Agenda item

The report of Debbie Williams (Schools Strategic Financial Management Adviser) presents the position of revenue balances for Wiltshire maintained schools as at 31 March 2023 and identifies those in surplus and deficit.

Grant Davis, Schools Strategic Financial Support Manager, referred to the report which presented the position of revenue balances for Wiltshire maintained schools as at 31 March 2023, and identified those in surplus and deficit. The following was highlighted:

·       The net surplus balances for the financial year 2022/23 were confirmed as £12.2m with 104 schools holding surplus balances of £14.4m and 12 schools in deficit to a value of £2.2m.

·       When comparing the figures to those of last year, it was confirmed that there had been a slight reduction in the net surplus balances of £1.1m. However, the number of Local Authority (LA) maintained schools had decreased from 126 to 123 over the period of 31 March 2022 to 31 March 2023. Furthermore, it was highlighted that the data did not include those schools which had converted to academies during the financial year.

·       Paragraph 5 of the report was highlighted which presented a breakdown of the movement in net revenue balances over the last 3 financial years and showed that the balances were generally coming down across Primary, Secondary, and Special schools over that period.

·       Appendix 1 of the report was then highlighted which showed a breakdown of all individual maintained schools’ revenue surplus and deficit balances. It was noted that there were two trigger points in which the Department for Education (DfE) could request further information from LAs and these were detailed in Paragraph 8 of the report.

·       Appendix 2 of the report was then raised which analysed the 2022/23 maintained schools’ revenue balances to categorise those that were in surplus and above 15% of their school budget share, those in surplus but below 15% of their school budget share, and those in deficit. As such, it was highlighted that there were 40 schools in the first category, 64 in the second, and 12 in the third, giving an indicative position across the maintained schools sector.

·       Appendix 3 of the report was then raised, and it was noted that an investigation could be triggered by the DfE as per Paragraph 8a of the report, as there were 13 schools that had held a revenue balance of 15% or more of their school budget share over the past 5 years.

·       Appendix 4 of the report was then raised, and it was noted that an investigation could be triggered by the DfE as per Paragraph 8b of the report, as there were 4 schools that had held deficit balances of more than 2.5% and £10,000 over the past 4 years.

·       Paragraphs 12 through 16 of the report were then noted as the key points for the Schools Forum to consider, with Paragraph 17 detailing the indicative position for 2023-24.

In response to a question, it was explained that Abbeyfield School was in deficit which had built up due to tight school funding and investments made to accommodate an anticipated growth in pupil numbers which did not come to fruition over 5 years ago. Furthermore, it was highlighted that Abbeyfield School was a Private Finance Initiative (PFI) school which led to non-controllable higher costs in rental, facilities management, and day-to-day operations. Therefore, officers commended the hard work undertaken by the school’s staff team in reducing the deficit figure.

Following which, it was:

Resolved:

The Schools Forum noted the report.