The Schools Forum is scheduled to meet on Wednesday, 14 January 2026, to discuss the Dedicated Schools Grant (DSG) for the upcoming financial year and review the current financial position of various blocks within the grant. The meeting will also cover the National Funding Formula for schools and updates on specific budget allocations.

2026-27 Dedicated Schools Grant (DSG) Budget Strategy

The Schools Forum is scheduled to review the latest funding arrangements for the 2026-27 Dedicated Schools Grant (DSG). This will include noting the allocations for the Schools Block, Central School Services Block, and High Needs Block, as well as agreeing on the hourly rates for the Early Years Block. The report outlines the proposed budget for the Early Years Block, detailing hourly rates for different age groups and entitlements, and suggests accepting these rates to ensure 97% of the budget is passed through to early years providers. The proposed rates show an increase compared to the 2025-26 rates.

DSG 2026-27 National Formula Funding for Schools

A key item on the agenda is the decision on how to implement the 2026-27 National Funding Formula (NFF) for schools. The report details the latest funding arrangements announced by the Department for Education (DfE) and presents an illustration of how the Schools Block funding would be allocated to individual schools based on October 2025 census data. The report explains the various funding factors within the NFF, including basic entitlement, free school meals, and deprivation factors, and discusses the implications of the DfE's gradual move towards a direct NFF. The forum will be asked to consider and vote on the preferred option for implementing the formula, which will form the basis of the Authority Proforma Tool submitted to the DfE.

2025-26 Dedicated Schools Grant (DSG) Update

The Schools Forum will receive an update on the current financial position of the 2025-26 Dedicated Schools Grant (DSG). The report indicates an overall projected deficit of £12.83 million for the current financial year. This deficit is primarily driven by an overspend within the High Needs Block, which is projected to be £11.31 million. The Schools Block is showing a minimal overspend, while the Central Block and Early Years Block are also projected to have small overspends or underspends. The report details the allocations and projected outturns for each block, highlighting the significant pressures within the High Needs Block, particularly concerning the increasing number of Education, Health and Care Plans (EHCPs) and associated placements.

2026-27 DSG - Central School Services Block Budget Update (CSSB)

The forum is asked to note and agree the budget for the 2026-27 Central School Services Block (CSSB) and to note the projected balance position for the 2025-26 CSSB. The initial allocation for the 2026-27 CSSB is £3.4 million, representing a reduction compared to the 2025-26 baseline. The report explains that the CSSB funds local authorities' central functions for compulsory school-age pupils and is comprised of ongoing responsibilities and historic commitments. It details how funding for these elements is calculated and notes that certain grants previously received separately will be rolled into the CSSB for 2026-27. The report also addresses the inclusion of copyright licence costs within the CSSB, which has contributed to an overspend in the current year.

2025-26 DSG - High Needs Block Update (HNB)

An update on the current position of the 2025-26 DSG High Needs Block (HNB) will be presented. The report highlights a projected deficit of £11.31 million for the HNB in the current financial year. This significant overspend is attributed to increased demand for provision for pupils and students with Special Educational Needs and Disabilities (SEND), including independent school placements and the rising number of EHCPs. The report details the breakdown of expenditure within the HNB, with Top Up funding for EHCPs being the largest contributor to the overspend. It outlines initiatives being developed to manage these pressures, such as exploring in-borough provision and reviewing independent placements. The report also notes the substantial increase in EHCPs in recent years, exceeding both London and England averages.

Attendance Record

The Schools Forum will review the attendance record of its members for the 2025-2026 meetings. This item is for noting and reviewing the attendance of representatives.