Education Maintenance Allowance

Nicholas Dakin Excerpts

Tuesday 2nd November 2010 Westminster Hall

[The Minister of State, Department for Education (Mr Nick Gibb)]

May I start by congratulating the hon. Member for Glasgow North West (John Robertson) on securing the debate? I know that he is passionate about the issue—as he said in his opening remarks, education maintenance allowances are close to his heart.

I share the hon. Gentleman’s desire to see more young people, from lower income households in particular, staying on in education and gaining the qualifications they need to contribute to and enjoy the culture of our country and to obtain good employment. I assure the hon. Gentleman that one of the main priorities for the Government is to ensure that our education system is on a par with the best in the world. We want our schools and colleges to prepare their students for success. We will continue to provide support for the most vulnerable young people, so that they can stay on in education.

I acknowledge that the evidence from the EMA pilots shows that the EMA was successful in its early days at encouraging young people to stay on in education. The decision to end the scheme will be disappointing to many young people, in particular to those from the website whom the hon. Gentleman cited in his opening remarks: Nick; Alex, who said that without it he would have “no education” and “no future”; and Cassie Campbell, whom he cited towards the end of his speech and who said that without the EMA she would have to drop out. I will come to that point later in my comments, when I say that they will not have to drop out of education as a consequence of this decision.

We are, today, in a different world. Already, 96% of 16-year-olds and 94% of 17-year-olds participate in education, employment or training. Attitudes to staying on in education post-16 have changed. We are committed to going further still, to full participation for all young people up to the age of 18 by 2015. However, a payment designed as an incentive to stay on is no longer the right way to ensure that those facing real financial barriers to continuing their education get the support that they need. We need to look again at the most effective way of supporting the most vulnerable young people to stay on in education.

[Nic Dakin (Scunthorpe) (Lab)]

As the Minister might well know, I was the principal of a sixth-form college until fairly recently. I can say from personal experience that the EMA has supported widening participation, the raising of aspiration and greater attainment among young people from a wide range of backgrounds. The EMA has certainly underpinned those developments—it is not an incentive, but an underpinning of continuing in further education. The Minister would be foolish to move away from his statements of only June this year, when he gave assurances that EMAs would continue into the future.

[Mr Gibb]

I take the hon. Gentleman’s point. There is evidence that EMAs have helped a small number of young people to stay on in education. However, that same evidence suggests that the scheme has a significant deadweight cost. Indeed, pilot evidence throughout the scheme, and more recent research, to which the hon. Member for Glasgow North West referred, from the National Foundation for Educational Research, found that almost 90% of young people receiving the EMA believed that they would still have participated in the courses they were doing if they had not received it.

The fact is, the EMA is a hugely expensive programme, costing more than £560 million a year, with costs of administration amounting to £36 million, but impacting on the participation of only around 10% of the young people who receive support. In effect, the taxpayer has been paying £9,300 for every extra young person who has stayed in education due to EMA. Most of the young people who receive the EMA would have made the same choices and achieved the same qualifications without it.