On 30 June 2021, the Department for Education responded to a written question on finance for further education.
The question, asked by Conservative MP for Waveney, Peter Aldous, inquired into whether the department plans to increase long-term funding for the further education sector.
The Government’s response is below:
Further Education: Finance
Department for Education
30 June 2021
Peter Aldous: To ask the Secretary of State for Education, whether he plans to increase long-term funding to meet the needs of the further education sector.
Gillian Keegan: We are investing an additional £291 million in 16-19 education in the 2021/22 financial year. This is in addition to the £400 million awarded in the 2019 Spending Review. This will allow us to maintain the base rate of funding at £4,188 for all types of providers and to continue with the increased funding for high value and high cost subjects, including the High Value Courses Premium. Overall, there has been an increase in cash terms of funding per student of over 9% in published allocations for the 2020/21 academic year compared with the 2019/20 academic year. This is following the rate increases in the 2019 Spending Review, and these higher rates will be maintained in 2021/22 allocations.
We are continuing to invest in education and skills training for adults through the Adult Education Budget (AEB): £1.34 billion in the 2020/21 academic year.
Future funding for 16-19 and AEB provision beyond 2021/22 is subject to the upcoming Spending Review.
We are also investing £138 million from the National Skills Fund for Free Courses for Jobs and Skills Bootcamps offers over the current Spending Review period. We remain committed to £2.5 billion investment, in England, for the National Skills Fund across five years. In the 2021/22 financial year, funding available for investment in apprenticeships in England is almost £2.5 billion, double what was spent in 2010/11.
We are supporting employers to increase the use of apprenticeships by increasing the incentive payments for employer to £3,000 for each new apprentice they hire as a new employee.