My Department is committed to providing funding to recognised primary and post-primary schools in the free education scheme by way of per capita grants. The two main grants are the Capitation grant to cater for day to day running costs such as heating, lighting, cleaning, insurance, general up-keep etc. and the Ancillary grant to cater for the cost of employing ancillary services staff. Schools have the flexibility to use capitation funding provided for general running costs and ancillary funding provided for caretaking and secretarial services as a common grant from which the Board of Management can allocate according to its own priorities, except for cases where a secretary is now paid from my Department payroll as per circular 36/2022.
In addition to these grants, €20 million in funding was issued during October 2023 to support all recognised primary and post-primary schools in the Free Education Scheme. This funding is the first tranche of an overall additional €60 million funding announced as part of Budget 2024 measures designed to assist schools with increased day-to-day running costs such as heating and electricity. A further €40 million in funding was delivered in early 2024.
As part of Budget 2024, significant increases in capitation funding for primary and post-primary schools were confirmed which includes a permanent restoration of capitation funding as well as an increase for cost of living pressures. This year’s Budget will provide targeted funding for school communities with an increase in capitation of over €81 million.
The current standard rate of Capitation grant is €183 per pupil at Primary level and will be paid to schools in January & June 2024 for the 2023/24 academic year.
As part of the capitation package in Budget 2024, €21 million was secured as a permanent increase in capitation funding to assist schools now and longer term with increased day-to-day running costs. This will support a permanent restoration of funding for all primary and post-primary schools from September 2024. This will bring the basic rate of capitation grant to the pre-2011 level of €200 per student in primary schools. Enhanced rates will also be paid in respect of pupils with Special Educational Needs. This represents an increase of circa 9.2% of current standard and enhanced capitation rates.
As the Deputy may be aware, following the acceptance by Fórsa of the Workplace Relations Commission (WRC) agreement in respect of salaries and various leave entitlements for grant-funded school secretaries, those secretaries who accepted the terms of this agreement were placed on a payroll operated by my Department from September 2023. Therefore, ancillary-related grant funding has been revised to reflect the fact that schools are no longer paying these salaries directly.
Correspondence issued to all schools on 26th April 2024 providing details of the interim grant arrangements for the period January to August 2024.These arrangements are based on reducing grants by the value of the salary schools paid to grant-funded secretaries prior to their acceptance of the new terms and conditions. Schools provided my Department with these details and this information is now being used to reduce the ancillary-related grant funding.
Schools have been advised that work is ongoing to identify a method of standardising the reduction to the ancillary-related grant funding for the longer term, where school secretaries are being paid via a payroll operated by my Department and further details of these arrangements will be provided to schools as soon as they become available.
The Financial Support Services Unit (FSSU) is an important source of advice and support. It is available to primary schools to assist on financial matters. Officials from my Department have made contact with the FSSU on behalf of the school referred to by the Deputy. They will provide advice and support as required.
