DENBIGHSHIRE schools will receive a total increase in funding of 5.91% in 2025/26 funding all inflationary pressures, the council has proposed.
But the authority’s head of finance admits that headteachers and schools are facing ‘a perfect storm’ in terms of post-pandemic finances, attendance problems, and children’s education levels.
The comments were made at a cabinet meeting this week ahead of the council fully debating and likely rubber-stamping the budget on Thursday (20 February), which includes a 6% increase in council tax.
But despite having warned schools of 3-5% funding cuts, the authority has now pledged to meet inflationary pressures after receiving a 4.6% increase in its local government settlement from Welsh Government, equating to an additional £14.4m.
A report stated that the council required a 11.9% rise to cover all its costs, a gap instead covered by the 6% rise in council tax.
At the cabinet meeting this week at Denbighshire’s Ruthin County Hall HQ, councillors heard how 75% of council funds came from Welsh Government and 25% from council tax.
Members were told that school budgets accounted for 33% of the council’s budget, a sum of around £89m a year.
But despite the pledge, Denbighshire’s head of finance Liz Thomas told councillors that the situation was far from ideal after Cllr Diane King asked how things stood.
“We all recognise the challenges that schools are facing,” she said.
“I think headteachers would refer to it as a perfect storm. You’ve got learners who are still feeling the impact of the pandemic in terms of their speech and language, in terms of the attendance. It is a real issue.
“So it is a difficult situation for schools at the moment. From a budget point of view, it is challenging because the schools are our biggest budget. They take up 33% of the council’s budget.
“So when the council’s budget doesn’t go up in line with the increase of costs that we have, it is really difficult to protect schools.”
Ms Thomas then outlined pressures around increasing staff and teachers’ pay.
The budget report stated: “Given the pressures in schools and the improved settlement from Welsh Government, the proposal is not to reduce the schools’ budget as the council had to in setting the 2024/25 budget. Schools will therefore have all inflationary pressures funded with no reductions to budgets (other than demography).”
The cabinet backed the report which will be debated at today’s council meeting when a budget will be set for 2025/26.
