Oral Answers to Questions

Layla Moran Excerpts

Monday 9th September 2019 Commons Chamber

[Nick Gibb]

Given the success of the two maths schools so far, we are committed to opening more maths schools as we continue to drive up academic standards and social mobility. There are four more in the pipeline, including the Surrey mathematics school, which should benefit young people in North East Hampshire. My hon. Friend will also be pleased to know that, due to the large increase in school funding announced last week, 100% of secondary schools in his constituency will benefit from the new minimum of at least £5,000 per pupil.

[Layla Moran (Oxford West and Abingdon) (LD)]

11. What assessment he has made of the effect of VAT applied to college spending on the financial sustainability of those institutions.

[The Secretary of State for Education (Gavin Williamson)]

We have announced a £400 million increase in 16-to-19 funding in 2020-21; this is the biggest year-on-year increase since 2010 and will have great benefits for FE and sixth-form colleges. Colleges are independent organisations and are responsible for managing their own financial sustainability, which includes their liability for VAT.

[Layla Moran]

I thank the Secretary of State for his response, but does he believe, as I do, that no matter where a 16 to 19-year-old student studies they should have the same funding, resource and status, and if he does why do school sixth forms and 16-to-19 academies get their VAT refunded and the teacher pay grant but FE institutions, such as the brilliant Abingdon and Witney college in my constituency, do not?

[Gavin Williamson]

I am very conscious that this has been a long-running issue, and I remember from when I was a governor at a further education college the impact that this has. We are always looking at how we can reduce the impact, and that is why we have the funding settlement that we have achieved this year of £400 million plus £100 million for pension liability costs.