(5 years, 8 months ago)
Lords ChamberMy Lords, I congratulate the noble Baroness, Lady Morris, on securing this important debate on school funding. I acknowledge her great experience on this subject, particularly as a former Secretary of State for Education. It is a key priority for this Government to ensure that every child receives a world-class education to enable them to reach their full potential. We are determined to create an education system that offers opportunity to everyone, no matter what their circumstance or where they live. Raising educational standards is the key to everything we are doing, so ensuring that the financial resources are divided in the right way is vital to that.
However, I know enough about basic psychology to know that most noble Lords will approach this debate with their minds made up. None the less, as ever, I will do my best to show the House that the picture is far less bleak than commonly portrayed. We are making significant progress: more schools than ever are being rated good or outstanding. The noble Lord, Lord Watson, challenges that and says that the framework has changed. I suggest that it is actually tougher than it was seven or eight years ago. The attainment gap is closing—a significant priority for us—and, if we are here for social mobility, then that is one of the greatest pieces of evidence of what we have done. We have launched 12 opportunity areas to drive improvement in parts of the country that we know can do better. We are investing in our schools and have delivered on our promise to reform the unfair, opaque and outdated school funding system by introducing the national funding formula.
As my noble friend Lady Eaton said, we are investing an additional £1.3 billion in our schools across this year and next, as confirmed in our 2015 spending review. This significant additional investment means that core funding for schools and high needs will rise from almost £41 billion in 2017-18 to £42.4 billion in 2018-19 and £43.5 billion in 2019-20.
I take on board the comments from the noble Baroness, Lady Morris, and other noble Lords about statistics, but the independent Institute for Fiscal Studies has shown that real-terms per pupil funding for five to 16 year-olds in 2020 will be more than 50% higher than in 2000 and some 70% higher than in 1990. We could put these figures in a different way, and I accept that these debates can become somewhat reductive, but this is another way to deal with it than the way the noble Lords, Lord Bassam and Lord Storey, did. Putting it in the context of an average classroom, funding for an average primary school class this year is £132,000—up from around £124,000 a decade ago and £84,000 in 2000. That is in today’s prices. Those same children will receive an average of £171,000 when they move to secondary school per class, up from around £161,000 a decade ago and £109,000 in 2000, again in today’s prices.
It is not just the quantum of funding available that matters; it is vital that it is distributed fairly and where it is most needed. Prior to our recent reform of the funding system, schools with similar pupil characteristics across the country had been receiving markedly different levels of funding for no good reason. For example, Coventry received £510 more per pupil than Plymouth, despite having equal proportions of pupils eligible for free school meals. Nottingham similarly attracted £555 per pupil more than Halton. That is why our commitment to reform the unfair school and high-needs funding systems and introduce the funding formula has been so important. I am pleased that it has been this Government who have been able to deliver on that. The introduction of the national funding formula means that this year, for the first time, funding was distributed to local areas based on the individual needs and characteristics of every school in the country. This historic reform is the biggest improvement to school funding for a decade and is directing resources where they are needed most.
On a lighter note, I have a cold—I apologise to noble Lords—and I asked my office to get me some Tunes for my speech. None of them had ever heard of Tunes, so they said that they would google them. They sent a note through the Box just before I came here that said, “We couldn’t find choons”. Maybe my education priorities should be refocused.
Schools are already benefiting from the gains delivered by the funding formula. It has allocated an increase for every child in every school this year, while allocating the biggest increase to those schools that have been most underfunded. This year, schools that have been historically underfunded have attracted increases of up to 3% per pupil. Next year those schools will attract up to 6% more per pupil, compared with 2017-18.
We are particularly focused on supporting children who face great barriers to success, be that because they come from a disadvantaged background, have low prior attainment, or speak English as an additional language. Evidence shows that pupils with these characteristics are more likely to need extra support to reach their full potential. It is vital that we help schools to provide the support these pupils need. The national funding formula has protected the £5.9 billion additional needs funding across the system.
Under the national funding formula, a secondary pupil who had low attainment in key stage 2 will attract some additional £1,550 per year while in secondary education. A secondary pupil who speaks English as an additional language will attract an additional £1,385. A secondary pupil eligible for free school meals and living in one of the most deprived postcodes will attract an additional £2,035. Funding through these factors is all in addition to the basic per pupil funding that the child attracts. These important priorities are often misunderstood or ignored by the commentariat. I accept that it is a complicated system, but it is very much aimed to deal with those children in most need.
My Lords, I do not know whether the noble Lord is about to leave the question of the funding formula, but before he does, could he comment on the observations from my noble friends Lady Morris and Lord Knight that, while there might be some merit in the formula in itself, trying to implement it when the overall quantum of funds available is not increasing sufficiently means there will inevitably be many losers as well as a few gainers?
My Lords, I entirely accept that this is an extremely difficult subject that has been kicked down the road for a long time. Doing it at a time when there are not huge amounts of additional money makes it difficult, but the system puts a floor in the bottom so that no one loses out. Of course, the debate will always be about why we are not moving the bottom ones up quicker. I met a head from West Sussex only last week—
The noble Lord is being extremely courteous and helpful to the House, but what he does not seem to be doing is explaining why it is that all these schools, in experiencing what he is saying are increases in budgets, are also experiencing reductions and losing the ability to provide the level of service that they have provided in the past. The Barnet study is a good case in point, because it is not just one isolated school; it is all the Barnet schools. While I am here, I recommend to the noble Lord that he uses Lockets next time, rather than worry about Tunes.
I thank the noble Lord for that very important piece of advice. There is a very complicated answer to the noble Lord’s question. It goes right back to the 1990s, to a system of training called COSMOs that was given to head teachers then. That training has not been continued and has lapsed, but what it showed senior leaders in the 1990s was how to most effectively allocate resources in their schools. A lot of those skills have been lost. I will cover some of the individual questions that have been raised—I have some figures for the noble Lord, Lord Bassam, on Barnet, for example.
I now turn to high needs. We recognise the concerns of the noble Lord, Lord Addington, and my noble friend Lady Eaton about funding for children and young people with high needs. We are also concerned about provision for excluded pupils. We have produced a range of support for local authorities to help them best use the resources they have available, including a high needs benchmarking tool by which they can compare spending. We have increased overall funding allocations to local authorities for high needs by £130 million last year and £142 million this year. We will increase this further next year, by approximately £120 million. In fact, high-needs funding will be more than £6 billion next year and will have risen by £1 billion since 2013. Every local authority will see an increase to their high-needs funding per head of the population of two to 18 year-olds this year and next, with underfunded authorities receiving up to 6% more next year than in 2017-18.
The noble Lord, Lord Knight, and the noble Baroness, Lady Massey, asked about mental health care for young people. We are very concerned about that—one would be callous to say anything else—and are putting more resources in. Our Green Paper last year set out proposals to support schools to put in place senior leads for mental health, to introduce new mental health support teams working in or near schools and colleges, and a trial of a new four-week waiting time for NHS children and young people’s mental health services. As came up in a Question earlier this week, the NHS itself is committing £2 billion more to mental health, which will include, over the next several years, adding 8,000 mental health professionals to the system.
The noble Lord, Lord Addington, asked about improving teaching for, and increasing awareness of, the kind of challenges that he is so passionate about. We are increasing the level of resources available to help teachers support children with SEN. We have a special resource in the initial teacher training modules. We have online resources for teachers and the department has also contracted with the Whole School SEND Consortium to deliver a programme to equip schools to support children with SEND, which includes dyslexia.
The noble Lord, Lord Addington, was also concerned about education, health and care plans. We carried out a survey last year that showed that 66% of parents are satisfied with the process. This is, of course, a new process and one we aim to improve.
Turning to efficiency and the points raised by the noble Lord, Lord Watson, on high pay, I completely share his concern about high pay in academies. The very first thing I did when I took on this job just over a year ago was to tackle it. We went after about 213 trusts, I think it was—more than 200 trusts—and since then 56 have stopped making those sorts of payments, for various reasons. That is a campaign that I will continue. I completely support the noble Lord in calling out those who do that.
On school resource management more generally, we recognise that schools have faced cost pressures. I want to be clear to the House that we are not in denial about that. The idea that I operate in a citadel is a dream that I can aspire to, but the real world is rather different, and that is why we are providing extensive support to schools to help get the best value out of every pound. We recently launched a strategy setting out the support, current and planned, that we have designed to help schools reduce costs. It provides practical advice on how to identify potential savings from their non-staff spend that can be put back into teaching to get the best value. To put that in perspective, we have a non-staff spend of about £10 billion a year, and we believe that £1 billion of that could be pulled out of the system over the next three or four years.
We know that marketplaces can be complex, leading to schools facing higher costs than they need to. The initiatives in our schools buying strategy aim to reduce this complexity when procuring goods and services. For example, we recently launched an agency supply teacher deal to provide schools with greater transparency on costs. We now have 34 national deals to help schools save money on items they buy regularly.
The noble Lord, Lord Storey, referred to my comments at the Schools & Academies Show last week—he is obviously very thorough in his research. The reason I used a somewhat strong or controversial approach there is that, for a year now, I have been going round forums such as that show giving endless speeches pointing out that we have these deals available for schools. In the audience for the address he referred to were 200 head teachers and chief executives. I asked those who had used our deals to put up their hands. Out of the 200, five put up their hands. When I arrived in this job a year ago, I wrote to 1,300 chief executives of trusts and told them about the deals that were in place. I said, “If they are no good, please tell me”. How many responses did I get? I did not get one response. I understand the pressures in the system, but the system also has to respond to us. Since we are trying to help them improve efficiency, they need to tell us how we can help them more. That is why I made those comments the other day: it was not to be glib. I am a huge fan of spreading best practice and if there were schools in that audience that were doing interesting, innovative things, I want to let other schools know about that. It is important to put that into context because the trade magazines made fun of me, which of course is grist to the mill in this job.
We have created a benchmarking website for schools. This allows them to compare their spending with that of similar schools elsewhere in the country. We continue to improve this service and recently introduced a trust-to-trust comparison functionality. This will help school and trust leaders to identify if and where improvements can be made.
I am conscious of time. On teachers’ pay and pensions, we have recently responded to recommendations made by the School Teachers’ Review Body to confirm the 2018 pay award for main scale teachers. It is our aim that schools continue to attract high-quality recruits—I take on board the many comments about recruitment challenges—and this award will support them to do that. We will see a 3.5% uplift to the main pay range, 2% to the upper pay range and 1.5% to the leadership pay range. In the main pay range, it is important to stress for noble Lords, this is the biggest percentage increase since 2011.
The Minister has not mentioned the fact that schools are meant to meet the first 1% of the pay rise themselves, so that is not funded. Can he explain that? Can he also answer my earlier question as to whether he accepts the figures in the Institute for Fiscal Studies report?
The noble Lord is correct that the first 1% of the pay rise is expected to be funded by schools. We believe that that is possible within the efficiencies that I have mentioned. As for the Institute for Fiscal Studies, I believe that it includes within its figures the 16 to 19 year-olds sector, which has seen a tougher regime than the mainstream system: I acknowledge that. We are fully funding the teachers’ pay award beyond the 1%. This will be worth £187 million in 2018-19 and £321 million in 2019-20.
On pensions, we propose to fully fund the increase in pension contributions recently announced for state-funded schools. We know that school budgets for the academic year have already been agreed and, in most cases, schools have allocated those budgets. That is why we have worked with the Treasury to get agreement to implement the changes from September 2019, rather than April 2019. We will consult on the best mechanism to distribute funding to individual schools and announce how it will be distributed in good time, before schools experience the pressures in September 2019.
