The regular shock-horror stories about schools hoarding their money are circulating at the moment – but all is not as reported in the press
Every year the same story appears with suitable amounts of exclamation marks and shrieks of horror. Schools in the UK are “hoarding” £2.4 billion of unspent government funding.
The story looks worrying – especially if you are trying to sell to schools. But actually the situation isn’t that bad.
Yes, it is true that this sum is considerably up from the £500m “hoard” recorded in 1999 – but that is largely because 1999 was near the end of the Blair administration when the watchword was “Education, Education, Education.” Money was still flowing at that time, and secondary schools tended to retain about £50,000 from one year to the next. That is about 1% of their turnover.
The year of the last general election saw cuts to education funding, some of it in terms of money that had already been promised as payments to be made during the course of the year and which schools and other bodies were reliant on.
So the schools learned their lessons and upped the funds that they hold in reserve to about 5%, just in case the government tried that trick again.
But hidden in this story there is a very important point. Schools salted their reserve capital away during the first couple of years of the Coalition government. It is still there, sitting in reserve, and there is no sign that they are looking to increase the reserve pot.
That means that the money the schools get each year, is more or less what they spend each year. We’ve had the two years of privation during which the funds were built up, and now everything is running smoothly.
An average secondary school might get £4m a year, and it spends £4m a year. The reserve fund of £50k just sits in the bank, one year to the next.
This is why many companies that upped their level of marketing in the Summer Term 2014, and indeed during the summer holidays, saw a good return on their marketing investment.
Indeed, if you have been advertising you’ll probably want to keep going. If not you might well want to join in our next shared mailing to secondary schools, which has a free email campaign associated with it.
In the postal shared mailings with a free email campaign, you can send a leaflet to the teacher of your choice for around 9p per teacher – less if you have a leaflet to two different teachers in the same pack.
Details of how the system works, and how to ensure your leaflet brings in lots of sales, are given on www.shared.org.uk
In terms of the email – you can choose any of the personal email lists that we have. You send us your email and we email it out to the personal email addresses of teachers on the list you choose. We will also run your email free of charge on UK Education News, which will bring in ever more replies.
If you have not undertaken a shared postal campaign with us before, please do call 01536 399 000 and we can talk through any particular points.
If you do want to book into a shared postal mailing with a free email campaign here are the details:
- To book in a place on the secondary school shared mailing on 14 October just email Chris@hamilton-house.com
- We will then need your leaflets delivered to our warehouse in Northants no later than 7 October.
- Once the booking is arranged you can then also make arrangements for the transmission of the free email and to have your advert on UK Education News.
01536 399 000.
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