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Organisation: Influencing Public Policy

Funding Adult Learning:
'just one more push'

An initial response by NIACE to the DfEE Consultations on:

"The Learning and Skills Council: Funding Flows and Business Process" and
"Learning to Succeed: Post-16 Funding Allocations: Second Technical Consultation Paper"

Published: May 2000

Part One: General Introduction

  1. NIACE gives a broad welcome to both these documents which go a long way towards articulating how the public funding regimes for post-16 education and training outside the university sector will operate from April 2001. Taken together, they have the potential to improve provision for adult learners, not least by developing a clear strategic role for local authorities and by extending and improving, for a wider range of providers, the basic allocation methodology which has proved effective and efficient for colleges. The consultative approach adopted by the Department for Education and Employment throughout this process has been helpful in allowing ideas to be explored and developed gradually with some sensitivity and creativity.
      
  2. There is clearly more work to be done, not least on the funding of basic skills. This needs to be carried out in a way which enables learners to access basic skills teaching needed as a passport to their expressed learning goals and rewards providers for making this possible.
      
  3. We believe that "just one more push" is needed to achieve real and lasting improvements for the funding of adult learning under the new structures. Many of the proposals are sound – what is now required are amendments and steers which help ensure that the new arrangements are not simply imposed from above. There is a slight dissonance between the tone of the papers and the tone of ministers’ voices – especially in the Committee proceedings of the Learning and Skills Bill.
      
  4. Of the two papers, we believe that the second "Funding and Allocations" paper is the clearer and raises relatively few anxieties. Our concerns about its content are balanced by our acknowledgement of the sensitivity which the Department has displayed in drafting arrangements for community-based and LEA-secured adult learning.
      
  5. The "Funding Flows" paper is less satisfactory – although there are large parts with which we agree. Overall, this document says much about systems without displaying a matching sensitivity to how these may be perceived by learners. While the system is intended to be responsive to learner need, there is little sense of how and where learners will influence it and how the voice of learners is best engaged. The tone, unfortunately, appears more grudging at times – suggesting that suppliers are not fully committed to better serving learners. This is unhelpful – both in securing the goodwill of existing providers and in encouraging and supporting newer and smaller providers.
      
  6. The differences between the documents highlight continuing tensions in public policy. The most pressing need is to secure "ownership from below" with the same degree of effort and energy as has been put into securing continuity and stability in a period of transition.
      
  7. The table overleaf summarises the outstanding issues for NIACE and indicates the paragraphs below where our concerns are set out in more detail. In due course NIACE will issue a further response considering the specific question asked in the papers.

 

NIACE concerns:

Second Funding and Allocations paper Funding Flows and Business Processes paper
  1. Hearing the voices of learners
bulletMissed opportunity to strengthen role of local learning partnerships (para. 8)
bulletListening to learners’ perceptions on individual contributions to fees (paras. 9-13)
  1. Implications for providers
bulletAbility of voluntary sector/ neighbourhood organisations to expand provision (para. 14)
bulletPossible impact on Open College Network provision (paras 15-16)
bulletArrangements for student with learning difficulties and/or disabilities (paras. 17-18)
bulletImplications for local authorities (para. 19)
bulletInterface with Ufi/learndirect (para. 20)
bulletAn over-emphasis on skills acquisition rather than learning for personal development and social cohesion (para. 21)
bulletIssues of collaboration and partnership (with RDAs, local authorities, local learning partnerships and HE) (paras 22-23)
bulletArrangements for national providers (paras. 24-25)
bullet"Funding blocks" and "types of learning" (para. 26)
bulletPurposes of "discretionary" funding (para. 27)
bulletBringing in new providers – fitness for purpose (para. 28)
bulletArrangements for Subcontracting (para. 29)

 

Part Two: Second Funding and Allocations paper

LISTENING TO LEARNERS

Local learning partnerships 

  1. The second Funding and Allocations paper makes no mention whatsoever of local learning partnerships. Whilst there may be a case for not giving the partnerships a formal role on the face of the bill, the fact that they are not mentioned as having even a consultative role in funding and planning (for example on issues of student support) is a serious weakness. Without a strong and visible steer from the Department, it is still possible that the partnerships may rapidly wither away. NIACE urges the Department to ensure that a role for partnerships is articulated explicitly within the funding framework.
     
  2. Individual contributions to fees

  3. The paper (paragraph 2.62) proposes that in most cases, individual learners who are able should pay up to 25% of the cost of the programme elements of all formula-funded work. Providers may not continue to receive public money if they charge more than this, whether the learning leads to a qualification or not.
      
  4. NIACE notes, however, that students’ contribution to non-Schedule 2 learning in the LEA sector is often much higher than 25%. Recent evidence from a NIACE/RSGB survey suggests also that there is a widespread public belief that those who are able should pay more for learning for personal development (suggesting that individuals should pay up to 64% of explicit costs). This evidence supports an argument which NIACE has advanced on earlier occasions that while the market has not served excluded groups well, a low-fee economy limits the volume of what is offered to that which can be secured from public funds. This can result in a narrowing of access and opportunity – thus reinforcing the very learning divide the policies are designed to overcome.
      