As we distribute this funding, we will be at the same time more fairly in line with the best available evidence. For example, by using a range of indicators to measure deprivation we are able to ensure our funding reaches all those pupils who need it. It is not limited simply to those who qualify for free school meals. Alongside the additional needs funding in the formula, we continue to deliver the pupil premium, with more than £2.4 billion this year. This is above the funding that we provide through the national funding formula. We will have invested over £13 billion in the pupil premium since 2011 to improve the outcomes for less well-off pupils.
I will now try to address specific questions raised by noble Lords. The noble Lord, Lord Bassam, asked about Barnet but I think he has gone. No, he has not—apologies. Under the NFF for 2019-20, schools in Barnet will attract £4,999 per pupil. This is an addition of £68 per pupil, or 1.3% compared to the 2017-18 figure. The total cash funding will increase by 3.2% and an additional £7.7 million, once rises in pupil numbers are taken into account. Just to explain how important that is, the marginal additional cost of educating one more pupil in a school is not the average per pupil amount. Barnet’s local authority received £48.1 million for high needs, an increase of £1.2 million compared to 2017-18.
My noble friend Lady Eaton and the noble Lord, Lord Watson, referred to the EPI report and the rise in deficits. They are rising, which is a concern, and I am having to spend a great deal of time on that. We are offering advice to local authorities on how to deal with this, but to put things in perspective, 91% of maintained schools reported a cumulative surplus, or that they would be breaking even in 2016-17, with total surpluses of more than £4 billion against a total deficit figure of less than £300 million.
The noble Baroness, Lady Morris, mentioned the shortfall in academy accounts. This is a myth that I want to slaughter early before it gathers traction. The figure referred to is driven almost entirely by an increase in impairment charges, which are non-cash changes to the value of land and buildings. Academies do not have to spend money on impairment charges, and a more realistic figure is that of the net cumulative reserves of the academy sector, which has seen an increase from £2.1 billion to £2.3 billion.
I share the concerns that the right reverend Prelate the Bishop of Worcester and the noble Lord, Lord Storey, have about rural schools. That is why I attended the Lambeth Palace address earlier this week and met the right reverend Prelate the Bishop of Ely yesterday, when we specifically discussed rural schools. I again make a pitch for multi-academy trusts, which are a very good solution to the problem. It is complicated in rural areas because of distance and how small many schools can be but, as I said in my address at Lambeth Palace, we are committed to always having a presumption against the closure of a rural primary school. They are the glue of these rural communities. My own son went to one, which faced closure last year. Since it was in Norfolk, the noble Lord, Lord Watson, would have been upset if I had intervened, but I did not. However, I am pleased to say that it has now joined an academy trust—one which I can tell your Lordships I have nothing to do with. It is important that we have sparsity funding, which is allocated to rural schools. The NFF allocates £25 million and we also give every school a lump sum of £110,000. When that lump sum is coupled with the sparsity factor, it provides meaningful support.
The right reverend Prelate made particular reference to a school where he said that the head teacher was struggling because the school had been asked to double the number of pupils. We have allocated a tremendous amount of basic need funding, with £7 billion during the current spending review between 2015 and 2021. Over the course of the Parliaments since 2010, we have increased the number of pupils by some 825,000 and they have all been funded. I want to reassure him on that.
The noble Lord, Lord Knight, asked about teacher recruitment and supply teachers, among other issues. I mentioned that we have just created a teacher recruitment service, which is now being rolled out across the country. It is a much more cost-efficient service than that provided in the market generally. Likewise, with supply teachers we have created another portal which has got the main supply firms in the country together. It has made them cap their fees and stopped the pernicious practice of charging a recruitment fee if the supply teacher becomes a permanent employee after a number of weeks. These may be only small things, but they all add up.
The noble Baroness, Lady Morris, raised issues about capital. We have committed some £23 billion to capital between 2016 and 2021 but, significantly, I should stress that we have also reduced the build costs per square metre by some 30%. This rises to 35% per square metre when improvements in efficiency and design are included, so we are very committed to that.
The noble Lord, Lord Storey, gave an example of a friend who wrote about possible boiler problems in his or her school. I am not sure whether he said it was under a local authority or an academy but, if it was a local authority school, we make an allocation to local authorities every year of the school condition allowance. It is then for schools inside a local authority to bid in for that. If it was an academy and had more than 3,000 pupils, the academy trust is given an amount of capital which it can then choose to spend as it sees fit.
This leads me on to the BBC documentary “School”, which I have not seen all of, although I of course will do so. However, I saw the first part and felt it was a very disappointing piece of journalism, because it was clearly set up to show how bad everything was. There are a number of challenges in that trust, but just on repairs one line from the journalist said that there were terrible, draughty windows and that the classrooms were therefore cold. When I looked up the figures for the school condition allowance, this trust receives over £1 million from that a year. The school in question—I think it is called Marlwood—is the biggest and, although we do not publish individual amounts per school, because the academy trust is free to use it as it sees fit, I can assure the House that there was plenty of money to deal with those windows. If it had a better call on its money than windows that increase heating costs, this is the sort of thing I get frustrated about. It is not all as one-sided as people think.
I am running out of time—my goodness, I apologise—and I had better sum up. On efficiencies in schools, I heard the comment from the noble Lord, Lord Watson, about the Harris Federation. The fact is that the Harris Federation is so efficient that it is able to employ centrally 80 school improvement teachers, who go out into its weaker schools—or ones it has just taken on—and provide the extra resource. That is one of the secrets of it being such a high-performing trust. Outwood Grange, a trust in the north of England, does a similar thing: it has 65 centrally employed school improvement teachers doing exactly the same and raising standards. It already has more than 900 pupils registering year-on-year for the schools that it took over from WCAT—a trust that failed—because of the improvements being seen.
I apologise for interrupting the Minister. I just want to be clear for the record that I was not criticising the Harris Federation, for which I have a high regard, but I wish that the noble Lord, Lord Harris of Peckham, had the same regard for the Government’s new funding formula.
I had dinner with my noble Friend, Lord Harris, two nights ago and he is always frank in his views. He is a passionate advocate for his schools and what he has achieved is fantastic. I would like that to go on the record.
I would also like to give an example of a relatively small trust, the Thinking Schools Academy Trust in Kent, which has taken the novel approach of paying £2,000 more to its newly qualified teachers when it recruits them. You may say, “There’s no money around, so how has it done that?”. It has done so because its retention rate on teachers is double the national average. It has only a 10% turnover of staff every year, as against a national turnover of 20%. Thinking in ways like that can make such a difference.
I have been told to stop. I am very grateful to the noble Baroness, Lady Morris—
I am sorry to delay the end, but I asked when the Government were going to review the transition to the new funding formula.
My apologies. We are on a soft programme at the moment that is being reviewed, and then it will be reviewed more formally with the spending review. So I cannot answer that question at the moment. As the noble Lord will know, we are experimenting with giving delegation to local authorities for the high-needs funding block. Some local authorities are using that and some are passing all the funding straight back to schools. That soft launch will last until the funding review, which will be next year.
I thank all noble Lords for their contributions to this important debate. Even more, I pay tribute to the hard work of teachers and schools who give their best to raise standards in our education system. I have worked very closely with these wonderful people and I support the noble Baroness, Lady McIntosh, in what she said about the morale of teachers in the workforce and the fact that they are making a vital contribution.
We are changing the way that funding works. It is not easy, but we are seeing it beginning to bear fruit. This will underpin a further improvement in standards to help create a world-class education system that finally allows every child to achieve their potential, no matter what their background.
(5 years, 9 months ago)
Lords ChamberTo ask Her Majesty’s Government what steps they are taking to develop mental health support in schools.
My Lords, many schools already promote their pupils’ mental health and we are providing significant new support to them. In July, we confirmed our commitment to train mental health leads in schools to develop whole-school approaches to promoting and supporting good mental health. But schools cannot act as mental health experts, so we will also provide increased specialist support from new, clinically supervised mental health support teams.
I am grateful for the Minister’s reply. He will be aware that 65% of children and young people who have mental health problems currently get no support. I am aware of the trailblazers but they will take time to be established and teach good practice. We have a resource in schools which, sadly, is underfunded. It has too many vacancies and spends all its time on its statutory responsibility of reviewing cases under the Children and Families Act—I mean, and thus mention, our educational psychologists. Why can we not provide extra resources so that educational psychologists who are in post can do this work to provide support for children and young people with mental health problems?
My Lords, we are improving specialist children’s and young people’s mental health services with our £1.5 billion investment from 2015. We recognise that we need to do more, which is why the NHS will invest at least £2 billion a year in mental health, including children’s services, under the recent Budget proposals. Our Green Paper proposals are about providing support quickly through teams directly linked to schools and testing four-week waiting times for more specialist follow-up. We are absolutely not complacent about this vital area.
My Lords, frequently children with ME are diagnosed as having a mental health problem at school, which leads them into child protection proceedings. Can the Minister please ensure that the people responsible are aware of the fact that ME is not a mental health condition so that these children are not treated as mental health patients?
My Lords, that is the reason why we are rolling out mental health training in schools. Since April last year, we have already trained 1,300 teachers across 1,000 schools to increase awareness of subjects such as the one the noble Countess raises.
My Lords, I understand that the number of school nurses and counsellors has dramatically decreased over the past few years. Can the Minister confirm this? What is the role of school nurses and counsellors, or do they no longer have one because they have disappeared?
My Lords, it is up to individual schools to deploy their resources as they see fit. Where school counsellors provide an important role, I am sure they are used, but as I said in answer to the supplementary question asked by the noble Lord, Lord Storey, we are deploying more resources into this area in schools.
Is the Minister aware that the Jewish Leadership Council has just launched a scheme to improve mental health in schools? Trained counsellors/well-being practitioners are being recruited to five schools—two primary schools, Rimon and Broughton Jewish, and three secondary schools, JFS, JCoSS and Yavneh College—for a three-year pilot. Will the Minister join me in congratulating Yavneh College, Spencer Lewis, the head teacher, and the staff as, according to the Sunday Times, it has just been announced as the best performing non-selective school in the country?
My Lords, many faith schools are high performing and achieve consistently high exam results. I am happy to join my noble friend in congratulating Yavneh College. Many of the best schools focus on well-being as an intrinsic part of their job, so I welcome the initiatives highlighted by my noble friend. Promoting well-being can help prevent problems arising or escalating, ensuring that both the school and pupils are provided with the tools they need to achieve the best results.
My Lords, while I am grateful for the increased funding that is now available for mental health services for young people, is the Minister aware of the real difficulties facing young people in a crisis situation? I am thinking of a 14 year-old who asked his father to take him to the GP because he was afraid he might do something silly. The GP sat and listened very sympathetically, but then said, “I’m afraid there’s very little I can do for you. If I give you a referral to CAHMS, you probably won’t get an appointment for a year”. Is that not a crisis situation?
My Lords, there are always going to be individual incidents such as that, and that is why we have made such a big commitment to increasing mental health funding over the few next years, including for children’s mental health. As I mentioned in answer to an earlier question, improving awareness of mental health issues, such as the trauma just mentioned by the right reverend Prelate, will help us deal with these cases.
My Lords, does the Minister agree that having a few people trained in every school does not mean you will get throughput unless you have basic awareness among the staff? That can be achieved only by continuous professional development structured in an awareness package, so that you get to the people you are training.
My Lords, we are introducing mental health training as part of teacher training. We are beginning a voluntary scheme in September next year, and that will become a compulsory part of teacher training programmes. Returning to the earlier point about funding, we aim to add another 8,000 mental health professionals to the system over the next few years.
