In this update, we dive into the key changes from the 2024 Budget and Labour’s recently announced education policies.
What Does the 2024 Budget Mean for Education in England?
An In-Depth Look at the Changes, Challenges, and Impacts for Schools, Families, and Educators
The recent budget announcement by Chancellor Rachel Reeves, Labour's first budget in 14 years, has brought significant funding changes and new initiatives across the education sector, including schools, early years, SEND (Special Educational Needs and Disabilities) provisions, and further education. With an increase in funding allocations, there is both hope and caution among education professionals and stakeholders, and the question remains: How will these decisions shape the future of education in England?
Below, we summarise the most impactful updates to help educational professionals, parents, and community leaders understand how these changes may affect schools and students.
Early Years Education: Supporting Families from the Start
£1.8 Billion for Childcare and Early Education
The government has allocated an additional £1.8 billion for early years education in 2025-26, pushing the total investment to over £8 billion. This boost is aimed at expanding funded childcare hours for children from as young as nine months, supporting parents as they balance work and family life. An extra £15 million is earmarked to help launch 3,000 school-based nurseries by 2025, aiming to make early learning more accessible and affordable for parents.
Schools will be able to apply for grants of up to £150,000 establish or expand nurseries, with the goal of having 300 new or expanded facilities ready by September 2025.
If you’re interested, our parent company, Premier Advisory Group, is well-equipped to provide expert support throughout the application process.
What It Means for Families
This increase in early years funding is designed to ease the financial strain on parents and ensure that children start their educational journey in a fulfilling environment. However, as this ambitious initiative begins to take shape, there may be challenges ahead for local authorities in meeting the expected rise in demand, both for physical space and qualified childcare staff.
The Department for Education (DfE) has projected the need for an additional 70,000 childcare places and around 35,000 new staff by autumn 2025 to fulfil these expanded entitlements. While the government’s substantial investment is a promising step toward making early years education more accessible, its impact will ultimately depend on how effectively it is implemented. Ensuring that local authorities have the capacity and resources to scale up—both in terms of infrastructure and workforce recruitment—will be essential to realising the full potential of this funding.
It is a promising start, one that will depend on thoughtful planning and consistent support to ensure its potential is fully realised.
School Infrastructure: Building for the Future
£6.7 Billion in Capital Investment to Modernise Education Facilities
The 2024 Budget also earmarks a substantial £6.7 billion for capital investment in school infrastructure, marking a 19% real-terms increase compared to last year. This includes £1.4 billion to drive forward the School Rebuilding Programme, enabling 100 new rebuilding projects to start next year. This funding aligns with the goal of modernising 518 schools overall, ensuring that aging infrastructure does not hinder educational quality.
In addition, a further £2.1 billion, which is an increase of £300 million compared to last year, has been pledged for maintaining school facilities ensuring safe and modern learning environments. This investment is vital, particularly in schools that have struggled with aging infrastructure and safety issues.
For those seeking guidance on capital projects, our trusted partners at AMR Consult offer expertise in successfully navigating the complexities of securing and managing funding for school infrastructure improvements.
A Step Toward Modernisation
This funding for school infrastructure is a significant move, especially as certain schools grapple with outdated materials and structural issues. The next step will be ensuring that this funding is directed where it can make the greatest difference, supporting schools and aligning with the broader goals for education.
Further Education: Building Skills for Tomorrow’s Workforce
£300 Million for Further Education and New Apprenticeships
With a growing need for skilled professionals, further education funding is set for a boost. An additional £300 million has been allocated to help strengthen programmes that equip young people with essential skills for the workforce. Details on fund distribution will be shared soon.
Moreover, to support industry-specific skills development, the Apprenticeship Levy is evolving into a more flexible Growth and Skills Levy. An investment of £40 million will fund new foundation and shorter apprenticeships, addressing talent gaps in key sectors and providing greater training flexibility.
Breakfast Clubs and Nutrition: Combating Educational Inequality
£30 Million for School Breakfast Programmes
Acknowledging the importance of nutrition for learning, the Budget includes over £30 million to expand breakfast clubs in schools, to support parents particularly from disadvantaged backgrounds. These funds will support 2,700 schools already participating and establish 750 new free breakfast clubs by spring 2025. The programme is especially focused on schools in lower-income areas, helping ensure that no child starts the day hungry.
What’s Next?
The 2024 Budget brings both opportunity and challenge. While the funding boosts and structural reforms show a commitment to addressing key issues, the process of implementation still poses challenges. For these changes to make a meaningful impact, local authorities, school leaders, and educators will need clear guidelines and consistent support.
In the coming months, we will see how these initiatives unfold and whether they can meet the complex demands of England's evolving educational landscape. Whether you are a parent, teacher, or policy advocate, staying informed and involved with these developments will be crucial as we navigate the path forward in education.
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