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Council drops school budget warnings

Friday, 23 January 2026 at 13:47

By Gareth Joy X @lookoutwales2

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Vale of Glamorgan Council has dropped formal warnings against seven schools over their budget deficits.

Talks have been held with a headteachers' union after the county council took action earlier this month.

The National Association of Headteachers (NAHT) previously said it had considered 'potential legal action' over the move.

But in a joint statement on Friday, both parties said the formal notices were being withdrawn "on the basis that there has been good progress made by a number of schools on their deficit recovery plans".

A spokesperson said: "A joint protocol will be agreed between the NAHT and the local authority to ensure that, if the need arises in the future, there is a commitment by both parties to work in partnership in what is a challenging financial environment."

"In the meantime, regular engagement with schools will continue to maintain the progress made and address any ongoing concerns."

"The council and NAHT will also meet regularly to monitor progress and discuss any concerns that may arise in the future."

Earlier this week, concerns had been raised about the financial state of schools in the Vale - with a report suggesting more than half (53%) were in the red as of March 2025 - up from 42% the year before - and around a quarter of those in deficit have not submitted recovery plans.

Dr Martin Price, chair of the Vale of Glamorgan School Governors Association, told the meeting on Monday: "It worries me that the council's strategy is to pick on schools and to put huge pressure on schools, when actually what's happening is they haven't got enough money to meet their legal requirements."

"The pressure on schools, on governors and most specifically on the senior management of schools is immense."

The council admitted there was a "significant minority" of Vale schools with "disproportionate levels of deficit" - with Audit Wales warning that many school recovery plans were "not robust".

Clare Werrett, who represents the Church in Wales on the committee, added: "I am very concerned about the wellbeing of our school leaders...not many people I know want to be a head anymore."

Earlier this month, the council discussed an action plan to tackle the financial position of schools - including seven which had been give informal, and later, formal warning notices, before they were dropped.

At the time, Cllr Rhiannon Birch, cabinet member for education, said: "Schools in Wales operate differently from most council services, with a proportion of the learning and skills budget going directly to them. Governing bodies and headteachers then control how this money is spent."

"The council's role is to monitor budgets, provide advice, and intervene if a school's financial position becomes unsustainable."

"Schools' financial pressures have intensified in recent years due to rising costs, increased demand for additional learning needs (ALN) provision and social, emotional and mental health (SEMH) support. Meanwhile, funding has not kept pace with these pressures."

"Schools across Wales are in difficulties as a result, but a group in the Vale are in a worse position than most without a solid strategy to recover."

"This is not necessarily because they have shown a lack of effort or willingness to address this matter. It reflects the fact that, despite this work, there is still not a credible financial plan in place."

"The council has a statutory responsibility to ensure schools operate within a balanced budget and this action is designed to make certain that legal requirement is met."

"We have been working with the schools in question for some time and this support will continue while they become sustainable institutions able to deliver shared priorities for teaching and learning."

Following Monday's meeting, Cllr Rhys Thomas, chair of the Start Well Committee, said: "Schools in the Vale are at crisis point and I'm deeply concerned about the pressure that hard-working staff are facing in extremely difficult circumstances."

"This situation isn't fair on teachers and it's damaging for the life chances of children. At a time when a steady hand is needed, the political leadership of the council is missing in action."

"We are in dire need of systemic change in Welsh education, which has been consistently underfunded and mismanaged by the Vale Council and (the) Welsh Government."

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