My Lords, may I add another element to this vital debate? It is about all schools having a school garden. I shall quote from a recent report by the King’s Fund:
“The mental health benefits of gardening are broad and diverse. Studies have shown significant reductions in depression and anxiety”,
and “improved social functioning”. This costs unbelievably little, and lessons can be based around it. In my time running the London Food Board, I put many gardens into London schools, and the effects were dramatic. The cost is as little as 50 quid—with a bit of volunteering—and it has a permanent, long-term effect.
I strongly support the noble Baroness’s comments on children’s exposure to outdoor activities. There is a very good trust, the Country Trust, which takes children on to farms in the same spirit as just mentioned. I think this is enormously important. I am the Minister responsible for the disposal of land in schools, and I intervene weekly to ensure that land used for such outdoor pursuits is not disposed of.
My Lords, does the Minister not realise that the answer he gave to the right reverend Prelate about it taking a year to get help for a child in need was extraordinarily disappointing? Can nothing be done to deal with these urgent cases, about which the right reverend Prelate made such a persuasive point?
My Lords, we are committing to and experimenting with much shorter waiting times in the NHS to bring that down to four weeks. The rollout of the trailblazers will be in exactly the same spirit: to learn best practice, which we can then adopt across the whole system.
(5 years, 9 months ago)
Lords ChamberThat the draft Regulations laid before the House on 5 September be approved. Considered in Grand Committee on 30 October.
My Lords, in the absence of my noble friend Lord Agnew, I beg to move the Motion standing in his name on the Order Paper.
(5 years, 9 months ago)
Lords ChamberMy Lords, I congratulate the noble Baroness, Lady Massey, on securing this important debate. I am grateful for this opportunity to set out the Government’s actions to improve children’s social mobility and life chances through early intervention. We have had many serious contributions today and I will attempt to answer the many questions that have been raised, but if I am not able to answer them all I will, of course, write to any noble Lords I have missed.
The Government are committed to early intervention and building the evidence base to underpin it. Early intervention means effective prevention, identification and evidence-based intervention across multiple professions, which places the child at the centre. The noble Baroness, Lady Massey, and the noble Lord, Lord Watson, are right that early intervention saves money and saves wasted lives. We can all agree on that. I welcome my right honourable friend Andrea Leadsom’s ministerial working group, which will review how to improve the support available to families in the first two years of a child’s life. Early intervention is a cross-government concern.
Research suggests that there are short and long-term educational and socioemotional benefits of attending early childhood education and care. This Government have prioritised investment in early education. This includes 15 hours of free early education per week for all three and four year-olds and an additional 15 hours per week for three and four year-olds of working parents. Since 2013 we have invested over £2 billion in early education for disadvantaged two year-olds and nearly 750,000 children have benefited from this. I take on board the comments of the noble Baroness, Lady Morgan, about the high salary entitlement that can trigger this support and I will certainly refer this to the Treasury for the next spending review.
The noble Baroness, Lady Bull, and the noble Lords, Lord Watson and Lord Russell, asked questions on early years and I hope I will be able to address their points. The noble Lord, Lord Russell, asked what assessment will be made of whether new spending on preschool children is improving social mobility. The free entitlements are just one part of the overall package for social mobility in the early years. We announced a range of initiatives to support disadvantaged children in our social mobility action plan, Unlocking Talent, Fulfilling Potential, investing £100 million across early years programmes, and we will be evaluating the impact. To answer the question of the noble Lord, Lord Watson, we are in the process of raising a tender exercise for that at the moment.
We are determined to close the gap between disadvantaged children and their peers and the early years are crucial to getting this right. The gap for children achieving a good level of development continues to narrow, from 19 percentage points in 2013 to 17 percentage points in 2017. We continue to monitor the progress of children in early years through the publication of the early years foundation stage profile. The study of early education and development also began in 2013 and is following almost 6,000 children between the ages of two and seven to understand the benefits of early education and care in England.
The noble Lord, Lord Watson, asked that we ensure that nursery settings are led by someone with a relevant degree-level qualification. We recognise the importance of having a highly skilled early years workforce. Recruiting graduate early years teachers into the private, voluntary and independent early years sector remains a challenge, despite significant investment by successive Governments since 2006. It is therefore important that we consider complementary approaches to developing the skills of the early years workforce. This is why, as announced in the social mobility action plan, we will be investing £20 million in early years professional development activity in disadvantaged areas. We remain committed to ensuring that there are routes to graduate-level qualifications into the early years sector, as well as the existing early years initial teacher training programme that offers funded places and bursaries. We will also be developing apprenticeship pathways, enabling those in the early years workforce to progress up to a graduate-level qualification.
The noble Baroness, Lady Bull, asked how we will prioritise the potential for the early arts as a method of learning. Expressive arts and design is one of the seven areas of learning in the early years foundation stage. It provides a framework for teachers to assess how children’s artistic, creative and imaginative development is progressing, reflecting the importance of creativity in the early years. Expressive art and design is one of the most important ways for a young person’s mind to develop. I reassure all speakers today that the Government are focused on that.
The evidence is clear that the home learning environment is one of the biggest influences on a child’s vocabulary at the age of three and that its quality varies depending on socioeconomic and other factors. We are committed to supporting parents to improve the quality and quantity of adult-child interactions to help unlock the power of learning in the home. That is why we are holding a summit this month where we will convene businesses, broadcasters and a broad range of other organisations to launch a coalition to explore innovative ways to boost early language development and reading in the home. We recognise the importance of growing the evidence base and are working with the Education Endowment Foundation on a £5 million trial of evidence-based home learning support programmes in the north of England.
Local authorities sit at the heart of delivering effective early intervention services. We want to support this, which is why we are working with the Local Government Association to develop our early years local government programme, which is worth £8.5 million. The programme focuses on improving how the local services that work together to improve children’s outcomes in the early years are delivered, with a particular focus on early language. Children’s centres have an important role to play, but it is right that local councils continue to decide how to use them as part of their wider system of local services.
The noble Lords, Lord Loomba and Lord Touhig, and the noble Baroness, Lady McIntosh, all mentioned the importance of early intervention. Good-quality relationships between parents are critical for child outcomes. The reducing parental conflict programme will support all local areas to embed parental-conflict support into wider services for children and will work to ensure that evidence-based interventions are more widely available. We know that alcohol misuse can severely impact on parental conflict, which is why we are investing £6 million to improve the outcomes of children of alcohol-dependent parents.
We have committed over £920 million to the troubled families programme from 2015 to 2020. This focuses on preventive services and aims to achieve significant and sustained improvement for up to 400,000 families with multiple high-cost problems by 2020. The programme, delivered through local authorities and their partners, advocates a whole-family integrated approach across multiple services.
In addition to targeted work, we have national health programmes that support early intervention. These include the healthy child programme, which aims to identify issues early. It is led by health visitors and includes five mandated health reviews, advice, guidance and support to improve outcomes and to support the families of children from birth to five years. Building on this, my department is working in partnership with Public Health England to equip health visitors to support families with early language in the home and ensure that any speech delays are picked up early and the right support put in place.
Engagement with maternity services may be the first time that a woman experiences regular and in-depth interaction with the health and care system. The maternity workforce is well placed to support the long-term health and well-being of women and their babies. In March 2018 we announced a pledge to give the majority of women continuity of care from the same midwives throughout their pregnancy, labour and birth by 2021. The maternity transformation programme led by NHS England is leading system-wide activity to improve well-being, reduce risk and tackle inequalities from the preconception period through to eight weeks after birth. The Government are also investing £365 million between 2015 and 2021 in perinatal mental health services to improve outcomes for mothers and children.
There has been a tremendous focus on children’s mental health from speakers today. The noble Baroness, Lady Young, and the noble Lords, Lord Haskel and Lord Touhig, all raised this important area. One important initiative is Public Health England promoting local adoption of what is known as the prevention concordat for better mental health, which focuses on galvanising action to prevent mental health problems and promote good mental health in all local areas. The design is consciously cross-sector so that professionals from a diverse spectrum of organisations can engage and play their part.
The noble Baroness, Lady McIntosh, asked about the amount of financial capacity in the system. We have announced a package of some £300 million for children and young people’s mental health: £215 million from the Department of Health and Social Care for mental health support teams and £95 million in DfE funding for training designated senior leads for mental health in schools.
The noble Baroness, Lady Young, asked about the impact of outdoor schools on mental health. I congratulate the noble Baroness on her involvement in this area. There is no doubt that exposure to open countryside has an enormously positive impact on young people. The early years foundation stage picks up elements of attachment through personal, social and emotional development. As part of this stage, providers must provide access to an outdoor play area or, if that is not possible, ensure that outdoor activities are planned and undertaken daily. On a personal note, I am the Minister who deals with any application for disposal of land in schools, and I have made it very clear to all schools that apply to me that disposals are conditional on improvement of sporting facilities in those schools.
The noble Baronesses, Lady Massey and Lady Young, and the noble Lord, Lord Pendry, asked about obesity. I have to express a slight conflict of interest here: as a farmer who grows 3,500 tonnes of sugar beet a year I am slightly on the other side, but I absolutely support the obesity strategy, through which we aim to take 45 million kilograms of sugar out of the food system every year. It is absolutely clear to me that sugar is highly addictive: I am certainly one of its victims and I fight the addiction every day. The more we can do in the early stages for children, to remove that dependency on sugar, the better. It astonishes me that you can buy fizzy drinks in supermarkets for less than you pay for bottled water.
We want to support all young people to be happy, healthy and safe. This is why we are making relationships education compulsory in all primary schools, relationships and sex education compulsory in all secondary schools, and health education compulsory for primary and secondary state-funded schools. In health education, there is a focus on avoiding the damaging effects and risks of drugs and excessive alcohol. The Government are committed to supporting the life chances of children who need particular support from the state. Children in need and looked-after children fall behind from the early years, and these poor outcomes are entrenched throughout childhood and adolescence.
Since the Munro review of child protection in England, which highlighted that the use of evidence is fundamental to social work, the Government have prioritised innovation, learning from evidence and best practice. We have invested almost £200 million since 2014 in the children’s social care innovation programme to develop, test and spread innovative new ways of supporting vulnerable children and improving their outcomes. Through the children in need review, we are building the evidence on what works to improve the educational outcomes of children in need, both in and out of school. We are seeking to understand why their educational outcomes are so poor and what needs to be in place to achieve consistently better educational outcomes.
The noble Baroness, Lady Young, asked about the impact of funding on social care demand. The drivers of demand are complex: for example, the sector-led care crisis review found many overlapping factors contributing to the rise in care proceedings and children entering care. There is not a uniform picture but instead, significant variation. We have invested almost £270 million since 2014 to help local authorities learn from what works and to support improvements. We have invested in the Early Intervention Foundation to help build evidence in early intervention strategies. We have invested £10 million since 2014 in the What Works Centre for Children’s Social Care to improve the evidence base in children’s social care, with the aim of translating this into better practice. In the autumn Budget the Government announced £84 million in targeted, evidence-based interventions, with the aim of reducing demand and saving money for local authorities. Most importantly, this is about improving the quality of services for our most vulnerable children.
Through our partners in practice programme, we are working with 20 of the best local authorities to deepen our understanding of what excellent children’s social care looks like and working with other local authorities to improve their practice through sector improvement support. A number of speakers asked about this. The noble Lord, Lord Russell, asked about the APPG. I give recognition to the noble Baroness, Lady Tyler, as co-chair of the APPG for Children’s report, Storing Up Trouble. Since 2010, 45 of what were previously inadequate local authorities in which we have intervened have left inadequacy behind and not returned. This is not intervention for intervention’s sake but improving the lives of children and families. Recently we have gone further, investing £20 million in regional improvement to get ahead of failure.
