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Special Educational Needs: Finance

Asked by Layla MoranLiberal DemocratMinistry of Housing, Communities and Local GovernmentTabled Answered 2 July 2025UIN 62262

The question

To ask the Secretary of State for Housing, Communities and Local Government, what assessment she has made of the potential impact of extending the SEND Deficit Override until 2028 on (a) local authority finances and (b) local authority reserves.

Answered by Jim McMahon

This government recognises the pressures local authorities are facing because of their Dedicated School Grant (DSG) deficits, as well as the impacts on local authority reserves. The extension to the DSG Statutory Override is part of a phased transition to a reformed Special Educational Needs and Disabilities (SEND) system. The Department for Education Spending Review settlement confirmed funding for SEND reform, details of which will be set out in a White Paper in the autumn. As part of this transition process, the government will provide more detail by the end of the year on the plan for supporting local authorities with both historic and accruing deficits. We will set out more detail at the provisional Local Government Finance Settlement.

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