The Parliamentary Under-Secretary of State for Education (Tim Loughton)
I congratulate the hon. Member for Scunthorpe (Nic Dakin) on securing not only the debate but an audience, which is unusual at this time in the House’s proceedings. I apologise that the Minister of State, Department for Education, my hon. Friend the Member for Bognor Regis and Littlehampton (Mr Gibb), who has responsibility for schools, is not responding to the debate, as would normally be the case. He is rather involved with the Education Bill at present, but I hope that I will be something of a second-best.
Tim Loughton
The hon. Member for Scunthorpe started his speech by openly and freely admitting that he was something of an anorak on the subject of 16 to 19-year-old education funding in this country, but I cannot admit to being even a cagoule in that respect. I will therefore take away his more technical questions and ensure that he receives a more detailed and considered answer from colleagues elsewhere in the Department—part of this is rocket science, as he said.
I also pay tribute to the many staff who are in the position he was in before bringing his great practical expertise to the House. There are many people involved in education in this area who do an excellent job up and down the country in difficult circumstances, as we all acknowledge, and play their part in the essential crusade to upskill young people leaving education for the increasingly competitive employment environment that they face.
I appreciate many of the concerns that Members on both sides of the House raised during what has been a good and rather more inclusive debate than is normal in Adjournment debates. The hon. Member for Darlington (Mrs Chapman) made a good point about the softer skills that are also important in educational experience, which we want to ensure are not lost. The hon. Member for Scunthorpe talked about the effect of enrichment skills on expanding the range of knowledge and confidence of young people. He also acknowledged that money will be returned to colleges to target disadvantaged students, a point to which I will return.
The hon. Member for Bolton West (Julie Hilling), slightly predictably, raised the subject of youth services, in which she is something of an expert—she is making sure that the House is in no doubt of the fact. She knows that the subject is within my brief and that we will be having discussions on it soon, so there are various things that I will be able to discuss with her then. The hon. Member for Makerfield (Yvonne Fovargue) rightly mentioned the effect on high unemployment areas.
I will refer first to the spending review, which is the basis of the hon. Gentleman’s concern in bringing the subject to the House’s attention. I entirely appreciate the concerns about the current inevitable uncertainty, and we will seek to address that and produce clarity as soon as possible.
Bill Esterson
The Minister mentioned concern, so perhaps I can remind him of the concern that the cut we are discussing will have a combined effect with a number of other cuts. The cuts to college and sixth-form funding, when added to cuts to university funding and education maintenance allowance and the trebling of tuition fees, means that there is huge concern, particularly among students from less well-off families, about the ability to go into higher education at all. Will he respond to that point in his remarks on the spending review?
Tim Loughton
I am sure that I will respond when I get beyond the first paragraph of my comments. We are here to talk about a specific aspect of education, and as with the Secretary of State’s approach in all other aspects of education, particularly at this time of scarce resources, we are determined to concentrate as much as possible on the disadvantaged and close the achievement gap, which has widened too far, and for too long. We have to have that particular focus—it is why we have come forward with the pupil premium and other particularly well targeted schemes—to ensure that those who are left behind or need extra support have a chance to be on a level playing field with other students. I shall comment on that in a moment.
In the spending review, we had three priorities: protecting schools funding; early years; and ensuring that by 2015 every young person can continue in high-quality education and training, so that they are better prepared for the world of work or for university. The latter has not necessarily received the attention that it deserves.
We are spending more than £7.6 billion in 2011-12, a 1.5% cash increase over 2010-11, so that—
Margot James
The Minister refers to a 1.5% increase in funding. Both colleges—the further education college and the sixth-form college—in my constituency place great store by enrichment activities, such as music and other absolutely vital elements of a rounded education. Is it not the case that colleges are to have greater freedom over how they spend their income in future years? Can he see any reason why they will not be able to use some of the increased spending to fund the much-needed enrichment programmes that everyone in the House is so keen to see continue?
Tim Loughton
My hon. Friend is right to point that out, and again I shall come on to some comments in that vein.
Coupled with a focus on targeting the most disadvantaged and helping to close that gap is a Government priority to devolve greater powers, autonomy and freedoms to educational institutions at all levels—to ensure that principals, heads, teachers and governors are freed from so much of the prescription, bureaucracy and targets that went before, so that they can make the most appropriate decisions for their local student community. They, surely, are the people best placed to make those decisions. If it means concentrating more on enrichment activities, albeit with a tighter financial settlement, we must leave it to the judgment of those principals and others to make such decisions at the sharp end. My hon. Friend is right to raise the issue.
So, we are spending an extra 1.5% cash over 2010-11, so that a record 1.62 billion young people can have a place—[Interruption.] Sorry, I think that should say “million”. We are not quite China yet. Teenage pregnancy is part of my brief, but we have not quite reached that point.
Anyway, we are spending an extra 1.5% cash over 2010-11, so that a record 1.62 million young people can have a place in education and training. That is 23,000 more places than in the current academic year. Within that total, we are increasing the proportion of funds directed at young people facing disadvantage and deprivation in order to help schools and colleges attract and retain those 16 and 17-year-olds who currently do not participate in education and training at all. We are also increasing the amount spent on foundation learning, so that those young people who were failed by the previous Government’s school policies, which pumped in billions but still left many at 16 without the skills they needed to progress, can access the courses that suit their needs.
