Agenda item

To consider a report from Jen Furnell, Corporate Director for Education and Learning, People - Children Directorate

For Approval

Forum considered a report on the proposed transfer of 0.5% from the Schools Block to the High Needs Block for 2026–27. Officers outlined the background to the recommendation, noting that similar transfers had been approved in the previous two years as part of Dorset’s Safety Valve agreement with the Department for Education. The transfer, estimated at approximately £1.3 million, is intended to demonstrate partnership working and support the Council’s efforts to reduce the High Needs Block deficit.

The report highlighted that Dorset Council has invested significantly in inclusive provision during the Safety Valve period. Funding for mainstream inclusion has increased from £4.95 million in 2022–23 to £14.54 million in 2025–26, representing a rise in per-pupil support from £3,749 to £8,388 for children with Education, Health and Care Plans in mainstream settings. Officers stressed that this investment has been made alongside the creation of new specialist places and the development of inclusion hubs, reflecting a shared commitment to improving outcomes for children and young people with SEND.

However, officers also confirmed that contributions from the Department for Education under the Safety Valve programme remain paused. While Dorset Council continues to hold reserves and has committed £47 million to capital investment for new provision, the absence of DfE funding creates uncertainty for the recovery plan. Members were advised that, should the Forum reject the proposed transfer, the local authority may seek a disapplication from the Secretary of State to override the decision, although this would be considered alongside wider engagement with government on SEND funding reform.

Members acknowledged the context and the progress made in developing inclusive provision but expressed strong concerns about continuing the transfer in the current circumstances. The Forum noted that the original Safety Valve agreement was based on three-way partnership between schools, the local authority, and the Department for Education. Members felt that it was inequitable for schools to remain the only active contributor when DfE payments are paused and the Council is awaiting confirmation of future funding.

Several points were raised during debate:

• The transfer was originally intended as a temporary measure to support the Safety Valve agreement. Continuing for a third year risks creating an expectation that schools will routinely subsidise the High Needs Block.
• The scale of the deficit means that the proposed transfer would have minimal impact on the overall position. Members questioned whether £1.3 million against a £52 million overspend represents meaningful progress.
• Schools are facing significant financial pressures, and the sums involved—typically £5,000 to £30,000 per school—could be used to strengthen inclusive practice locally rather than being absorbed into the High Needs Block.
• Members emphasised that rejecting the transfer should not be interpreted as a lack of support for the Council’s SEND strategy. The Forum remains committed to partnership working but believes that the Department for Education must resume its role in deficit recovery before schools are asked to contribute further.
• It was agreed that the Forum’s position should be communicated clearly to the Secretary of State, highlighting both the rationale for the decision and the ongoing commitment of Dorset schools to inclusion.

Officers confirmed that the local authority will reflect the Forum’s views in any engagement with government on a request to disapply and will continue lobbying for a sustainable national solution to SEND funding pressures.

Following discussion, the Forum voted against the proposed transfer of 0.5% from the Schools Block to the High Needs Block for 2026–27.

For: 0 Against:14 Abstentions: 1

Actions

• The Chair will write to the Secretary of State setting out the Forum’s decision and the reasons for rejecting the transfer, including the expectation that DfE resumes its contribution to the Safety Valve programme.
• Officers to update the Forum in January on any response from the Department for Education and implications for the recovery plan.