Management Information Sheet

Following discussions with the Finance Consultative Group we have applied a number of updates to the budget planner software.

We have implemented the proposed teachers' pay increase (due to be laid before parliament on the 14 October, backdated to 1 September 2022). We expect this will be approved. We have also included futures years based on the released recommendations for September 2023, although at this stage they are unlikely to be accepted. You can view the payscales by selecting 'PayScales' from the main menu. For further information on the recommendations, please refer to the School Teachers' Review Body Report page 60.

We have also implemented the 2022-23 green book offer made to unions, for a £1,925 increase to all pay points (scales A-S) The bottom point of (scale A) will also be deleted so employees will move to scale B. This will automatically be updated in the budget planner at year end, so if you require updating any staff before the year end, then this will need to be updated manually.

From the 6 November, we have also removed the increase of 1.25% relating to the health and social care tax levy. Schools will be aware that a supplementary grant was provided to cover the cost and the government has promised to continue with this until the end of March 2023. The grant has been added to the National Funding Formula for 2023 onwards but there has been no assurance from the DfE that this grant will continue. We would advise that you continue to budget for the grant until further guidance has been provided.

To update the budget planner software, please select 'staffing summary' from the main menu, then the recalculate icon. You will then need to update the changes to the detail budget by selecting the 'Update Budget Plan' icon.

All schools will be receiving a visit from their FSO during the autumn term who will provide guidance to schools about the submission process. We expect your FSO to review the fair funding consultation with you to discuss the increase in funding you are forecasted to receive next year. Please be aware that the fair funding technical papers are using the data set from the October 2021 census with the uplifted National Funding Formula rates applied, and therefore are subject to change based on the October 2022 census information when received.

We have not been informed whether any additional funding will be received to support increased cost pressures on schools. If you are forecasting a deficit for 2022/23, please ensure you try to alleviate the deficit and take preventable action where possible so a surplus balance can be achieved. Also, please be mindful that if you have deficits forecasted for 22/23 onwards then to follow advice and contact HR for support with any potential staff restructures.

In these unprecedented times, we will accept deficits in years 2 and 3 until further clarity from the DfE can be provided. We expect that in the outcome where no additional funding is received, above the forecasted fair funding consultation then schools should plan to address their forecasted deficits.

The Local Authority (LA) submitted a response to the Local Government Association (LGA) survey on teachers' pay. The National Employers Organisation for School Teachers have asked that the Government provide additional financial support so that all schools including smaller rural schools can implement the pay award with particular regards to avoiding reductions that risk impacting on teaching standards.

The LA has completed an exercise that identifies the impact on schools, taking a snapshot of each school's current estimated annual balance for each of the 3 years and comparing this against the proposed payscale updates. The overall impact will be shared with the DfE to ensure we have reported our concerns on behalf of Norfolk schools.

If you require any further assistance, please contact finance.support@norfolk.gov.uk in the first instance.