Funding

Dedicated Schools Grant (DSG)

The local authority receives money from central government each year to fund schools. 

This is called the Dedicated Schools Grant (DSG).

The DSG is split into four blocks of funding:

  • Early years block
  • Schools block
  • High needs block
  • Central block

The DSG is allocated to schools using a national formula, based on the characteristics of the pupils attending the school.

Until 31 March 2018, the school funding formula included a factor for looked after children.

In April 2018 the funding previously included in local authorities' school funding formulae for looked after children was removed. It was transferred to the Pupil Premium Grant.

However, the looked after children factor is still allowable in local school funding formulae. It is up to each School Forum to determine their local arrangements.

School budget share funding has not been reduced as a result of deleting the looked after children factor.

Page last updated: 15 May 2024

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