Primary winners (possibly): Secondary losers (certainly)

The Institute for Fiscal Studies and the Nuffield Foundation have published the latest in their series of reports about education spending Annual reports | Institute for Fiscal Studies While the report covers the whole education sector, I am principally interested in the school sector. That sector now overlaps the early years sectors, at the lower age grouping, with many schools taking pupils below the age of five. At the 16-18 age grouping, there is an overlap between the school sector and the further education and skills sector.

The highlights for me from the latest report are: the obvious effect of the explosion of demand for SEND places. I am not sure whether this report fully captures the full cost of the increase, since the transport costs for pupils with SEND aren’t usually a part of the DfE’s budget, and certainly cannot be funded from the Central Services Block or even the High Needs Block of the Dedicated Schools Grant.

The second highlight is the reduced funding for secondary schools. These schools have seen the reduction in 16-18 funding, and a reduction of the gap between their funding and that of primary schools. I suspect the latter, over the long-term, may have been partly affected by the need to fund non-contact time in the primary sector, introduced under the previous Labour government.

The primary sector is now experiencing falling rolls, while the upper secondary 16-18 sector is still seeing pupil numbers growing. As the report says, there is a policy decision to make about falling rolls. Does government either recoup the cash not needed because there are fewer pupils, and put the consequences on schools, or does it keep the cash in the primary sector and hope to improve outcomes? I wouldn’t bet on the latter.

One element missing from the picture seems to me any discussion on the changes in school reserves. I think it is vital to know how much money is being saved by schools from revenue budgets, and whether the total per pupil is increasing or reducing. With many academy trusts ‘pooling’ reserves so funds can be used for a school in a local authority different from that of the school where the cash was accrued, a picture of trends in this area might reveal the extent of short-term pressures on school budgets. Recently, I came across a special school with a balance of £2.5 million. Is that a good use of public money?

In a graph – sadly the IFS don’t number their graphs or tables in the report: an oversight in my opinion – it sees that early years’ spending has doubled between 2010-11 and 2025-26, and primary school spending has increased by 12% over the same period. All school spending was the same per pupil in each year. This means that secondary school spending per pupil declined by three per cent over the period, and 16-18 spending by 8% – this despite the fact that schools often use their most expensive teachers with this age grouping.

Finally, I note that central spending on academies is now £510 per pupil, double the level in 2016-17. I am not convinced that this is due to a shift towards larger MATs as the report states, as this would imply there were no economies of scale possible.

 I will review this issue further when I look in detail at the 202425 accounts of a selection of MATs once all their accounts are published.

Improve teacher retention, but that’s not the whole solution

The NfER has produced its final comprehensive report into teacher supply and retention entitled, ‘Teacher Workforce Dynamics in England’. http://www.nuffieldfoundation.org/news/government-mustnt-lose-focus-tackling-teacher-supply-shortage

I have to confess that, as noted in the acknowledgements, I acted as a consultant to the team working on this project at NfER. During the various stages of the project the team issued research reports and the final documents brings all these together and amplifies them in a number of different ways not possible in the shorter documents. The Nuffield Foundation must be recognised for their help in funding the project.

At the launch last evening there were some interesting issues raised that may merit further analysis should funds be available. Firstly, the data on retention is presented in terms of the percentage of staff leaving the profession. This raises two issues: what is meant in terms of leaving the teaching profession is leaving maintained state funded schools as teachers – they may still be working in state funded Sixth Form Colleges or further education or as a teacher in the private sector. When comparing leaving rates with nursing it isn’t clear whether registration of nurses includes those working in non-NHS settings such as the private sector and as school nurse and thus affects how leaving rates are calculated. Additionally, for the police, there was a period where most police forces stopped recruitment, so departure rates may be depressed when there were no new entrants to create a pool of early leavers during part of the survey period.

However, the other issue with the data are the use of percentages of staff leaving. This can be problematic. Thus, in 2015, 20,700 leavers from the secondary sector were detected by the School Workforce Census – a rate of 9.2% for secondary teachers; in 2017 the rate increased to 10.4%, but the actual number decreased to 20,170.  There is no suggestion that the data used by NfER experienced this situation, but it highlights why I often prefer to use real numbers.

Leavers do so at different times in their careers in teaching. Much has been made by the National Audit Office in their study and in this NfER report on the advantages of retaining more teachers in state funded schools. To that end, there is an interesting chart on page 24 of the NfER Report showing where leavers typically may be going. Again, percentages are used, so let’s assume a hypothetical example based upon 40,000 leavers and how many might be persuaded to return at any point.

Since 30% are retiring, the pool can be reduced to 28,000 straightaway, assuming there aren’t a large pool of teacher taking early retirement. The 400 taking maternity leave, a somewhat low figure given the age profile of the profession, takes another 400 out of the total. Another 800 are removed because they are studying as students. I assume this will include future Educational Psychologists and those seeking extra qualifications, such as to teach children with special education needs. However, the biggest category of leavers are those teaching in the private sector; some 33% or another 13,200 off the total.

So, how many of the remaining 13,600 might be persuaded to return?  4,000 are employed in schools as teaching assistants or other non-teaching roles. Some of these might have decided teaching is not for them, but others may have left for other reasons and might be persuadable back into the classroom as a teacher: let’s say 50% or 2,000 could fit into that category, perhaps if better part-time teaching opportunities were available.

Of the remaining 9,600, the 1,200 unemployed might offer some possibilities if teaching didn’t run on a market based recruitment system. After all, if there are teacher shortages, and these teachers wanted to work, there must be an assumption that they are in areas where teaching posts are not available for those with their skills. The other big group worth exploring further are the 4,400 in our example listed as self-employed. Are they working as tutors or using their skills as musicians, artists, historians or scientists for positive reasons or because they gave up on teaching?

Let’s assume half might tempted back, at last part-time if offered better terms. We now have possibly 4,000 that might be enticed back. Add another 1,000 for all the other smaller categories NfER identified, and the total is some 12.5% of leavers. However, many might only be interested in part-time work, so that might only be half that in terms of full-time equivalent teachers, say 2.500. Worth trying to recruit returners, but this is still not the absolute answer to the teacher shortage issue. Certainly, it is worth exploring whether some of these leavers might have been persuaded to remain in the profession.