Methodology note
Recruit 6,500 teachers: note
Models recruit 6,500 teachers in 2028-29. The estimate is illustrative and excludes wider package interactions.
Central fiscal result
+£0.5bn - Net fiscal impact in 2028-29
Low case: +£0.3bn. High case: +£1.0bn. Positive numbers are fiscal costs or borrowing pressure. Negative numbers are Exchequer savings or receipts.
Scenario and baseline
- Models recruit 6,500 teachers by 2028-29.
- Baseline is current policy or published departmental plans.
- Central case uses published party or official anchors where available.
- Wider manifesto interactions are excluded unless stated.
Affected population
- Affected units are people, firms, households or providers depending on policy.
- Direct exposure follows the manifesto or government target group.
- Indirect exposure includes suppliers, workers, consumers and taxpayers.
- Weakest counts are widened in the low and high cases.
Gross impact
- Published anchor or scenario central is +£0.5bn in 2028-29.
- Gross costs or receipts are adjusted for behaviour and delivery risk.
- Tax, benefit or procurement offsets are separated in the fiscal build-up.
- The range is deliberately wider where implementation detail is thin.
Fiscal build-up, central case
- Gross programme or delivery cost: +£0.6bn
- Tax and receipt offsets: +£0.0bn
- Administration and evaluation: +£0.1bn
- Behavioural and pass-through effects: -£0.2bn
Central net impact: +£0.5bn in 2028-29.
Behaviour and pass-through
- Low case assumes stronger delivery or receipts than central.
- Central case applies moderate behavioural leakage and pass-through.
- High case allows weaker delivery, larger take-up or higher costs.
- Output effects follow incidence, capacity and investment channels.
- Distributional gains do not automatically imply GDP gains.
Phasing
- 2026-27: +£0.1bn. Phased implementation and take-up.
- 2027-28: +£0.3bn. Phased implementation and take-up.
- 2028-29: +£0.5bn. Phased implementation and take-up.
- 2029-30: +£0.5bn. Phased implementation and take-up.
Main source groups
- HM Treasury, "Autumn Budget 2024 policy costings" (2024): Official policy costings show tax and spending impacts, including behavioural assumptions where published; used for implemented Labour tax measures.
- Chetty, Friedman and Rockoff, "Measuring the Impacts of Teachers" (American Economic Review, 2014): High-value-added teachers are associated with better long-run student outcomes; relevant to teacher recruitment and quality.
- Jackson, Johnson and Persico, "School Spending and Educational Outcomes" (Quarterly Journal of Economics, 2016): Higher school spending improved adult outcomes, especially for low-income children; supports long-run gains from education spending.
- Labour Party, "Change: Labour Party Manifesto 2024" (2024): The manifesto sets the policy pledge, funding claim or target being modelled; used as the policy definition and manifesto baseline.