Agenda item

The Forum were presented with the regular report highlighting the latest position of the High Needs Block. The forecast outturn for the 2021/22 High Needs Block was £8.2m overspend, which shows no change from the position last reported. At the end of the last financial year the DSG reserve went into deficit by circa £2m and would deepen given the expected overspend in 2021/22. A ‘deficit management plan’ would be brought forward and a workshop to start this process had already taken place. Significant additional Government funding next year would see Staffordshire’s High Needs Budget increase to £114.8m; an increase of £13.7m compared with 2021/22 (circa 13.6%). However, this would be insufficient to close the gap and it would be likely that a further overspend would arise in 2022/23. None of the funding increase would be used to repay historical deficits. The Council recognised the financial pressure schools across Staffordshire were facing and would increase funding next year for all state funded special schools, on a like for like basis, by a minimum of 2.5%. Work to implement the new Education Banding Tool continued in line with the original implementation plan and went live on 14 March 2022.

In response to a question relating to the issue of Independent Placements and the strategy in place to bring these numbers down, members were informed that the High Needs Working Group had looked at this designation alongside another piece of work to understand implications from tribunals. It was confirmed that a significant and wider piece of work would be undertaken which would involve a review of special provision across the County, including PRU provision and resource-based provision, whilst also looking at what could be done in the short-term.

It was explained that numbers in the independent sector had gone up because spaces weren’t available in Staffordshire Special Schools. It was suggested that a quick win would be to try and get more children into the Staffordshire Special Schools by working with the assessment and placement team.

In response to a question relating to the introduction of the toolkit from 14^th March, it was confirmed that independent special schools were not included as they determined their own rates.

In response to a question regarding the Deficit Management Plan and what would be introduced to move things forward, it was explained to the Forum that there were limited available strategies. The banding tool had never been used as a mechanism to reduce resource, but could be considered in the future, along with utilising the available specialist places in Staffordshire for Staffordshire youngsters. It was also explained that the 5/6 non-statutory processes that were discussed by the working group would not cover the future deficit of £15m. It was reported that this was a national challenge, therefore Government were being looked to in terms of the expectations that had been set out.

In response to a question regarding the inclusion of SEND transport in the HNB Budget. It was confirmed that SEND Transport was statutory and had to be provided, but that further work on the implementation of the policy would be undertaken as part of the wider review.

In response to a question relating to the Special School Rates Education Banding Tool (Appendix C to the report), it was explained to the Forum how the new Banding Model would function. The Forum was informed that it would be difficult to understand the impact until the banding tool came into full force across all schools. Reviews would be built in, both termly and annually and the new model would be “needs led”.

RESOLVED:

a)   That the updates to the High Needs Block following the report previously presented in January 2022 be noted.

b)   That the proposed High Needs Block budget 2022/23 be noted.

c)   That the latest update on the development and roll out of a new Education Banding Tool be noted.