Our partners in practice programme, which, by the way, has now grown to include 20 of our best authorities, is sharing and spreading excellence across the country. The APPG report recommends that the department works with the What Works Centre for Children’s Social Care and sector partners to evaluate new and developing approaches to meeting the needs of children and families. I am pleased to say that this is already happening. An early priority for the What Works Centre is to understand what works to safely reduce the need for children to enter care and to build our confidence that children are entering care only when that is the best option for them. There are promising signs emerging from our £200 million innovation programme.
On the question from the noble Baroness, Lady McIntosh, about the lack of capacity, since the 2015 spending review we have made more than £200 billion available up to 2020 for councils to deliver local services. This includes children’s services. Funding is important but so is how it is used.
My noble friend Lord Farmer mentioned the boarding school partnerships initiative. I am a huge supporter of this and tried very hard to raise its profile across government and, more importantly, across local authorities. Like my noble friend, I too was in a boarding school. My parents’ marriage collapsed and it was that stability and continuity that gave me the courage to continue my education. My noble friend raised the statistics that came out of the report, albeit a small one, from Norfolk. The figures are very powerful, particularly on outcomes—the percentage of children who came off the register as well as the overall cost. I am endeavouring to increase local authorities’ awareness of this. Almost 60 boarding schools have now committed to bursaries and to helping vulnerable children. My particular focus here is looked-after children who, as we know, get a very raw deal in life.
The noble Baroness, Lady Massey, asked whether I agree that the school system is vital in preparing the whole child, as I would describe a young person. The Government have invested more than £12 billion in the pupil premium over the last seven years, particularly aimed at the most vulnerable members of society. The Progress 8 measure is aimed very much at encouraging schools to lift up lesser-attaining pupils when they enter school. I accept that data can be somewhat dry, but from my business experience, what gets measured gets done. We are seeing some tremendous improvements in these areas.
I commend my noble friend Lord Baker for his passion for education and for everything he has done in his long career in politics. No Peer in this Chamber has spent more time in my office in the last year than my noble friend. I share his passion for technical education. We cannot always agree on everything, but I have tried very hard to help as much as I can. The UTC programme is important, dealing with a cohort of children who are clearly more suited to a technical education. I do not believe that the picture is as bleak as he paints: we now have the T-level programme, to which we are committing some £500 million a year. The EBacc programme, which I know is controversial in this House, is aimed particularly at those from less advantaged backgrounds whose ability to go to good universities is restricted.
My Lords, I know the noble Lord is coming to the end of his remarks, but I hope we have enough time for me just to say that it is not controversial in this House only; it is controversial at large. There are very many people who believe that the EBacc is misguided in the narrowness of its base.
I accept that the noble Baroness says that it is controversial; we will have to agree to differ at this time. I would like to pick up on a slightly more positive issue that she raised in the debate on music and facilitating subjects the other day. I have spoken to two Ministers in the department since, and have agreed that we will write to some universities to test their appetite for adding music A-level to the facilitating subject range.
I apologise, I am running out of time, but I want to say I am very grateful to all noble Lords who have spoken today. All of you have shown great passion and expertise in this area. We all agree that early intervention is vital to promote children’s attainment, health and well-being through their lives. The Government, across departments, will continue to make progress on this agenda, to improve the life chances of this nation’s children, particularly those in the most need of support.
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Lords ChamberMy Lords, I beg leave to ask the Question standing in my name on the Order Paper, and remind the House of my declared interest as president of the British Dyslexia Association.
My Lords, our data collections do not separate outcomes of dyslexia, ADHD and dyspraxia, so we are unable to make such an assessment. In terms of destinations, after completing key stage 4, for those with SEN, overall in 2016-17, 90% of pupils with a statement or education, health and care plan were in sustained education, employment or training compared to 88% of pupils with SEN without statements, and 95% of those without SEN.
I thank the Minister for that reply. I have made him and his office aware of the document brought forward in February this year by Warwickshire Educational Psychology Service, called Teaching Children & Young People with Literacy Difficulties Practice Guidance, which is very similar to a document that appears on the Staffordshire site. This states that dyslexia effectively is not something to worry about. It effectively undermines the whole basis of the support which the noble Lord has been talking about. Will he give an assurance that the Government will make sure that accurate diagnosis, which can be life-changing, is maintained for this group because it helps through education and throughout life?
My Lords, the document to which the noble Lord refers recognises that early identification and intervention is important to meet the needs of children and young people with literacy delays. On the necessity of a dyslexia diagnosis, I do not have expertise in such matters. However, the noble Lord and the British Dyslexia Association do, and I would encourage Warwickshire local authority to consider carefully its advice on this point, and on the document generally. I share the noble Lord’s frustration that it has not responded to the British Dyslexia Association’s letter written over two and a half months ago.
My Lords, I am astonished that the Government do not know the figures for the relative incidence of the spectrum disorders in schools. I declare an interest as a member of staff of Imperial College. Is the Minister aware of our programme where we have managed, hugely successfully, to encourage dyslexic students, in particular, to gain very high educational qualifications? But of course, if the condition cannot be identified, it is very difficult to do that.
My Lords, I acknowledge the great work the noble Lord, Lord Winston, is doing. I am clear that early diagnosis makes a huge difference; it helps the self-esteem of the child in question, and also enables earlier interventions to take place, helping to establish that child on a strong educational pathway.
My Lords, does my noble friend accept that dyslexia is an impairment that can result in substantial and adverse long-term effects on an individual and their ability to carry out normal, day-to-day activities, and therefore this report is in complete contrast to the legislation that this House has passed?
My Lords, it is certainly not helpful that Warwickshire County Council is not engaging with the British Dyslexia Association. Under the Equality Act 2010, a person has a disability,
“if he or she has a physical or mental impairment and the impairment has a substantial and long-term adverse effect on his or her ability to carry out normal day-to-day activities”.
My Lords, this is not a party-political issue, and I acknowledge that the Minister made time last week, along with the noble Lords, Lord Addington and Lord Storey, to discuss Warwickshire County Council’s guidance with me. That is why the Minister’s words today are disappointing, because I had understood that he accepted that this was an urgent and serious issue. Warwick County Council’s guidance to parents ignores the science and refuses to recognise that dyslexia is a medical condition. One wonders if, perhaps, it has also advised their residents that the earth is actually flat and that there is no such thing as global warming. With Cambridgeshire County Council and Staffordshire County Council considering aligning themselves with Warwickshire County Council’s position, I think it is important that the Government set out what action they will take to ensure that this misguided guidance is withdrawn as a matter of urgency.
My Lords, I share the concern of the noble Lord, Lord Watson, and I have offered to write to Warwickshire County Council to understand why it has not responded to the British Dyslexia Association’s very detailed and well-written letter, sent two and a half months ago. As I said, we recognise the issue of dyslexia. Many children and young people who have SEN may have a disability under the Equality Act, and as I said, we strongly believe in early diagnosis and early intervention.
My Lords, my grandson—a splendid little boy—is on the spectrum. Only yesterday, we had a meeting with the Minister on the subject of early identification of this problem. There is no doubt about it: the earlier it can be identified the better for everybody, as it gives children a chance to participate in life in a normal way. What was lacking, as many of us here know, is child psychologists. Without many more child psychologists we do not have the ability to identify problems early, and I hope that the Minister, who I know has huge empathy for this subject, might hasten to add to that voice.
My Lords, I am not sure whether the noble Lord, Lord Sterling, was referring to dyslexia or autism, but he will be aware that we have increased awareness among all schools, and encouraged teachers to increase their awareness. With the Autism Education Trust, for example, we have rolled out a lot of autism awareness training. We now have 190,000 people trained in autism awareness, which is up from 150,000 in June of last year.
My Lords, the Minister will recall that during Children and Families Act, the local offer required local authorities to give information about special needs provision, and that information has to be accurate. Does the Minister not agree that it is not helpful to parents when false information is given out by councils, particularly on this issue of dyslexia? Will the Government clarify whether they fully support the recognition of dyslexia as a disability as defined by the Equality Act 2010?
My Lords, the Equality Act 2010 provides protection for any person with a condition that meets the Act’s definition of disability—that is, a physical or mental impairment which has a substantial and long-term adverse effect on a person’s ability to carry out normal day-to-day activities. The Act does not, except in a few specific instances, mention by name the conditions that automatically fall within the definition of disability. This is because, in most cases, it is the impact on the person’s life that is the qualifying criterion, rather than the condition itself.
(5 years, 9 months ago)
Lords ChamberThat the draft Orders laid before the House on 23 July be approved. Considered in Grand Committee on 24 October.
(5 years, 9 months ago)
Grand CommitteeThat the Grand Committee do consider the Further Education Bodies (Insolvency) Regulations 2018.
My Lords, these regulations were laid before the House on 5 September. In the Technical and Further Education Act 2017 we introduced a special administration regime for the further education sector. This included provisions for insolvency in the rare instances that it might be needed. It has been some time since we have discussed further education insolvency in this place and it is worth taking the time to set out some context for the benefit of those less familiar with this regime and the primary legislation.
Colleges are statutory corporations but operate independently of government. They have the ability to raise debt funding in the same way as a commercial body, through bank or other lending, although they are not for profit. A financially resilient further education sector requires strong leadership and an efficient structure to operate in. Since 2015, we have been working with the sector to strengthen that leadership.
Additionally, through a programme of area reviews, we have supported the restructuring of the sector so that colleges can meet the needs of learners and employers in their area as efficiently as possible. The Government have supported the sector to share best practice and to help weaker colleges to improve and raise standards. Coupled with the FE strategic leadership programme offered by the Education and Training Foundation, the aim is to drive up professional standards in the sector to help colleges to improve quality and become better equipped to deliver sustainable provision serving local needs. The Government also provided access to a restructuring facility, set up in 2016, to support the implementation of recommendations that came out of the area reviews. As that work is coming to an end, the restructuring facility closed to new bids at the end of last month.
Although we are seeing merged colleges and more robust arrangements developing as a result of the area reviews, we cannot guarantee that no college will fail in the future. We recognised that we needed a suitable mechanism in place to deal with colleges in an orderly manner if they should fail in the future. Therefore, in 2016 the Government announced that they would develop an insolvency regime for the sector. This includes a special administration regime with the objective of avoiding or minimising disruption to the studies of existing students of the FE body as a whole, while ensuring that the education administration is no longer than it needs to be—thus it benefits both students and creditors of an insolvent college.
The main provisions for the regime are in the Technical and Further Education Act 2017. The legislation provided clarity on whether and how insolvency law applies to FE bodies. The new regime ensures that there is an orderly process in place for managing a college insolvency. It also introduces, in the unlikely event that a college should become insolvent, a special administration regime known as education administration, which prioritises the protection of learner provision. Once commenced, the regime will give the Secretary of State the power to apply to court for an education administration order, appointing an education administrator. This could happen as a result of a creditor taking insolvency action of its own, in which case the Secretary of State can use his powers to put in place a different form of insolvency proceeding to protect provision for learners. Alternatively, he may be persuaded that the FE body is insolvent and that an application to court for an education administration order is the best course of action.
The 2017 Act applied certain provisions of insolvency law to the FE sector subject to modifications set out in the Act and specified in the regulations that we are considering today. These regulations modify insolvency legislation as it applies to FE bodies, both in the Insolvency Act 1986 and in wider legislation that concerns insolvency, to make it work effectively for further education bodies.
