Schools warn of ‘postcode lottery’ in which cash-strapped councils hold back money to cut budget deficits

Special schools in England are struggling to access crucial government funding worth hundreds of thousands of pounds to offset rising staff salaries and soaring fuel costs, headteachers have warned, with some facing cuts to class sizes.

The autumn spending review set out £1.2bn in funding for schools to cover forthcoming national insurance increases and “wider cost pressures”, including the new £30,000 starting salary for teachers, as well as fuel price rises.

That funding, the schools supplementary grant, has been handed directly to mainstream schools, but it goes via local authorities to special schools, alternative provision and hospital schools through the high needs budget.

Special schools are warning that this has resulted in a “postcode lottery” in which some cash-strapped councils are withholding all or part of the grant to bring down deficits in their high needs budgets, whereas others are matching or exceeding the grant received by mainstream schools.

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