The Silent Crisis in the Education Sector: A Study of the Impact of Budget Cuts in Indonesia and the United Kingdom
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Abstract
Education budget cuts often occur without sufficient public scrutiny, despite their profound implications for educational quality and equity. This study compares the impact of budget reductions in Indonesia and the United Kingdom two countries with differing educational structures and economic development levels. Utilizing a qualitative-comparative approach based on the Constant Comparative Method, this research investigates policy shifts, institutional responses, and their consequences on educational access, quality, and equity. Data were derived from official policy documents, international reports (OECD, IFS, World Bank), and verified national news sources. The findings reveal that in Indonesia, budget reductions in higher education (Kemendiktisaintek) and basic education (Kemendikdasmen) reached 25.26% (IDR 14.3 trillion from IDR 56.6 trillion) and 23.88% (IDR 8 trillion from IDR 33.5 trillion) respectively. This policy led to a 50% cut in Teacher Professional Education (PPG) quotas (from 800,000 to 400,000 teachers) and an IDR 1.31 trillion (8.91%) reduction in KIP-Kuliah scholarships. Conversely, in the UK, sustained austerity policies reduced real-terms per-pupil spending by 8% since 2010 and caused the closure of over 1,000 Sure Start children's centers. Despite structural differences, both nations reflect a parallel trend where fiscal tightening exacerbates structural inequality, undermines support for vulnerable groups, and heightens teacher burnout. The study advocates for an Equity-Responsive Efficiency Model to reformulate education budget policies.
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