Schools Finance Group: Notes of meeting held on Wednesday 6 June 2025

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Attendance

DCC

Jack Newton (Chair) – Deputy Director, Inclusion & Learning, Adrian Fox – Head Accountant (Education & Learning), Phill Adams – Interim SEND Improvement Deputy Director, Heidi Watson-Jones – Safety Valve Project Officer

Devon Schools Leadership Services

Primary

Jamie Stone – Denbury Primary, Christopher Tribble – Honiton Primary, Penny Hammett – FORT Federation

Secondary

Graham Hill – Pilton Community College, Tristan Muller-Forster – Tavistock College

Special Schools

Sarah Pickering – Mill Water School (part), Hannah Smart – ACE Tiverton (part)

Early Years Providers

Gemma Rolstone – Puffins Childcare

DAG

Faith Butler – Special School Governors, Adrian Hines – Primary Governors, Alex Walmsley – Secondary Governors

Other DCC Officers

Derek Blackford – Head Accountant (SEND), Karlien Bond – Senior Accountant (Schools), Katrina Harverson – Principal Accountant (Education and Learning), Michael Heard – ICT Business Partner (part)

Apologies

Devon Schools Leadership Services

Mat Thorpe – Deputy Director Finance & Public Value, Paul Walker – First Federation, Rob Gammon – The King’s School, Rob Gasson – Wave Multi Academy Trust

1. Minutes of previous meeting – 5 March 2025

  • JN to respond to SFG around issues pertaining to PAN and the funding formula in the high needs sector (special schools and PRUs). This will be picked up within the Autumn Consultation discussions.
  • Schools Support Panel annual report to be discussed on agenda.  SSP should be a standing item on SFG as the format moves into localities.
  • Mutual Fund Board is now established as a separate group and will be convened with school leaders within the Mutual Fund.
  • All other actions completed or in hand. 
  • Minutes were agreed as an accurate record.

2. Draft DSG Outturn Report 2024/25

  • Draft outturn position was shared with the group – this has been delayed due to recent changes with the council.
  • An improvement of £3.3m was seen at month 11 – £1m of the shift is a result of surplus balances in other strands of the DSG which, per government guidance, must be used to offset the DSG deficit.
  • Over 1,000 EHCP reviews remain outstanding, a reduction from previous year, but capacity pressures remain within the SEND Operations team.
  • Noted Individual school balances position compared to the 2023/24 position.  Surpluses have reduced overall from previous year by approximately £5m.
  • Discussed how primary school balances might be more appropriately presented to represent the current position in Devon’s schools and communities, and prevent any misunderstanding when considering an average position across all Devon schools.  Presenting as a percentage of total budget could be considered.  JN proposed as part of thinking around 26/27 consultation, that a working group be convened to look more closely at contextual picture of the carry forwards.
  • Finance colleagues confirmed that schools are asked for clarity around reasons for surplus or deficit positions as part of normal year end processes.
  • JN confirmed that DCC continues to lobby the DfE on need for improvement in school funding.
  • Noted particular pressure on AP budgets.
  • Recoupment of £1.2m relating to health costs are being sought
  • Overall EHCP numbers are above those budgeted, with further growth forecast.
  • Continued work to ensure best value for money in AP commissioning, independent place commissioning and EOTAS arrangements
  • Demand for placements in mainstream FE settings is increasing, offsetting the demand and cost on independent post 16 provision.

Actions:

  • JN/HWJ establish a working group to contextualise the carry forward position to best support sustainability and inclusion within communities and better meeting needs of children.

3. Carry Forwards 2024/25

  • SFG noted carry forward requests.  Individual School Balances for maintained primary, secondary and special schools, and Hospital school are automatically rolled over to the new financial year.
  • De-delegated and High Needs carry forwards of £1.751m are carry forward for ongoing arrangements for the academic year 2024/25 (summer term).
  • Noted copyright overspend and considered the impact on this de-delegated provision.

