Lewisham schools are facing significant financial challenges, with the Schools Forum flagging an £18.5 million deficit in the Dedicated Schools Grant (DSG). The forum met on 26 June 2025, to discuss the DSG outturn position for 2024/25 and a funding update for 2025/26.
The deficit is largely attributed to continuing pressure on the High Needs Block, which funds special educational needs and disabilities (SEND) services. While the draft DSG position for 2024/25 showed an overspend of £3.0 million, an improvement from an original projection of £6 million, the cumulative deficit remains substantial.
The report pack presented to the Schools Forum highlighted a reduction in overall school balances, decreasing from £13.0 million to £9.9 million, a net reduction of £3.1 million. Twenty-five schools are currently in deficit, totaling £11 million, while 17 schools have a surplus, totaling £14.2 million.
The Schools Forum also discussed premature retirement and redundancy costs, clarifying that early retirement costs should generally be charged to the school's delegated budget, unless the local authority agrees otherwise in exceptional circumstances. Redundancy costs may only be met from the school's budget share if the authority has good reason to deduct those costs. Lewisham expects schools to manage their staffing and budgets responsibly, with redundancy as a last resort.
The Schools Forum Work Plan for 2025/26 was reviewed and approved, outlining future meeting dates and the work programme for the coming financial year. The forum also welcomed new representatives, including Manda George, Increase Esoe, Colin Ngan, Daisy Hooper, Catherine Van Rooyen, and Mickey Kelly.