Hammersmith and Fulham's Schools Forum is considering transferring 1% of the schools block budget to the high needs block for the 2026/27 financial year. The Disapplication 2026 2027 document states that this transfer is proposed to address sustainability of the block.
The proposed transfer aims to address the sustainability of the high needs block, which faces budget pressures from significant cost inflation and lower-than-expected funding increases. According to the report pack for the Schools Block to High Needs Block Budget Transfer 2026/27 Disapplication, budget pressure is coming from significant cost inflation since the Safety Valve agreement. CPI has increased by 26% since April 2020 - March 2025, against a 60% increase in EHCP's during that time in H&F compared to 64% nationally.
The Public reports pack stated that the Schools Forum had been consulted on this request before a decision was made.
According to the report pack, key drivers for the transfer include:
- Significant cost inflation
- Lower than originally forecast high needs block funding increases
- Special Minimum Funding Guarantee (MFG) at 3% and Special Provision Supplementary Grant from 2023/24
- Maintaining investment in creating inclusive mainstream provision. The High Needs Transformation - Q2 2025_26 Update document provides an update on the High Needs Block programmes of work and performance against the Department for Education Safety Valve Agreement at Q2. The transformation programme is centered around early identification and intervention.
- Local area placement sufficiency