The Schools' Forum met on Thursday 21 May 2026 to discuss the Dedicated Schools Grant (DSG) budget analysis, SEND reforms, and school insurance schemes. The Forum received a report on the DSG budget analysis and updates on SEND reforms and school insurance schemes.

DSG Budget Analysis

The Forum received a comprehensive update on the Dedicated Schools Grant (DSG) budget for the 2025/26 financial year, which reported a deficit of £24.983 million. This deficit is largely attributed to increased expenditure within the High Needs Block, particularly in areas such as High Needs Top-Up Funding and SEN Inclusion, which includes external and independent high-cost placements. The report highlighted a significant rise in expenditure for pupils with high needs support requirements in mainstream schools and academies, with costs nearly quadrupling since 2018/19. The cumulative DSG deficit is projected to reach approximately £97.898 million by March 2027, factoring in the planned deficit for the 2026/27 High Needs Block.

SEND Reforms and Funding

A significant portion of the meeting was dedicated to discussing the SEND Reforms announced in the White Paper Every Child Achieving and Thriving and the SEND Reforms Consultation Putting Children and Young People First. These reforms aim to rebalance the system towards earlier intervention, stronger mainstream inclusion, and improved confidence in SEN Support, reserving Education, Health and Care Plans (EHCPs) for children and young people with the most complex needs.

Three new funding streams were detailed:

• Inclusive Early Years Fund (IEYF): Approximately £0.230 million is estimated for Stockport in 2026/2027 to support early years providers in becoming more inclusive of children with SEND. This funding is intended to be provided upfront without requiring panel or application processes.
• Inclusive Mainstream Fund (IMF): This fund, worth over £500 million nationally per year, will provide approximately £15,000 per primary school and £40,000 per secondary school in Stockport. It is intended to support schools in embedding inclusive practices and removing barriers to learning. Schools will be required to publish an inclusion strategy outlining their approaches.
• Experts at Hand (EAH): This programme will provide £1.8 billion nationally over three years to improve the capacity of mainstream settings to meet commonly occurring SEND needs. Stockport is expected to receive an initial allocation of approximately £2 million in 2026/27, rising in subsequent years.

The Forum was informed that a Local Area SEND Reform Plan is currently in development for Stockport, with a deadline for submission to the Department for Education (DfE) in June 2026. This plan is seen as a crucial opportunity to address historic DSG deficits.

School Insurance Schemes

An update was provided on the financial position of the Long Term Sickness (LTS) and Balance of Risks (BOR) insurance schemes administered by the Local Authority (LA). Both schemes reported in-year operating surpluses for 2025/26. The Forum received the LA's recommendation regarding the redistribution of uncommitted funds above the recommended reserve levels for both schemes to schools that purchased into them during the 2025/26 year.

School Balances

The Forum received a report and discussed the total school balances as at 31 March 2026, which showed a reduction of £2.591 million compared to the previous year, totalling £5.340 million. The report also identified eight primary schools with excessive surplus balances above the 8/10% threshold, which will be subject to claw-back by the LA in accordance with the Scheme for Financing Schools.

Schedule of Meetings and Training

The Forum noted the agreed arrangements for meetings during the 2026/27 academic year. Members were also given the opportunity to request reports for future meetings and suggest items for training and development sessions.

Other Business

The Forum was advised of a national consultation regarding early years funding. The Forum discussed the teachers' pay award, noting that additional funding is expected from the Department for Education for the pay award, with further communication to follow. The Forum discussed the support staff pay position, noting that a recommendation of 3.3% had been rejected. Finally, the Chair acknowledged the upcoming departure of Tim Bowman, Director of Education, Work and Skills, and thanked him for his contributions.