Early intervention grant and pupil premium

Education Secretary Michael Gove has set out in a letter the two-year funding allocations for local authorities and one-year funding allocations for maintained schools. This includes details of the new Early Intervention Grant (EIG), which provides local authorities with funding for key preventative services, and the pupil premium.

The EIG will be worth £2212m in 2011-12 and £2297m in 2012-13. In 2011-12, the amount to be allocated through EIG will be 10.9% lower than the aggregated 2010-11 funding through the predecessor grants. The letter said “In a tight funding settlement, some reduction in central government support was inevitable” and added that “the EIG is not ring-fenced, giving local authorities the flexibility to respond to local needs and drive reform”.

The letter confirms those centrally-directed grants to support services for children, young people and families which will be replaced by the EIG. The funding streams that are ending include the Connexions, Children’s Fund, Youth Opportunity Fund, Youth Crime Action Plan, Positive Activities for Young People Programme, Youth Taskforce, Young People Substance Misuse, Teenage Pregnancy.

The pupil premium, which will provide additional funding for deprived pupils, will be worth £2.5bn by 2014-15. It will be £430 per deprived pupil in 2011-12. The premium will be allocated in 2011-12 to pupils currently eligible for free school meals.


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