The newly appointed Education Secretary, Bridget Phillipson, has vowed to prioritise education and recruit thousands of new teachers, but concerns are growing that the government’s funding plans may not be sufficient to support this ambition. According to The Spectator, a leading education expert has warned that schools are facing a “perfect storm” of funding cuts and teacher shortages, which could undermine the government’s plans.
In its manifesto, Labour pledged to recruit 6,500 new teachers, and Ms Phillipson reiterated this commitment just days after the election. “From day one, we are delivering the change this country demands and putting education back at the forefront of national life,” she said. “We will work urgently to recruit thousands of brilliant new teachers and reset the relationship between government and the education workforce.”
However, The Spectator has learned that a multi-academy trust has been alerted to a funding shortfall of around £1 million for the next academic year. The trust’s CEO, Ian Hunter, was notified that the increase in the trust’s general annual grant for 2025-26 is just 1.1 per cent, which is insufficient to cover the rising costs. As The Spectator reports, this shortfall is not just due to the Department for Education’s underestimation of the impact of the national insurance hike, but also the government’s agreement to a 2.8 per cent increase in teachers’ salaries.
The impact of these funding cuts is already being felt, with a third of primary schools and four in ten secondary schools expecting to lay off staff in the next academic year, according to The Spectator. In the case of the multi-academy trust, all but one of its nine schools is projected to go into deficit, and the only way to remain solvent will be to make 8 to 10 per cent of the staff redundant.
The situation is likely to be further complicated by the independent pay review body’s recommendation of a nearly 4 per cent rise in teachers’ salaries. As The Spectator notes, Chancellor Rachel Reeves has made it clear that departmental budgets for 2025-26 are set in stone, but the government is expected to endorse this recommendation. This could put even more pressure on schools to make cuts, which could have a devastating impact on education standards.
The concerns about school funding and teacher shortages come at a time when the government is trying to prioritise education. As The Spectator reports, Ms Phillipson’s commitment to recruit thousands of new teachers is a key part of Labour’s manifesto, and it remains to be seen whether the government can find a way to support schools and meet its ambitious targets. As Ian Hunter, CEO of the multi-academy trust, noted, “A third of primaries and four in ten secondaries are expecting to lay off staff in the next academic year.” This is a stark warning that the government’s plans may not be sufficient to address the challenges facing schools.
As the new Education Secretary, Ms Phillipson faces a significant challenge in balancing the government’s commitment to education with the reality of funding constraints. According to The Spectator, it remains to be seen whether she can find a way to support schools and meet her ambitious targets, or whether the government’s plans will be derailed by a perfect storm of funding cuts and teacher shortages.
