Schools could face a spending squeeze as high as 12% over the next parliament, research from the Institute for Fiscal Studies (IFS) suggests.
While education spending in England has been ‘remarkably well protected’ under the Coalition, figures from the economics body suggest a combination of falling real spending per pupil, increases in staff costs and likely growth in public sector earnings could see schools facing ‘significant cost pressures’ by 2019/2020.
Education leaders today said the figures painted a ‘bleak picture’ for schools and colleges and called for ‘urgent action’ to protect funding.
Research from the IFS suggests spending commitments from the Conservatives, Labour and the Liberal Democrats could all result in a real-terms reduction in funding per pupil by 7% over the next five years.
IFS programme director, Luke Sibieta, said: ‘Schools face significant cost pressures from rising pupil numbers, increased employer pension and National Insurance contributions and potential upward pressure on wages.’
Tristram Hunt, Labour’s shadow education secretary, said his party had a ‘better plan’ for the future of education than the ‘big cuts’ he expected from the Conservatives.
‘We will protect the entire education budget, from the early years to 19, in real terms. We know that we need to invest in education so that the next generation can do better than the last and we understand the value of the early years and post-16 education,’ he said.
A Conservative spokesman said: ‘We’re pleased this report acknowledges the work we have done to protect the schools budget in this Parliament. That's only been possible because of the tough decisions we have taken to get the economy back on track.
‘We have committed to delivering a good deal for schools in the next Parliament too, pledging to spend at least half a billion more on schools than the plans that Labour have set out.’
Malcolm Trobe, deputy general secretary of the Association of School and College Leaders, said: ‘We recognise that there is considerable pressure on the national budget, but the country must invest in education both for its long-term prosperity, and, most importantly, the future of our children.’
