Public Expenditure - Children, Schools and Families Committee Contents


Examination of Witnesses (Questions 40-59)

DAVID BELL AND JON THOMPSON

25 JUNE 2008

  Q40 Mr Heppell: Some of the explanations for slippages have affected the local authorities that have not managed to achieve the target. First of all, I find it difficult to see where the link is between the targets that have been set and the local authorities, unless it is by local area agreements. Take the teenage pregnancy one, for instance. You say that 120 local authorities put that as their priority. Suppose they had not?

  David Bell: Under the local area agreements process, even if local authorities do not identify something as one of their local priorities or targets, they are still accountable for reporting progress against it. It is not as if they are off the hook on that one—if I can put it that way. They have to be able to report progress. Just coming back to your opening comment on that question, Mr Heppell, teenage pregnancies is a really good example. We know by very careful analysis of the data that some areas, otherwise similar, are showing very different conception rates. Our analysis suggests that there are actions that can be taken at local level that can reduce the incidences of teenage pregnancies. That is one of the reasons why it is really important for local areas to focus on particular priorities, so that you can bring together all the kinds of support that you need. We know, for example, on the teenage pregnancies one, that you need the local schools heavily involved, because that is about students' self-esteem. You need the public health authority closely involved—you need the right kind of advice to youngsters on contraception, choices and options. It is important to say that there are local differences, and it is down to the choices and priorities that the local areas actually make.

  Q41  Mr Heppell: You have reduction of child poverty down as a PSA target. Why is that not in the departmental strategic objective?

  David Bell: That is one that is actually led—shared, as it were. I think you spoke recently to five Ministers—I think it was a first here, when you had a panel of Ministers talking. It was your Committee?

  Chairman: It was.

  David Bell: Five Ministers, was it? That is a really good example of where there is leadership from three Departments—ourselves, HM Treasury and the Department for Work and Pensions. It is a really good example of us trying to join up our efforts. This is not just about what you do, say, in the tax and benefits system, but about the kind of support that you give to families and children's centres—the earliest intervention. Recently, just in the past 24 hours or so, the Government have announced some pilots to do new kinds of work when it comes to tackling child poverty. That is a good example of Departments coming together and working together.

  Q42  Mr Heppell: To return to the 2004 to 2007 PSA targets, data on the PSA target for obesity in children under 11 was due to be reported last December. For some reason, we are told, it has not yet been assessed—that is the explanation. First of all, why has it not been assessed? Secondly, why have we now got a different target for 2007? Whereas before the target was to halt the year on year rise in obesity by 2010. The 2007 target is now to reduce the weight of overweight and obese children to the 2000 level by 2020. Why have we got a change, effectively? Is it something to do with the date you already have that we have not seen?

  David Bell: To take the last point first. The Government's previous chief scientific officer led some work under the foresight project looking at obesity and that was published last year. That pointed out the scale of the task that we faced if we were going to deal with the problem. Childhood obesity is a massive problem. Therefore, under the new SR arrangements we have set that as a longer term ambition. We have gone to 2020 and said that is the target. The kind of changes we are going to have to see made will take a longer period of time. In many ways the target is more ambitious than it was because we have said that by 2020 we will have reduced the proportion of overweight or obese children to 2000 levels.

  Q43  Mr Heppell: Have you abandoned the 2004 PSA? Has that gone?

  David Bell: No. There is still an obesity target but the target has changed. It has gone to what I said. We have said that by 2020 we will have achieved those levels.

  Q44  Chairman: So you feel it is stronger?

  David Bell: I think it has got stronger. Because the scientific underpinning and analysis of this was much better as a result of the foresight project. It demonstrated clearly that you need a number of interventions that would affect all children: the way they eat, the sport or physical exercise that they take as well as quite targeted interventions for those children that are most at risk.

  Q45  Mr Heppell: What I am trying to get at is that the one does not negate the other. I should still be expecting the year on year rises to halt by 2010. That is still a Government target?

  David Bell: We have an interim target towards 2010 but our overall target is that we move to 2020. The 2010 target was simply to halt the year on year rise in obesity. What we have said under the new ambition is that we get back to the 2000 levels by 2020. We are saying now that the 2020 target is the target. That is not the same target, you are right. It is a virtue of this process that you can say that perhaps that was not the right target to have. We need to amend the target in the light of new scientific evidence, which is what we have done.

  Q46  Mr Heppell: What you are telling us now is that the 2010 target does not apply. You are saying that you have had to amend it.

  David Bell: Yes, we have amended the 2010 target. We have now got a new target around 2020.

  Q47  Mr Heppell: What I am trying to explore is whether these targets, three years on, can just disappear or they can be amended. Are they meaningful targets?

  David Bell: There is no hiding it. You might say, is that not a "failure" against the 2010 target? Our view was based on the scientific evidence and our analysis of the trends and of what had to be done, it was not sensible to stick to a shorter-term target, that is 2010, but rather to focus more on a 2020 target. I think that is good sense. We have not tried to hide the fact. This has been publicly debated.