4. High Needs Update

  • SFG noted the favourable comparison against other LAs in slowing high needs spend.
  • Noted average cost of EHCPs is also reducing due to efficiencies and actions across the transformation programme.  Qualitative improvements are also now beginning to be seen coming through.
  • Work to develop resource bases, culture and practice change and closer working with FE providers is impacting positively.
  • SFG noted the proposed change of structure of the SEND transformation programme, in line with the Inclusion and Learning strategy priorities. It is hoped this new approach will accelerate savings and quality improvements.
  • Recent discussions with DfE have been positive.
  • SFG members fed back that the narrative within the April DfE Safety Valve provides helpful challenge back to government about the impact of national policies on the local position.  There was assurance that the local authority is strengthening in its approach to developing strategy and achieving results.
  • Special School sufficiency continues to be challenging, with particular concerns around the development of the new Cranbrook special school; the LA continues to provide challenge to the DfE around this issue and its strategic approach to new school development.
  • JN explained that DCC needs to review placements in special schools to ensure that the right children are accessing the best provision to meet their needs, and building and developing provision where it’s needed most.
  • Noted that additional capacity has been brought in to review independent sector placements.
  • Noted the most recent DfE Safety Valve submission was provided prior to budgets being finalised accounting for a difference from normal monthly reporting.
  • Considered the 0.5% block transfer allocated to Safety Valve programmes – need to be able to explain at consultation how this investment has added value to the strategic approach.
  • Mindful that Government White Paper on SEND is anticipated, and that changes are likely to put in place.
  • Block Transfer proposal for 2026/27
  • Keen to ensure this year’s funding consultation is prepared in partnership with schools and the LA.
  • JN to seek DSLS volunteers and governors to work alongside the LA to set out what would be appropriate to address the new

Action:

  • Jack Newton to seek DSLS members to join LA on a formal working group to prepare the consultation principles

5. Schools Support Panel Annual Report

  • SFG welcomed the transition from Financial Intervention Panel (FIPS) to the Schools Support Panel – which now has a wider remit to support maintained schools to meet the needs of children.
  • Noted the financial position, with an expected carry forward of £532k.
  • The SSP looks to provide early intervention, with services across Education coming together to co-produce and provide that support, although schools may also directly request support.  72 individual schools have been supported throughout the year.
  • SFG expressed concerns around the proportion of funding directly going to schools for support.
  • There was challenge particularly around the funding to cover deficit balances of schools moving to a sponsored academy, and the school effectiveness service when the consultation documentation clearly highlights that the de-delegation request is for contingency for maintained schools.
  • Noted that funding for the school effectiveness team has been allocated following the ceasing of the School Effectiveness Grant of £640k.
  • DSLS keen to understand the wider school response to the clarity around spend, to be assured of the appropriate use of de-delegated funding.
  • Accepted that the annual consultation process needs to be improved.  JN reminded the group that it was previously agreed that a group will be convened to look closely together at the proposed way forward for this year’s consultation.  The impact of the current Education Redesign will also need to be considered.

6. Potential impact of Inclusion & Learning Redesign

  • Positive impact has already begun to be felt across senior leadership as the new leadership team has now been appointed.  Increasing consistency around messaging and support for schools and colleagues.
  • Redesign is currently in consultation for phase 2 involving over 400 staff members.  This will cover key principles around a locality approach, meeting schools’ and children’s needs, improving outcomes for children, and rationalisation around staffing terms and conditions.  Focus is not on cost efficiencies, rather ensuring the service is fit for purpose moving forward.
  • Outcome of the consultation proposals will be shared with schools following conclusion of the consultation period.
  • Mindful that the redesign will involve moving to a new service structure within the financial year, with staff who are currently feeling vulnerable as the service changes. 
  • DCC needs to communicate the impact on services that may previously have been traded.  Moving to a new and improved system is non-negotiable, however the LA is open that there will inevitably be dips in performance as we move through the change process.
  • Mindful that there may be challenge where schools have committed funding to particular services.  The LA will also need to map the financial implication of the changes.
  • Communication will be key to improved partnership working, both through written comms and increased opportunities for face to face engagement in localities.
  • Requested that DSLS and DCC work together on clear timeframes for key points of the process so that schools are able to predict which traded services may no longer be available to them.  Will need to manage the process of communicating those key messages to enable schools to assess the impact on local policies, school improvement plans etc.

