Correspondence

ESFA Update further education: 14 December 2022

Updated 15 December 2022

This correspondence was withdrawn on 27 December 2023

This has been withdrawn as it’s out of date. Read the latest editions of ESFA Update for the latest news and information.

Applies to England

1. Action: mandatory 2021 to 2022 FE workforce data collection deadline extended to 27 January 2023

Please disregard this if a return has already been completed.

Due to issues that some providers have been experiencing with HR software, we are extending the collection deadline until 27 January 2023. This will be the final extension possible, as any further delay will seriously impact publication plans.

Even if you are not experiencing software issues, we encourage your organisation to utilise the additional time to help resolve other issues that you may be experiencing and remain compliant with the collection.

To access the collection, use the Submit learner data sign in process.

If your require an account, please follow this guidance.

We have released guidance documents for the collections to support staff who are completing this process.

Please cascade this message to the relevant leads in your organisation as soon as possible.

2. Information: update on implementation timelines for the further education funding and accountability reforms

The further education (FE) funding and accountability reforms seek to maximise value for money in the FE system by focussing on employment outcomes and simplifying the funding system, so we can best support learners into good value jobs, as set out in the ‘Skills for Jobs’ White Paper.

The second consultation for our reforms closed on 12 October, and we received 249 responses from a wide range of organisations and individuals across the FE sector. Thank you to everyone who submitted, or contributed to, a response and for all of the support and engagement provided on these reforms. We recognise that this has been a particularly challenging time and are grateful for all of your commitment and input on this topic.

A significant part of the feedback we have received has concerned the timetable for implementation of the funding reforms and the need for sufficient lead-in times. We have therefore amended our timelines for implementation.

We will be introducing the Skills Fund in academic year 2024 to 2025 and will be maintaining the Adult Education Budget in 2023 to 2024. Therefore, the proposals in the second consultation in relation to funding rate changes, additional needs funding and any changes to the objectives for Community Learning will be implemented in 2024 to 2025. We are continuing to work with the sector to improve the data collection for Community Learning via the Individualised Learner Record, for implementation in academic year 2023 to 2024. We will confirm the timing of the reforms as early as possible in 2023 alongside publishing our formal response to the second consultation.

We are continuing to implement our accountability reforms as previously planned, working with the sector to co-design the changes and implementing them when they are ready. Enhanced Ofsted inspections went live in September 2022, as part of full inspections for all colleges and we are also on track to roll out the Accountability Agreements (published today on GOV.UK) and Single Improvement Plans by the end of this academic year. Subject to successful user testing, we aim to launch the FE Performance Dashboard by the end of the 2023 to 2024 academic year. Other aspects of our accountability reforms were developed through the Skills Act, including establishing Local Skills Improvement Plans (LSIPs) and placing a legal duty on providers to review provision.

3. Information: latest on FE college reclassification

Following the announcement that the Office for National Statistics (ONS) has decided to reclassify colleges and their subsidiaries into the central government sector for financial and accounting purposes,

FE colleges, sixth form colleges and designated institutions and their subsidiaries, are encouraged to read the government response and letter to accounting officers issued on 29 November paying particular attention to the borrowing sections.

If you have any questions, please speak to your territorial team or submit an ESFA online enquiry form.

3.1 Use of existing borrowing

Colleges are reminded that they need to submit a formal request no later than 16 December 2022, in respect of any additional usage of existing overdraft, RCFs or drawdowns of existing term loans, limited to essential operational needs. The request should be made on the published template, request (type 2a / 2b as appropriate), with no more than one request type per template.

3.2 Notification of future balloon payments:

Those colleges which have term loan balloon balances at maturity due to a lender at any time in the future should notify ESFA as soon as possible by email to PMO.Reclassification@education.gov.uk.

3.3 Refinancing of existing borrowing

Colleges requiring financial assistance in respect of the balloon balances at maturity should complete a formal request (type 4) six months before these term loans mature, or immediately if required by 31 May 2023.