To do that, however, we have to take account of the economic situation. There is no getting away from that. Every decision that the coalition Government take is made against the backdrop of the difficult economic position that we inherited. Although Opposition Members would like to put those uncomfortable facts to one side, those of us in government have to deal with them, recognising that decisions on schools and colleges throughout the country need to take account of the dire position of public finances.
The enormous interest charges we are paying on our national debt, now standing at £120 million per day, mean that we spend more on servicing that debt than on all our schools and colleges put together, and that just cannot go on. Unless we bring the deficit under control, future funding for this critical phase of education will be endangered and future generations will suffer the consequences. That means we have to ensure that every penny we spend on 16-to-19 education and training brings real benefits to the learner, helps those who need help most and ensures young people are educated to higher levels than now.
We took the decision to reduce the requirement for enrichment activities for two reasons. The Government’s first priority is to protect the core education programmes offered by schools and colleges—the whole range of courses, including A-levels, vocational qualifications and apprenticeships. It is this core that delivers the real benefits to all young people and enables them to progress successfully into higher education or employment. That is not to say that I regard the enrichment activities that the hon. Member for Scunthorpe has so eloquently praised as unimportant—far from it.
Nic Dakin
I hear what the Minister says. In some ways, it is sadly predictable in so far as it suggests that there has not really been a proper understanding of what is happening on the ground, where there is genuine concern about the impact of the cuts, which could be quite difficult. Pastoral support and guidance is part of the entitlement funding, and that is very much part of the core of the education system as it stands.
Tim Loughton
I understand the hon. Gentleman’s point, but he must understand that we have had to make these difficult choices. In an ideal world and an ideal economy, we would be able to service and finance a full academic and enrichment programme and the complementary aspects that much of that brings, but we do not have the luxury of that choice at the moment. As I have said, I am not in any way trying to undermine the importance of some of the things that he has suggested. The chess clubs, the debating societies, the Duke of Edinburgh’s award scheme, and many of the things that went on in his own college are indeed important. But at a time when we want to maximise participation by all 16 and 17-year-olds, alongside a need to respond to extremely difficult economic circumstances, providing a funding entitlement to those activities to all full-time learners cannot be a priority.
Damian Hinds
In acknowledging, as I think everybody does, that in this very difficult financial situation economies have to be found, does my hon. Friend agree that the conversation could be broadened to address some other elements? We could look at some of the cost drivers and things that go on in sixth forms today that did not take place when any of us were there—for example, the number of exams that students do and the growth trend in the number of one-year-only AS-level courses. I am not saying that I have a recommendation to make, but merely suggesting that some of these things could be part of the discussion about where to find economies.
Tim Loughton
I am happy to pass on those comments. Obviously, more detail will come out in the proposals. As a priority, we must equip the students going through this part of the educational process with the skills, qualifications and educational know-how that they need to go out and compete in the big wide world. These will be decisions for heads and principals to make at the sharp end.
I accept that tutorial provision for all is important, and that is why we have protected that, as far as possible, but at a time when we need to ensure that our funding of 16-to-19 learners is as effective as can be, we have to focus funding on those who need additional support. That is why—the hon. Member for Scunthorpe mentioned this—we have recycled the savings into areas of a higher priority where we know that more needs to be done.
Our second priority is to increase support for the most disadvantaged and less able young people; I alluded to this earlier. Only about a quarter of young people on free school meals in year 11 get the equivalent of two A-levels by the age of 19—half the level of those who are not on free school meals. I am aware of the hon. Gentleman’s excellent track record while he was principal of John Leggott sixth form college. Perhaps I could now politely turn down, while very much thanking him for it, his invitation to the spring concert at John Leggott college at Easter. If I can possibly go the following year, I will endeavour to do so, if it is still going by then. I am sure it will be all the better without me.
To be serious, I am aware of the hon. Gentleman’s excellent track record while he was principal of that sixth-form college in raising the aspirations and attainment of disadvantaged learners. I am sure he will agree that that is a key priority for the available funding. If he is looking for takers for concert tickets, I am sure that the hon. Member for Ealing North (Stephen Pound)—one of the old rockers in the House—will endeavour to go along and bring great gaiety of the proceedings, as he always does to proceedings in this House.
We are replacing what we see as the inefficient EMA programme with a new discretionary learner support fund to focus resources on those in real financial hardship and to ensure that no learner is prevented from staying in education as a result of their financial situation. That is also why we are increasing the amount of 16-to-19 funding for those learners from 2011-12. Funds will be increased by more than a third to £770 million. We will not dictate to schools and colleges how they should use that funding. They know best how to attract and provide for disadvantaged 16 to 19-year-old learners. However, I would expect some of the funding to be spent on the activities previously funded under enrichment, but targeted specifically at the learners. That relates to the point made by my hon. Friend the Member for East Hampshire (Damian Hinds).
