Council attempts to resolve special needs funding

A council has reaffirmed its commitment to resolve a growing hole in special needs funding ahead of a government-mandated deadline.

At a cabinet meeting on Tuesday, Wiltshire councillors were told that the deficit from the cost of ing children with special educational needs (SEN) , which currently stands at £61m, is forecast to be around £96m by March next year.

The council has permission to run up a ring-fenced deficit – known as a 'statutory override' – to meet its statutory requirements around SEN funding until that time.

The Department for Education recently told the council that ministers are "not considering any extensions to agreements." according to the Local Democracy Reporting Service.

At the first meeting of Wiltshire Council's new Liberal Democrat-run cabinet, councillor Jon Hubbard, cabinet member for children's services, told colleagues that since 2018, the pressure on the council's SEN funding had increased dramatically, while contributions from the government had failed to keep pace.

The number of children ed by an Education, Health and Care Plan – EHs – increased by 51% between 2018-19 and 2022-23 and demands increased by 46% over the same period.

But the money supplied by the government over the same period increased by just 36%.

Promising "not to sugar coat" the situation, Councillor Hubbard said: "The critical issue facing us is the statutory override that expires in April 2026.

"Without clarity from the government about how the £96m deficit will be managed, this remains our single biggest financial risk.

"We simply cannot absorb this level of debt within our existing reserves."

In March 2024, the council signed a bailout agreement known as a 'safety valve' with the Department for Education (DfE).

The DfE committed to give the council an additional £67m over five years for SEN funding, on the condition that the council balanced its Dedicated Schools Grant budget.

However, with the number of EHs "continuing to exceed forecasted levels," the council is not on track to meet its targets.

Councillor Gavin Grant said: "The safety valve is one of the most serious threats to this council."

Council leader Ian Thorn agreed, saying it was "the one thing that keeps us all awake at night."

Follow BBC Wiltshire on Facebook, X and Instagram. Send your story ideas to us on email or via WhatsApp on 0800 313 4630.