Reducing agency staff spend<\/strong><\/h3>\n\n\n\nAs part of the programme, the DfE said the Crown Commercial Service (CCS) will launch a new framework in June 2026, which will include “negotiated rate caps” on teacher supply agency fees and \u201cprovide significant value for money\u201d.<\/p>\n\n\n\n
The DfE has said this will cap rates paid to suppliers, and is not meant to reduce or cap the rates paid directly to supply teachers. The government will be able to see how much goes to the teachers under the terms of the deal.<\/p>\n\n\n\n
Suppliers are being invited to apply to be part of the new framework. Once it launches in June, schools will be expected to source agency staff through the framework, unless they are achieving better value for money through another route.<\/p>\n\n\n\n
Government said the plan would \u201ccrack down on unacceptable practices and excessive supplier margins within the teacher supply market, to help reduce school spend on agency supply teachers\u201d.<\/p>\n\n\n\n
Schools and trusts spend an estimated 80 per cent of their budgets on staff. Spend on agency supply teachers alone reached \u00a31.4 billion in 2023-24, according to the DfE.<\/p>\n\n\n\n
The DfE also urged school and trust leaders to \u201clook deeply at their data\u201d on workforce costs, gather feedback from staff, and use its financial benchmarking and insights tool (FBIT) to compare with similar schools.<\/p>\n\n\n\n