Budget 2024: what it means for education

The Chancellor announced the government’s Budget for 2025-26 on Wednesday 30 October. 

The Budget included investment of an extra £1.8 billion into the early years in 2025-26, so the government will be spending over £8 billion in total.

This money will mean the government can continue the expanded roll out of funded childcare hours for parents of children from 9-months-old, up to 3- and 4-year-olds.

There is also £15 million to begin delivery of 3,000 school-based nurseries. Schools can bid for up to £150,000 to expand existing nurseries or open a new one.

The money is expected to mean 300 new or expanded nurseries open by September 2025.

Funding for schools will rise by £2.3 billion next year. £1 billion of that funding is for high needs, recognising the immense need in the sector. The government is continuing to develop plans to transform England’s Special Education Needs and Disabilities (SEND) system and improve outcomes for young people.

This remaining increase to the schools budget will continue to fully fund this summer’s 5.5% pay award for teachers, and help cover pay awards in 2025-26.

For schools, government has committed an additional £1.4 billion to make sure the School Rebuilding Programme can continue, which means 100 rebuilding projects starting next year and keeps us on track to rebuild 518 schools in total.

A further £2.1 billion is being allocated to maintain and improve school buildings, which is an increase of £300 million compared to last year.

Colleges will receive a further £300 million to invest in the further education estate, providing certainty for colleges to plan improvements to their facilities. The Budget has also allocated an additional £300 million to further education. 

Government is also taking steps to transform the Apprenticeship Levy into a more flexible Growth and Skills Levy by investing £40  million to help deliver new foundation and shorter apprenticeships in key sectors.

To support parents, particularly those from disadvantaged backgrounds, government is increasing investment in breakfast clubs to over £30 million, to help ensure children are ready to learn at the start of the school day, and helping drive improvements to behaviour, attendance and attainment.

The investment will both support the existing DfE school breakfast programme, used by around 2,700 schools, and support the roll out of our new free breakfast clubs, with the first 750 schools set to be up and running in the spring.

There is also £44 million for children’s social care, to support kinship and foster carers.

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