Academy threat to schools funding
Published: 18 August 2011
by RICHARD OSLEY
CAMDEN schools are facing a fresh squeeze on their finances with the government claiming local authorities should receive less money for education because of the creation of independently-run academies and free schools that manage themselves.
A set formula looks likely to be applied across the board with the Department for Education cutting funding on the rough assumption that every area has at least four to six academies.
That spells trouble for Camden, which only has one academy school and where existing secondary schools rely heavily on direct investment.
Officials at the Town Hall are worried that if the government pursues the idea then the borough’s schools will be forced into drastic measures to balance their books.
One worst-case scenario suggestion being talked about was the prospect of schools sharing headteachers to save money.
Significantly, there has been no expression of interest so far from any of Camden’s existing secondaries about converting to independent academy status and in the past there has been a strong feeling that most of them want to stick with their traditional relationship with the Town Hall.
The formula is not set in stone and the government is consulting with local authorities.
Papers seen by the New Journal show officers have already mounted fierce opposition to the changes with warnings about how schools could be adversely affected.
Asked about the gloomy predictions, Labour finance chief Councillor Theo Blackwell said: “The government is reviewing school funding in its entirety and a very worrying picture is developing. Camden could lose substantial amounts of funding to pay for free schools in other parts of London. Camden is losing money to pay for academies that we do not have.”
The government said the idea of a ‘national topslice’ of funding was to ensure that there was no ‘double funding’ for services run by new indepently-run schools.
The DoE said: “Previously, local authorities did not lose funding for certain services when schools under their charge became directly funded academies. This meant that there could effectively be double funding for some services.”