These timings also apply to overdraft and RCF facilities which have balances at the point of maturity, where colleges require financial assistance to repay the residual balances (type 5 request). We expect that colleges will be able to ensure that such variable working capital facilities and other facilities are worked down to nil or repaid in full at the earlier of the end of the consent period or maturity of the facilities, in the first instance.

3.4 Capital grant funding

The government has announced a package of measures, including an additional £150 million allocation of capital grant funding in 2023 to 2024 to support and protect colleges planning to invest in their infrastructure/estate where previously they would have borrowed from commercial lenders.

We are today publishing the allocations that each FE college, designated institution and sixth form college will get in April 2023, which will need to be spent by 31 March 2025.

The funding will be for capital projects, prioritising condition improvement of estates.

The allocations can be found on GOV.UK.

4. Information: update to college oversight, support and intervention guidance

We have published an update to our guidance on college oversight, support and intervention.

This December 2022 version of the guidance reflects the latest position on the implementation of our Skills for Jobs White Paper reforms. It also explains how we have adapted our active support and intervention policy, following the decision of the Office for National Statistics (ONS) to reclassify colleges as part of the central government sector.

5. Information: Secretary of State for Education’s statutory intervention powers for the further education sector

We have published guidance about the Secretary of State for Education’s statutory intervention powers for the further education sector.

These powers can be found in sections 56A and 56E Further and Higher Education Act 1992. They apply to further education corporations (colleges) and designated institutions, as well as sixth-form college corporations.

Guidance is being published alongside the updated college oversight, support and intervention guidance to provide greater transparency about the circumstances in which statutory intervention powers may be used. In the rare circumstances where it is not possible or appropriate to secure improvement through other processes, statutory intervention may be a suitable course of action.

6. Information: college and local authority accountability agreements for 2023 to 2024

Guidance has been published to support all colleges and some local authorities who will be required to submit a part 2 accountability agreement by 31 May 2023. 

We will provide further information about a range of support activities including webinars in the New Year.  In addition, colleges may also seek support from the FE Commissioner by emailing FE.Commissioner@education.gov.uk.

7. Information: 2021 to 2022 provisional QAR data release in January 2023

We will be releasing your 2021 to 2022 provisional QAR data in January 2023. We are aiming for the week commencing 9 January for release, though this is subject to change and we will confirm nearer the time.

All data will be made available through the View Your Education Data portal. Please review your provisional data and inform us of any concerns about how we have implemented our published methodology by 5pm on Tuesday 31 January 2023. You cannot request fixes or adjustments to your 2020 to 2021 Individualised Learner Record (ILR) data.

If you have any queries in relation to your QAR data, please contact us via our online enquiry form, selecting the QAR query type.

8. Information: integration of the traineeship programme

The government announced on 12 December 2022 that the traineeship programme will be integrated into 16 to 19 study programme and adult education provision from 1 August 2023.  This means the last date for those starting a traineeship under the current rules, as set out in the framework for delivery 2022 to 2023, will be 31 July 2023.

From 1 August 2023, all the elements of the traineeship programme - English and maths, work experience, employability and occupational skills, and qualifications - will continue to be funded for 16 to 19-year-olds as part of the national 16 to 19 study programme, and for adults through the adult education budget. This means that providers with access to funding can choose to continue to offer traineeship programmes for young people who need support to get into work, apprenticeships, or further learning.

This will enable greater flexibilities for employers, training providers and local authorities to work with young people to develop the skills needed at a local level.

In areas where the adult education budget (AEB) has been devolved, Mayoral Combined Authorities and Greater London Authority will decide on how best to support young adults in their areas.

If you are a provider currently holding a traineeship contract and delivering traineeships or a provider who is able to deliver traineeships, you will receive a letter which will set out how the decision will affect you and what options are available to you moving forward.

