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<p>The high needs national funding formula allocates funding to local authorities
through a range of proxy factors, including socio-economic deprivation, low attainment
and disability. This is to avoid the perverse incentive to label children as having
special educational needs (SEN) or a disability to secure additional funding, which
would arise if the number of education, health and care plans determined the amount
of funding allocated. As identified in ‘research on funding for young people with
special educational needs’, a report by ISOS Partnership in 2015, there is a significant
correlation between these proxy indicators and SEN. The use of these proxy indicators
means that local authorities with higher proportions of SEN children typically attract
additional funding.The research report can be found at: <a href="https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/445519/DFE-RR470_-_Funding_for_young_people_with_special_educational_needs.pdf"
target="_blank">https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/445519/DFE-RR470_-_Funding_for_young_people_with_special_educational_needs.pdf.
</a></p><p> </p>
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