I also draw the Committee’s attention to the fact that there will need to be another piece of secondary legislation enacted before the special administration regime can be commenced. This will be a statutory instrument setting out the rules that apply to the education administrator’s conduct of an education administration. That instrument will follow the negative procedure. The insolvency regime provides the framework for insolvency practitioners to work within when dealing with the further education sector and specifies how education administration can be used to protect provision for existing learners at a college in financial distress. It is not the purpose of this legislation to seek to close colleges. It is a necessary tool to deal with the worst-case scenario, as the hard edge of a broader intervention system providing a structured and measured approach to preventing and responding to failure.
Colleges enjoy a high degree of financial independence, and it is right that they should be responsible for the decisions they take. This wider intervention system will start with the monitoring of colleges that are experiencing difficulty. If things get worse, then there will be a wide range of intervention tools. The insolvency regime is the mechanism of last resort, and we would expect it to be used only rarely. I wish to be clear that, where a college becomes insolvent, it will not necessarily lead to provision being closed. The aim would be to deliver the best scenario for the local area in the manner that is least disruptive for the learners at the college.
I turn to the purpose of this legislation. The draft regulations before the Committee today are quite technical. Their main purpose is to modify provisions of the Insolvency Act 1986 and to have legislation made under those provisions apply effectively to college statutory corporations. This not only ensures that a regime works technically, it also deals with practical issues to allow for the fact that FE bodies are autonomous and will have different provisions within their instrument and articles of governance. Therefore the regulations make provisions to manage insolvency proceedings in a standard way. These regulations also set out provisions for filing documents with Companies House, so that insolvency procedures are transparent for further education corporations, as they are for companies.
The role that the governors play in the UK education system is a crucial and well-established one. They bring a wealth of outside experience and knowledge to the sector. They are, rightly, already subject to important duties and liabilities as trustees of a charity and should already be well used to the responsibility that these duties bring. Governors should respect good practice, following proper process and ensuring that they take and carefully consider appropriate professional advice before taking key decisions.
The regulations have been drafted purposely to exempt student governors from certain offences and duties normally contained within insolvency legislation. The Government took the view that there would be some situations where student governors could not possibly have a meaningful say in decisions that gave rise to particular offences. It follows that it would not be right to expose them to liability for those offences. It is common for student governors under the age of 18 to be excluded from voting on decisions by the board that have financial outcomes. We have taken the view that if they cannot have a say in financial decisions, they should not be liable for offences linked to those decisions. Equally, student governors should not have to prepare a statement of the affairs of the college corporation, which includes a summary of the corporation’s assets and liabilities and details of its creditors—details that they might not be expected to be privy to. However, let me be clear that there is an onus on all governors—student members, staff members and other governors alike—to co-operate with the insolvency practitioner appointed by the court. This includes not making false statements when they are required to supply evidence of events.
I turn to the more technical detail of the regulations that we are considering today. Part 3 of the regulations modifies provisions of the Insolvency Act 1986 and the Insolvency (England and Wales) Rules 2016 as they apply to FE bodies that are statutory corporations. Part 4 of the regulations applies provisions of other legislation relating to insolvency to FE bodies, subject to modifications. For example, the Land Registration Rules 2003 need to be modified to enable the Land Registry to make an entry in the register that an administrator or liquidator has been appointed over a statutory corporation. Part 5 modifies provisions of the Companies Act 2006, applied to statutory corporations by Regulation 3, to ensure that they work effectively for FE bodies that are statutory corporations. This is to facilitate the correct filing of key insolvency documentation.
We carried out consultation on the position adopted in the regulations with insolvency practitioners, lenders, colleges and organisations that represent the sector. This included the Association of Colleges and the Sixth Form Colleges Association. The department has also worked hand in hand with Companies House and the Insolvency Service to ensure that these regulations work effectively for their intended purpose. The regulations apply to FE bodies and companies conducting designated further education institutions in England and Wales, and Welsh Ministers are fully supportive of the approach taken in the development of this legislation. I commend these regulations to the Committee.
My Lords, I thank the Minister for introducing these regulations, which will bring a new college insolvency regime into effect by the end of the year. We believe that they are necessary and will not be opposing them, although we have some caveats that I shall bring to the Minister’s attention.
The Government are right to regulate in this area to bring more legal certainty, but we believe they should use the new powers only in exceptional circumstances because of the risk that they could damage confidence in an important sector. As I argued in Committee on what was then the Technical and Further Education Bill—before the noble Lord, Lord Agnew, was in your Lordships’ House—there is a danger that highlighting the need for a statutory insolvency regime that has not hitherto existed may alarm governors, banks, employers, international partners and others whose support is necessary to ensure that colleges provide the education and skills that the country needs. That is even more important now that the country is about to leave the EU and faces an uncertain economic future into the 2020s.
These regulations are technical and take a sensible approach to fitting out the structure of the legislation. The continuing underfunding of further education and the growing financial weakness of some colleges heightens concerns that the Government could unintentionally force a college into insolvency, with the serious consequences that that would bring. The new statutory college insolvency scheme can be traced back to early 2016, when the Government were overseeing the rationalisation of the sector through the national area review programme. No clear rules currently exist as to what happens should a college run out of money and the Government did not effectively indemnify it. When colleges were taken out of local government in 1992, a new type of statutory corporation was created to run them but no rules were ever established to apply in circumstances where colleges simply ran out of money. Instead, to protect a college’s students, courses and assets, central government—through a succession of funding agencies—has ended up being the funder of last resort. This has meant that the banks have always been paid in full or been able to replace an old loan with a new one.
The Government’s post-16 area review was designed to put all colleges on a sustainable financial footing and has resulted in more than 50 mergers since 2015, the majority of which have been self-funded by colleges. The process of restructuring colleges has proved to be more complicated than was anticipated when the area reviews started. Colleges have found that it takes more time than expected to satisfy their banks, resolve pension issues and navigate rules devised by Ofsted, the Home Office and the Education and Skills Funding Agency. We understand that the Treasury insisted on a college insolvency regime as a price for providing its restructuring loans, and this is what was legislated for in the Technical and Further Education Act. These regulations will put this into effect and are intended to provide clarity about what happens when a college gets into severe financial problems. The law creates a special administration regime for colleges akin to that put in place in recent years for energy companies, train operating companies and housing associations—strange comparators, noble Lords may feel. But it is to be welcomed that the special administrator will have duties to protect learners, as well as creditors, in a situation where a college has run out of money.
The new college insolvency regime has been described as a last resort rather than a normal route to secure change. Once the new arrangements come into force, there will be several lines of control in place: the governing bodies will of course have a duty to ensure the solvency and viability of colleges; the ESFA will have financial oversight; the Further Education Commissioner will intervene where the college has a notice to improve; and there is the independent business review, a new pre-statutory process that will apply for colleges in severe financial distress. Only if and when all the above fail to resolve matters will the new college insolvency regime apply.
My Lords, I preface my remarks by saying that we value further education. It will go through a renaissance and the need for vocational courses, skills development and apprenticeships will help it to blossom. This instrument is technical but it is absolutely right that we should agree it.
However, I have a number of concerns. We have had the area reviews, of course, but why do we allow a further education or sixth-form college to become insolvent? One would think that further down the line we would take strong and robust action to ensure that that does not happen. If a college closes down the effect on the local community and economy can be devastating. If we allowed a further education college in, say, Northumberland to close down because we had not kept our finger on the pulse, imagine the effect that that would have in a predominantly rural area.
It is important that we understand the mechanisms for ensuring that this does not happen. I see in the document that 37 further education colleges published notices to improve financial health. What do the Government do to make sure that that support is given?
I agree with the comments of the noble Lord, Lord Watson, about cuts, but it is not always about cuts; it is about management as well. An institution might not have all the resources it needs but it might be so well managed that it thrives nevertheless. It is about the management of the college as well as its finances.
I have three further questions. First, the Minister said that insolvency will not always mean closure. Will he expand on that and say what other actions can be taken? Secondly, do these regulations apply to university technical colleges? Thirdly, if we want to create the level playing that the Minister talked about, should we not ensure that all sixth-form colleges are treated equally and that those that have to pay VAT will no longer have to do so? Will he perhaps explain why sixth-form colleges that are not in a multi-academy trust have to pay VAT?
My Lords, I thank noble Lords for the interesting points they have raised. There have also been a number of questions which I will certainly try to address.
I say to the noble Lord, Lord Watson, that we are adamant that this provision is for exceptional circumstances. I made that clear in my opening comments. In answer to noble Lords who raised questions about our commitment to this sector, it might be worth summarising the extent of that commitment. In the current academic year, 2018-2019, we expect to spend some £7 billion, which includes apprenticeships. That gives a sense of the proportion of our public spending that we are putting into this age group.
I can reassure all noble Lords that this instrument is designed as an exceptional mechanism. The main reason for it is that under traditional insolvency arrangements, the lenders take control of the process. The provisions in these regulations make sure that learners are given more priority. That is the overarching principle of why this is being done.
On the specific question that the noble Lord, Lord Watson, asked about how the various bodies involved in the sector would interact with one another, we are still developing intervention systems so that we can respond effectively to the early signals of poor financial health to focus on preventing colleges from getting into positions of insolvency. This allows the FE commissioner and his team to go into colleges at an early stage, work with principals and governors and share best practice on better financial management to help college boards develop sustainable plans for financial resilience. College boards may need to make tough decisions to make to become more resilient. We will rely on their engaging with us early on, as soon as they know there is a problem. That goes somewhat to the point that the noble Lord, Lord Storey, made about the quality of management and governance. That is very much what we are pushing for, to ensure that when the canary in the coalmine sings, it is listened to and early action is taken.
There is no objection to the fact that young people are helped by being able to read, write and add up. The point is that GCSEs are very academically focused and the content of those syllabuses is completely inappropriate for many people who have technical skills and could happily do a functional test paper but not the academic papers of GCSE; it is the GCSE exam that is the bugbear, not the fact that people need to be able to read, write and add up.
I will certainly take the noble Baroness’s views back to the department and reiterate them; I understand exactly what she is staying. She also raised a question about providing guidance to governors. We are committed to providing clear guidance, particularly on their duties and liabilities under insolvency law. The general College Governance guide, last published in 2014, will be updated. Both sets of guidance have been drafted and are being developed with the stakeholders—the Insolvency Service, the Association of Colleges and the Sixth Form Colleges Association—ready for publication in, we hope, the next few weeks.
The noble Lord, Lord Jones, asked whether I have any specific examples of colleges that have become insolvent. The short answer is no, as they have so far resolved their issues. In 2016 we created the restructuring facility, a fund from which some £330 million has been drawn across the sector. That has been used specifically to help them carry out the restructurings and some of the mergers to which other noble Lords referred, so there has been a period of consolidation over the last two years.
The noble Lord also asked about sixth-form colleges. There is a provision—this also addresses the point made by the noble Baroness, Lady Garden—for sixth-form colleges to convert to academy status. If they do that, they get the benefit of VAT recovery. The question was: why cannot everybody do that? The reason is that it is a complicated process. It is an option that we have offered to sixth-form colleges but not all of them have taken it up.
There are all sorts of reasons. If a sixth-form college chooses not to become an academy or part of a multi-academy trust, it is penalised by having to pay VAT; but if it chooses to go down that route, it gets the reward of not having to pay VAT. Is that what the Minister is saying?
That is, in essence, correct. However, one of the advantages of the FE sector is that colleges are allowed to borrow money commercially. If that is a route they want to take or have taken, that can be a barrier to conversion to academy status.
The noble Baroness, Lady Garden, asked about the role of private providers in subcontracting. These regulations are specifically designed simply for the further education sector, not for independent subcontractors. If a further education college were to become insolvent, a subcontractor could become one of the creditors.
I hope I have answered all the questions that have been raised.