9. Information: removal of funding approval from English and maths qualifications at level 1/2 and level 2 for students aged 16 to 19

DfE proposes to withdraw funding approval from the following qualifications in the 16 to 19 offer only. The last date for new starts on these qualifications in the 16 to 19 offer will be 31 July 2023.

• 60022425 – Pearson Edexcel Level 2 Award in Number and Measure
• 60066313 – Pearson Edexcel Level 2 Award in Algebra
• 60180675 – IBO Level 1/Level 2 MYP Mathematics
• 60180687 – IBO Level 1/Level 2 MYP Mathematics - extended
• 60183573 – IBO Level 1/Level 2 MYP Language & Literature
• 60331045 – AQA Level 2 Certificate in Further Maths
• 60354811 – AIM Qualifications Level 2 Award in Academic English Skills
• 60356716 – NOCN Level 2 Award in Mathematics Skills
• 60356741 – NOCN Level 2 Award in English Skills

DfE has written to the affected awarding organisations with details of the appeal process to retain 16 to 19 funding approval, which closes on 13 January 2023.

If you have queries about this, please contact: Qualifications.APPROVAL@education.gov.uk.

10. Information: ‘Money mules’ financial exploitation campaign

The National Crime Agency is running a campaign to raise awareness amongst young people of the risks of getting involved as a ‘money mule’.

Money mules are recruited by criminal groups to move criminal funds on their behalf, for example they might be asked to lend their bank account, carry cash, or make transactions in cryptocurrency, in return for a fee. This is also known as financial exploitation, because some young people may be victims of exploitation – groomed, tricked or coerced by criminals into acting as a mule.

Children can be exposed to recruiters operating on social media sites or offline, and at risk of being exploited.

Further information is available on the NCA’s website and we recommend sharing this resource with school safeguarding leads, and with parents.

11. Information: opportunity for membership of the Department for Education’s Star Chamber scrutiny board

DfE are looking for individuals to join their data advisory board – the Star Chamber Scrutiny Board. This board primarily exists to ensure that data collection proposals are necessary, good value and are as quick and easy to complete as possible with a secondary objective to offer strategic input on data related matters affecting children’s services. These are volunteer posts and applicants should have detailed knowledge / understanding of children’s services data sources.

Full details of the opportunities and application process are available from the DfE.

Deadline for applications is 13 January 2023.

12. Your feedback: launch of joint DfE and Ofqual Sector Subject Area Classification review: call for evidence

As part of the joint DfE and Ofqual review of the Sector Subject Area (SSA) classification system, we are publishing a call for evidence.

The SSA system is used to categorise qualifications, assign programme weightings, and analyse and monitor provision. We are seeking your views on how you use the system, what you use it for and the classification of subjects and sectors within it. We want to know more about what is working and whether you think there are improvements we can make so the system works better.

This call for evidence explains the system and invites views and evidence from interested parties on how we can make improvements.

You can access the call for evidence on GOV.UK.

The CFE will be open until Friday 3 February, if you have any queries or questions please contact SSAC.CallforEvidence@education.gov.uk.

13. Your feedback: have your day on the working lives of teachers and leaders – wave 2 survey launch

We are launching the second wave of Working Lives of Teachers and Leaders survey from January 2023.

The survey is crucial in helping us to understand the experiences and of teachers and school leaders, and this is an opportunity for you to share your views directly with the DfE. Findings from this second wave of the study will allow for important comparisons to the previous wave to help us understand if there have been any significant changes in teachers’ and leaders’ experiences.

The research is conducted by IFF Research and the Institute of Education (IoE), on behalf of DfE. It aims to collect robust evidence from teachers, middle leaders, and senior leaders in England about a range of topics about working life, from workload and wellbeing to career reflections and future ambitions.

Please look out for an invitation in the new year (invitations will be received by letter, email, or telephone from IFF Research).

The survey will remain open until Spring 2023. Participation is entirely voluntary.

For more information about the survey – including participant anonymity, data linking, GDPR and other FAQs – please visit the survey website or contact workinglives.teachers-leaders@education.gov.uk.