School Funding
Reforms
Notional SEN: Elements 1, 2 and 3
Richard Shirley
Children’s Services Finance
Introduction
• DSG funding reforms introduced the
concept of ‘notional SEN’ in 2013-14
• This is the idea that within school
budgets was an allocation for dealing
with ‘expensive’ children, with higher
needs than a child without SEN.
Introduction
Slide 2
Introduction
• Manchester has always included and
expected its schools to fund these children
from within the delegated budget share; up
to a maximum of £10,000.
• This is because, although the Schools Block
funding is allocated on an equal basis per
pupil, the costs incurred by schools are not
linear and there is an expectation that the
less expensive children will contribute
towards the more expensive children.
Introduction
Slide 3
Changes
• Under the 2013-14 funding reforms the idea of
notional SEN continues in Manchester, but is
refined. Now schools are expected to contribute up
to the basic entitlement + £6,000 per SEN child from
their budget share.
• This is also know as element 1 (core education
funding) and element 2 (additional support funding)
• Anything above this threshold is called element 3 –
‘top up’ funding. Top up funding is also known as
individually assigned resources (IAR) and is for
statemented or resource agreement children
Changes
Slide 4
Notional SEN per pupil
£15,000
E3
E3
E3
£10,000
E2
E2
E2
£5,000
E1
E1
E1
KS3
KS4
£0
Primary
Notional SEN per pupil
What is the notional SEN?
Slide 5
Notional SEN per pupil
• The expected maximum school contribution to each
child is set out below.
Pupil age
Element 1: core
education funding
(AWPU)
Element 2:
additional support
funding
Total school
contribution per
pupil (the
‘notional SEN’ to
be found, per
high needs child)
Primary
£3,101
£6,000
£9,101
KS3
£4,111
£6,000
£10,111
KS4
£4,476
£6,000
£10,476
Notional SEN per pupil
What is the notional SEN?
Slide 6
School Budget Shares
• Reception – Y11 pupils are funded
based on the October census and
are funded through the schools
block
• Nurseries are funded based on
numbers returned on each termly
census
School Budget Shares
How schools are funded
Slide 7
School Budget Shares
DfE number
1234
FINAL School Budgets 2013-14
Manchester Primary School
Total 2013-14 funding
£1,470,351
Comprising of:
Schools Block
Primary
Pupil Numbers
Basic Entitlement (AWPU)
Primary (including reception uplift)
Key Stage 3
Key Stage 4
Total
Deprivation
Free Schools Meals (FSM6)
IDACI Score 0.2 - 0.25
IDACI Score 0.25 - 0.3
IDACI Score 0.3 - 0.4
IDACI Score 0.4 - 0.5
IDACI Score 0.5 - 0.6
IDACI Score 0.6 - 1
Total
Low Cost, High Incidence SEN
Pupils who did not achieve an EYFSP score of 73
Secondary pupils with Level 3 or below in both KS2
Total
English as an Additional Language (EAL)
EAL for first 3 years in a school
Mobility
Secondary
Pupil Numbers
200
Primary
Unit Value
£3,101
-
Primary
% of NOR
Primary
Pupils
58.79%
1.10%
1.65%
8.82%
8.82%
32.23%
46.28%
Primary
% of NOR
Secondary
% of NOR
117.58
2.20
3.31
17.63
17.63
64.46
92.56
Primary
Pupils
14.07%
Secondary
Pupils
-
Secondary
% of NOR
Secondary
Pupils
24.67%
Primary
% of NOR
Pupils starting school outside normal entry dates
School Budget Shares 17.58%
Other Factors
Lump SumWhere is my notional SEN?
