NAHT warns Welsh budget ‘rollover’ risks deepening funding crisis

The National Association of Head Teachers (NAHT) have warned that the Welsh government’s draft budget for 2026/27 could worsen an already severe funding crisis in education. 

Responding to the plans outlined in the Senedd, NAHT Cymru said the “rollover” budget could have “dire consequences” for schools struggling with deficits and difficult cost-cutting decisions. 

Laura Doel, national secretary of NAHT Cymru, said: “School leaders tell us they are facing budget deficits and having to make unpalatable choices including cutting staff and resources. They do not have enough money for statutory provision, let alone begin to address challenges like supporting pupils with additional learning needs, academic attainment, attendance and behaviour, all of which are Welsh Government priorities.”

Doel said the union, alongside others, had written to the finance secretary last month to ask what had happened to additional “consequential” funding for education that Wales was entitled to under the Barnett Formula following increased spending in England nearly a year ago.

She added: “It would have been reasonable to expect that schools would benefit from this increased funding. While it remains unclear whether this is the case from Mark Drakeford’s response, if schools receive similar levels of funding next year this will fall far short of what they need given the pressures he acknowledges they are under.”

In light of this, the industry body urged ministers to “rethink this damaging proposal” and called on all parties in the Senedd to agree to a budget that “gives our schools and children the support they deserve”.

Finance secretary Mark Drakeford described the draft budget as “just the start” of a process intended to provide stability for public services in the run-up to the next Senedd election.

Drakeford said: “The draft budget is the beginning of the budget process – not the end. It provides a firm foundation to help public services plan for the year ahead. They can have confidence that more can be done as we work towards the final budget in January.”

The health, social care and early years department will receive the largest share, at £12.4bn. Other measures include a 2% uplift on last year’s budget in line with inflation forecasts and an additional £800m of departmental funding. There will be no changes to Welsh income tax rates or land transaction tax thresholds, while landfill disposal tax will rise in line with retail price inflation.