The Government has confirmed a £14 billion funding package for schools and academies, increasing the education budget to over £52 billion by 2022/23.

The announcement comes shortly after details of the budget proposals were leaked last month.

Now confirmed, the Department for Education (DfE) said primary and secondary schools across England are “set for a giant cash boost”,

According to the figures, the funding package includes an additional £2.6 billion for 2020/21, £4.8 billion for 21/22, and £7.1 billion for 22/23.

This represents an above-inflation funding increase of £4.6 billion per year.

As part of the deal, every secondary school is set to receive a minimum of £5,000 per pupil from 2020/21, while every primary school will get a minimum of £4,000 from 2021/22.

The funding package will also secure minimum starting salaries for teachers of £30,000 from 2022/23.

The plans, which have been described by the DfE as “the biggest reform to teacher pay in a generation”, are aimed at tackling the growing teacher recruitment and retention crisis.

This also includes increasing the employer contribution component of the Teacher’s Pension Scheme to a record 23.6 per cent.

Commenting on the budget, Education Secretary Gavin Williamson said: “This £14billion funding increase – the largest cash boost in a generation – means our schools can continue to raise standards and build an education system that boosts productivity, improves social mobility and equips children with the skills and knowledge they need to succeed in the bright future that lies ahead.

“In addition to this package, schools will receive £4.4billion over three years to cover rising pension costs and ensure they can focus their resources on the front line.”

Contact us today for expert advice on all aspects of finance and accounting for academies.

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Smailes Goldie Group

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