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We warned Labour: Dedicated Schools Grant Overspend

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Friday, 6 November, 2020
Schools grant overspend

Accounting Trick masks Dedicated Schools Grant Overspend

The Dedicated Schools Grant from the Department of Education is very important to our schools. It is distributed through the Council and the Schools Forum via a formula to fund education in our schools. This year the DSG for schools, including academies, amounts to £341.67 million. Pressures on the High Needs Block that funds support for children with special education needs has led to an overspend of £10 million. The external auditors who released a ‘Report in the Public Interest’ to highlight the serious concerns of how the Labour Administration has managed the finances of the Council criticises the accounting treatment of the High Needs £10 million overspend. The concern is how this will impact on school budgets going forward  especially on vulnerable children as well as unearmarked General Fund reserves.

Treating the overspend as a debt is symptomatic of the cavalier approach to managing the budget in the Childrens Services Department since 2014, with growth year on year. The approach of lobbying the Government for extra funding without having credible plans in place to deal with the pressures as well has helped to lead Croydon Council to the brink of bankruptcy. The external auditors are very critical of the Labours Administration’s failure to address the overspends in the Childrens Services Department leaving it unable to deal with the pressures of Covid 19.

Undoubtedly there are service pressures on Childrens Services right across London and as an Opposition we joined with the Administration to lobby the Government for fairer UASC funding. However the culture of the Labour Administration to blame the Government for their own failings, to heap abuse on anyone who challenges and their lack of transparency has left Croydon with a £1.5 billion debt that will scar Croydon for decades to come.

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Maria Gatland

Maria Gatland

South Croydon
Shadow Cabinet Member for Children, Young People and Learning

Maria Gatland has lived and worked in South Croydon for more than 30 years. During that time she helped run the family business and cared for her husband during his long illness. Maria was elected to Croydon Council in 2002.

Shadow Cabinet

As the opposition on Croydon Council, the Conservatives form a Shadow Cabinet to scrutinise and challenge the Labour Councillors. Please find more information about our current Shadow Cabinet here.

We Warned Labour

We Warned Labour

Our failing Labour Council has driven Croydon to the brink of bankruptcy due to their terrible choices.

£15,000 of debt every hour since 2014. That's over £1.5 billion debt making Croydon one of the worst run Council's in the country.

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