These regulations do not apply to university technical colleges. A UTC is framed under the academies legislation and has a funding agreement in the same way as an academy has, but UTCs are a separate legal entity.
As I have outlined, these regulations make necessary modifications to insolvency law so that it effectively applies to FE bodies and can bring the further education insolvency regime into effect. Cases of insolvency are rare and will continue to be so, but we cannot afford to be complacent. It is essential that this legislation is put in place for the FE sector to provide legal certainty and, most importantly, to ensure that learners are protected in the event of financial failure.
Motion agreed.
(5 years, 10 months ago)
Grand CommitteeThat the Grand Committee do consider the Greater Manchester Combined Authority (Adult Education Functions) Order 2018, the Liverpool City Region Combined Authority (Adult Education Functions) Order 2018, the Cambridgeshire and Peterborough Combined Authority (Adult Education Functions) Order 2018, the Tees Valley Combined Authority (Adult Education Functions) Order 2018, the West Midlands Combined Authority (Adult Education Functions) Order 2018, and the West of England Combined Authority (Adult Education Functions) Order 2018.
My Lords, these six orders, if approved and made, will provide for the transfer of certain adult education functions and the associated adult education budget—the AEB—to the mayoral combined authorities. This provides an opportunity for them to help their residents to fulfil their potential in life and contribute to the growth of the region. As noble Lords will be aware, in 2015 and 2016, through a series of devolution arrangements agreed between the Government and the mayoral combined authorities, we made the commitment fully to devolve the AEB to specified mayoral combined authorities. These orders will deliver on this commitment.
These orders are made under the Local Democracy, Economic Development and Construction Act 2009. They will transfer certain adult education functions of the Secretary of State, as set out in the Apprenticeships, Skills, Children and Learning Act 2009, to the mayoral combined authorities in relation to the area of each specified mayoral combined authority for the academic year 2019-20 and thereafter. This transfer does not include the functions in so far as they relate to apprenticeships or those subject to adult detention.
In the 2015 spending review, government made available £1.5 billion annually until 2020 for the adult education budget. Across England, this budget is supporting adults with the skills and learning they need to equip them for work, an apprenticeship or further learning. These facilities provide an integral stepping stone, particularly for disadvantaged adult learners.
In 2016-17, the AEB supported adults to study English, maths and courses of English for speakers of other languages, full level 2 or 3 qualifications and a wide range of community learning provision. Devolution will mean that mayoral combined authorities are able directly to shape the adult education provision available to their residents. This means that, from the academic year 2019-20, the provision can be more focused around local area need.
We are currently undertaking a wide-ranging programme of skills funding reforms across areas such as T-levels and apprenticeships. Post-16 education plays a crucial part in supporting future economic growth. In leaving the EU, it is important that our homegrown workforce is skilled and able to make the most of the new opportunities that arise. Devolution of the relevant functions and the associated AEB forms a key part of these reforms. Alongside devolution, the department is opening dialogue with mayoral combined authorities and other sectors on how skills provision and reforms can best be shaped to fit the needs of local areas.
These orders will transfer certain adult education functions of the Secretary of State in the Apprenticeships, Skills, Children and Learning Act 2009 to the mayoral combined authority in relation to its area. They will enable the transfer of that relevant part of the AEB to the mayoral combined authority. In particular, the following functions will be exercisable by the mayoral combined authority instead of by the Secretary of State in relation to its area: Section 86, which relates to education and training for persons aged 19 or over; Section 87, which relates to learning aims for such persons and the provision of facilities; and Section 88, which relates to the payment of tuition fees for such persons.
Conditions are set in relation to the transferred functions—in particular, that the mayoral combined authority must have regard to guidance issued by the Secretary of State and must adopt eligibility rules in accordance with any direction of the Secretary of State. The Department for Education will transfer the relevant part of the adult education budget to the mayoral combined authorities to undertake the functions. It will be the responsibility of each area to manage its overall AEB allocation efficiently and effectively to ensure that it delivers for its local residents. The department is assisting the mayoral combined authorities to be ready for taking on the functions and has provided implementation funding to each of them to prepare effectively.
From the 2019-20 academic year, the mayoral combined authorities will be responsible for providing funding for statutory entitlements for eligible learners in maths and English up to and including level 2, first full level 2 for learners aged 19 to 23, first full level 3 qualifications for learners aged 19 to 23, and the forthcoming digital skills entitlement. We talk about the northern powerhouse and the Midlands engine among others. Skills are an essential driver for economic growth in all our regions.
We are already seeing the mayoral combined authorities make a real difference locally. For example, Tees Valley Combined Authority has implemented the Tees Valley Routes to Work pilot. This is an innovative pilot that has a total fund of £7.5 million, with £6 million from the Department for Work and Pensions and £1.5 million from the combined authority cabinet. It will run until 31 March 2021. Routes to Work will support at least 2,500 individuals who are long-term unemployed or who have significant barriers to employment. The pilot aims to move at least 375 individuals, 15% of the cohort, into sustainable employment. It aims to work with those most disengaged from the labour market and support them in engaging, identifying and addressing any potential barriers that they may face in gaining employment.
In Greater Manchester the mayoral combined authority has implemented the Working Well programme. This stream of work responds to one of its strategic aims of reducing long-term unemployment and helping more residents into sustained employment. The £52 million devolved programme offers intensive and tailored support to individuals who are out of work due to poor health or disability and the long-term unemployed, to help to address their barriers to employment. The programme, which takes referrals from Jobcentre Plus, will support around 22,000 individuals over its five-year life. In the first six months more than 1,700 residents had started to receive support.
Those examples give a picture of the specific interventions currently taking place at a local level and illustrate the positive impacts that devolution can have. Devolution gives all mayoral combined authorities the opportunity to address the skills challenges that they face and enhance economic growth in their areas. The scale of the challenges faced is both significant and different dependent on region. For example, there are currently 41,000 Greater Manchester Combined Authority residents with no qualifications. There are significant variations between residents’ skills levels across the districts. West Midlands Combined Authority currently has the lowest employment rate of any of any mayoral combined authority—72.3%, against a national average of 78.4—whereas Liverpool City Region Combined Authority has one of the highest rates of economically inactive residents of any combined authority area. Similarly, despite employment levels rising at a rate faster than the national average, Tees Valley Combined Authority still has higher levels of claimant unemployment compared to national averages, with a Tees Valley average of 4.2% compared to 2.2% nationally. Cambridgeshire, Peterborough and West of England combined authorities have skills shortages and hard-to-fill vacancies that are constraining local businesses. These examples show that each area has specific challenges. These can be addressed through the devolved AEB, and the orders give the mayoral combined authorities the opportunity to address specific regional problems.
The orders will enable mayoral combined authorities to support their residents into good jobs with opportunities for people to progress and develop; improve the earnings potential of their low-paid, low-skilled workers; and help to deliver a thriving and dynamic economy. Without these orders, the mayoral combined authorities will not have the ability to address these challenges and bring greater prosperity to their regions. I beg to move that these orders be approved.
My Lords, I thank the Minister for his introduction. No doubt he will share my relief that in your Lordships’ House we are considering all six of these orders together, not following the procedure adopted in another place, where they required three sittings over a period of eight days. I think we can do things more efficiently.
The devolution of powers and funding for adult education that the orders introduce is welcome, as much of the most effective adult education provision is delivered locally in line with the needs of local communities. The Explanatory Memorandum characterises the transfer of functions as giving local areas a prominent role in managing and shaping their own economic prosperity. Who could argue against that? But—there is almost always a but—the transition from national funding to devolved funding may have unintended consequences for some national providers if it disrupts their existing local provision. A long-established national charity, the Workers’ Educational Association, is one such provider that may be adversely affected. I declare an interest as a former employee of the WEA. I shall say more about that organisation in due course, but before doing so it is appropriate to put the effect of these instruments into context.
The Explanatory Memorandum also states:
“The transfer of the specified functions to the combined authorities will result in an associated transfer of funds to each combined authority to facilitate the exercise of those functions. This will take the form of a proportion of the overall adult education budget moving from the Department for Education to the specified combined authority”.
The key question mark over the future delivery of adult education concerns how much funding will transfer and how that will affect the ability of the combined authorities to deliver a full provision. The Minister delivered an upbeat assessment of what the combined authorities will achieve through the powers contained in these orders, but the current experiences of providers are not so upbeat.
The report published last month by the Institute for Fiscal Studies, which the Minister and his officials will be aware of, found that between 2004 and 2016 the number of adult learners fell from 4 million to 2.2 million. That alarming 45% drop means that apprenticeships now account for over one-third of total adult education funding, as opposed to 13% in 2010. That may be good news for those fortunate enough to work for an employer that is part of the apprenticeship programme, but of course millions more people never get the chance to undertake an apprenticeship, such as those working part-time, in the gig economy, for a microbusiness or on zero-hours contracts.
For the majority of adult learners, the IFS report painted a rather bleak picture. The numbers show that there are fewer evening classes and opportunities for people to learn, whether it be to improve literacy and numeracy, to update technical skills that might help get a job or a promotion, or to take GCSEs and A-levels to help to access higher education. Each year there are 1.8 million fewer adults able to improve their life chances through education. This is not the place for discussing the Open University, but in recent debates in your Lordships’ House I have highlighted the serious decrease in adult part-time education on Open University courses since the tripling of tuition fees in 2012, and that fits with the pattern across adult education.
Of course, cuts in funding which have the inevitable consequence of reducing the numbers participating in adult learning have a direct impact on the economy. One of the obvious benefits of adult education is helping people, as the Minister said, to equip themselves with the skills that employers need now and will need even more in the future. This is a pressing issue, with fewer EU nationals being allowed to bring their skills to the UK. In the context of our leaving the EU, opportunities for upskilling and reskilling should surely be going up not down, yet figures on enrolments in key areas of the labour market are worrying. Enrolments in health and social care courses dropped by a third between 2006 and 2016. The reduction was of a similar percentage in both construction and engineering. If the Minister, his department and the Government are not concerned by these figures, I think we should be told why.
My Lords, I welcome the orders that will devolve elements of the adult education budget that are currently held centrally to the mayoral combined authorities. I always welcome devolving budgets to authorities, either combined or local. We can have local decisions to help local people, which is much better than having national decisions made by people in London who, in my experience, know little about the folk I represent in Yorkshire. One of the factors that is holding back business development, business expansion, economic development and GVA in many regions, and in the north in particular, is a lack of appropriate skills and the low levels of skills in the population compared with the more prosperous parts of the country.
I want to highlight four issues, broadly supporting what we have before us today. The first, which the noble Lord, Lord Watson, also raised, is that of funding. The question should be: how much funding are each of the combined authorities going to be allocated, and how does this allocation of additional funding fit in with the significant reduction of government funding to further education colleges, where much of the skills provision is delivered? It does not bode well for the adult education elements of the budget. I know from my own experience in Yorkshire that there is a huge demand for construction workers, yet the colleges delivering those skills are finding it difficult to do so because of the funding squeeze on them. There is also a danger that we will end up with a very fragmented adult skills funding mechanism and delivery. This will not help achieve what the Government have set out in what the noble Lord, Lord Agnew, has said; namely, enabling those areas of the country with combined authorities to really support skills being developed by people who left school without the appropriate skills for the economy and for their own well-being.
The second point I want to make is about one of the phrases in the document; it talks about the challenge of encouraging more training and education. Obviously, as someone who has spent a lifetime in education, I totally support that. What is interesting is that the Government have had rather limited success in addressing the issue of what are crudely called NEETs—those who are not in employment, education or training. We ought to focus much more attention on that group of people, who, as we have heard, will need those skills for their lifetime of employment, and the country needs them to have skills. I want to understand, from that element of what is before us, how that is going to be measured. We are talking about it being important to encourage them, so how are the Government and the combined authorities going to measure that?