Andrew Percy (Brigg and Goole) (Con)
The Minister is right to comment on the record of my neighbour, the hon. Member for Scunthorpe (Nic Dakin) at John Leggott sixth form college. On the issue of EMA funding, will protections be put in place to ensure that when colleges are near to each other and are in competition, the discretionary learner fund is not used as a way of recruiting students to a particular college, and that it is genuinely used for the students and young people who need it?
Tim Loughton
That is a very good point, and it will certainly be taken into consideration. I will pass those comments on to the Minister of State. We have to add such practical considerations to the mix as the proposals are rolled out.
For future years, we have said that we will consult on a review of the funding formula with a view to operating a young person’s premium to support attainment by the most disadvantaged students. The coalition Government’s determination to close the attainment gap between those from the wealthiest and poorest backgrounds lies at the heart of the radical reforms we are introducing to ensure that young people reach adulthood with the knowledge and aptitudes needed to lead rewarding and successful lives.
Bill Esterson
I am grateful to the Minister for giving way again. In quoting the principal of Hugh Baird college, I mentioned employability skills. The Minister has touched on the preparation of young people for leaving education. With youth unemployment hitting a million, that is a key challenge for the Government and for colleges. I urge him to ensure that, whatever changes are made, the issue of employability skills, which was covered under the entitlement fund, is taken on board. I accept his point about targeting learners from the most deprived backgrounds, but very often people are missed by such approaches. A wider group of young people is affected, as was the case with the withdrawal of EMA.
Tim Loughton
The hon. Gentleman makes a good point. Employability skills are an important complement to qualifications. In this increasingly competitive world, with the concerningly high levels of youth unemployment, we must ensure that every possible tool is available to young people to make themselves employable in the work force, for example in areas where we have requirements in the current highly competitive global trading environment.
Attainment at 16 is the strongest predictor of participation and achievement beyond that age. That is why we set out a clear programme of reform in the schools White Paper that is intended to raise standards so that by age 16, all young people have the basics they need to go on to further education and training. We know that young people from disadvantaged backgrounds are least likely to participate post-16, as Members have said. That is why we are focusing additional support on them, to ensure that they make the progress needed to go on to further learning. The pupil premium will target extra funding to the most deprived pupils, to better ensure that they reach the critical transition at age 16 with the knowledge, aptitude and attitude to go on to even higher success.
The hon. Member for Scunthorpe asked me a couple of specific questions, one of which was on when the allocations will be made. Individual institutions will get the details of their allocations by the end of March. If we can make it sooner, we will, to address the issue of clarity, which he rightly mentioned. He asked whether we would look again at the disruptive impact there can be on different groups of post-16 students, and I shall pass on his comments. He also asked whether I would meet him and a delegation to discuss these matters. I am absolutely delighted, on behalf of the Minister of State, to offer him that very meeting with the person most appropriate to take on board his views and appreciate the comments that he will make. I will ensure that my hon. Friend’s office gets in touch with him very soon.
We are committed to full participation for 16 and 17-year-olds, but because of the financial constraints in which we find ourselves, we have had to make difficult decisions to deliver on the priorities. We might not have made some of those decisions had the financial position been better, and they have not been easy, but they have been made with the principles that I have set out in mind—focusing support on the most disadvantaged, addressing the attainment gap and giving greater autonomy, control and freedom back to people who run institutions at the sharp end.
Sheila Gilmore (Edinburgh East) (Lab)
I am in some ways an observer in the debate, and I have been listening with great care. It seems to me that there is a risk that in concentrating on the most deprived, we will take away from the next group up. Many of the additional features in the education system are important if we want to see more young people equipped to go to university, as I think the Government do. People from that next group up will be missing the skills and so on that those from private schools have, so is it really better to help the deprived at the cost of another group of people who also need help if we are to close the gap to university entrance?
Tim Loughton
I think the hon. Lady appreciates that one cannot get a quart out of a pint pot, and that is the dilemma in which we find ourselves. For too many years, the biggest scandal in educational achievement at all levels has been that the most disadvantaged, measured as those who have free school meals, have seen the achievement gap widen. They have not had the opportunity to compete on a level playing field and achieve aspirations that many people take for granted. That is not fair, it is not sustainable and it will not be tolerated under this Government.
That is why it is morally right, and the most practical way forward, to ensure that we target as much help as possible on particularly disadvantaged students at all levels. That will mean that everybody else has to share some pain, and ideally that would not have to happen. However, if it is a question of priorities, I want disadvantaged students to get the extra leg-up and extra support that, too often, they cannot provide for themselves. The Government, the Department and the House have a duty of care to ensure that that extra help is available.
The Government have shown that they have the mettle to make the difficult decisions. These are going to be turbulent times, but the Government also have the nous to shift funding from lower-priority areas to where it is genuinely needed. I thank the hon. Member for Scunthorpe for bringing the debate before us this evening and for making his comments in a measured and well-informed, albeit anoraky way. This is a matter of great concern to him and all hon. Members, whether they have further education sixth forms in their constituencies or constituents who use neighbouring ones. We will endeavour to monitor the impact of the changes, particularly on the most disadvantaged, and ensure that we get the best bang for our buck and make the very best impact on those who need it most.
Question put and agreed to.