The Cabinet of Barking and Dagenham Council met on Tuesday 12 November 2024 to discuss the council's financial position, proposed changes to the school estate, and the annual education performance review. Key decisions included noting a significant revenue overspend forecast for the current financial year, approving the commencement of statutory public consultation on consolidating Roding Primary School, and agreeing to extend a loan to Barking Riverside Limited.

Revenue Budget and Capital Programme Update - Quarter 2 (April-September) 2024/25

The council faces a challenging financial outlook, with a projected £17.21 million revenue overspend for the General Fund in the 2024/25 financial year. This adverse movement of £13.481 million from the previous quarter is attributed to an £8.9 million budget gap and the reversal of a £4 million contingency release. Significant pressures are noted in Adult Social Care, with an estimated £6.1 million in-year pressure due to increased demand and provider costs. Children's Care and Support also faces an increase of £1.084 million due to new, high-cost residential placements. Savings targets are also a concern, with £3.6 million of the £15.595 million in-year savings at risk of not being delivered.

Despite these challenges, the Housing Revenue Account (HRA) is projecting an underspend of £3.881 million, partly due to a reduced contract with BDMS and higher than budgeted stock numbers. However, the Dedicated Schools Grant (DSG) faces a projected overspend of £4.025 million, primarily within the High Needs Block, driven by increased demand for panel top-up payments and out-of-borough placements. The Capital Programme is forecasting an underspend of £2.096 million against its revised budget.

Cabinet noted these figures and approved the reprofiling of the Capital Programme. The council's usable reserves stand at £110.35 million after proposed drawdowns, with General Fund and Budget Support Reserves totalling £20.99 million.

Proposed Changes to the School Estate

The Cabinet agreed to commence statutory public consultation on a proposal to consolidate Roding Primary School onto a single site at Cannington Road. The school currently operates across two sites, Hewitt Road and Cannington Road, but declining pupil numbers mean that only four forms of entry are now required. Consolidating onto one site is expected to reduce costs and enhance the school's long-term viability. Preliminary discussions with the Roding Primary Governing Body have been positive, and the school has welcomed the proposal.

The potential release of the Hewitt Road site presents an opportunity to expand specialist provision, including for pupils with Special Educational Needs and/or Disabilities (SEND), and to enhance Roding Primary's own specialist provision at Cannington Road. Feasibility studies will be undertaken to explore these opportunities. The statutory consultation process is expected to take between six to nine months, with a further report to Cabinet to follow before any final decision is made.

Extension of Loan to Barking Riverside Limited

The Cabinet agreed to extend a £5.5 million loan to Barking Riverside Limited (BRL) from its current repayment date of 1 April 2025 to 31 March 2034. This loan was originally provided in 2013 to support site remediation and servicing works at the Riverview School Campus. Revised terms were agreed in 2019, including quarterly interest repayments and a guarantee from L&Q Homes Limited.

The extension is sought to enable BRL to secure an additional £65 million in funding from Homes England, which will support continued investment in core infrastructure at Barking Riverside and facilitate the delivery of thousands of homes. Homes England's funding cannot be used to repay the existing council loan. The extension will be on the same terms as previously agreed, with interest payable at the Bank of England Base Rate plus 3%, and will remain guaranteed by L&Q Homes Limited.

Annual Education Performance Review 2023/24

The annual education performance review for 2023/24 highlighted both achievements and ongoing challenges within the borough's education system. A significant success is that 97% of the borough's schools are now rated 'Good' or better by Ofsted, exceeding both London and national averages. Four secondary schools achieved 'Outstanding' ratings.

Key performance indicators show improvements in Early Years Foundation Stage (EYFS) Good Level of Development, which rose to 67.2%, and at Key Stage 2, where the combined Expected Standard in Reading, Writing and Maths increased to 62.2%. GCSE results for Barking and Dagenham remain above 2019 levels across all headline measures. Furthermore, numbers of young people progressing to Higher Education increased, with over 260 students attending competitive universities, and there was an increase in those undertaking Degree-level apprenticeships with global employers.

However, the demand for specialist education places, particularly for pupils with SEND, continues to outstrip provision, despite the creation of up to 80 new places annually. The borough's proportion of young people not in education, employment or training (NEET) has increased, making it worse than the London average for the first time since 2016, although the proportion of 'Not Knowns' has fallen to 0%.

The report also detailed positive outcomes for Looked After Children (LAC), with Attainment 8 results and English and Maths grades in the top national performance quartile. The borough's Additional Resourced Provisions (ARPs) and SEND provision received positive inspection feedback. 'Inspiring Futures', the borough's Cultural Education Partnership, has secured a £460,000 grant to develop creative and cultural alternative education provision for young people at risk of not accessing mainstream education.

Cabinet reaffirmed its commitment to partnerships with schools and other key organisations to achieve the best outcomes for the borough's children and young people, and noted the performance against the Education and Participation Strategic Plan 2023-26.