The Schools Forum of Hammersmith and Fulham Council met on Tuesday 3 March 2026 to discuss the Dedicated Schools Grant (DSG) monitoring for Quarter 2 of the 2025-26 financial year. The forum did not agree to a recommendation for contingency payments to three schools facing financial difficulties, meaning the allocated funds will be redistributed to other maintained primary schools.

Dedicated Schools Grant Monitoring Quarter 2 2025-26

The Schools Forum received an update on the 2025-26 Dedicated Schools Grant (DSG) position at Quarter 2. Tony Burton, Head of Finance - People, presented the report, highlighting forecast variances within each DSG block and projected closing balances. A significant concern was raised regarding the High Needs Block, where expenditure was continuing to rise, posing a risk of further overspend by the end of the financial year.

A key discussion point was the request for contingency payments totalling £212,020 from a £96,900 fund to three schools in financial difficulty: Miles Coverdale, Flora Gardens, and St Paul's CE. These payments were intended to support redundancy costs as part of their stabilisation and deficit recovery plans. However, maintained primary school representatives on the forum did not agree to the recommendation.

Concerns were raised by Dave Collins of Brackenbury School and Kathleen Williams of Holy Cross Primary regarding the history of financial support provided to these three schools. Ms. Williams noted that the same schools had repeatedly sought and received similar levels of assistance over the past five years, questioning the effectiveness of previous interventions and the fairness to other schools making financial sacrifices.

Tony Burton explained that previous support had been provided to allow these schools to transition to smaller operating models, such as reducing from two-form entry to one-form entry, and that the current funding was intended to support cost-reduction measures for medium-term sustainability, not ongoing support. He assured the forum that officers were implementing a more rigorous review and challenge process, with due diligence being conducted for Flora Gardens and St Paul's CE, and already completed for Miles Coverdale.

Imogen Lavelle of The Good Shepherd sought confirmation that the schools had taken appropriate measures to reduce costs. Mr. Burton confirmed that the proposed support was directly linked to actions within the schools' deficit management and recovery plans. He also confirmed that all three schools had received oversight and challenge regarding their deficit recovery planning, with Flora Gardens in the early stages of the Department for Education's (DfE) School Resource Management Adviser (SMRA) process, and Miles Coverdale having commissioned an external consultant.

The implications of not agreeing to the recommendation were discussed, with Mr. Burton stating that the schools would need to find alternative ways to cover unfunded costs, potentially extending their recovery timelines. Dave Collins inquired about Section 106 funding received by Flora Gardens, which Daryle Mathurin, Head of Assets and Resources, clarified was corporate funding linked to the school's relocation and separate from DSG.

Ultimately, the Maintained Primary representatives on the Schools Forum did not agree to the contingency payments. As a result, the £96,900 allocated for this purpose will be redistributed to maintained primary schools. The forum noted the report, and an action was assigned to Peter Haylock and Tony Burton to explore updating the process for contingency funding, potentially requiring special requests for schools applying for funding for more than three years, and to discuss with Primary Head Teachers how contingency funding should be used going forward.