The study for the Department for Children, Schools and Families found 38.9 per cent of pupils in lower sets are eligible for free school meals, a significant overrepresentation given that these children only make up 15 per cent of school children.
Researchers said the findings were of "serious concern" and said schools should consider whether setting is an appropriate response to pupils' difficulties, "if those difficulties are systematically associated with social class".
David Cameron called for setting in every school shortly after he became Conservative leader. Responding to the study, shadow schools minister Nick Gibb said it is important setting is done properly and that schools are rigorous in applying their own procedures.
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