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<p>The Department for Education does not routinely collect data on the average per
pupil cost of running a pupil referral unit. Pupil referral units cater for a diverse
range of needs and so the actual cost per pupil will vary significantly between institutions.</p><p>The
Department introduced new funding arrangements in April 2013 that take account of
this variation. The new system offers stability for pupil referral units by providing
£8,000 for each identified alternative provision place. This funding is supplemented
by local authorities or schools when they place pupils into a pupil referral unit.
The amount of top-up funding provided is determined locally to reflect the actual
costs of educating pupils at that pupil referral unit.</p>
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