  5. The LEA sector will be excluded from this proposal for the first two years as a result of transitional guarantees made by government – but all other course-based provision is likely to move to the formula as soon as possible.
      
  6. The implications of this are twofold. In the short term, LEA provision may be undercut by more cheaply-priced formula-funded provision – which could result in the public purse paying more than is necessary to secure a given volume of provision. In the longer term, if this level of public support were to continue to be given to students who would be able and prepared to pay more from their own pockets, there will have to be a reduction in the overall volume of adult learning provision to compensate unless more investment is made from the public purse to support those who are currently paying.
       
  7. In this complex area, NIACE’s concern to make access easier for all leads us, perhaps surprisingly, to believe that those able to pay should be expected to contribute significantly more than 25% of costs. This would allow public resources to be targeted more effectively to secure a satisfactory amount of provision throughout the country and to offer most support those who are less able to contribute funding themselves.
  8.  

    IMPLICATIONS FOR PROVIDERS

    Voluntary sector/neighbourhood organisations

  9. The paper makes little mention of the voluntary sector or of neighbourhood community organisations. Existing "External Institutions" are covered by the formula but there is little consideration given as to how new providers will be able to access public funds through the LSC. Such organisations have often proved to be particularly effective in providing accessible entry routes to learning for groups under-represented in many colleges (using, for example, SRB and European funds). Overall, this is a serious omission. Whilst it is easier to plan for the familiar than the unknown, the document should not presume that existing patterns of provision will continue since this runs counter to the spirit of both the Green and White Papers.
     
  10. Open College Network provision

  11. Paragraph 4.15 states:
  12. "The Learning and Skills Bill (Clause 89) provides that, for those aged 19 years and over, public funds may not be used for the payment of registration or other fees associated with assessment, moderation, verification and accreditation of an external qualification, unless that qualification is approved; the course itself, however, would be eligible for funding. To ensure that the approved qualifications meet high standards, are necessary and enable progression, we are likely to set prior accreditation by the QCA as a core criterion. When the QCA has completed its initial programme of accreditation, and subject to that part of the legislation being implemented, we propose that courses not leading to approved qualifications will remain eligible for funding, but will be regarded as learning that does not lead to a qualification."

    Through the 1990s Open College Network credits were the largest single source of accredited course activity funded by the FEFC. Many fall outside the current formal qualifications framework

  13. At first sight this paragraph looks problematic for Open College Networks, but NIACE believes that the Department will ensure that the spirit of assurances given by Baroness Blackstone in the House of Lords on this matter will be honoured. On 15 February 2000, Lord Addington introduced a probing amendment, focussing on payments for certain specified NOCN course activities. In debate he asked "whether the workings of the National Open College Network courses are safe under the provisions of the Bill". Baroness Blackstone replied "I am happy to confirm that". With that assurance, the amendment was withdrawn. NIACE would welcome confirmation that the Minister’s assurance was correct.
     
  14. Learners with disabilities and learning difficulties

  15. NIACE understands that until the Special Educational Needs and Disability Rights Bill is introduced, it is difficult for the Department to set out its plans in full. Paragraphs 2.39-2.60 of the paper, while helpful, are only part of the picture.
      
  16. How the Government’s different priorities for young adults and older learners will impact upon people with learning difficulties and/or disabilities have been discussed extensively in both Houses of Parliament. If adult learners over 25 are not to be "statemented", NIACE will wish to monitor carefully how well the new arrangements afford students with learning difficulties and disabilities an entitlement to pursue education and training
     
  17. Implications for local authorities

  18. The funding document explains carefully that 1998/99 will be the year used for determining the size of the transfer of funding – which will be calculated by reference to the annual return made to DfEE (the RO1 form). Since then, LEAs have had a new Schools Standards Fund for three years. One year will remain outstanding under the new arrangements and NIACE would wish to see a government assurance that this money is to be included as part of the guarantee.
     
  19. Ufi/learndirect

  20. The broad principles outlined in Paragraphs 4.21-29 of the paper provided a welcome articulation of how LSC funding will interface with activity funded through Ufi/learndirect. The principles proposed appear helpful – but, as with the SEN and Disability Rights Bill, there are many points of technical detail which remain unclear.
  21.  

     

    Part Three: Funding Flows and Business Processes paper

    LEARNING FOR DIVERSE PURPOSES

  22. The emphasis within this paper is upon skills development for the labour market. There is far less acknowledgement of the value of learning for social cohesion and inclusion and almost nothing about the value of learning for personal development. This tone will not reassure those providing non-accredited first step opportunities or those providing programmes that attract other groups (such as older learners) that their work will be a valued part of the new system. This is a missed opportunity for government to promote linkage and coherence.
     
