Post-16 Students

Nicholas Dakin Excerpts

Tuesday 1st February 2011 Commons Chamber

[Nic Dakin (Scunthorpe) (Lab)]

When the Secretary of State for Education gave evidence to the Select Committee before Christmas, he confessed that the funding of post-16 education is even more mystifying and complicated than that of the rest of the education service. As a sixth-form college principal until I became an MP at the last election, I am, however, a bit of an anorak about the funding of 16 to 19-year-olds’ education, so I am afraid that some of what I have to say is a bit technical. Former colleagues have contacted me concerned about the proposals coming out of the Young People’s Learning Agency that landed in colleges just before Christmas—an interesting Christmas card, some might say, but it suggested a not so happy new year for post-16 students.

I understand that the Department for Education has agreed provisional budget figures with the Treasury for the next four years but has not yet published them. It looks as though the total budget for education and apprenticeships will rise by 1% over the next four years, partly to provide funding for an extra 68,000 places, or 4% growth in the number of post-16 students. The YPLA is proposing a cut in entitlement funding from 114 guided learning hours to 30 guided learning hours. Guided learning hours are what YPLA funding buys. This represents a 75% cut in entitlement, which will translate into a 12% cut in overall funding for sixth-form colleges, and a significant cut for general further education colleges and school sixth forms. Sixth-form colleges are particularly affected because they concentrate almost solely on 16 to 19-year-old learners.

[Lilian Greenwood (Nottingham South) (Lab)]

Does my hon. Friend agree that places such as Nottingham, where a high proportion of learners study in colleges rather than in school sixth forms, will be particularly hard hit by these changes?

[Nic Dakin]

That could turn out to be the case, as the changes happen. One of the problems is that the YPLA has not yet made clear what all the impacts of the changes in funding will be. There is therefore a little bit of hope that this might not happen, and I am sure that the Minister will address that point in his response.

[Caroline Lucas (Brighton, Pavilion) (Green)]

In Brighton, we have three sixth-form colleges, each of which faces a cut of at least 12% over the next four years as a result of the cuts to entitlement funding. Does the hon. Gentleman agree that, once inflation and VAT have been factored in, we could be looking at funding cuts of up to 20% by 2014-15, which really is a burden too hard to bear?

[Nic Dakin]

That is the worry. Such figures are floating around in the sector, and they are very disturbing, as the hon. Lady rightly says.

Entitlement funding currently provides the money for, among other things, tutorial and guidance systems in colleges, careers support, some targeted support for weaker learners, and health advice. It also pays for those non-examined activities such as sport, drama, music, volunteering and vocational experiences, which broaden the educational experience of young people.

[Damian Hinds (East Hampshire) (Con)]

I would like to raise the case of a student called Georgia, who is studying at Alton college in my constituency. As a result of the guided learning hours, she has had the opportunity to study creative writing and poetry, as well as something called “applying to competitive courses”. She has also received one-to-one coaching for her Oxbridge entrance. As a result, she now has an offer from Girton college, Cambridge. I am sure that the hon. Gentleman would acknowledge that part of the whole picture involves trying to find the money to fund the young person’s premium, which is analogous to the pupil premium. I am sure that that is something that we would all applaud, but is it not also important always to find space in the curriculum, and in the funding, for these enrichment activities that can put state-educated children on an equal footing with privately educated children, and that those activities receive the priority that they deserve?

[Nic Dakin]

The hon. Gentleman makes a very good point, drawing on a clear case study from Alton college, an excellent college in his constituency. He makes the point that it is crucial to strike the right balance and ensure that colleges can continue their excellent work in developing the whole person and allowing young people from a state education background to access the best universities. Alton, and other colleges up and down the land, have done this very well over the years. He also draws attention to what is happening to the money for disadvantaged students, which it appears is being creamed off. It is not yet clear how it will be distributed, and that is at the heart of this issue.

[Bill Esterson (Sefton Central) (Lab)]

A friend of mine who used to teach at a college in my hon. Friend’s constituency told me of my hon. Friend’s fine reputation in his previous role. My hon. Friend was talking about the funding cuts for 16 to 18-year-olds. I have here a note from the principal of Hugh Baird college in Sefton, who tells me:

“The very significant cut in entitlement funding for 16-18 year olds will make it a real challenge for many colleges…to give learners the excellent pastoral support, the personal and social responsibility and employability skills which they deserve and need to positively contribute to the economic recovery and society in general.”

Would my hon. Friend care to comment on that information?

