The UK Government’s 2025 Spending Review has reaffirmed a strong commitment to investing in the education sector, with a particular focus on improving the condition and resilience of school buildings across the country.
At a time when schools face increasing challenges from rising pupil numbers to ageing infrastructure and the urgent need for safer, more energy-efficient environments, this renewed investment offers a vital opportunity for Trusts and school leaders to take proactive steps in managing their estates.
In this brief article, we summarise the key funding announcements related to school capital focussed on estate and building maintenance, and highlight what they mean for schools, academies, and the wider education estate.
Core Schools Budget & Maintenance Funding
- The core schools budget will grow by £2 billion in real terms over the Spending Review period bringing a £4.7 billion cash uplift by 2028/29 vs 2025/26. That equates to approximately 1.1% per pupil real terms growth annually
- However, when excluding costs already committed to free school meals and teacher pay, schools face a more modest 0.9% real terms rise per pupil.
Capital Investment: Maintenance & Condition Improvements
- Condition Improvement Fund (CIF) & School Condition Allocations (SCA)
- Total capital spending under the Department for Education will increase from £6.8 billion (2025/26) to £7.7 billion (2029/30).
- In 2025/26, this includes £2.1 billion for school maintenance, with £470 million earmarked for CIF, helping smaller trusts and voluntary schools.
- RAAC (Reinforced Autoclaved Aerated Concrete)
- Targeted funding is included to refurbish or rebuild areas affected by RAAC, in addition to CIF/SCA allocations.
- Escalating maintenance spend
- Maintenance funding will rise to £2.3 billion by 2029/30, an increase of over £400 million per year compared to 2024/25.
School Rebuilding Programme
- The Government reaffirms its commitment to rebuild over 500 schools through the School Rebuilding Programme, signalling a long-term infrastructure upgrade.
- Funding specifics:
- £2.4 billion per annum for the next four years, up from £1.4 billion currently.
- Continued support beyond the SR period is planned, consistent with the 10‑Year Infrastructure Strategy, and extending until at least 2034/35.
Opportunities Ahead for Schools and Trusts
With the increased investment outlined in the 2025 Spending Review, schools and academy trusts are well positioned to take advantage of a range of opportunities to improve their estates:
- Larger Capital Maintenance Budgets
With school condition funding rising to over £2.3 billion annually by 2029/30, trusts can plan proactively for major maintenance, compliance, and life-cycle refurbishment projects with greater funding certainty.
- Enhanced Rebuilding Pipeline
Over 500 schools will be rebuilt or significantly refurbished as part of the Government’s commitment to long term educational infrastructure. Trusts should ensure their estate data, condition surveys, and strategic plans are up to date to strengthen their position for future rounds.
- Targeted Funding for RAAC and Safety Issues
Allocations for addressing Reinforced Autoclaved Aerated Concrete (RAAC) and similar structural risks offer schools an opportunity to replace unsafe buildings while also improving energy efficiency and layout suitability.
- Support for Smaller Trusts and VA Schools
The continuation of the Condition Improvement Fund (CIF) ensures that smaller trusts and voluntary aided schools without direct formula funding still have a route to secure capital funding, particularly for urgent compliance and condition issues.
- Strategic Planning Opportunities
With long term funding now confirmed through to at least 2035, trusts can take a more strategic approach to estate management. This includes aligning investment decisions with decarbonisation goals, curriculum needs, and growth planning.
A Message from Stratus9 Consulting
At Stratus9, we welcome the Government’s renewed commitment to investing in education infrastructure.
The increase in capital funding for school maintenance and rebuilding presents a real opportunity for Trusts to plan confidently and act decisively. With budgets increasing and long-term investment secured, now is the right time to review estate priorities, ensure strategic documentation is in place, and prepare for upcoming funding rounds.
As a specialist construction consultancy working in the education sector, we support Trusts and schools to:
- Develop and deliver successful CIF bids and SCA programmes
- Design and manage refurbishment, rebuild, and decarbonisation projects
- Interpret funding guidance and align your priorities with national capital strategies
- Create long-term estate plans that unlock opportunities and improve learning environments
We encourage you to get in touch to explore how we can support your estate development ambitions. Whether you’re planning a single project or a Trust-wide strategy, we’re here to help you maximise the benefit of this crucial investment period.
Learn more at www.stratus9consulting.co.uk or contact us directly to start a conversation.