Scottish Attainment Challenge 2022 to 2023 - 2025 to 2026: child rights and wellbeing impact assessment

4. If a negative impact is assessed for any area of rights or any group of children and young people, can you explain why this is necessary and proportionate? What options have you considered to modify the proposal, or mitigate the impact?

Recognising that poverty exists in every community – funding of more than £43m will be extended from 9 local authorities to all Scottish local authorities in 2022/23 This approach was developed with partners including local government and headteachers. The refreshed programme, from 2022/23, changes the methodology on how local authorities are funded under the programme.

The investment previously allocated to 9 "Challenge Authorities" is now being redistributed to all 32 local authorities, allocated equitably, based on Children in Low Income Families data. Careful consideration has been given to this change, with the re-distribution tapering over 4 years to help manage the transition in the reduction in funding to Challenge Authorities. This change will result in funding being distributed equitably and benefit 23 local authorities, who will receive direct and targeted local authority SAC investment for the first time, enabling them to target resources to tackle the attainment gap where it is needed most.

We also recognise the challenges of stopping the Schools' Programme, which distributed £7 million between 73 schools in 12 local authorities (outwith the 9 Challenge Authorities) will present for those schools. Whilst this will see those schools directly receiving less funding than they currently do, their local authorities will benefit from access to SEF, whilst the schools will continue to receive PEF (which they did not receive when Schools' Programme was originally introduced in 2016/17). That £7 million will support the rising cost of PEF, which when first issued was £120 million and in 2022/23 will be £130.5 million. This change was made on the back of the engagement and analysis set out above and was also agreed by COSLA.

The Scottish Government understands that there may be unintended consequences of its policies and as part of the monitoring and review of this area we will consider any appropriate modifications and mitigations.