  Q48  Chairman: It may be good sense to you but we live in a parliamentary democracy. If you went back to John Major and looked at the targets his Government set in 1995, who is still taking any notice of those? The fact is that if you put a target down now for 2020, you will not be here and we will not be here. Our job of calling you and the Department to account is difficult enough, now that the responsibility for children spreads across so many departments, and then you set targets to 2020 which most of us politicians realise means that you are almost unaccountable.

  David Bell: This is an interesting example of a target that has been reassessed in the light of emerging scientific evidence and our analysis.

  Q49  Chairman: I am sorry, but you have not convinced me—I do not know about my colleagues—that the scientific evidence means that you have to shift the target to such a long time frame.

  David Bell: I am happy to say a bit more about that in a moment. What you can do, however, is hold the departments—and us principally, as the lead Department on this issue—to account for the actions that we are putting in place and in train to give us the best chance of achieving the 2020 target. There is a realism. As you know, some educational attainment targets are set over a shorter period. On something as complicated as child obesity, however, you cannot go against all the international trends and set a target that can realistically be achieved in a shorter time scale. What you should be asking is, "What are we doing now to address the longer-term issues?"

  Q50  Chairman: I am happy for there to be long-term targets, but people should be accountable year on year for progress on those so that Committees such as this can scrutinise them. As I said, yours is the lead Department—I hope that there was no demur on this—on anything to do with the child. That is what the Secretary of State has told the Committee.

  David Bell: Absolutely.

  Q51  Chairman: We take that seriously. It is difficult enough to track you, scrutinise you and hold you to account across all these departments, without you suddenly saying, "The new objective is to do something in 2020." That worries us a great deal.

  David Bell: If I can refer back to my answer to Mr Stuart, you will be able to track progress towards the target. It is not as if we are saying, "We'll not come back and discuss this until 2020." There will be reporting on progress against the target, and I am sure that you will hold us to account if you think that our actions or interventions are not appropriate or that we are going seriously off trajectory.

  Chairman: Let us move on to schools funding.

  Q52  Fiona Mactaggart: I want to start with an issue connected with Public Service Agreements. I am particularly interested in inequality. Probably only one of your PSAs—apart from the one on looked-after children—specifically relates to inequality, and that is the first one, which relates to improving children's communication and social and emotional development and reducing the gap between children in the most disadvantaged areas and other areas. However, that is the one that you have gone backwards on.

  David Bell: If I might say so, it is not the only one. We now have a free-standing PSA on narrowing the attainment gap, and this is the first time that we have had a free-standing focus on it. We know, and we have said publicly, that there have been data-capture problems, and that has been accepted by those who have looked at the issue. However, we recognise that this is a really important issue. One of the things that was announced in the Children's Plan was additional targeted funding for the most deprived two-year-olds to give them a better start on communication and social skills. So we do realise that that is a significant point. There is also the impact of children's centres. One of the criticisms that the National Audit Office made of the children's centre programme was that although it offered lots of children great opportunities, it was not necessarily getting to the hardest-to-reach youngsters. One of the things that we have done there is to ensure that all children's centres have outreach programmes to get at the youngsters we need to get at. So in areas where we have concerns, and where we might have gone back, we have to say, "What can we do differently to get a better result in the future?"

  Q53  Fiona Mactaggart: Let us leap forward to schools funding, because local authorities are damping the allocation that they make in relation to inequality. According to a report produced by the Institute for Fiscal Studies for CfBT, the consequence is that secondary school pupils on free school meals get about 50% less than they would if your inequality measures were carried straight through, and primary school pupils on free school meals get 100% less because of the equalising effect at a local level. What are you doing about that?

  Jon Thompson: The situation is that because of the double formula system, those issues are for local discretion and for discussion through the schools forum. The Department's policy is that we have a national system that distributes national funding, and it is then for each local authority to consider that in the context of its local community, and decide upon its own local formula for the distribution of those funds. The safeguard in terms of schools is that they are significant members of the schools forum, and if you want to change the formula then they, obviously, have a significant say. That results in a quite different formula, operating in different parts of the country. Our policy at the moment is that the differential system allows local communities to make those decisions.

  Q54  Fiona Mactaggart: But is it not the case that, in the schools forum, the loudest voices are often the most successful schools?

  David Bell: That is not our experience of the schools forum, which is actually quite a lively place of debate. Over the years, schools have all recognised how important it is to have their voices heard, so it is not just a particular kind of school that has its voice heard there. As Jon said, this is a consequence—and, I think, a proper consequence—of our double formula system, whereby we have national priorities and set the total amount of money and then it is for local schools forums to discuss. We are at the earliest stages of our review of school funding. You asked me about that the last time I was here, Mr Chairman. There is a wide group of officials, schools' representatives, local authorities, and so on. They have met three times, and are just starting to scope the territory. I do not know whether you might look on it as a separate inquiry, but I think it will be important and useful at some point in that process to advance those questions. The system we have at the moment is really set for the three years. It gives schools stability over the three year period, and any changes decided upon would take effect from the year 2011-2012. There is an opportunity to contribute to precisely this kind of argument about the relationship between national funding and local formulae.

