Council fears unresolved SEND deficits following funding overhaul
Portsmouth City Council leader raises concerns over changes to SEND funding, as the city could be left with a £4.7m deficit.
Earlier this week, Chancellor Rachel Reeves unveiled the autumn budget and announced major changes to how support for Special Educational Needs and Disabilities (SEND) will be funded.
SEND refers to children and young people who have learning difficulties or disabilities that require extra educational support.
From April 2028, the government plans to cover the cost of SEND provision within central budgets, instead of giving this funding to local authorities through the Dedicated Schools Grant (DSG).
It was reported in October that Portsmouth’s High Needs Block, the ring-fenced part of the DSG that supports SEND, is facing an estimated £4.7m deficit. This is due to both the rise in SEND pupil numbers and the greater complexity of their needs.
Portsmouth City Council Leader Cllr Steve Pitt said the council is facing “significant” pressures in SEND funding. He said that while the budget recognises this pressure, it only takes responsibility for costs beyond April 2028.
“This does not address the current challenges around increasing levels of complexity and need in the system, which remain unfunded and will continue to be unfunded until April 2028,” he added.
He also said the government has not explained how deficits will be handled or whether councils will be expected to cover them.
“We are awaiting the details of proposed SEND reforms in the Schools’ White Paper in the new year to fully understand the future funding implications for schools and councils.
“In the meantime, we continue to work diligently with our partners across the SEND system to ensure that children in Portsmouth get their needs met at the earliest opportunity and have access to high-quality support and inclusive provision in their local community.”
Cllr Amanda Hopgood, chair of the Local Government Association’s children, young people and families committee, said: “While it is positive the government has committed to absorbing the costs of SEND spending” it does not “address existing deficits, which are pushing many councils to the financial brink”.
She urged the government to “write off these deficits” and “fully fund all associated costs such as home school transport over this period, ahead of setting out wider, comprehensive reform of the SEND system in the Schools White Paper.”