After a tumultuous 18 months, the Government is hoping 2026 will be epitomised by delivery. Alongside bringing down the cost of living, improving public services will be critical if the Government is to win back the public support lost since the general election. This is particularly true of those working in the education sector; a recent poll found that support for Labour amongst National Education Union (NEU) members has fallen by 70% since July 2024.
From expanding the early years entitlement to skills training investment, education reforms and policy developments remain key to the Government’s plan for renewal. Looking ahead, 2026 will be less about eye-catching announcements and more about implementation, regulation and funding reform.
Early years
2025 was a bumper year for early years policy. From the establishment of 300 new school-based nurseries (SBNs) to the expansion of the funded childcare entitlement and the publication of the Best Start in Life Strategy, improving access to affordable childcare sat firmly at the top of the Department for Education’s agenda.
Policy in 2026 will largely continue this direction of travel. Towards the end of last year, the Government opened applications for primary schools to bid for up to £150,000 to create or expand on-site nursery provision as part of the second phase of the SBN programme. Ministers have stated that this phase alone will see 300 new nurseries open by September 2026, creating thousands of new childcare places.
Learning from phase one, the DfE has amended the application process to prioritise provision in more deprived areas where existing childcare supply is limited. This shift reflects a growing recognition that access, rather than headline entitlement, remains the central challenge.
Later this year, attention will also turn to phase three of the programme. This will involve Local Authorities being invited to submit multi-year funding proposals covering 2027–2030 for the final 2,400 SBNs required to meet the Government’s manifesto pledge.
Alongside this, 2026 is expected to see a consultation on early years funding rates, following sustained sector pressure around viability and staffing costs, as well as further incremental funding increases, although these are unlikely to fully offset rising wages and higher taxation costs.
The Government will be banking on more parents being able to send their children to high-quality childcare provision, funded by the expanded entitlements, allowing more people back to work and bolstering support for the Government amongst young parents.
Schools – wellbeing, SEND and industrial relations
For schools, 2026 will be shaped by a combination of legislative reform and unresolved workforce tensions.
The Children’s Wellbeing and Schools Bill will continue its passage through Parliament, with particular scrutiny on proposals around Multi-Academy Trust inspections and accountability. While the Government argues these measures will strengthen oversight and raise standards, sector leaders are likely to raise concerns about increased regulatory burden without accompanying funding, and will need assurance that any new inspection regime can be delivered with the consistency, clarity and expertise required to command confidence and operate fairly.
Special Educational Needs and Disabilities (SEND) reform will also return to the fore. The Schools White Paper, focusing on SEND reform, is expected in the coming weeks, setting out the next phase of the Government’s long-promised overhaul of the system. With Local Authorities under mounting financial pressure and parents increasingly turning to tribunals, the stakes for getting this right are high. After last year’s U-turn on welfare reforms, this could prove to be another tricky piece of legislation for the Government to pass on its own benches, so the White Paper and the subsequent consultation will be critical if the Government are to succeed in reforming the system.
Industrial relations remain an open question. Although major strikes were avoided in 2025, unresolved concerns around workload, pay progression and retention mean the risk of renewed action cannot be ruled out, particularly if public sector pay settlements fail to keep pace with inflation.
On schools policy, the Government faces a tricky road ahead in 2026. If the Government can set out reforms the SEND system that saves the exchequer money whilst keeping parents of children with SEND onside, it will consider that a huge political win.
Higher and further education – regulation, reform and financial fragility
In post-16 education, 2026 will be a year of preparation and adjustment.
Universities and colleges will be gearing up to deliver the Lifelong Learning Entitlement, which comes into force in January 2027. While the principle of modular, flexible learning commands broad support, providers are already raising concerns about implementation timelines, student demand and administrative complexity.
From September 2026, the undergraduate tuition fee cap is set to rise in line with inflation. While this will provide some marginal relief to providers, it is unlikely to fundamentally alter the financial pressures facing the sector after years of frozen fees.
Other developments to watch include the outcome of the Government’s consultation on V Levels and their future role within the technical education landscape, and the transition of the Apprenticeship Levy into the Growth and Skills Levy from April, with greater flexibility promised but limited clarity on funding levels.
Skills England will also begin reviewing its first cohort of apprenticeship standards. Expectations are high that this process could lead to significant reform, and potential defunding, of lower-quality or low-demand standards.
Across further and higher education, provider financial fragility is likely to become an increasingly prominent policy issue in 2026. Several institutions may find themselves reliant on restructuring support, merger discussions or teach-out arrangements.
This will force government and regulators to clarify their appetite for managed exits, market consolidation and the limits of intervention, questions that successive Governments have largely avoided.
Taken together, 2026 looks set to be a year where education policy moves from ambition to delivery. For the Government, the challenge will be ensuring that reform is matched with sufficient funding and meaningful engagement with the sector. For those working in the sector, the task will be navigating a complex landscape of regulatory change, financial pressure and workforce uncertainty.
There are certainly many traps for the Government, particularly around potential industrial action and SEND reform – but there are also big potential wins for the Government to shout about. In particular, the increase in access to funded, high-quality childcare. The public’s confidence in these changes will reflect their confidence in the Government writ large, and the Government’s ability to work productively with the sector will be key to its success.