# The School and Early Years Finance (England) Regulations 2026, Regulation 12: Determination of allocation of budget shares etc. for the funding period

Extent: E+W

(1) Except as provided for in paragraphs (2), (4) and (9), not later than 28th February 2026, a local authority must determine the budget share for each school which it maintains (other than nursery schools), excluding any amount to be allocated in respect of nursery classes or community early years provision, using its formula decided under regulation 11(1) in accordance with Chapter 1 of Part 3.
(2) Paragraph (1) does not apply to any determination of amounts to be included in budget shares under regulation 30 (sixth form funding) and in relation to such determination, the local authority must make the determination and notify the school to which the determination relates within a reasonable period after the notification given by the Secretary of State under regulation 30(1).
(3) When making the determination under paragraph (1), the local authority must identify within each budget share an amount calculated by reference to the requirements, factors and criteria specified in Chapter 1 of Part 3 which are relevant to pupils with special educational needs; such amount must be calculated using a threshold sum of £6,000 per pupil below which the school will be expected to meet the additional costs of pupils with special educational needs from its budget share.
(4) A local authority must, not later than 28th February 2026 and in accordance with Chapter 1 of Part 3, determine the budget share for each of the special schools and pupil referral units it maintains.
(5) After the local authority has made a determination under paragraph (1) but before giving notice under paragraph (10), it may apply to its schools forum under regulation 13(1), or to the Secretary of State under regulation 13(2), for authorisation to redetermine schools’ budget shares by removing any of the expenditure referred to in Part 6 of Schedule 2 from the budget shares of—
(a) all primary schools other than nursery schools;
(b) all secondary schools; or
(c) all primary schools other than nursery schools and all secondary schools,
where the expenditure is instead to be treated as if it were part of central expenditure.
(6) After the local authority has made a determination under paragraph (1) or (4) but before giving notice under paragraph (10), it may apply to its schools forum under regulation 13(1), or to the Secretary of State under regulation 13(2), for authorisation to redetermine schools’ budget shares by removing any of the expenditure referred to in Part 7 of Schedule 2 from the budget shares of the schools specified in paragraph (7), where the expenditure is instead to be treated as if it were part of central expenditure.
(7) For the purposes of paragraph (6), the specified schools are all primary schools other than nursery schools, all secondary schools, all special schools and all pupil referral units.
(8) Where the local authority makes an application referred to in paragraph (6), the amount by which the budget share is to be redetermined, except in relation to the expenditure referred to in paragraph 53 of Schedule 2 (expenditure incurred for the purposes of supporting the improvement of standards in maintained schools), must be set out—
(a) in the case of a maintained school which is not a special school, on an amount per pupil basis; and
(b) in the case of a maintained school which is a special school or a pupil referral unit, on an amount per place basis.
(9) Not later than 31st March 2026, a local authority must determine—
(a) the budget share for each of the nursery schools maintained by it;
(b) the amount to be allocated in respect of each nursery class in schools maintained by it;
(c) the amount to be allocated to each relevant early years provider in its area; and
(d) the amount to be allocated in respect of community early years provision in schools maintained by it,
using its formula decided under regulation 11(3), in accordance with Chapter 2 of Part 3.
(10) Not later than 31st March 2026, a local authority must give notice of—
(a) each budget share or amount determined under paragraphs (1), (4) and (9); or
(b) where the budget share has been redetermined under paragraph (5) or (6), or under regulation 35(7) (early years pupil premium) or regulation 36(2) (disability access fund), the redetermined budget share,
to the governing body of the school or the relevant early years provider concerned.
(11) Save as provided in this regulation and in regulations 23 (risk protection arrangement), 24 (energy scheme factor), 30 (sixth form funding), 31 (new schools, merged schools and closing schools), 32 (federated schools), 33 (special arrangements for early years pupils and children), 35 (early years pupil premium), 36 (disability access fund), 37 (differential funding), 41 (pupils permanently excluded from, or leaving, maintained schools), 42 (correction of errors and changes in non-domestic rates) and 43 (alternative arrangements approved by the Secretary of State), the local authority must not redetermine a school’s budget share or the amount allocated to a relevant early years provider.

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Source: https://www.legislation.gov.uk/uksi/2026/37/regulation/12 (the official version)
Page: https://openlegislation.uk/school-and-early-years-finance-england-regulations-2026/regulation-12
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.