How alternative provision is funded

Find out how pupil referral units (PRUs), alternative provision (AP) academies and AP free schools are funded from the 'high needs block'.

Updated
on 15 August 2024
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Contents
  1. AP is funded from the 'high needs block' 
  2. Core funding ('place funding')
  3. Top-up funding 
  4. Commissioned AP services 
  5. Teachers' pay additional grant for 2024-25
  6. Teachers' pension employer contribution grant for 2024-25
  7. The core schools budget grant (CSBG) for 2024-25
  8. Transport funding 

AP is funded from the 'high needs block' 

The government provides local authorities (LAs) with high needs funding through the 'high needs block' of the dedicated schools grant (DSG). LAs will pass this on to individual institutions according to conditions of the grant. Some institutions receive the funding directly from the Education and Skills Funding Agency (ESFA).

This funding supports:

  • Alternative provision (AP) for pupils who can't receive their education in mainstream or special schools – AP institutions get their core funding (called 'place funding') and top-up funding from this block (read more about this below)
  • Provision for pupils with special educational needs and disabilities (SEND) 

See section 1.3 of the ESFA's high needs funding: 2024 to 2025 operational guide

Core funding ('place funding')

You won't receive AP place funding for