The third issue that I want to raise is the business of consultation, which the noble Lord, Lord Watson, has raised in a different way. All the documents say there is no need for additional consultation because it was done three or four years ago for the original orders for the combined authorities; adult education and skills were in all those original functions for the combined authorities, and this is just giving the funding to allow that to happen. However, now that we have a specific defined allocation and devolution of a function and funding, a consultation ought to take place in those combined authority areas as to how that should be carried out. There are institutions that will be affected one way or another—one in particular, as the noble Lord, Lord Watson, has pointed out—and I think there ought to be consultation among providers in those areas to listen to any issues that they raise. I am disappointed that in here it says that no consultation will be necessary.
The fourth issue that I want to raise is accountability. Right from the start of combined authorities, I have been concerned about the lack of accountability for the devolved functions and the funding that has been made available. The governance model that the Government have decreed is very light on accountability. Perhaps the Minister will be able to describe how the combined authorities will be held accountable to the Government for the delivery of the function that is being devolved, and how he anticipates the constituent local authorities being able to hold the combined authority decision-makers to account in a public way. I hope he will not tell me that they all have scrutiny panels or committees, because I do not think they have the necessary powers to really hold the combined authorities to account for the functions that they fulfil and the public money that they spend.
In summary, I support what is being proposed here. I know from the examples that have been given that the combined authorities will set up different models to fit the needs of the people in the regions, and that is positive. However, there are some issues that we need to be concerned about: consultation is one, accountability another, and the third is the fragmentation of funding. I look forward to the Minister’s response.
I thank noble Lords for their comments and questions. I thank the noble Lord, Lord Watson, and the noble Baroness, Lady Pinnock, for their broad although perhaps qualified support. I will try to address the various questions that they have both raised.
To start with the funding question, as that is something that both speakers raised, the overall budget, as I mentioned in my introductory words, is £1.5 billion a year, which was set for this current spending review. In aggregate, the amount of money being devolved to these combined authorities—including the Greater London Authority, which has a slightly different legal structure, although we have issued a delegated letter to that authority to give it the same or very similar powers—is about £750 million. I cannot speak for beyond the spending review, but I can certainly reassure noble Lords that this is an area of huge focus of this Government. We are very committed to supporting adult learners into improving their skills and their future life chances.
My Lords, I shall finish off on the WEA. Devolution gives the WEA an opportunity to work with the mayoral authorities and shape the ways in which they can contribute to meeting skills needs locally so that people of all ages are given those opportunities. It is vital that providers such as the WEA make contact with the MCAs to support them.
The WEA provides the contacts for these opportunities and possibilities. At the moment it is delivering adult education courses but it may not be able to do so in the future. There is not going to be a transitional period during which it can adjust. As I say, it is discussing these issues with the authorities but it may not always be successful, and that is the problem. There could then be a significant reduction in what the WEA is able to provide.
What I can offer the noble Lord is that if he does not feel that the mayoral authorities are engaging constructively with the WEA, he should write to me and I will take the matter on. When the noble Lord, Lord Bird, wrote to me in April, I passed the letter on to the Minister, my right honourable friend Anne Milton, who wrote to the noble Lord and offered to meet him. I reassure the noble Lord, Lord Watson, that I believe such providers to be a very important part of the further education landscape and we certainly do not want to see them put out in the cold.
To address the questions asked by the noble Baroness, Lady Pinnock, on NEETs, or that category of vulnerable young adults, we are trying to help them through further studies in GCSE English and maths. In each case, more than 500,000 adult learners are studying maths and English to get them on to a platform that will enable them to go on and acquire the broader skills that are needed. We already require information about further education to be submitted to the DfE and we will continue to complete the individualised learner records in respect of provision delivered to learners resident in authority areas. This will continue to feed through into the national statistics publications. For transparency, the national statistics publications will include provision delivered to residents of the authority areas.
On accountability, we have put in place a number of measures to deal with the issues raised. There will be a robust governance arrangement between the department, the Education and Skills Funding Agency and the MCAs to govern the transitional year. As part of these arrangements the department is working with the MCAs to monitor and evaluate the performance of AEB-funded provision. This is assisting the MCAs in determining their commissioning and provision strategy when the budget is devolved from 2019-20 onwards. The Secretary of State has issued guidance on the approach an MCA should take to commissioning adult education. This includes guidance on how the approach should align to the existing adult education funding milestones which a provider operates under when commissioning. They have statutory requirements, which gives the department powers to intervene in the event of a failure to deliver decent provision.
Introducing these orders now will allow the mayoral combined authorities the opportunity to work with providers to tailor adult further education provision in preparation for the academic year 2019-20. This will give their residents the chance to reach their potential, improve their earnings and gain progression in their jobs. It will allow the skills system to deliver in responsive ways to sustain a flexible labour market. I commend these orders to the Committee.
(5 years, 10 months ago)
Lords ChamberMy Lords, I am grateful to the noble Lord, Lord Black, for securing this important debate. I also thank colleagues for their contributions. There was much in my noble friend Lord Black’s comments on the benefits of education that I strongly agreed with.
Music is statutory in the national curriculum, so every child in a maintained school must study the subject from the ages of five to 14. Between 2016 and 2020, we are providing £300 million of funding for music education hubs to ensure that all pupils have the opportunity to learn an instrument, sing and perform regularly, and have access to clear routes of progression.
Many noble Lords, including the noble Lords, Lord Clement-Jones and Lord Watson, and my noble friend Lady Redfern, mentioned the national plan. I can confirm that we will announce our plans for the next phase of this within the next couple of months. I say to those noble Lords who may be unware of it that the Government’s priorities for music education are set out in The Importance of Music: A National Plan for Music Education. It sets out our belief that children from all backgrounds and every part of England should have the opportunity to learn a musical instrument, to make music with others, to learn to sing, and to progress to the next level of achievement.
We have set up a network of 120 music education hubs to support schools in providing these opportunities. The noble Lord, Lord Lipsey, spoke about music in Wales, but that is a devolved matter. He was also concerned that children in England should have the opportunity to learn to work together in groups. That is exactly what the music hubs are trying to do, working with local authorities, schools, arts organisations and community and voluntary organisations. Between 2016 and 2020 music hubs will receive £300 million to work with all state-funded schools in England, including academies and free schools.
In primary schools, the national curriculum aims to ensure that all pupils perform, listen to, review and evaluate music across a range of historical periods, genres, styles and traditions, including the works of the great composers and musicians. At key stage 1 pupils are taught to use their voices expressively and creatively by singing songs and speaking chants and rhymes, as well as to experiment with, create, select and combine sounds using interrelated dimensions of music. At key stage 2 pupils are taught to sing and play musically with increasing confidence and control. They should develop an understanding of musical composition, organising and manipulating ideas within musical structures and reproducing sounds from aural memory. At this stage pupils will also begin to develop an understanding of the history of music.
To address the concern expressed by the noble Earl, Lord Clancarty, that music is being sidelined in primary schools, with less time being spent on the subject, in the 2016 Omnibus survey, primary school classroom teachers were asked about the time they spent teaching different subjects. The survey showed the time spent on humanities to be broadly similar to that spent on music and the arts. I would also like to put to bed the myth that says academies can opt out of teaching music. This is simply not correct. All schools, including academies and free schools, must provide a broad and balanced curriculum.
Prompted by the noble Lord, Lord Storey, I will offer a couple of examples. Yesterday I corresponded with the chief executive of the Outwood Grange Academies Trust in the north. He said:
“I have specialist teachers working in 10 primaries delivering music, and we use the peripatetic service. I have a specialist supernumerary director who supports music across the whole trust. We annually have students who perform in the Royal Albert Hall. We also book regional theatres for our students to perform in. We are promoting music heavily and have, for example, a youth brass band in our Barnsley school, Outwood Shafton. It is next to Grimethorpe, which has a famous colliery band. We have 206 entries to do music this year”.
I corresponded with the chief executive of the Burnt Mill Academy Trust near Cambridge. She said:
“We get all children to start an instrument in year 7; all pupil premium children in primary. At the end of year 9, they can choose to continue or not. This has a massive impact on self-esteem, resilience and music outcomes”.
I reassure the noble Baroness, Lady McIntosh, the noble Earl, Lord Clancarty, and the noble Lords, Lord Aberdare and Lord Clement-Jones, that Ofsted does consider music education as part of a school’s broad and balanced curriculum—one that promotes the spiritual, moral, cultural, mental and physical development of all pupils. The noble Baroness, Lady McIntosh, is correct that Ofsted is consulting on its new framework, and we will have to leave it to Ofsted to develop it. The noble Earl, Lord Clancarty, asked about the relationship between the DfE and DCMS. I am able to say that we are in touch with each other. That department carried out a survey in 2016-17 which showed that 97% of children aged five to 15 participated in the arts in general.
When talking about music education in primary schools, I would like to share a splendid example that came to me via the music education hub in Gloucestershire. One of the hub’s partner organisations, the Music Works, delivers whole-class ensemble teaching on iPads. According to one teacher:
“The year 6 children from Chesterton Primary School, Cirencester, had a wonderful time combining music and technology. Even our most reluctant musicians are finding out about time signatures, chords and composition as they enjoyed exploring GarageBand”—
that is not a genre I am familiar with—
“on the iPad”.
I appreciate the kind words of the noble Lord, Lord Storey, although he made me feel like a young subaltern at Balaclava with Lord Raglan telling me to charge—but I will now address the EBacc issue. I reassure noble Lords that the EBacc is not responsible for forcing music out of the curriculum. These concerns were raised by nearly every speaker: the noble Lords, Lord Wallace, Lord Aberdare and Lord Clement-Jones, and my noble friends Lady Bloomfield and Lord Black. First, the data shows that the percentage of time spent by secondary school teachers teaching music remained broadly stable between 2010 and 2017. This data is drawn from the school workforce survey, which is a statutory survey, not a limited poll.
Secondly, there is no evidence that arts subjects, including music, have declined as a result of the introduction of the EBacc. In response to an Oral Question yesterday, I said that there were 31,000 entries for GCSE music in England in 2017. That was fewer entries than seven years ago because the cohort was smaller. The percentage is the key figure, and it has remained broadly stable at around 7%.
The noble Earl, Lord Clancarty, spoke about the rise in the number of pupils studying geography and history. He is right: it went up from 48% in 2009-10 to 76% in 2016-17. I believe this is a matter for great celebration, and it very much plays into the point made by the noble Baroness, Lady McIntosh, about facilitating subjects. One of the main reasons why we pushed for this was to help those from disadvantaged backgrounds get a decent chance of going to a good university. I take on board the noble Baroness’s challenge—that should be taken to the universities. I accept that music is a very challenging subject and it should get recognition, but that fight should be taken to that sector. In 2018, 23% of children in the independent sector participated in art and design GCSE, compared with 27% in the state sector. The best schools are combining a high-quality cultural education with excellence in core academic subjects, and we are committed to ensuring that all pupils have access to both.
Some noble Lords raised careers and secondary schools, and GCSE study leads me on to the subject of careers. The Government want to encourage young people to consider careers in music and have published a comprehensive careers strategy, building on the improvements we have already made to the careers system. We are investing more than £70 million this year to support young people and adults to get high-quality careers provision. Of the 330 new apprenticeship standards approved so far, 28 have been made available for the creative and digital industries, with a further 33 in development.
