£225.5m funding boost to support education in Wales

The education sector is set to benefit from £225.5m in funding, with schools, colleges and other settings receiving funding to help meet the needs of learners across Wales.

The funding will be made up of £114m additional in year funding for 2024-25 and £111.5m allocated in the draft 2025-26 budget. This is in addition to the proposed increase of £253m (4.3%) to the Local Government settlement in 2025-26.

As outlined in the Draft Budget for 2025-26 this week (10^th December)^, education is set to receive an additional £83.5m revenue funding (4.9%) and £28m of capital funding (8.1%).

The money will be used to fund the following priorities –

• Funding to support national support programmes to enhance teaching in literacy and numeracy.
• Additional funding for school standards to support priorities in schools and settings through the School Standards element of the Local Authority Education Grant.
• More funding to support delivery of Additional Learning Needs (ALN), including upskilling of the workforce through national professional learning and support to learners in independent specialist post-16 placements.
• Funding to support school attendance to enable a package of interventions including engaging families and supporting learners to attend school. This will include new Family Engagement Officers (FEOs) and funding for Community Focussed Schools (CFS). Alongside support for enrichment and engagement activities.
• Further funding for School Holiday Enrichment Programme (SHEP) in line with our Programme for Government commitment.
• Funding for Medr to support post-16 learning, including mental health and wellbeing initiatives in colleges and universities.
• Money to support schools and college estates through the Sustainable Communities for Learning programme.

Cabinet Secretary for Education Lynne Neagle said: “The Draft Budget is committed to providing a brighter future for Wales, and education is at the heart of this goal. Providing funding to future-proof skills and provide opportunity for all.

“Alongside a package of funding announced in the Draft Budget, which is a substantial investment in our learners and workforce, I am pleased to confirm an additional £114m in year funding which will have an immediate impact across the sector.”

The additional £114m in year money will boost the following activity –

• Support for schools and settings through the School Standards element of Local Authority Education Grant to improve standards in schools.
• Additional Learning Needs (ALN) provision across Wales to meet the needs of children and young people with ALN.
• Support for the capital programme, through the Sustainable Communities for Learning programme to be used for school and college repairs and maintenance.
• Funding for Medr to support further and higher education, including research, widening access and change management in universities, 
• Money will also be provided to support the 5.5% increase to teacher’s pay, and for additional ALNCO support in schools.