analysis
In some areas, however, free schools are creating spare capacity which may have implications for schools’ financial sustainability. The Department plans to open 500 new free schools between May 2015 and September 2020 but the biggest risk to delivering these schools is the availability of suitable sites. The recent budget announced funding
for a further 110 new free schools on top of the current commitment to 500, including new specialist Maths schools. A lack of suitable land means that the
Department sometimes enters complex commercial agreements and pays large sums to secure sites in the right places. The NAO found that while the average cost of the 175 sites bought by the Department is £4.9m, 24 sites have cost more than £10m, including four that have cost more than £30m. To help secure
free school sites quickly and at the best price, the Department is setting up a property company. “Having enough school places in safe,
high-quality buildings in the right areas is a crucial part of the education system,” says NAO chief Sir Amyas Morse. “The Department has responded positively to start to meet the challenges it faces in relation to the quality and capacity of the school estate. Significant challenges remain, however, as the population continues to grow and the condition of the ageing estate deteriorates. “To deliver value for money, the
Department must make the best use of the capital funding it has available - by continuing to increase the use of data to inform its funding decisions and by creating places where it can demonstrate that they will have the greatest impact.”
Budget 2017
ADDITIONAL funding of £216m was announced in the Spring Budget to help with maintenance of existing schools. (This is in addition to the £320m that will go towards developing new free schools.)
Responding to the news, Richard Watts from the Local Government Association, described the move as a step in the right direction, however, he said “government must commit to devolving school capital funding to a single local pot” to allow schools and councils to work together to tackle local challenges.
He added: "Councils have a statutory duty to ensure every child has a school place available to them but they fear that they will no longer be able to meet the rising costs for the creation of places if they aren't given the money or powers to do so, and have to continue to rely on the Secretary of State in Whitehall to take all the final decisions.
"To ensure new schools are established in the right places and meet the needs of local communities, councils must have a role in determining where new free schools are created. Local authorities know their areas best and are eager to work with applicants with a strong track record to identify potential school sites.”
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