SEN Provision: Funding

The Government recognise that breaking down barriers to opportunity for children with special educational needs and disabilities will take a cross-Government approach. To that end, I recently met the Minister for Care, my hon. Friend the Member for Aberafan Maesteg (Stephen Kinnock), to discuss how we can work together to solve some of the challenges. The Department for Education is committed to ensuring adequate support for children with special educational needs and disabilities, and recently announced £740 million of capital funding to support children with SEN to learn and thrive in mainstream settings.

A recent National Audit Office report makes it clear that, without reform, the SEN system is financially unsustainable. The Minister will know that, since 2020, local authorities such as Buckinghamshire council have been able to exclude their dedicated school grant deficits from their main revenue budgets. That statutory override means that local authorities do not breach their duty to set a balanced budget, but it is due to end in March 2026, and there is currently no identified solution. Can the Minister share more on what urgent conversations she is having with colleagues to ensure that local authorities get the certainty they need?

The Ministry of Housing, Communities and Local Government regulations, which ringfence dedicated support grant deficits from councils’ wider financial position, were amended. The statutory override goes up to March 2026, when it expires, and we are currently considering how best to continue support for local authorities with deficits. Fundamentally, this is about reforming the system to ensure that more children can be educated within a mainstream setting, and that we have special school places available for those with the most complex needs.

Perranporth academy in my constituency plans to provide significant SEN provision, but it is one of 44 schools currently under a value-for-money review. As of last week, the head of Perranporth primary school had not been consulted on this. Will the Secretary of State meet me to discuss the plight of Perranporth academy?

I appreciate my hon. Friend’s concerns, and we recognise the unprecedented pressures that local authorities are under. High needs funding, which we recently increased, will benefit both mainstream schools and special schools because we will ensure the funding reaches children who need it. However, I recognise the issues and concerns that he raises, and will be happy to arrange a meeting to discuss this further.

I call the Liberal Democrat spokesperson.

Last week’s announcement of capital funding to ensure that mainstream schools are more inclusive for children with special needs is, of course, welcome, but the Minister will know that, for many children with additional needs, even the most inclusive mainstream schools simply are not appropriate. With two in three special schools at or over capacity, can she provide a timeline for when the 67 planned special free schools will be delivered? Will she commit to looking favourably on local authority applications for such schools?

I thank the hon. Lady for her recognition of the additional funding. We expect the funding to create thousands of new places, particularly in mainstream schools but also in special schools and other specialist settings. We will confirm the allocations for individual local authorities in the spring, as they know best how to invest in their local area. We are keeping the free schools programme under review and will provide that confirmation in due course.