I find this really sad, especially cutting the funding midway through the year. I've never studied Latin, but my state grammar did offer it, and my closest friend (now a lawyer) ended up studying Classics at Cambridge, having loved it at GCSE.
I do worry that it is part of a wider creeping philistinism/utilitarianism in education, and wonder how close we are to deciding that things like Music and History and English Literature are useless subjects too, and can fall by the wayside.
A big part of the appeal of the secondary we're considering for DD - a girls' state comp - is that it currently offers not only Latin but also Ancient History at GCSE. I have no idea whether DD would choose to pursue either of these options, but the fact that they seem to go the extra mile to offer some slightly niche academic subjects, rather than forcing everyone through the STEM cookie cutter model is a real bonus for us.
I also wonder what all these future reluctant STEM graduates will actually end up doing careers-wise.