Post-16 Education and Skills: Funding
Debate between Baroness Wolf of Dulwich and Baroness Blake of Leeds
Baroness Wolf of Dulwich (CB)
My Lords, in begging leave to ask the Question standing in my name on the Order Paper, I declare an interest as a governor of a 16-19 academy.
Baroness in Waiting/Government Whip (Baroness Blake of Leeds) (Lab)
My Lords, additional funding for 16-19 schools and further education over the next two years was announced yesterday. As a result, overall 16-19 programme funding per student in the academic year 2026-27 will rise by about 4% compared with 2025-26, rather than the 1.66% that we had previously estimated. This will build on the significant increase in funding rates in the academic year 2025-26, when the average per-student funding rose by 8.7%.
Baroness Wolf of Dulwich (CB)
I thank the Minister for her reply and was delighted to hear the announcement yesterday. But there is a more general issue. This country, unusually, underfunds 16-19 education compared with 11-16—lower secondary—education. The post-16 White Paper was very welcome because it acknowledged the critical importance of this phase. Yesterday the Government announced an increase to previously announced funding, but the details are unclear.
The key point for teachers is the base rate funding. The base rate funding that has been confirmed for 2026-27 is an increase of marginally over 0.5%, which is way below inflation and about a fifth of the increase estimated for pre-16. Meanwhile, we have a confirmed 3.5% pay increase next year for all teachers, which the Government have accepted will not be fully funded. We have FE colleges facing unfunded growth in student numbers; 16-19 schools are among the very best in the country for results in social mobility, but they are cutting their teaching programmes. Can the Minister tell us when we will get at least clarity on the 16-19 funding rate, the base rate, for the imminent new academic year?
Baroness Blake of Leeds (Lab)
I pay tribute to the noble Baroness’s dedication and persistence in supporting the FE sector, which I too believe is fundamental for the future success of our young people but also for the economy of this country. I cannot give her the detail that she wants, as she is probably aware, but we will announce the revised rates for the coming academic year later this month. There will be an increase in the 16-19 base funding rate—but also in the disadvantaged block funding rate for low prior attaining students, children in care and care leavers. Institutions will receive their increased allocations in the autumn.