The Condition Improvement Fund 2025–26: Learnings for the future of capital maintenance funding
Click here to download our Condition Improvement Fund 2025–26 Insights
As the Department for Education continues to review the future of capital maintenance funding, this year’s Condition Improvement Fund (CIF) outcome once again highlighted the growing challenges inherent in the bid-based approach.
Despite increased overall capital maintenance budgets and a modest uplift in CIF funding, fewer schools secured investment, with a significant proportion of those in poorer condition continuing to go unsupported.
While we await the confirmation on whether CIF will continue for another year, our analysis of the 2025-26 outcome underscores the need for a more strategic approach and highlights what could change to ensure funding better reflects the condition of the school estate.
Limited reach
The number of successful projects and schools has declined to a new low, despite total CIF funding returning to 2023–24 levels in cash terms. Only 16% of the 4,124 eligible institutions secured condition funding this year—leaving approximately 3,500 schools without dedicated capital investment.
The key driver behind this decline is a sharp increase in project costs. The average value of successful bids rose by 19% to £583k, reducing the total number of projects that could be funded. At the same time, 55% of eligible institutions did not submit an application—raising questions about accessibility, the burdens of the bidding process, and whether the system is reaching those with the greatest need.
A misalignment between need and funding
While CIF is intended to address the most urgent condition needs, this year’s data suggests a disconnect between condition bands and funding outcomes. Only 200 of the 1,300 schools identified as being in below-average condition (according to the Department for Education’s Condition Data Collection) received funding. In contrast, 68% of successful schools had average or better condition ratings.
Regional disparities remain. London received the highest proportion of CIF funding, driven by significantly higher average project costs, while the North East—despite having the highest concentration of schools in poor condition—secured the lowest funding and success rates.
Limitations of the current model
CIF is the only route for capital maintenance funding subject to competitive bidding. While the model enables successful institutions to secure significant investment, it lacks the consistency and strategic oversight that formula-based approaches provide. The high rate of non-application, the narrowing focus on high-cost, urgent projects, and the reduced capacity for preventative maintenance all point to a system increasingly constrained by its structure.
As more schools convert to join larger MATs—and become eligible for School Condition Allocation (SCA) funding via direct formula—the number of CIF-eligible institutions continues to fall. However, those that remain often face greater barriers in accessing and planning capital investment, given their lack of scale and resources.
Looking ahead
Our latest insights underscore the need for a capital funding system that is transparent, equitable, and responsive to need. Whether through reform of the CIF model or broader changes to the allocation framework, it’s essential that the most urgent condition needs are met — and that all schools have the tools to plan for the long term.
You can explore our full analysis, including data on regional variation, success rates, project types and condition band comparisons, in the full report.
For those interested in understanding the wider context of the current maintenance system we also recommend reading our insights piece on the Changes to school maintenance funding – a look at why the current system exists and the challenges of changing it.
Finally, while we await further clarity from the DfE on what is next for school maintenance, we advise CIF eligible institutions to begin preparing for another round to be in the best possible position should it continue for another year.
About Surveyors to Education (S2e)
Surveyors to Education (S2e) work solely in the education sector to provide estate strategy, funding and surveying expertise to MATs and academies, giving trustees the information they need for making effective decisions. For more information, contact us today to find out more at 0116 5070130 or email enquire@s2e.org.uk.