7. Bromcom / Unit 4 Implementation

  • Michael Heard had previously reported to SFG about the transition to Bromcom and Unit4.  Feedback has been provided from DSLS survey and bursar groups.
  • There have been issues and complexities around the transfer of two systems concurrently, some of which were not anticipated.
  • School business staff were thanked for managing the difficult transition well, but are reminded that they should contact ScoMIS with any issues or problems that arise, rather than trying to address these locally or devise ‘work-arounds’
  • Free training is available and it is important that staff are given time to access this.
  • ScoMIS apologised that the roll out of ‘My Child at School’ MCAS was not operational when Bromcom was launched.  Any schools struggling should contact ScoMIS for support – training and webinars will be available shortly.
  • Noted difficulties have been raised by schools around the huge upheaval and pressure, a lack of ongoing communication and support to highlight the lack of functional financial reporting and operations, and address school concerns that the issues have been out of schools’ control.
  • Prior to half term, JN undertook to DSLS to follow up on the issues raised within the DSLS survey with governing bodies’ and communicate steps being taken.
  • ScoMIS are logging calls and determine whether the issues raised are linked to Bromcom or Unit4 and dealt with by the appropriate teams.  Noted that for schools the issues are manifesting as a single system issue and staff are unable to identify which system is causing the problem.
  • JN to communicate to governors to acknowledge issues and to ensure that ongoing support remains available to schools experiencing difficulties with the implementation
  • Schools are releasing staff to access the training available, however it was felt that training offer should be refreshed as the systems evolve.
  • JN undertook to provide clarity through urgent comms to schools from Unit 4, ScoMIS and Finance Team to outline current operational situation in schools, and encourage schools to contact ScoMIS where issues arise.

Actions:

  • JN  to share urgent comms with schools to outline current operational situation in schools, give an indication of ongoing issues and encourage schools to continue contact ScoMIS to report any issues arising.
  • MH to ensure ScoMIS review available training alongside Denbury Primary.

8. Update on School Audit Process

  • Powerpoint presentation circulated.  Audit Managers unable to attend meeting.  This will be postponed until July.
  • Noted that Audit has been made aware of the difficulties in financial reporting linked to Unit4 implementation.
  • Issues have been raised through DSLS around the move to a 3-yearly annual  school audit process.

9. Funding Lobbying

  • Trade Unions to be invited by DSLS to work collaboratively to lobby for funding for funding of Devon’s schools.
  • LA strategic leader to be invited to be involved in that discussion – Action: DSLS.
  • Keen that Devon MPs continue to be informed and involved.
  • DSLS requested key headline figures to share with schools and MPs around SEND / funding per pupil etc. to ensure consistency and accuracy of messaging. Action: Adrian Fox
  • This will help to address concerns that there is a lack of understanding of school funding

10. Any Other Business

Banding Framework for EHCPs

  • Update to be issued soon around development of a new funding framework with PeopleToo organisation. 
  • Support and engagement of school leaders in the development process will be important, and SFG will receive ongoing updates going forward.
  • Derek Blackford to liaise with DSLS for volunteers.

Free School Meals auto-enrolment

  • JN reported that DCC has commissioned a community interest company to drive this process.
  • SFG mindful of complexities around data gathering and partnership working across district councils.  Relevant data is available within the county council and DWP have given permission for the data to be used and the next phase of the project to be developed.
  • On track for implementation ahead of October census date.

Future meeting dates

  • Wednesday 4 June 2025  (09.15 – 12.30 – Teams)
  • Wednesday 9 July 2025  (09.15 – 12.30 – Face to face at County Hall)
  • Wednesday 10 September (all day – face to face at County Hall)
  • Wednesday 5 November (09.15 – 12.30 – Face to face at County Hall)
  • Friday 9 January 2026 (09.15 – 12.30 – Teams)
  • Wednesday 4 March 2026 (09.15 – 12.30 – Teams)