Teachers face redundancy as trusts struggle with funding

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One of the country’s top academy trusts is warning it will have to consider laying off teachers because of a major funding squeeze.

One of the country’s top academy trusts has warned it will have to consider making teachers redundant because of a funding squeeze by government. The Leigh Academies’ Trust (LAT) says it and other schools in the region have been forced into an “increasingly unsustainable financial position”. One education commentator said he was “horrified” to hear of LAT’s predicament while Weald of Kent MP Katie Lam called on Education Secretary Bridget Philipson for honesty.

The trust currently employs 1,400 teachers across more than 30 schools all over the county and south east London. It comes as the Mrs Philipson faces teacher strike action over a proposed 2.8% pay increase which schools are expected to fund through efficiencies.



LAT has written to Kent’s MPs to warn of the potential loss of teaching positions in their constituencies. The trust is calling on central and local governments to take further action to relieve substantial financial pressure from the education front line. LAT is a non-profit organisation and one of the largest and most highly-regarded multi-academy trusts in the country.

In a letter to MPs, chief executive Simon Beamish stated Chancellor Rachel Reeves’ recent spring statement offered no meaningful financial support to schools and academies, despite sharply rising costs. LAT reports that the planned increase to core school funding for under-16s is just 0.5% once existing grants are rolled into new funding rates and that sixth-form funding is effectively frozen.

Its statement added: “Meanwhile, as a consequence of reforms in Kent, leaders have been told that top-up funding for pupils with special educational needs is likely to fall by nearly 10% next year and by 23% over the next three years. “At the same time, government support for rising employer National Insurance contributions currently only covers around three-quarters of the actual cost to schools. “These financial pressures are compounded by the need for schools to find necessary increases in pay, which are only being part-funded by the Department for Education.

“The government has so far recommended that teacher salaries should rise by 2.8% from September. “But teaching unions have already warned they will move to a formal ballot on strike action if the final outcome of the School Teachers’ Review Body remains unacceptable or if the government does not provide real-terms funding to schools.

“Meanwhile, support staff unions nationally are seeking a £3,000 flat-rate increase, equating to a 12.6% rise at the lowest pay band which is not underwritten by the government. “LAT recognises the wider economic challenges facing the country and has already taken significant steps to reduce costs and operate more efficiently in preparation for the year ahead.

“Despite these efforts and careful financial planning, the outlook for next year remains extremely difficult. “Without further support from the government, schools across Kent and in the country generally will be forced to make further reductions that will affect frontline services.” A well-placed LAT source told the Local Democracy Reporting Service: “Of course we are keen to avoid teacher redundancies but all options have to be on the table.

” MP Ms Lam said: “Everyone should be incredibly worried at what this Labour government is doing to our schools. “Hiking taxes on teachers’ salaries without giving schools the money to pay them puts massive pressure on their finances. “Now several school groups, including Leigh Academies’ Trust, are warning this will have a direct impact on ‘frontline services’ and that means teaching for our children.

“I have contacted Ms Philipson to tell her the damage this will do to schools in the Weald of Kent. “If the Department for Education is trying to make deep cuts to school budgets, why won’t they just be honest and say so?” Conservative cabinet member for education at KCC, Rory Love, said: “When a trust as respected as LAT finds itself needing to consider making redundancies, then the government really needs to look at the funding it provides for schools.” Kent education commentator and former secondary school head, Peter Read, said he was “horrified” to hear of LAT’s predicament.

He said: “The most shocking thing about this is who it is - Leigh Academies Trust. They have always struck me as a well-run and well-managed organisation. “So I am horrified it has found itself in this position.

And what does it say about all the other trusts and mainstream schools if Leigh is having to consider making teachers redundant?” Mr Read warned teachers are leaving the profession “like nobody’s business” and recruitment and retention continues to be an issue. However, that ironically may help to solve the redundancy issue through natural wastage, he added. “If the teachers are leaving, that may solve the problem to an extent but the ones you lose are not necessarily the ones you want to leave,” he added.

“That would simply drive standards down and will not encourage people to join the profession and become teachers.” In a letter to Dr Mike Aldred, of the School Teachers’ Review Body, Ms Philipson outlined the challenges facing the government over funding. She wrote: “That [funding] comes against the backdrop of the challenging financial position this government has inherited, including a £22 billion pressure against the spending plans set out for departments at Spring Budget 2024.

“My department will continue to strive to deliver a mission-led approach to ensuring our vital public services are equipped to deliver the high quality on which we rely, whilst providing value for money for taxpayers.” Schools are being urged to save cash through a programme of staff cuts, curriculum squeezes and scaling back support to the poorest children, say teaching unions. One, the NASUWT, reported a “surge” in requests for support from members fearing redundancies.

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