Home Menu

Pay and funding

The issue

School leaders have suffered among the most significant real-terms pay erosion of all workers. Even after this year’s above-inflation pay uplift, school leaders’ pay is still between 16% and 17% lower in real terms than 2010, when measured against CPI inflation, negatively affecting both leadership aspiration and retention. Already overstretched school budgets remain under huge pressure, meaning that a fully-funded pay award is critical for 2025. The vast majority – 76% of primary schools and 94% of secondary schools – will not be able to afford their costs next year.

What we want to see

NAHT’s immediate objective for the 2025 pay round is to secure a fully funded ‘inflation plus’ uplift from September 2025 to protect current salaries against further erosion by inflation and begin the restoration salaries to their 2010 value, setting a course that could be completed within the life of parliament. 

To achieve this, government must ensure a fully-funded annual uplift for this and future pay awards during this Parliament that is: higher than average pay settlements across the wider economy; and higher than the annual CPI inflation rate; and uplifts all salaries and allowances in payment each year by an additional 3.3-3.5%. 

NAHT is also pressing for systemic reform of the pay structure for teachers and leaders.  This includes: 

  • a reformed national pay structure with mandatory minimum pay points, and pay portability 
  • a comprehensive review of the factors that determine leadership pay; and work to tackle inequity in the pay structure and close the ‘pay gaps’ 
  • a professional pay continuum that supports new career pathways and delivers pay progression for teachers and school leaders. 

 

In December 2024, 1 in 7 schools were in deficit – an increase on the year before and the highest rate since at least 2010. Schools’ costs are expected to rise by 3.4% next year, but mainstream funding will increase by just 2.2%, leaving a gap of £700million.

NAHT is campaigning for: 

  • sustained investment in pupils through year-on-year real terms increases to core funding, and funding for High Needs (in both mainstream and Special settings) 
  • investment to ensure that the health, therapeutic and social care services are readily available and accessible to all schools to their support pupils. 

all future pay uplifts to be fully funded

NAHT parliamentary briefing on school funding

NAHT joined forces with other members of the School Cuts coalition to host a parliamentary briefing for MPs highlighting the state of school funding in England.

Almost 30 MPs took part in the event – run by NAHT, NEU, ASCL, NGA and Parentkind – at Westminster on Monday 10 March 2025, ahead of the spring statement by the chancellor on 26 March. 

They heard presentations about the financial pressures that schools will face next year based on current funding rates. Tower Hamlets head teacher and NAHT branch secretary Lorraine Flanagan provided insight into the day-to-day financial difficulties that are faced by hard-pressed schools.

NAHT’s general secretary Paul Whiteman took part in a panel session where he answered questions from MPs about the funding situation faced by English schools. 

NAHT continues to follow-up with MPs and stakeholders to push for policy change.

 

Get involved

You can help to make a difference in your local area by making your voice heard within your local authority and with your local MP. ,

Below, we have provided resources to help you get involved in the campaign. Get together with other members from your branch or region to take action.

Write a letter to your MP by downloading our guide and template.

Download our pay and funding slides to share our campaign with others

Hold a roundtable discussion with your MP using our guide and template

Download and share the School Cuts social media pack, and include @NAHTNews in your posts.  


For the latest news on NAHT's work around teachers' and school leaders’ pay, see our pay hub page.