The House of Commons Treasury Select Committee has today published its Report on the Autumn Budget and Spending Review 2021. Normally, this blog doesn’t read Treasury Select Committee reports, but this Report did have something to say about government spending on education.

In paragraph 48 the Committee noted the evidence it received from Dr Tetlow and in paragraph 54 it made its own comment, noting that the DfE …’ , did not receive such a generous settlement’ and that ‘School funding per head has only now returned to 2010 levels following the latest Budget.’

The two paragraphs are reproduced below.

48. While the Department for Education (DfE) will have received a real-terms increase in its budget of 2.3 per cent compared to 2009–10, Dr Tetlow told us that the DfE had not done as well in the Spending Review as the sector may have hoped for, given how it had been impacted by the loss of learning during the pandemic, and the need there would be for educational catch-up: Education was clearly one of the relative losers from the Spending Review. Certainly, the £5 billion that has gone into education isn’t large enough to meet our estimate of what might be needed to catch up on lost learning. […] Poorer skills in the cohorts going into the labour market over the next few years does run the risk of having longer-term impacts on productivity.58 […] Even though the Chancellor hailed in his speech that per pupil spending would go back to its 2010 level, it is pretty remarkable to have a decade with no real-terms growth in spending in schools. That is quite unusual and not a strong signal of prioritising improved skills in the UK.

54. While some departments which had been significantly disrupted by the pandemic, such as the Department of Health and Social Care and the Department for Transport, received large increases, the Department for Education, which was also affected by the pandemic, did not receive such a generous settlement. School funding per head has only now returned to 2010 levels following the latest Budget.

Budget report (parliament.uk) 27^th January 2022

No doubt in their defence The Treasury would point out that more children are being educated because of the increase in the birth rate and the move to all staying in education or training until age 18 than in 2010. They might also point out there are more students in higher education, but most of their costs are probably being taken on the student loan account.

Without a more generous settlement over the next few years, spending per pupil on education is once again going to be tight, and probably will fall in real terms. The DfE needs to look at the costs of running a mixed system of academies and maintained schools. Why are there several hundred Chief Executives of Academy Trusts when previously there were only around 150 Chief Education Officers in local authorities. What is the extra salary bill costing and how many more civil servants are needed to manage the Department to School budget process compared with discussing with just a limited number of local authorities? It really is time to sort out the middle tier of schooling and the extent to which there should be democratic accountability.

Finally, if I can suggest a simple cost saving measure to the DfE. Compare the cost and effectiveness of your job board for teacher vacancies with other products offering similar services and check that you are now spending more than necessary on this service.