  23. COLLABORATION AND PARTNERSHIP

  24. The paper contains surprisingly little about how Learning and Skills Councils will work in partnership or collaboratively with others – Regional Development Agencies and local learning partnerships to name but two. Paragraph 4.3 of the document gives a list of agencies with which the LSC will work but little in the way of amplification about "how?" and "upon what?" The role of local learning partnerships is not developed at all in this document and the description of the planning cycle fails to describe consultation periods or processes. What is needed is permission or authority for local learning partnerships to grow and develop further. Without it, they risk marginalisation.
      
  25. Much of the strength which lifelong learning can contribute to policy formation lies in its ability to link with diverse agendas – including those of the Department of Health and the Department for Culture, Media and Sport. The potential of Learning and Skills Councils will be best realised through a range of alliances (as suggested by the work of the Social Exclusion Unit) which not only consider the skills agenda but also set out to foster active citizenship and promote aesthetic understanding. This is not "mission creep": instead it represents "joined-up government", and the absence of attention to this potential is a weakness.
  26.  

    ARRANGEMENTS FOR NATIONAL PROVIDERS

  27. NIACE welcomes the content of paragraph 5.41 and its recognition that there are occasions when national contracting will be sensible. Such arrangements should not be limited to large multi-site industrial and commercial employers. They need also to include voluntary bodies such as the Workers’ Educational Association and the Pre-School Learning Alliance with national programmes and also specialist institutions (such as the Co-operative College) with a national remit. We would welcome explicit confirmation that these will be included in the functions of any national unit established.
      
  28. We recommend that a national providers unit be established by the LSC, reporting to and advised by the Adult Learning Committee. Concentrating the administration of the Council’s dealings with distributed national providers will allow a body of expertise to develop which will ensure greater effectiveness and efficiency.
  29.  

    FUNDING "BLOCKS" AND "TYPES OF LEARNING"

  30. Paragraph 4.10 refers to the allocation of money in "blocks" for different age groups or "types of learning". NIACE would welcome further elaboration of exactly what is meant by this. Clearly there will be allocations for young people and for adults. Similarly, we understand that there will be formula-funded provision and non-formula "discretionary" funding. What is not clear, however, is whether "types of learning" refers to something more.
     
  31. "DISCRETIONARY" FUNDING

  32. NIACE would welcome more clarification about the range of activities which may be funded from the 10-15% "discretionary" element of local LSC funds. In particular, we would appreciate clarification about whether Councils will be expected to fund a wide range of activities to some degree, or whether coverage of particular items will be entirely optional. Our preference would be for the former – simply "opting out" should not be encouraged.
     
  33. BRINGING IN NEW PROVIDERS

  34. The paper is helpful in its emphasis upon the need to seek a range of providers. What is less helpful is the emphasis upon common standards rather than the "fitness for purpose" of various providers. Without disputing the need for a minimum threshold, what might be expected of a large FE college and what could be demanded of a small organisation operating in a rural area, for example, would clearly be different. There is a need for clarification and guidance about how prospective providers might engage with existing providers and how consortia arrangements could be developed which allow voluntary, public and private bodies to work together effectively, each building upon their strengths.
     
  35. ARRANGEMENTS FOR SUBCONTRACTING

  36. While LEAs will be satisfied with much of the content of this paper, the exception will be in the sections concerning sub-contracting. LEAs which contract out their adult and community education to colleges and other bodies appear to fall outside the definition of "providers" (paragraph 1.8). This is perhaps an oversight. Such authorities are, effectively, providers and should be treated as such. This was clear from the first funding consultation paper.
  37.  

    Part Four: Conclusions

  38. These documents show that the merger between the former Department of Education and Science and the Department of Employment has, rightly, strengthened the relationship between the education system and the labour market. It has yet to show similarly strong synergy in demonstrating the relationships between learning and:
    bulletsocial inclusion and neighbourhood renewal; and
    bulletpersonal and cultural engagement and participation – including active democratic citizenship.

    Respondents may wish to advise Government how lifelong learning might better address such issues in the future.

  39. Overall, the Government has outlined a sensitive policy and proposed sensible mechanisms to support it. The issues we have highlighted, however, will need to be addressed if the contribution which lifelong learning can make to contesting social exclusion and enriching democratic participation are to be properly realised.
     
  40. Copies of the consultation documents can be obtained from the following website:
  41. http://www.uuy.org.uk/projects/post16/finplan/may2000/index.htm


NIACE would welcome details of your response. Please write to Sue Cara, NIACE, 21 De Montfort Street, Leicester, LE1 7GE.

NIACE, the national organisation for adult learning, has a broad remit to promote lifelong learning opportunities for adults. NIACE works to develop increased participation in education and training. It aims to do this for those who do not have easy access because of barriers of class, gender, age, race, language, culture, learning difficulties or disabilities, or insufficient financial resources.

NIACE
21 De Montfort Street
Leicester LE1 7GE

Tel: 0116 204 4200
Fax: 0116 285 4514
Registered Charity No: 1002775

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