Pakistan Christian TV

Breaking news and world news from Pakisthan Christian TV on Business, Sports, Culture. Video news. News from the US, Europe, Asia Pacific, Africa, Middle East, America.

Inflation in the UK deprives schools of high spending targets

The UK is no longer on track to meet its school spending target, another blow to the government’s hopes of reducing the opportunity gap between the richest and poorest parts of the country.

The warning comes in analysis by the Institute for Financial Studies, which says high inflation means current spending plans are insufficient to meet the cost pressures facing schools in England after this year.

Spending per pupil has fallen sharply in real terms due to the financial crisis, and Prime Minister Boris Johnson has pledged to bring it back to 2010 levels by mid-decade, a commitment that is part of his “parity” agenda – to support declining regions of the world by investing in a working infrastructure and public services. to support.

Also Read: Inflation-led Europe shows signs of recession

However, the Institute for Fiscal Studies estimates that 2024-2025 will be 3% lower than in 2010, with schools facing a 10% increase in costs over the next two years. He added that teachers’ salaries, subsidies, food and energy costs would all rise sharply.

Inflation and cost increases

The pressures of the current reality mean that Johnson’s successor – Foreign Secretary Liz Truss or former Finance Minister Rishi Sunak – will face another demand for extra funding to offset the impact of the country’s fastest inflation in 40 years.

Also Read: “Chunak” pledges to cut VAT on energy in Britain

Strikes are spreading throughout the economy as workers demand higher wages. Teachers are considering going on strike in the autumn to refuse a 5% pay rise when inflation rose to 9.4% in June and is expected to rise above 11%.

See also  Britain plans to restore infrastructure to flood-prone homes

“The big fiscal choice for policymakers this fall is whether or not to provide more funding to public services to cover rising costs and the significant challenges they face; it will be harder for schools to contribute,” said Luke Sebeta. Institute for Financial Studies Research Fellow and author of the report. Achieving equality targets while facing real cuts from next year is significant.”

The Institute for Financial Studies said this year’s spending increase was “almost acceptable” because the government had already allocated a 7.7% per student budget increase in funding. However, next year will be “more complicated”.

The report, funded by the Nuffield Foundation, estimates that school spending is rising faster than the rate of inflation across the economy.