Funding

Approach to funding

The majority of capital funding is currently allocated on a formulaic basis to schools and Local Education Authorities (LEAs) so that they can decide how to target these rapidly increasing resources to address their highest priority needs in line with local asset management planning processes. These processes give LEAs a clear and systematic view of the needs of their schools, based on surveys of all school buildings. Authorities should prioritise these needs in a rigorous, consultative and transparent way so that their schools understand how they are prioritised relative to others. With the certainty of guaranteed long term funding, which is now over three years, LEAs are encouraged to take a long term approach to improving school buildings rather than short term piecemeal changes or improvements which may not be cost effective

Modernisation Funding

Modernisation funding is intended to assist in raising educational standards by contributing towards meeting the capital investment needs of school buildings, according to the locally agreed priorities identified in each local education authority's (LEA's). It is allocated to LEAs using a formula that is partially targeted to building need, as well as pupil numbers. The intention is that funding should be joined up locally and used for the most appropriate schools building priorities.

Devolved Formula Capital Funding

Devolved Formula capital (DFC) gives maintained schools direct funding to help support the capital needs of their buildings. It is initially allocated to local education authorities (LEAs) who are then required to allocate the funding directly to schools using a simple formula. In general, this funding should be invested in the priorities agreed locally. It can be rolled forward for up to 3 years to enable larger projects to be planned.

Basic Needs Funding

New guidance covering Basic Need funding, and the associated safety-valve mechanism for exceptional funding. Basic Need safety-valve is is a mechanism that is available where a local authority and its schools are experiencing exceptional circumstances (eg very high growth or movement of pupils within a local authority area), and where the resulting need cannot be met from available capital resources (such as formulaic funding, s106 agreements, Single Capital Pot, prudential borrowing, receipts).  Any additional funding will be made available in 2006-07 and 2007-08. For more information

Targeted Capital Funding

The money is being delivered by the Targeted Capital Funding. This money sits alongside the investment that goes to every school and every local authority each year, and the Department's long term programme Building Schools for the Future.

Expansion of Popular and Successful Secondary Schools

Additional funding is available to support the expansion of successful and popular secondary schools, and to ensure that where School Organisation Committees (SOCs) or Schools Adjudicators are considering proposals to expand a successful and popular secondary school, they are not prevented by lack of capital funding from agreeing to worthwhile proposals. As part of the drive to raise standards the Government wants to make it easier for popular and successful secondary schools to expand so that school places are provided where parents want them.