  Q55  Fiona Mactaggart: I am sure we will want to do that, but do you not want to have a formula that is transparent? I do not see that the present one is particularly transparent, when you have a national formula which weights deprivation very heavily and that is translated into a local formula which fails to do so.

  David Bell: It is quite an interesting discussion. Sometimes we are accused of wanting to micro-manage everything at the centre, at national Government level, and here I think we have a genuine relationship between national Government's priorities and the funding that is spent in schools, as there is a separate grant combined with local choices that are made about funding for deprivation. I would be slightly anxious about suggesting that somehow there is no funding benefit or impact for youngsters in more deprived circumstances, because our analysis suggests that at the local level quite a large amount of the money does get to youngsters with particular kinds of needs. Schools forums are not cavalier about the way in which they distribute money, and I think you can go to almost any local authority in the country and find schools in really quite disadvantaged circumstances with children who are bringing additional funds into the school.

  Q56  Fiona Mactaggart: I did not say that there were none. I said that according to the IFS (Institute of Fiscal Studies) study it was half as much as it should be at secondary level and 100% less than it should be at primary level.

  Jon Thompson: Our own research with 150 local authorities says that about two thirds of the money we put into the system had reached deprived pupils. That does not quite accord with the IFS.

  Q57  Fiona Mactaggart: We also know that it is very difficult to change fast enough when the circumstances of a school change.

  David Bell: There are mechanisms to do that within individual formulae. I know that a particular issue you raised with us a year or so ago was about an influx of youngsters from different countries. We have put into play something called the exceptional circumstances grant, which will be triggered if there is more than a 2.5% increase in the number of children coming into a local authority area, because they are not speaking English as a first language. That is precisely to try to reflect that sometimes you have to react very quickly. Again, there is an interesting balance for us here. The principle of establishing three year budgets is a really good one, and we have used it because it gives schools the chance to plan over the longer term. However, it would be naive to reject the argument that somehow in some places there is a real shift in the population caused by youngsters coming from outside. So, the exceptional circumstances grant—which is a three year grant—is a good way of reacting quickly, without destabilising the formula on a year by year basis.

  Jon Thompson: I was just going to expand slightly on that. There are three parts to the exceptional circumstances grant. There is an element for rapidly growing pupil numbers, for those areas of the country where there is huge growth in the population. There is a second element which is specifically related to English as an additional language, where there are migration issues, and the third element is specifically to help the relevant local authorities. There are structural funds to enable the local authority to respond to either rapid population growth or migration, as well as funding for the individual schools that are dealing with the pupils. So there are three elements overall.

  Q58  Fiona Mactaggart: Regarding transparency, I had a meeting recently with Ministers about how the schools in my authority are full to bursting, largely with a very changed population. It was clear that the officials in my local authority were not aware of the kind of funding that is available. How transparent is the funding to the people who might actually apply for the money?

  Chairman: How quickly is it delivered?

  Jon Thompson: The measurement is between the two school census dates in the course of a calendar year. That is very clearly set out in the dedicated schools grant publicity, which is summarised in eight pages. It is in paragraphs 16 through 19, and I think it is pretty clear.

  Fiona Mactaggart: I am quite prepared to believe that they have not done their job properly.

  David Bell: We would certainly not want to suggest that. It is a good point. This is an important issue. This is funding that local authorities might need in exceptional circumstances.

  Q59  Fiona Mactaggart: I was very struck by a sentence in the document that launched the schools challenge. It said: "The majority of secondary schools where more than half of pupils are eligible for free school meals are in the National Challenge." Are you saying that the majority of secondary schools with the largest proportion of deprived pupils are in that group of secondary schools that are failing to get more than a third of their pupils through with five A to Cs, including English and maths?

  David Bell: Yes.

  Fiona Mactaggart: That is the clearest evidence that I can think of that we are not properly tackling inequality.

  David Bell: It is not the case, however, that every school in the most difficult circumstances does not achieve that benchmark. That is one of the reasons why the National Challenge exists. In other words, this is not a stretch that is impossible for any school in such circumstances. Therefore we think that it is important, taking account of the impact of deprivation, to do what we are doing under the National Challenge. It is important though, and we say this quite explicitly in the National Challenge document, that we corral, so to speak, the kinds of services that will make a difference. So this is not just a narrow school improvement programme. It is about making sure that youth services, children's social services and the sorts of services that will help youngsters to achieve more are available. We make no apology for setting that as the minimum threshold, not least because a lot of other schools in similar circumstances are achieving higher results.



 
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