THE first real increase in expenditure per pupil for many years was revealed by the Government last September. Happily, that trend has been confirmed for a second year as more public money has been pumped into schools.

Primary schools had their highest-ever “real terms” funding per pupil in 1999-2000. This reflects Government policy of switching funding towards initiatives such as class-size reduction at key stage 1, as well as literacy and numeracy.

In the secondary sector, while this year’s rise is good news, it still leaves schools, on average, pound;60 per pupil worse off in real terms than they were in 1991-92. For a school of 1,000 pupils that represents a loss of some pound;60,000 - enough for perhaps four extra classroom assistants or at least two newly-qualified teachers. Similarly special schools, although better off than last year, have yet to return to their best levels of a decade ago.

These schools are still, on average, some pound;210 per pupil in real terms below their peak.

Sadly, higher education suffered another real cut in unit funding per student. This now stands at under pound;4,900 per student, almost a third less than a decade ago. This decline in HE funding has affected the training of teachers.

The reduction in real funding increasingly reflects the Treasury’s determination to drive down unit costs rather than a real appreciation of the cost of training new teachers.

The improved funding for schools has taken place during a period when the economic environment has been at worst benign, and at best buoyant. Only time will tell what will happen to education spending if the competition for Government funding were to increase in any economic slowdown.

John Howson is managing director of Education Data Surveys. Email int.edu@lineone.net