Government school donation scheme pays $86 million to 1,877 schools, keeps many in program despite rising community wealth

What Happened

The government‑funded school donation scheme paid $86 million to 1,877 schools this year, delivering $166 per student in exchange for schools agreeing not to ask families for donations. Membership rose 18 percent – an extra 292 schools – compared with the programme’s start in 2020, and about one in ten participating schools remain because a grandparenting clause lets them stay even if their community becomes less poor.

Reaction

Berhampore School in Wellington stayed in the scheme after the closure of 90‑120 Kainga Ora homes lowered its equity‑index score below the 432 cut‑off, said principal Mark Potter. He explained that the board votes each year to remain because the funding removes the need to press families for money, especially as many still struggle with the cost of living. The school used the money to teach every child to swim and to pay for bus trips. Halsey Drive School in Auckland echoed the sentiment; principal Justin Somerville noted that, despite a drop in deprived families, the school still faces a challenging environment and could not raise enough money from parents, even cancelling a planned quiz night. Havelock North Intermediate became eligible two years ago; principal Nigel Messervy called joining a no‑brainer after the ministry’s $88 000 payment – only $4 000 more than the $84 000 families could raise on their own – allowed the school to budget the funds at the start of term. He added that the scheme eases pressure on poorer families and frees middle‑income families to spend on extras like music lessons or sports gear.

Context

The grandparenting rule prevents schools from moving in and out of funding each year as equity‑index scores shift, giving them stable resources and shielding families from sudden donation requests.