Education funding formula needs to be fixed – Part two in the series: Towards equality in school funding
By Nurina Allly and Daniel McLaren
Western Cape and Gauteng achieved the highest matric pass-rates last year. But did you know that these provinces were also able to spend 10% more on education per learner than the two poorest provinces: Eastern Cape and Limpopo. How does this happen?
This lopsided effect comes from the way that National Treasury allocates money to provinces through the equitable share formula. This little-known formula is used to divide about a third of the government’s budget among the provinces.