London Skills and Employment Policy Network

KEY MESSAGES FROM SKILLS INVESTMENT STRATEGY

Skills Funding Agency

London 15th March 2012

New Challenges, New Chances

Further Education and Skills System Reform Plan: Building a World Class Skills System

The Skills Investment Statement 2011-2014: Investing in a World Class Skills System

Building a World Class Skills System

Principles:• Students at the Heart of the System • 1st Class Service from the National Careers

Service• Ladder of Opportunity • Excellence in Teaching & Learning • Relevant & Focussed Learning Programmes• Strategic Sector Governance • Freedoms & Flexibilities• Simplified Funding System• Informed Choice• Global FE

Students at the Heart of the System

• Funding for greatest impact - the young, those seeking work and basic skills

• 2013 - Introduction of Loans

• Innovation Code

The Ladder of OpportunityEnglish and Maths

• Terminology Change• Prioritise young people and the unemployed• Pilot ‘distance travelled’ provider reward• GCSE funded from Sept 2012• Apprenticeships – functional skills or GCSE from 2012• JCP and OLASS• Development fund for Sector• National Campaign

The Ladder of Opportunity The Unemployed:• 19-24 full funding for foundation learning • Full funding for 1st L2 or L3• QCF Units• Job Outcome Payments • Transition to Universal Credit

Higher Education:• ‘College of Further and Higher Education’• Proposals on collaboration for credit accumulation/transfer• Awarding bodies given awarding powers for HE courses

Relevant & Focussed Learning

Programmes and Qualifications

Work to be done….

• Maximise benefits of QCF• SSCs no longer approve each unit• Business involved in design, development,

assessment• National Occupational Standards – fit for purpose?• Consultation 2012• Ofqual Review – how is the market working?

Freedoms and Flexibilities

Much already done….more to come

Simplification Programme

• Whole College View

• Large Employer Pilot

• Communications – fewer and higher quality

• Simplified Funding System

Skills Investment Statement 2011-14

Skills Investment Statement

Main areas are:

Funding Simplification and reducing bureaucracyContinued commitment to ApprenticeshipsSkills for life: English and Maths Further development of large employer commitmentLess money in the systemConsolidation of policy areas and funding streamsHousekeeping - tidying up the Adult Skills BudgetFunding entitlementMinimum Contract Level – no changeSpecialist Designated Institutions – no change Informal Adult Community Learning pilotEnhanced Discretionary Learner Support budget.

• Funding Simplification principles approved

• Employer Architecture

• Agreement on principles of Job Outcome Payments

• Shifting priorities to young people 19-24 not in employment, education or training (NEET)

Key Challenges (1)

• Streamlining of Learner Support (2012/13)

• Incorporation of Formal First Steps into ASB (2013/14)

• Informal Adult and Community Learning

• Innovation code

• Opening up of the QCF

Key Challenges (2)

Investment Statement Budgets

There will be less money in the system:

Total Skills Funding Agency £ in 000s 2011-12 FY 2012 -13FY 2013 -14FY

3,473,225 3,361,209 3,156,923

Teaching and Learning Adult Skills £ in 000s 2011-12 FY 2012 -13FY 2013 -14FY

2,834,542 2,699,009 2,497,346

ESF Context and Agency Approach

• Each region has ESF to address regional jobs and skills needs

• In London, regional functions are delegated to the Mayor of London

• Mayor is responsible for production of the London ESF Framework and approval of Co-financing organisations

ESF Context andAgency Approach

• The Skills Funding Agency will focus ESF for the 2011-2013 period on provision that adds value to mainstream activity, supporting, enhancing and filling gaps in mainstream activity

• Operating on behalf of the YPLA, the Skills Funding Agency will use ESF to support 14-19 year olds who are NEET / at risk of becoming NEET

• Provision will operate until August 2012 – national requirements but does include a London dimension

Agency Strategy

ESF provision operates within the freedoms and flexibilities agenda

Activity funded by ESF sits within the Single Adult Skills Budget – consolidation of historical funding lines including Adult Learner Responsive, Skills for Life and Programmes for the Unemployed

Freedoms andFlexibilities

• ESF operates within the Government’s intention to focus funding on those who need it most

• All ESF will be in line with criteria published in Guidance Note 6 (December 2010)– Individuals on JSA– Individuals on ESA on the Work Related Activity Group

Funding Eligibility

Skills Investment Strategy • Meeting the needs of JCP customers a key

Government priority • Discrete programmes for the unemployed ended 31

March 2011• Provision to be “mainstreamed” – providers to consider

meeting needs of JCP customers from Adult Skills Budget in light of local needs

• ESF provision to provide additional capacity / fill any gaps during transitional period

Context

Skills Support for the Unemployed • Programmes for JCP customers on active benefits

(Jobseeker’s Allowance and Employment Support Allowance (Work Related Activity Group))

• Focus on pre-Work Programme (unemployed less than 12 months or 9 months if aged 18-24)

• Provision to be determined locally in discussion with JCP District lead, having regard to:– JCP customer base – Employment opportunities– Any gaps in provision for JCP customers

JCP and Stakeholder

Engagement