Teaching and learning / rental of temporary accommodation / split site funding
Rates
PFI funding
Exceptional Circumstances
Total
35.16
Secondary
Unit Values
£425
£50
£90
£105
£240
£320
£450
Secondary
Unit Value
£1,204
Secondary
% of NOR
49.34
Primary
Pupils
£341
£30
£70
£80
£130
£200
£350
Primary
Unit Value
28.14
Primary
Pupils
£4,111
£4,476
Primary
Unit Values
-
-
Primary
% of NOR
Secondary
Unit Value
-
Secondary
Pupils
-
Secondary
% of NOR
Primary
Unit Value
-
Secondary
Pupils
-
£5,000
£380
Primary
Unit Value
-
£526
Secondary
Unit Value
£2,064
Secondary
Unit Value
£1,500
This is the
AWPU –
element 1
Total
£620,200
£620,200
Total
£40,095
£66
£231
£1,410
£2,292
£12,893
£32,397
£89,384
Total
£33,881
£33,881
Total
£18,750
Total
£18,497
Total
£155,000
£15,060
£16,897
-
Slide 8
EAL for first 3 years in a school
24.67%
Primary
% of NOR
Mobility
Pupils starting school outside normal entry dates
49.34
Primary
Pupils
17.58%
-
Secondary
% of NOR
35.16
-
Secondary
Pupils
-
£380
Primary
Unit Value
-
£2,064
Secondary
Unit Value
£526
£1,500
£18,750
Total
£18,497
School Budget Shares
Other Factors
Lump Sum
Teaching and learning / rental of temporary accommodation / split site funding
Rates
PFI funding
Exceptional Circumstances
Total
Total
£155,000
£15,060
£16,897
£186,957
Budget sub total
MFG and De-Delegation
£967,670
Schools Block
Schools Block
Funding 2012-13 Funding 2013-14
per pupil
per pupil
Funding
£4,202
£3,916
less 2013-14 lump sum less lump sum, rates
and 2012-13 rates, per and new delegation of
pupil in October 2011
£29.35 per pupil
Notes
% Change
-6.82%
MFG @ -1.5%
Gains capped @
1.75%
% adjustment
required
5.32%
MFG Adjustment
De-delegated
budgets
(code to CFR I01)
£81,374
£3,287
2013-14
Budget Share
£1,045,756
% adjustment applied
Budgets de-delegated by 2013-14 sub total budget
this equates to £223.55 to 2012-13 budget and
maintained schools:
add MFG adjustment
per pupil
added to 2013-14
approx. £9.03 per pupil
minus de-delegation
budget
FINAL Schools Block 2013-14
(CFR Code I01)
Element 2 is
contained
within this
total budget
share
£1,045,756
Early Years Block
Funding
Number of Pupils Hourly Base Rate
Capacity Funding (950 hours)
FSM Funding (950 hours)
Total Early Years Funding
52
26
£2.35
£0.36
Hourly Quality
Supplement
£1.15
High Needs Block
Pupils funded
through the HNB
SEN D/D+ (CFR Code I03)
Resource Units (CFR Code I01)
Total High Needs Funding
-
Hourly Grants
£0.22
Funding
-
£183,768
£8,892
£192,660
Element 3
Code I01)
comes (CFR
through
the High Needs
Block - here
CAPACITY Early Years Block 2013-14
Funding
Average IDACI
Deprivation Rate
Amounts
£192,660
£36,095
£36,095
INDICATIVE High Needs Block 2013-14
£36,095
Other Grants
Number of Pupils Amount per pupil
School Budget Shares
204
Where is my notional SEN? 1-
Devolved Formula Capital (DFC) (CFR Code CI01)
Pupil Premium: FSM (CFR Code I05)
Pupil Premium: LAC (CFR Code I05)
Pupil Premium: Service Children (CFR Code I05)
Y7 Catch Up Premium (CFR Code I06)
Music Grant (CFR Code I06)
INDICATIVE Other Grants 2013-14
-
£900
£900
£300
£500
Estimated grant
amount
£8,174
£183,600
£900
£3,166
Notes
TBC for 2013-14 - 2012-13 allocation used for indicative
TBC on Jan 13 census numbers - Jan 12 used for indicative
TBC on 31 March 13 data - 31 March 12 used for indicative
TBC on Jan 13 census numbers - Jan 12 used for indicative
TBC on Oct 13 census numbers - Oct 12 used for indicative
TBC on Jan 13 census - 80% of Jan 12 used for indicative
Slide 9
£195,840
School Budget Shares
• Notional SEN is paid with the school
budget share – 13 payments from
April to March, all approximately 7%
of the total annual allocation
• High needs (IAR) budgets are set at
the start of the financial year and
adjusted quarterly based on actual
pupil intake and statemented need
School Budget Shares
When do I get my notional SEN?
Slide 10
Central High Needs Budgets
• £61 million total High Needs Block
• £41 million delegated to special schools,
special academies, named pupils and in
year adjustments
• £12.5 million centrally retained, of which
£6.6m is to pay for ‘out of authority’ SEN
children
• Others including SEN transport, support
for inclusion, independent special
schools fees
Central High Needs Budgets
Slide 11
Challenges in Manchester’s DSG
• Same pot of money as last year, but
more children with statements and more
expensive statements
• Special schools have increased in size –
no more money to fund this
• Post-16 SEN funding has been based on
2011-12 data, Manchester’s population,
costs and children with SEN has
increased dramatically since then –
estimated £2m+ shortfall in funding
Challenges in DSG
Slide 12
Statements and Resource Agreements - Trends
Number and cost of children in mainstream schools with IAR
£8,000,000
1,000
900
£7,000,000
Cost
700
£5,000,000
600
£4,000,000
500
400
£3,000,000
300
£2,000,000
200
£1,000,000
100
£-
2009/10
2010/11
Cost
Statements - Trends
Number of pupils
800
£6,000,000
2011/12
2012/13 to date
Number of children
Slide 13