The Department for Children Schools and Families (DCSF) recently reissued budgets for the next two years. We estimate Norfolk Schools Budget for 2009/10 will be £435 million.

Following a detailed review of the current level of commitments that must be funded from the budget next year and the actual level of funding received - proposals have been agreed on changes to the indicative 2009/10 school budgets which will impact on all schools.

As the number of pupils in Norfolk is lower than the DCSF estimated 12 months ago the level of funding Norfolk will actually receive is lower than anticipated. Additionally the number of pupils it has been necessary to educate other than in schools is higher than 12 months ago which is costing in the order of £3 million more than included in the indicative budget. These two facts together effectively mean there will be £6 million less for other priorities in 2009/10.

The Schools Forum considered both the cause of these pressures and also proposals to bring the 2009/10 budget into balance. The Schools Forum reviewed all the original 2009/10 spending proposals as part of the process of looking for alternative solutions. Prior to the meeting a representative group from the Schools Forum met the Director and the two Deputy Directors to discuss both the pressures and the proposals.

In looking how the budget would be brought into balance priority is being given to both maintaining the 2.1% minimum funding guarantee increase in pupil funding and meeting the needs of all children. The impact of the minimum funding guarantee is to ensure that school budgets will be increased by at least 2.1% per pupil in 2009/10.

The proposals agreed with the Schools Forum will result in growth in delegated school budgets of over £8 million. However it will not be possible to add the second additional £1.5 million in social deprivation funding that was planned in the 2009/10 indicative budget. Additionally to balance the budget a reduction is proposed to the school threshold and performance allocations which range between 0.1% and 1% of current school budget allocations.

The purpose of this email is to give school advance notice that indicative budget allocations will be revised not only to take account of January School Census pupil numbers but also for these budget adjustments.

As usual school budgets will be issued as soon after the School Census date as possible. We expect the budgets will be available from the website week commencing 9 February. It is also proposed to hold budget workshops immediately after the half term week to explain how budgets have been revised.

As for 2010/11 it is too early to estimate the impact of the revised level of funding for this financial year. However with a predicated lower level of pupil numbers and continued budget pressures the prospects are for another tight set of school budgets.