Our proposals for funding reform will mean that schools will, for the first time, receive a consistent and fair share of the schools budget, so that they can give every child the opportunity to reach their full potential.

For Warrington, the proposals would mean an overall increase in schools funding of 0.6%. On high needs, Warrington would be protected at current funding levels. Warrington North constituency would see a 0.9% increase in funding for its schools.

The current consultation is open until 22 March, and we are keen to hear views from as many schools, governors, local authorities and parents as possible. We will publish our response to the consultation, including details of representations received, in due course.

The Government has protected the core schools budget in real terms. We are introducing a fair funding formula so children across the country are funded according to their needs, not where they happen to live. We are currently consulting on the proposals and the consultation closes on 22 March. Overall, based on projections of rising pupil numbers, we would expect numbers of teachers to go up.

We recognise that schools will need to make efficiency savings in response to budgetary pressures. We have set a target for savings from better procurement and we have produced tools, information and guidance to support schools to make savings, including workforce planning guidance. This guidance contains links to advice and case studies, as well as lists of options and questions for school leaders to consider when reviewing their staff structures.

We recognise that schools, as with other public services, are facing cost pressures. These will include salary increases, increases to employers’ National Insurance and Teachers’ Pension Scheme contributions, the apprenticeship levy and general inflation.

The apprenticeship levy will support schools to train and develop new and existing staff, an integral part of this government’s wider plans to improve productivity and provide opportunities for people of all backgrounds and all ages to enter the workplace.

On a per pupil basis, these pressures are estimated at around 8% between 2015-16 and 2019-20. It is important to note that this is not an estimate of pressures still to come – over the next three years, per pupil pressures will average 1.5-1.6%, a year.

In response to this we have produced tools, information and guidance for schools financial health and efficiency, which can be found at: https://www.gov.uk/government/collections/schools-financial-health-and-efficiency.

We also know there is significant scope for savings in non-pay and procurement costs. We have launched a school buying strategy to support schools to save over £1bn a year by 2019-20 on their non-staff spend. In practice, this means schools can invest more of their resources in the classroom, making even more of a difference to the children that need it most.

Maintained schools and academies are funded for business rates on the basis of their actual rate bills. The National Funding Formula consultation proposes that these arrangements should continue.

Dedicated Schools Grant allocations for 2017-18 have been confirmed and can be found at: https://www.gov.uk/government/publications/dedicated-schools-grant-dsg-2017-to-2018.

We are currently consulting on a national funding formula for schools, which will be implemented from 2018-19. Our proposals for funding reform will mean that schools will, for the first time, receive a consistent and fair share of the schools budget, so that they can give every child the opportunity to reach their full potential.

As a result of our proposals, in the first year of the formula, Warrington local authority would see an overall funding increase in schools funding of 0.5%. Illustrative allocations for the second year of the formula have been not been calculated, but by the time of full implementation of the formula, Warrington schools would see funding gains of 0.6%.

For schools in Warrington North, the proposals would mean an overall funding increase of 0.9%, or £0.5 million.

Schools that are due to gain funding will do so quickly, with increases of up to 3% in per pupil funding in 2018-19 and a further 2.5% in 2019-20. No school will lose more than 1.5% per year or 3% overall per pupil as a result of our formula.

As announced at the Spending Review, we plan to save £600m from the Education Services Grant (ESG) by phasing out the general funding rate from 2017-18.

Local authorities will continue to receive ESG funding in 2016-17. They will also receive transitional ESG funding from April 2017 to August 2017 inclusive.

We recognise that local authorities, including Warrington Borough Council, will need to use other sources of funding to pay for education services they carry out for pupils in maintained schools once the general funding rate has been removed from September 2017. This is why we are amending regulations to allow local authorities to retain some of their maintained schools’ Dedicated Schools Grant (DSG) to cover the statutory duties that they carry out on behalf of their maintained schools.

The remaining ESG funding will be used to fund local authorities for the duties they hold in relation to all pupils. In 2017-18, this will be paid to local authorities through the DSG.

As announced at the Spending Review, we plan to save £600m from the Education Services Grant (ESG) by phasing out the general funding rate from 2017-18.

Local authorities will continue to receive ESG funding in 2016-17. They will also receive transitional ESG funding from April 2017 to August 2017 inclusive.

We recognise that local authorities, including Warrington Borough Council, will need to use other sources of funding to pay for education services they carry out for pupils in maintained schools once the general funding rate has been removed from September 2017. This is why we are amending regulations to allow local authorities to retain some of their maintained schools’ Dedicated Schools Grant (DSG) to cover the statutory duties that they carry out on behalf of their maintained schools.

The remaining ESG funding will be used to fund local authorities for the duties they hold in relation to all pupils. In 2017-18, this will be paid to local authorities through the DSG.

We have provided local authorities with the operational information on revenue funding for 2017-18 which includes the removal of the Education Services Grant. We intend to lay draft regulations to effect these arrangements in legislation as soon as possible in the new year.

Local authority school and high needs expenditure is published in section 251 and can be found at https://www.gov.uk/government/collections/section-251-materials.

Warrington Borough Council’s schools and high needs expenditure for the financial years 2013-14 to 2016-17 is as follows:

* Figures are after academy recoupment so are not comparable to 2015-16 and 2016-17, which are before academy recoupment

The figures show that both schools expenditure and high needs expenditure are budgeted to increase between 2015-16 and 2016-17.