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<p>We recognise that schools face inflationary pressures, and we continue to monitor
the impact of rising utility costs on schools.</p><p>Cost increases should be seen
in the wider context of funding for schools. The government is delivering real terms
per pupil increases to school funding with a £4 billion cash increase in the core
schools budget next year, taking total funding to £53.8 billion. This includes an
additional £1.2 billion for schools in the new schools supplementary grant for the
2022-23 financial year. Overall, this represents a 5% real terms per pupil boost,
helping schools meet the pressures we know they are facing.</p><p>The department pays
close attention to the financial health of the sector. We know that the vast majority
of school expenditure is devoted to staff costs, with only about a quarter required
for non-staff costs, including those related to utility bills. This means that even
while costs are rising, inflation in this area would only have an impact on a small
portion of a school’s overall budget.</p><p>All schools can access a range of school
resource management (SRM) tools to help them get the best value from their resources
to help them save on regular purchases and reduce non-teaching costs. This means schools
can more effectively invest their resources into areas that improve educational outcomes
for all pupils. Our SRM tools include two recommended deals for energy costs and ancillary
services relating to energy, which can be accessed here: <a href="https://www.gov.uk/guidance/find-a-dfe-approved-framework-for-your-school"
target="_blank">https://www.gov.uk/guidance/find-a-dfe-approved-framework-for-your-school</a>.
We have also launched the new ‘get help with buying for schools’ service, a new national
service to help schools realise value for money and savings on non-staff spend, available
here: <a href="https://www.gov.uk/guidance/buying-for-schools/get-help-with-buying-for-schools"
target="_blank">https://www.gov.uk/guidance/buying-for-schools/get-help-with-buying-for-schools</a>.</p><p>We
know that every school’s circumstances are different, and where schools are in serious
financial difficulty, they should contact their local authority or the Education and
Skills Funding Agency.</p>
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