Education Funding for 18-year-olds

Kerry McCarthy Excerpts

Tuesday 28th January 2014 Westminster Hall

[Mr John Denham (Southampton, Itchen) (Lab)]

I congratulate my hon. Friend the Member for Stretford and Urmston (Kate Green) on obtaining this important debate. I want to start by asking the Minister a question that sixth-form colleges have raised with me—how he thinks colleges should respond to the cut. Now that full-time students aged 18 will be funded by some £700 a year less than other students, it is not clear whether he thinks that colleges should continue to support those students in their third year with the same quality of education despite not having the money to do so, or whether he wants colleges to offer such students only two years of education. It is important to have a clear answer to that question on the record.

I want to focus on a few matters to do with Southampton. Two consequences of the policy have not been made clear by the Government. Although the Government have said that they will try to protect the base budget, colleges do not teach the students in question separately, so the effect will be felt across the college. The decision will concentrate the cuts on a subset of colleges, particularly those in areas with a higher than average level of deprivation and areas of historically weaker school performance, which will throw up more able students who require a third year to reach level 3 or A-level. The decision will target colleges in relatively small areas, because a concentration of students from more deprived backgrounds with weaker prior school attainment will not be offset by a wider catchment area of students who do not suffer such disadvantages.

That, in a nutshell, is the position that Southampton faces. There are two sixth-form colleges and City college, which is the FE college. They all perform well on inspections and completion rates, but they have a disproportionate number of students with weaker prior school attainment and higher levels of deprivation. The principals estimate that the cut across the three colleges is approximately £500,000. In City college, of the 246 18-year olds, 78% have not yet achieved a C at GCSE English or maths, so they have yet to achieve the basic level of attainment that we are all aiming for; 44% are from disadvantaged postcodes; and 44% are taking level 3 courses. At Richard Taunton sixth-form college there are 212 18-year-olds, of whom 46% come from priority neighbourhoods. Of those third-year students, 49% took a level 2 course before progressing to level 3, 28% are on bursaries to support their attendance and 24% speak English as a second language.

I want the Minister not only to clarify the aim of the policy but to understand how his decision targets institutions such as those in Southampton. In the impact statement, the estimate of the impact on sixth-form colleges is 1.2%. I can only say that some sixth-form colleges must be barely affected, because the effect is nothing like that for the sixth-form colleges that my constituents attend.

[Kerry McCarthy (Bristol East) (Lab)]

I have had an e-mail from the principal of the sixth-form college in my constituency, who says that the cut to that institution is 17.5%, which will affect 120 students. The college will lose £85,000 of funding that had already been committed, so it will be hit incredibly hard. I agree with my right hon. Friend; I just do not know where that figure comes from.