1. Introduction

This report provides the executive board with a brief update on ERW’s financial position on the following areas;

  • Revised 2016-17 Central Team Revenue Budget
  • Grant funding for 2017-18
  • Education Improvement grant (EIG)for 2017-18
  1. Central Team Revenue Budget

As a result of additional grant funding received during the last quarter of the 2016-17 financial year the provisional effect of the central team revenue position is looking favourable which is likely to result in an underspend on the central core expenditure budget.

This is likely to result in the joint committee being able to add to its reserves at the yearend as opposed to a small reduction in reserves. However it is a little too early to quantify this fully at this stage in the final accounts process.

  1. Grants

3.12017-18 Grant Funding

3.1.1The table below has been updated to reflect the current informationavailable in relation to grant funding for 2017-18. No formal grant offer letters have yet been received, so the figures are best estimates based on officer discussions with Welsh Government officials.

Several grants are now shown under different headings.Current estimated costs of seconded staff commitments of £1.373m will need be funded from the grants listed below plus £0.150m of the central team staff costs during 2017-18.

Grant 2017-18 / Grant Awarded
2016-17
£000 / Grant Indicative 2017-18
As presented to Joint Committee in February 2018
£000 / Grant Indicative 2017-18
As at April 2018
£000
Education Improvement Grant / 38,876 / 37,752 / 37,752
Pupil Deprivation Grant / 22,758 / 22,758 / ?
Schools Challenge Cymru – Tranche 3 / 1,140 / 39 / 21
Schools Challenge Cymru – Tranche 2 / 780
GCSE- Tranche 2 / 914
GCSE- Tranche 1 / 231
GCSE support programme ( incl. MFL) / 711
Pioneer Schools / 1,873 / 2,236
Welsh Baccalaureate / 27 / 15 / 15
Literacy and Numeracy in Special Schools / 25
NQT Moderation / 150
ALN Innovation / 360 / 360 / 360
New Deal Funding / 1,021
Literacy and Numeracy / 100 / See teaching and Learning
Modern Foreign Language / 120 / 120 / See above
Leadership and Development / 2,000 / See below
£100m Ministerial commitment to Sch Imp. / 2,472
Learning in Digital CPD / 162 / 142 / 142
National Professional Qualification of Headteachers / 82 / 200 / Include else where
Implementing Successful Futures / 300 / 1000 / Included else where
British Council Grant / 11
All Wales Regional Working / 61 / 25 / 25
Securing Teacher Assessment / 48
Informal Use of Welsh / 91 / 91
Welsh Language Use framework (incl Welsh Charter for WM schools) / 243
Support for Head teachers / 21
Enrichment and Experience Programme for Schools / 25
Targeted Funding / 313
Teaching and learning Supply / 256
Total of Grants Awarded to ERW / 69,051 / 64,602 / 44,571
  1. Education Improvement Grant.

While no formal grant offer letter or terms and conditions have yet been received an indication total amount £ 37,751,710 has been received, this represents a 0.86% reduction in funding.

Match funding requirements and other terms and conditions have not yet been received.

The managing Director has provided the directors with the following proposed distribution of the total grant allocation. Directors have agreed to an additional £300k being retained by ERW centrally to develop a cluster model.

EIG Grant Awarded / Reduction / Reduction
2016/17 / 38,078,607 /
326,897
/
-0.86%
2017/18 / 37,751,710
EIG Distribution 2017-2018
2016-17 EIG / % used / WG / Cluster model / EIG distribition
final distribution / 2016-17 / reduction / contribution / for 2017-18
Carmarthenshire / 7,771,163 / 20.41% / -66,714 / -62,541 / 7,641,908
Ceredigion / 3,083,162 / 8.10% / -26,468 / -24,813 / 3,031,881
Neath Port - Talbot / 5,681,016 / 14.92% / -48,770 / -45,720 / 5,586,525
Pembrokeshire / 5,214,902 / 13.70% / -44,769 / -41,969 / 5,128,164
Powys / 5,589,476 / 14.68% / -47,985 / -44,984 / 5,496,508
City & Country of Swansea / 9,937,118 / 26.10% / -85,308 / -79,973 / 9,771,837
ERW / 801,770 / 2.11% / -6,883 / 300,000 / 1,094,887
Totals / 38,078,607 / 100.00% / -326,897 / 0 / 37,751,710
  1. Recommendations

(a) That the information is received.

1