Government announces review of school funding following debate led by Cameron Thomas MP

Member of Parliament for Tewkesbury, Cameron Thomas, has welcomed the Government’s announcement that it will review funding for schools in Gloucestershire.

At a parliamentary debate called by Cameron, he highlighted the unfairness in how the Government allocates funds to schools in the county, and other areas in England, which he said is worsening a funding crisis. He said “Teachers in Gloucestershire and beyond are on the front line of a genuine crisis to which they have been given no real answers.”

In his opening speech Cameron explained that, for Gloucestershire children starting school in September 2025, by the end of their education the current system will have invested in them between £10,000 and £50,000 less than children in some other parts of the country.

He explained how mainstream schools are required to attribute the initial £6,000 of additional costs for SEND pupils from their core budget, but that Gloucestershire schools are looking for that money within a smaller budget than is afforded schools elsewhere.

In response, Catherine McKinnell, the Minister for School Standards, announced that the Government will be reviewing its national funding formula ahead of the school year of 2026-27, while reiterating her government will take tough decisions to restore public finances.

Following the announcement, Cameron said: “I called this debate because for too long our headteachers and Gloucestershire County Council have had their hands tied by an unfair funding formula.

“It is untenable for me that our children receive less investment from the Department for Education than others across England, due to this inequitable model.

“When I met with Gloucestershire heads earlier this year, they stated specifically that review of this funding model would be the simplest way to help them. I am proud to have been able to take their case directly to the Government and delighted that the funding model will be reviewed.

“We must continue to apply pressure to ministers and ensure that Gloucestershire’s voices, our teachers and children are in mind when that review takes place.”

Gloucestershire schools are among the 20% of the worst-funded schools in England, receiving £1,000 less per pupil than schools in the top 20% local authority areas, and several thousand less than those at the top of the scale.

This is due to the national funding formula that allocates each local authority its ‘dedicated schools grant’. But the formula is out of date and needs revising. While some areas in the country with greater needs will need greater funding, the current formula is not equitable and is full of disparities.

In the Westminster Hall Debate, Catherine McKinnell defended the general principles of the dedicated schools grant, saying that factors such as deprivation and the cost of living in large cities needed to be considered.

But she confirmed the funding formula would be reviewed, adding: “I have listened very carefully to what has been said today, because we recognise the importance of establishing a fair funding system that directs funding to where it is most needed.

“I again thank the Honourable Member for Tewkesbury for bringing this matter forward, and all those who contributed to what has been a very thoughtful debate. I think there is a large amount of consensus on what we want to achieve for children and young people: getting the best outcomes from our dedicated schools grant.”

She also said the Government would set out plans to reform the SEND system later this year.

During the debate Cameron explained how headteachers of primary and secondary schools alike having to take drastic measures to balance the books, including cutting staff numbers to the bare minimum.

He said: “Some schools are having to make their most experienced and highly paid teachers redundant, so that they can recruit fewer experienced teachers on lower wages just to balance their books.

“A primary headteacher told Cameron that he spends his holidays in school completing the tasks of a caretaker that he can no longer afford to employ.

“I recognise that this government inherited an utterly broken country from the Conservative Party which preceded it, but almost a year down the line my teachers remain on the front line of a genuine crisis, to which they have been given no real answers.  

“They don’t have time for more politics as usual. They need their government to step up now, and with long-term solutions which don’t simply pass these challenges down the line.”