulatory Overhaul for English Water Industry
United Kingdom Health Security Agency Confirms Thirty-Four Cases in Kent Meningitis Outbreak
×