The Schools Forum of Brent Council met on Thursday 25 January 2024 to discuss the Dedicated Schools Grant (DSG) for the 2024-25 academic year and the Early Years National Funding Formula (EYNFF) for the same period. Key decisions included the approval of a £1.4 million transfer from the Schools Block to the High Needs Block and the endorsement of the 2024/25 Early Years funding formula.

Dedicated Schools Grant (DSG) Schools Budget 2024-25

The Schools Forum discussed the proposed Dedicated Schools Grant (DSG) Schools Budget for 2024/25. A significant decision was made to approve the transfer of 0.5% (£1.4 million) from the Schools Block to the High Needs Block to help mitigate increasing demand, particularly due to the rise in children with Education, Health and Care Plans (EHCPs). This transfer brings the total 2024/25 High Needs Block budget to £86.4 million.

The Forum also endorsed the overall 2024/25 budget for the DSG Blocks, including the mainstream funding formula, for approval by Full Council. This endorsement includes the approval of the 2024/25 growth fund and a change in its allocation process to align with Department for Education (DfE) requirements, shifting from funding popular growth to pupil growth that meets basic needs.

Maintained school members of the Forum approved the proposed de-delegation arrangements. This includes an increase in the allocation for redundancy costs for school-based staff from the de-delegated contingencies budget, rising to £300,000, and an increase in de-delegated funds to support the local authority's school improvement activities. The total de-delegated amount for 2024/25 is £789,900.

The Forum noted the additional funding allocations to Brent announced in the Government's Autumn Statement 2023, which includes funding for the teachers' pay award and an increase in the pupil premium for disadvantaged children.

Early Years National Funding Formula 2024-25

The Schools Forum endorsed Brent's Early Years National Funding Formula (EYNFF) for 2024/25, which will see an increase in the Early Years Block funding to £35.2 million, an increase of £10.6 million from the previous year. This rise is largely attributed to the expansion of free childcare entitlements for working parents.

Key changes to the formula include:

• A universal base rate for providers of 3 and 4-year-old funding set at £5.39 per hour, an increase of £0.55p from 2023/24.
• An allocation for a deprivation supplement of 10% and a quality supplement of 2% for 3 and 4-year-old funding.
• A base rate of £9.54 per hour for the disadvantaged 2-year-old entitlement, a significant increase of £2.70 from £6.84 in 2023/24.
• A base rate of £9.41 per hour for the 2-year-old working parent entitlement.
• A base rate of £12.87 per hour for children aged 9 months to 2 years under the new working parent entitlement.

The Forum agreed to a change in the access to the 2-year-old free entitlement. Previously, eligible children could access their entitlement the day after their second birthday. From September 2024, all 2-year-olds, regardless of whether they are accessing the disadvantaged entitlement or the working families' entitlement, will access their free hours the term after their second birthday. This change aligns with statutory guidance and aims to create a more sustainable financial model for the local authority.

The Forum also agreed to a 5% centrally retained funding by the local authority from the 3 and 4-year-old funding, and a 0.5% retention from the disadvantaged 2-year-old and working parent entitlements for central services. This retained funding supports various Early Years services, including specialist advice, support for children with Special Educational Needs and Disabilities (SEND), and professional development for practitioners.

Additional funding for maintained nursery schools (MNS) will continue, with Brent's provisional allocation for 2024/25 being £0.915 million, a 17.6% increase. This funding will be distributed on an hourly rate basis, with the MNS supplementary hourly rate, inclusive of the Teachers' Pay Additional Grant, increasing by 15% to £6.27 per hour.

The Forum noted that the Early Years Inclusion Fund from the Early Years Block for 2024/25 will be £0.521 million, with a further update on the review of the High Needs Block contribution to this fund expected in February 2024.