[Nic Dakin]

My hon. Friend makes a clear and cogent point and draws on another case study from another very good college, this time in his constituency. In many ways he makes the same point as the hon. Member for East Hampshire (Damian Hinds) about how entitlement funding helps to develop the whole person and is crucial to the thrust of our education service and to what colleges have done so well for so many years.

[Mrs Jenny Chapman (Darlington) (Lab)]

May I reinforce the point made in the two previous interventions and speak about social mobility? When I discuss the issue with the principals of Darlington college and Queen Elizabeth sixth-form college in Darlington, they say that although they are getting better and better at producing the right grades to get their students into good jobs and good universities, their students are still unable to access the same opportunities as other young people because they do not have some of the softer skills and wider experiences in life that young people from different backgrounds have been able to access as a result of their family’s income. It is so important that our colleges are able to give young people those opportunities and experiences while they are at college.

[Nic Dakin]

I thank my hon. Friend for her intervention. She mentions two more very good colleges, both in her constituency. The point that she makes about social mobility builds on the points made earlier by the hon. Member for East Hampshire and my hon. Friend the Member for Sefton Central (Bill Esterson). What entitlement funding has done so well is provide experiences that enrich and expand young people’s experiences so that they gain greater confidence and are able to aspire to go on to greater things. The education system post-16, building on the building blocks of the pre-16 experience, has done that so well over recent years. The proposed cuts to entitlement funding call into question colleges’ ability to maintain that momentum.

At the same time as entitlement funding has been cut by 12%, the maximum funding for each student has been reduced from 787 hours, or 1.75 standard learner numbers, in the jargon of post-16 funding, to 702 hours, or 1.56 standard learner numbers. That is a 10% reduction in that part of the funding formula. I warned hon. Members that the debate would get rather technical at certain points.

Some of the money saved by these measures will be returned to colleges and schools with higher numbers of students from disadvantaged backgrounds or with low entry qualifications, but details are not yet available of how the £150 million of disadvantaged funding will work. As the hon. Member for East Hampshire said, the lack of clarity and lack of understanding are causing concern in the sector. Those in the sector understand what is going, but they cannot see what might be coming back into the picture.

Transitional funding, which is being put in place to dampen the effect of the cut in entitlement funding, means that the maximum cut in funding per student next year will be 3%, but there is a lack of clarity about how this funding cut will be profiled in future. Many college principals are working on the assumption of a 3% cut each year for the next four years. Many are drawing up radical proposals to address the shortfall, which might be disastrous for the student experience and result in job losses in the sector.

Many colleges are telling me that if the cuts go ahead, they are likely to lead to a severe reduction in the amount of tutorial, guidance and enrichment available. That will probably be reduced to less than an hour’s tutorial session a week for students, and nothing else will be able to be resourced. Colleges will be in danger of becoming nothing more than exam factories, unable to spend time on developing the whole student, a job that they are recognised as doing extremely well at present. Interventions from Members on both sides of the House tonight have evidenced the effectiveness of the job that our colleagues in the post-16 education system are doing on behalf of those students who, after all, are our future and the country’s future.

It is likely that providers will now struggle to offer a broad range of extra-curricular activities that have for so long been a key characteristic of sixth-form education. Team sport, orchestras, drama productions, sign language, community volunteering, rocket science and magazine editing will all be put at risk.

[Julie Hilling (Bolton West) (Lab)]

Does my hon. Friend agree that these cuts will be compounded by cuts to youth services, so opportunities for positive activities for young people without means will be cut off completely?

[Nic Dakin]

My hon. Friend makes a good point. What is happening in education should be put in the context of what is happening in services available for young people outside the classroom. I fear that without the provision of culture and sport in post-16 education, students will access these pursuits only if they or their parents can pay for them. That is the danger, and my hon. Friend emphasises that by drawing attention to the pressures on youth services at this time as well.

[Yvonne Fovargue (Makerfield) (Lab)]

Does my hon. Friend agree that colleges such as those in my constituency, Winstanley and Wigan and Leigh, might find the excellent links they have developed with employers jeopardised by the lack of funding and the lack of ability to send students out on visits, work experience and day trips to try some employment? In an area of high unemployment such as Wigan, those are particularly vital.

[Nic Dakin]

I thank my hon. Friend for that contribution. Colleges are resilient and imaginative places, and I am sure that they will work hard to ensure that those student experiences are maintained. However, she is right that some of the funding for those activities comes from entitlement funding and that, if it is being cut by 75%, there is a need to square the circle, so colleges will need to look at ways of doing that. That might mean that class sizes rise or that there are other impacts on the system. However, she is right to emphasise the importance of vocational experience, sometimes quite short bursts of vocational experience within a package of learning as well as fuller training directly in the workplace, which will continue to be fully and properly resourced.

