Bridging the Funding Gap: How Schools Can Sustain Labour’s Free Breakfast Club Initiative

Posted  14th February 2025

The recent Schools Week article on Labour’s flagship free breakfast club initiative highlights the significant financial strain schools face in delivering this well-intentioned policy. With just 60p per pupil per day allocated for funding, many primary schools are pulling out of the trial or preparing to take a financial hit to keep it running.

The Reality of the Funding Shortfall

While the government has set aside £315 million for a national rollout, the impact assessment suggests that "exact costs are being finalised and agreed,” meaning schools may need to cover additional expenses themselves.

For some schools, the numbers simply don’t add up:

  • Buxworth Primary School had to pull out, facing a projected £9,000 shortfall.
  • Hartford Manor Primary School estimated a £4,000 deficit, struggling to cover staffing, food, and operational costs.
  • Some MATs reported losing 70p per child, making the scheme financially unsustainable.

How SBS Financial Planner Can Help Schools Navigate the Challenge

At School Business Services, we understand the financial pressures schools face. SBS Financial Planner is designed to help schools and MATs make informed, strategic decisions, ensuring that initiatives like free breakfast clubs are financially viable and sustainable. Here’s how:

  1. Scenario Planning to Identify Funding Gaps

With schools struggling to break even, SBS Financial Planner allows finance teams to model different funding scenarios. Schools can input the government’s funding rate, forecast their actual costs, and assess how much they may need to reallocate from existing budgets.

  1. Cost-Benefit Analysis for Smarter Decision-Making

By detailing expenses such as staffing, food, admin, and utilities, schools can use SBS Financial Planner to understand the true cost of breakfast clubs. This enables leaders to make data-driven decisions on whether to adjust provision, seek external funding, or negotiate more cost-effective staffing solutions.

  1. Staffing and Resource Allocation for Efficiency

The initiative’s requirement for 30-minute breakfast sessions raises concerns about supervision costs. SBS Financial Planner helps schools model staffing needs and cost implications, ensuring they maintain compliance with staff ratios while minimising financial strain. Schools and MATs can use a combination of Tags, I&E calculators, and staffing tools to project the net costs of breakfast clubs, providing a clearer picture of financial feasibility.

  1. Multi-Year Forecasting for Long-Term Viability

With Labour’s plan for a nationwide rollout, schools must look beyond short-term funding and plan for future sustainability. SBS Financial Planner offers multi-year projections, allowing schools to prepare for the long-term impact of absorbing costs while maintaining financial health.

  1. Efficient Budget Reallocation Without Compromising Other Services

The government suggests that schools can reallocate budgets to sustain breakfast clubs, but where should these savings come from? SBS Financial Planner identifies areas where efficiency savings can be made without negatively impacting key services, helping schools stretch their budgets without breaking them.

Finding a Way Forward

While the introduction of free breakfast clubs aims to support families and improve student outcomes, inadequate funding threatens to undermine its success. Schools need clearer financial guidance and better tools to make the initiative work.

SBS Financial Planner empowers schools and MATs to proactively assess financial feasibility, ensuring that every pound is accounted for while keeping essential services intact.

Want to see how SBS Financial Planner can help your school make smarter financial decisions? Get in touch today for a free demo.

Learn More