High needs block
Councils are currently addressing substantial deficits in the High Needs Block, which funds special educational needs, with some receiving stability grants.
Kingston Council's cumulative Dedicated Schools Grant (DSG) deficit reached £20.5 million in September 2026, though a proposed stability grant is expected to reduce it to £16.947 million. This grant aims to write off 90% of DSG deficits as at March 2026, as revealed at a Schools Forum meeting on September 28, 2026. Similarly, Kensington and Chelsea's DSG deficit was £4,088,000 in June 2026, with a new High Needs Stability Grant expected to cover about £3.7 million.
Other councils also report significant financial pressures within the High Needs Block, which funds support for children with special educational needs and disabilities. Greenwich Council faces an £18.1 million funding shortfall, discussed at a Cabinet meeting on September 23, 2026. Havering Council reported an estimated £45 million overspend in its DSG, primarily in the High Needs Block, driven by increasing demand for specialist support, presented to Cabinet on September 16, 2026. Wandsworth Council's Children's Overview and Scrutiny Committee scrutinised budget overspends in September 2026.
The High Needs Block is a component of the Dedicated Schools Grant (DSG) that funds provision for pupils with high needs, including those with Education, Health and Care Plans. Councils continue to discuss the financial challenges and strategies to manage these pressures at various committee and cabinet meetings.
Key facts
- Kingston Council's cumulative Dedicated Schools Grant deficit was £20.5 million in September 2026. Source
- Greenwich Council faces an £18.1 million schools funding shortfall, primarily due to pressures within the High Needs Block, discussed in September 2026. Source
- Havering Council faces an estimated £45 million overspend in its Dedicated Schools Grant, concentrated in the High Needs Block, reported in September 2026. Source
- Kensington and Chelsea's Dedicated Schools Grant deficit was £4,088,000 in June 2026, with a new High Needs Stability Grant expected to cover about £3.7 million. Source 1 Source 2
- Kingston schools faced a projected £12.7 million deficit for the 2025/26 academic year, with the High Needs Block forecast to overspend by £13.148 million, reported in January 2026. Source
About this summary
This summary was written automatically from our published stories and the council meeting records they draw on. It describes what councils have discussed and decided; it does not take a view on any decision. Each key fact links to the story it comes from. Updated 30 September 2026. Spotted a mistake? Email community@opencouncil.network.