The size of the cut is unfair in comparison with the cut in funding per learner in primary and secondary education. It is also quite amazing that sixth-form colleges, rightly applauded by the Secretary of State and widely recognised as one of the most efficient parts of the education system, should be hit so badly. Surely that is an unintended consequence of a change in policy.

Will the Minister look again at the potentially very disruptive impact of the change to entitlement funding on different types of post-16 providers and consider ways of mitigating any unintended consequences? Will he provide information very soon on how much disadvantage funding will be allocated to each post-16 provider? Will he meet me and a group of college principals so that he can better understand the impact of the changes on those at the sharp end of understanding what is going on?

Finally, and slightly tongue in cheek, although I would welcome a positive answer, if he wishes to witness at first hand the excellence that the current arrangements resource, he might join me for John Leggott’s spring concert on 5 April to experience one example of what we have at the moment and what these changes might put in jeopardy.

--- Later in debate ---

[Tim Loughton]

My hon. Friend is right to point that out, and again I shall come on to some comments in that vein.

Coupled with a focus on targeting the most disadvantaged and helping to close that gap is a Government priority to devolve greater powers, autonomy and freedoms to educational institutions at all levels—to ensure that principals, heads, teachers and governors are freed from so much of the prescription, bureaucracy and targets that went before, so that they can make the most appropriate decisions for their local student community. They, surely, are the people best placed to make those decisions. If it means concentrating more on enrichment activities, albeit with a tighter financial settlement, we must leave it to the judgment of those principals and others to make such decisions at the sharp end. My hon. Friend is right to raise the issue.

So, we are spending an extra 1.5% cash over 2010-11, so that a record 1.62 billion young people can have a place—[Interruption.] Sorry, I think that should say “million”. We are not quite China yet. Teenage pregnancy is part of my brief, but we have not quite reached that point.

Anyway, we are spending an extra 1.5% cash over 2010-11, so that a record 1.62 million young people can have a place in education and training. That is 23,000 more places than in the current academic year. Within that total, we are increasing the proportion of funds directed at young people facing disadvantage and deprivation in order to help schools and colleges attract and retain those 16 and 17-year-olds who currently do not participate in education and training at all. We are also increasing the amount spent on foundation learning, so that those young people who were failed by the previous Government’s school policies, which pumped in billions but still left many at 16 without the skills they needed to progress, can access the courses that suit their needs.

To do that, however, we have to take account of the economic situation. There is no getting away from that. Every decision that the coalition Government take is made against the backdrop of the difficult economic position that we inherited. Although Opposition Members would like to put those uncomfortable facts to one side, those of us in government have to deal with them, recognising that decisions on schools and colleges throughout the country need to take account of the dire position of public finances.

The enormous interest charges we are paying on our national debt, now standing at £120 million per day, mean that we spend more on servicing that debt than on all our schools and colleges put together, and that just cannot go on. Unless we bring the deficit under control, future funding for this critical phase of education will be endangered and future generations will suffer the consequences. That means we have to ensure that every penny we spend on 16-to-19 education and training brings real benefits to the learner, helps those who need help most and ensures young people are educated to higher levels than now.

We took the decision to reduce the requirement for enrichment activities for two reasons. The Government’s first priority is to protect the core education programmes offered by schools and colleges—the whole range of courses, including A-levels, vocational qualifications and apprenticeships. It is this core that delivers the real benefits to all young people and enables them to progress successfully into higher education or employment. That is not to say that I regard the enrichment activities that the hon. Member for Scunthorpe has so eloquently praised as unimportant—far from it.

[Nic Dakin]

I hear what the Minister says. In some ways, it is sadly predictable in so far as it suggests that there has not really been a proper understanding of what is happening on the ground, where there is genuine concern about the impact of the cuts, which could be quite difficult. Pastoral support and guidance is part of the entitlement funding, and that is very much part of the core of the education system as it stands.

[Tim Loughton]

I understand the hon. Gentleman’s point, but he must understand that we have had to make these difficult choices. In an ideal world and an ideal economy, we would be able to service and finance a full academic and enrichment programme and the complementary aspects that much of that brings, but we do not have the luxury of that choice at the moment. As I have said, I am not in any way trying to undermine the importance of some of the things that he has suggested. The chess clubs, the debating societies, the Duke of Edinburgh’s award scheme, and many of the things that went on in his own college are indeed important. But at a time when we want to maximise participation by all 16 and 17-year-olds, alongside a need to respond to extremely difficult economic circumstances, providing a funding entitlement to those activities to all full-time learners cannot be a priority.