DBE and FFC on Funding Norms and Standards per Learner: with Deputy Minister

Video The Department of Education (DBE) and the Financial and Fiscal Commission (FFC) spoke about efforts to address the National Norms and Standards for School Funding (NNSSF) challenges in schools. The Department and the Commission presented their findings with a particular focus on monitoring budget and expenditure in the implementation of the NNSSF, underspending of funds and disparity between schools of different quintiles. The meeting included an overview of infrastructure failures, accountability from Provincial Education Departments (PEDs), and funding shortages of no-fee schools especially in marginalised communities. The Department presented the National Norms and Standards for School Funding (NNSSF), implemented in 2000 with the aim to reduce educational inequality by providing a uniform funding system that designates schools in poor communities as no-fee schools. South African schools are categorized into quintiles (Q1–Q5) based on poverty levels, with Q1–Q3 receiving equal per-learner funding since 2013. Annual targets are adjusted for inflation and approved by the Minister of Finance. While provinces like Gauteng and Western Cape allocate funding as per national targets, KwaZulu-Natal and Mpumalanga fall short significantly, with KZN funding no-fee learners at only 54.45% of the threshold and Mpumalanga at 82.7% for 2025. This affects millions of learners and undermines the no-fee policy. These shortfalls are often due to poor provincial prioritization. DBE monitors compliance through reports, data systems, and school visits to ensure proper implementation and accountability of NNSSF across PEDs. The Financial and Fiscal Commission (FFC) said education of learners from Grades R–12 is largely funded through the Provincial Equitable Share (PES) and conditional grants. Serving over 13.5 million learners, the system faces significant disparities and challenges, including delays in the 2025 budget that may disrupt funding, heavy reliance on personnel spending at the expense of learner support, and inaccurate enrolment data that undermines equitable allocation. The quintile-based funding system reveals stark inequalities, particularly in learner performance and access to resources, with lower-quintile schools underperforming in Bachelor-level matric passes and facing infrastructure backlogs. Migration trends further intensify disparities, as provinces like Gauteng and the Western Cape absorb learners from poorer regions. The FFC recommends adopting a costed norms approach, improving data quality, and revising the quintile system to reflect individual learners' socioeconomic status to ensure more equitable and effective education funding. Committee members expressed an overall dissatisfaction at the slow progress and possible regression of no-fee school funding. Concerns were raised at the lack of accountability and compliance to funding norms with focus on KZN, Mpumalanga and now Northern Cape where there is a trend of underfunding schools. There was concern that the quintile system was outdated therefore misclassifying schools which might need the funding. Infrastructure needs and service delivery were also mentioned and emphasised. The Department was requested to present a full NNSSF costing. The Deputy Minister assured the Committee that the following week a Ten-a-Side meeting of the Finance and Education Minister and nine MECs will discuss the finances of the nine provinces.