The noble Lord, Lord Watson, asked about the recent pay rises. We have committed to provide £500 million for an increase in pay for classroom teachers on the main pay scale of up to 3.5%. It is being paid directly to schools on a per-pupil basis, that being the quickest and simplest way to get the money into the system. The number of teachers centrally employed by councils represents only around 1% of the teaching workforce. We are in discussions with local authorities about how this issue is dealt with.
The noble Lord, Lord Watson, challenged me on what I think he described as an arts pupil premium. It is important to put on the record that we have created a pupil premium which has delivered more than £12 billion into the schools sector over the past five or six years and is aimed at those in areas of disadvantage. We are providing £300 million for a network of music education hubs. To break that down, we have given £400,000 to Music for Youth to provide opportunities for young people and families who might otherwise not have access to perform at or attend regional and national festivals. More than 10,000 pupils attended Music for Youth Proms primary concerts in London and Norwich last week. The festival series reaches its climax next month when around 3,000 young people will perform at the Music for Youth Proms concerts at the Royal Albert Hall. Department for Education funding helps to support the festival series, including supporting those participating or attending for the first time.
To address my noble friend Lord Lingfield’s concern about orchestras, we have a £2 million fund for national youth music organisations such as the National Youth Orchestra, the National Youth Choirs of Great Britain and the National Youth Jazz Collective. This helps them to continue their excellent work and ensures that they remain able to provide bursaries to those from disadvantaged families who would otherwise be unable to take up the opportunities.
The noble Lord, Lord Watson, raised the issue of funding for the music and dance scheme. The actual figure is £118 million for exceptionally talented young musicians and dancers, which is not quite the sum that was mentioned.
The issue I raised concerning the music and dance scheme was not the total funding but the fact that it was set up to assist students from disadvantaged families, yet many of its students are from families that could certainly not be described in that way. Can the Minister clarify why that is happening?
My Lords, I am not familiar with the exact mechanics of the scheme but I will write to the noble Lord to clarify that.
My noble friend Lady Bloomfield spoke about In Harmony, a scheme that is running some excellent programmes in Nottingham and is working with 26 primary schools. Last month, it ran a music camp for children in need of extra support to move into the after-school band. In March next year the programme is organising an immersive play-along concert with the Robin Hood Youth Orchestra. Impressive work is happening too in Liverpool. Next year the Liverpool In Harmony programme is celebrating its 10th anniversary. In March the Royal Liverpool Philharmonic Opera is holding an In Harmony benefit concert, there is a special children’s orchestral production at Liverpool Philharmonic Hall and further Liverpool In Harmony concerts are planned in Leeds and Newcastle.
My noble friend Lord Lexden, the noble Lords, Lord Aberdare and Lord Wallace, and the right reverend prelate the Bishop of Chichester all spoke about independent schools. As my noble friend rightly said, we have recently agreed a joint understanding with the Independent Schools Council. This is the first of its kind and it sets out the commitment that independent schools are making to support disadvantaged pupils, including looked-after children, and to work with others across the sector on things such as the better targeting of bursaries. I am aware of an excellent drama and music production organised by the King’s College School in Wimbledon in partnership with Ricards Lodge High School, Coombe high school, St Mark’s Academy and Cricket Green special school. Interestingly, the statistics for those studying music GCSE are broadly the same in the independent sector and the state sector: about 6% in the state sector and 7% in the private.
We held a round-table meeting in Downing Street a few months ago with independent schools as part of something that I am very committed to: getting them to collaborate more with the state sector. At the round table, I asked the question: “What more should be happening?”, and all the heads from the independent schools said, “We should have state school heads in this meeting next time”. They are passionately committed to supporting the state sector in the promotion of good music, among other things.
My noble friend Lady Bloomfield referred to the quality of teacher training. In December last year we launched a consultation on strengthening qualified teachers’ status and improving career progression. This will happen for all subjects but I do not yet have specific details on music.
My noble friend Lord Lingfield may be interested to know of the Classical 100, which was mentioned by the noble Lord, Lord Aberdare. Classical 100 was launched in 2016 and is a free online resource that provides classical music to primary schools. It was developed by experts in music education and the Associated Board of the Royal Schools of Music, Classic FM and Decca. Over 4,000 schools have signed up to this resource, with 6,300 teachers registered as users. The 100 pieces were selected to encourage people to explore, discover and listen to a range of styles over 10 centuries, including JS Bach, Beethoven, Brahms, Mozart and Tchaikovsky. The online site offers schools a range of flexible resources to support teachers and can be used not only in music lessons but as part of school assemblies, plays and dance and drama studies. My noble friend Lord Borwick is right: technology is emerging to offer different routes into music and the teaching of music, and the Classical 100 is a good example of that.
Let me say a few words about the Music for Youth Proms concerts taking place next month, from 5 to 7 November. The Proms is an annual event which takes place at the Royal Albert Hall and is a celebration of the entire Music for Youth season, showcasing high-quality performances from some of the UK’s most creative, innovative and energetic young musicians. The DfE funds Music for Youth, and each night, more than 1,000 different young musicians take part in a concert which sees full-scale orchestras showcased side by side with some of the brightest young jazz bands, chamber groups, rock bands and choirs from across the UK. This is a tremendous experience for young people, giving them an opportunity to perform in a world-renowned venue alongside their peers.
I close by reassuring your Lordships that the Government absolutely understand the value of music. I cannot put it more personally than this. My own father studied music at university just before the outbreak of the Second World War. He volunteered to fight before graduating but it remained an important part of his life. A few years earlier, at school, he used singing to overcome a debilitating stammer. I understand the power of music.
I again thank my noble friend Lord Black for tabling this debate to give the Government a chance to put on record all that is being delivered in music. I take note of all noble Lords’ concerns and will ensure that the Government bear in mind all of today’s contributions.
(5 years, 10 months ago)
Lords ChamberMy Lords, I beg leave to ask the Question standing in my name on the Order Paper, and I declare an interest in the subject as chairman of the Royal College of Music.
My Lords, there were 31,000 entries to music GCSE in England this year, and the proportion of pupils taking music GCSE between 2010 and 2018 has remained broadly stable. Music is compulsory in the curriculum for local authority maintained schools for key stages 1 to 3, and pupils have an entitlement to study an arts subject, including music, at key stage 4 if they wish. We are investing more than £300 million up to 2020 in music education.
I thank my noble friend for that Answer, but he should be in no doubt that the situation of GCSE music in schools is very grave. The number of pupils completing it fell by 7% last year, which means a fall of 23% since 2010, with one in five schools not offering it at all last year. This is undoubtedly the fault of the EBacc, which punishes arts subjects at the expense of sciences. Does my noble friend appreciate that this merciless decline is the start of a destructive downward spiral? As fewer pupils take GCSE even fewer then take A-level, and fewer still will go on to study music at a university or conservatoire, thereby threatening the long-term sustainability of music in our country. Is it not time thoroughly to overhaul the EBacc before irreparable damage is done to music education and it has become the privilege of the children of the rich rather than the fundamental right of all pupils?
My Lords, there is no evidence that arts subjects have declined as a result of the introduction of the EBacc. Since the EBacc was announced in 2010 the proportion of young people taking at least one arts GCSE has fluctuated across the years, but has remained broadly stable. The best schools in the country combine a high-quality cultural education with excellence in core academic subjects. I reassure my noble friend of the importance, to my mind, of music to brain development, and I shall quote from a study on this; the education system needs to become more aware of it.
“Music’s pitch, rhythm, metre and timbre are processed in … the brain … Rhythm and pitch are primarily left brain hemisphere functions, while timbre and melody are processed primarily in the right hemisphere”.
Music is an integral part of our education, and so is EBacc.
My Lords, I am not sure where the noble Lord gets his evidence from. I wonder whether he is aware of research, published just this week and launched in this House, jointly commissioned by the Royal Shakespeare Company and Tate, from Nottingham University. The unique feature of this research is that it talks to young people about their experience of arts and cultural education. One of the things that emerges from it is that they are clearly getting a strong message that, important as this is to them, it is not valued in the curriculum: consequently they are often discouraged from taking it up. He might, if he has time, listen to the recent appearance of the noble Lord, Lord Bird, on “Private Passions” to hear first-hand testimony of what an impact music can make on one person’s education, particularly someone who did not have a very good start in life. How much more evidence do the Government need before recognising that this is a serious issue not just for future professionals but for all students?
To answer the noble Baroness’s first question, about where the research I am using comes from, an initial five-year study by the University of South Carolina showed that music instruction appears to accelerate brain development in young children. I entirely accept that, but let us also talk about the amount of time that is being devoted to the teaching of music in schools. Music as a percentage of teaching time in secondary schools has remained broadly stable since 2010: 2.4% in 2010 and 2.3% in 2017. I get that data—I am conscious of noble Lords saying that we are loose with our data—from the school workforce census, a survey of 76% of secondary teachers and 85% of secondary schools.
My Lords, I declare my interest as a trustee of a musical education charity which is overwhelmed by requests from schools and music hubs for us to collaborate with them because the number of teachers with training in music teaching is declining and is expected to decline further in the next two or three years. Do the Government accept that music is going to be pushed aside as an extra subject and is likely, in state schools, to be provided increasingly by volunteers and charitable bodies?
My Lords, the vacancy rate for music teachers in schools is currently 0.6%, so I do not believe that there is a crisis. I am glad that the noble Lord raised music education hubs, which are supporting more than 650,000 children learning to play an instrument. More than 340,000 pupils took part regularly in area-based ensembles and choirs, of which more than 8% were eligible for pupil premium. Music is an important part of our system and the Government are supporting it.
My Lords, despite what the Minister is saying and the replies he is giving, it is now very clear from a huge amount of evidence that the EBacc is harming not just music but all the arts, and design as well. Do the Government not think it time, if we are to retain some form of baccalaureate, to look at other models such as the Edge Foundation to enable the rounded and forward-looking education the Government say they believe in?
My Lords, the EBacc was designed to get a good general education to as large a part of the population as possible, in particular those from disadvantaged areas. We all know that the cultural capital from those areas is much less than in people coming from the backgrounds of most in this Chamber. That is why we did it. There is room in the key stage 4 curriculum to add music if that is what schools decide to do. The average number of EBacc exams is seven—eight if you go to triple maths, but seven would be standard—and that leaves one slot for music if that is what a child decides to do.
My Lords, does the Minister recognise the important contribution that cathedral choir schools play in the musical education of this country? They are the envy of many European musical countries, such as Germany and the Netherlands.
My noble friend is absolutely right. To link this for a moment to EBacc, I believe that a sense of history and music come together. Many noble Lords who have listened to the “Miserere” will know that Mozart went to hear that in the Vatican aged 14, memorised it and took it back and published it for the outside world because the Vatican had chosen to keep it to itself. Beethoven wrote five piano concertos, the “Missa Solemnis” and his ninth symphony when he was totally deaf. That gives a very different understanding of music when you listen to it, so history and music stand together.
My Lords, I declare an interest as a patron of the Docklands Sinfonia. I support what the noble Lord, Lord Wallace, said. This sinfonia, which is based in the East End, very often goes out to schools in the Tower Hamlets area because there are insufficient music teachers. This is wonderful and important to do because it stops people in gangs killing each other with knives. There is clearly something wrong. There is not enough chance to learn music at school if they are having to do this.
I referred earlier to the percentage of teacher time allocated to music, so I do not think this is the problem. I accept there are challenges in areas of disadvantage, which is why we have launched the In Harmony programme. This is working in six of our most disadvantaged areas. We are already seeing quantitative and qualitative evidence to suggest that children’s musical enjoyment has improved through the involvement of In Harmony. It is popular among its participants and we will be carrying out a further evaluation next September to see if we can widen its scope.