The Hounslow Council Schools Forum is scheduled to meet on Monday, 17 November 2025, at West Thames College. The agenda includes discussion of school finances, including a review of school balances, financial monitoring, and a consultation on the Scheme for Financing Schools. The forum will also discuss a capital maintenance programme and receive updates from the Director of Education.

School Funding

Several items on the agenda relate to school funding.

De-Delegated Budgets

The Schools Forum is expected to discuss and agree on proposals for de-delegated budgets within the Hounslow school funding formula for 2026-27. De-delegated funds are deductions from maintained schools' budget shares, and can only apply to maintained primary and secondary school budgets.

The proposals include budgets for:

• Free school meals eligibility
• Staff costs supply cover for Trade Union facilities time
• Statutory School Improvement
• Support services for maintained schools
• A new contingency fund to support maintained schools facing significant financial difficulties

The report pack indicates that the budget for free school meals eligibility will increase from £25,700 in 2025/26 to £52,372 in 2026/27, which they say reflects revised cost allocations following a contract review and volume variation.

The budget for school improvement services is also expected to increase from £308,000 in 2025/26 to £471,000 in 2026/27, following a review of the team structure and posts required to deliver statutory school improvement.

The proposals include a new de-delegated contingency of £203,000 for 2026/27 to support maintained schools in financial difficulty under the Hounslow Schools Financial Sustainability Programme (HSFSP). The report pack states that this represents approximately 5% of the forecasted cumulative closing deficit reserve (£4.1m) for 2025/26.

The report pack notes that if the Schools Forum does not agree to the de-delegated budgets, it would have a financial impact on council budgets which would need to be considered as part of its financially planning for 2026/27.

Scheme for Financing Schools Consultation

The Schools Forum is scheduled to discuss proposed amendments to the Scheme for Financing Schools and Schools Financial Regulations.

The Scheme for Financing Schools sets out the financial relationship between the London Borough of Hounslow (LBH) and the maintained schools it funds. The Schools Financial Regulations provide operational guidance for schools for the implementation of the Scheme.

The council intends to review and update the Scheme and Financial Regulations for Financing, with the intention to:

• Better support and equip schools in the overall dispensation of financial and budget management responsibility
• Improve schools' strategic financial planning of resources
• Empower schools
• Limit the number of schools heading to deficit budgets
• Provide assurance to the Council

One proposed change is to bring forward the deadline for schools to submit a 3-year budget forecast each year, from mid-June to 1 May. The report pack says that schools must also submit an ICFP workbook alongside their 3-year budget, which they say will allow the council to make better financial assessments of each school's financial position.

Another proposed change relates to surplus balances. Currently, school balances held in excess of 8.3% of a school's funding are considered to be excess balances. The proposal is to increase this to 10%. The report pack states that schools who have held balances in excess of 10% of their school funding for three consecutive financial years should expect their excess balance at the end of the third consecutive financial year to be clawed back by the council.

The council is also considering developing a loan scheme for schools. The report pack states that schools are able to request to apply for a loan from the council by writing to the Schools Finance Team.

A consultation on these proposals was conducted, and responses were received from 28 schools and LMS Ltd, which provides financial services to 21 of the 28 schools that submitted responses.

Financial Monitoring

The Schools Forum is expected to receive an update on financial monitoring for 2025/26.

The report pack includes a summary of the General Fund position, highlighting areas of significant overspends, including:

• Waste and Recycling (£2.8m)
• Social Care Academy (£1.3m)
• Corporate budgets (£1.3m)
• Leisure service (£1.0m)
• Unallocated Savings (£2.1m)

The report pack also includes a summary of the Dedicated Schools Grant¹ (DSG) projection for September 2025, which forecasts a £0.1m overspend.

School Balances

The Schools Forum is scheduled to discuss school balances as of 31 March 2025, including an appeal from Bedfont Primary School.

Other Matters

Schools Capital Maintenance Programme 2026-27

The Schools Forum is expected to discuss the Schools Capital Maintenance Programme for 2026-27.

Hounslow Education Partnership

The Schools Forum is scheduled to receive an annual review of the Hounslow Education Partnership's (HEP) operation.

Director's Updates

The Director of Education is expected to provide updates on the following:

• SEND & Alternative Provision Improvement Programme Update

Forward Plan

The Schools Forum is expected to review its forward plan.