an update on 16-19 funding for the 2014 to 2015 academic year

An update on 16-19 funding for the 2014 to 2015 academic year

Agenda

Welcome and introduction

Session 1 - Areas where funding policy is changing

Session 2 - Funding per student update

Session 3 - 16-19 Allocations for 2014 to 2015

Session 4 - High needs funding

Total Programme

Funding

Programme Cost

Weighting

Disadvantage Funding

Area Cost

Allowance

Student Numbers

National Funding Rate per student

Retention Factor( )

The funding formula

……plus extras (if applicable)

Programme Cost Weighting

DisadvantageFunding

Student Numbers


Retention Factor( ) Area Cost Allowance

TP from 11/12

High Needs Students

Formula Protection Funding

Total Programme

Funding

Student Support Funding

• This is a count of students to be funded

• Must meet qualifying period of 2 weeks or 6 weeks- will not fund programmes under 2 weeks

• Based on autumn census or ILR return

• Either full time => 540 hours

• Or Part Time < 540 hours

Program Cost

Weighting

DisadvantagFunding

Area Cost

Allowance


Retention Factor( )Student

Numbers

Student numbers

Student statusHours required

per year

Full time 540 +

Band 4 450-539

Band 3 360-449

Band 2 280-359

Band 1 up to 280

Single National Full Time funding rate per student expressed in £

All 16-19 year olds in English sixth forms, colleges and independent providers are funded at the same national funding rate (except Youth Contract, Young Offenders, 16-18 Apprenticeships and European Social Fund (ESF))

This is the final element of the formula fixed by the EFA. It depends on how much learning is taking place across the country and the budget.

Program Cost

Weighting

DisadvantagFunding

Area Cost

Allowance

Student Numbers

Retention Factor( )


The National Funding Rate

Success no longer used in funding, a retention factor is now used

Applied at student level, not qualification level

Retained means still studying a core aim on planned end date or leaves early and is recorded as completed the core aim

For academic programmes – still studying one of the academic aims

For vocational programmes still studying the core aim

Retention FACTOR =half way point between Retention RATE and 100%

Student Retention and funding

Funding

Leaves before qualifying period

0

Leaves before planned end and not recorded as completed

50%

Retained to planned end date and recorded as completed

100%

Leaves before planned end date and recorded as completed

100%

Program Cost

Weighting

DisadvantagFunding

Area Cost

Allowance

Student Numbers

National Funding Rate per student ( )Retention

Factor

Retention Factor

Number of students completed

Number of students started

Recognition that some vocational subjects are more expensive to teach than others

Applied to the student’s whole programme Determined by the student’s core aim ie A Levels or substantial vocational

qualification All academic programmes uplifted by one weight, which has been

determined by merging the 2 current academic weightings and rebasing as 1,

Vocational Programme Weighting categories are being reduced in number and re-based to make it simpler: applied at sector subject areas

Cost Weighting Category

2012/13 equivalent

Proposed 2013/14

Academic 1.06 1.00Low 1.10 1.04

Medium 1.28 1.21High 1.60 1.51

Specialist 1.72 1.62

DisadvantagFunding

Area Cost

Allowance

Student Numbers


Retention Factor( )Programme

Cost Weighting


Shadow Allocations Based on whole-year 2010/11 data – same data source as for full-time/part-

time No major issues with data – but inevitably some turbulence due to reduced

number of categories Doesn’t take account of any business cases or protection of programme

weighting in 2012/13 allocation, so may be some reductions Detailed list of sector subject areas and weightings will be given in [Field

Guide]

DisadvantagFunding

Area Cost

Allowance

Student Numbers


Retention Factor( )Programme

Cost Weighting


Recognises that some students require additional support to participate and achieve if we are to achieve full participation and improve attainment

Principle is to create a Single budget that institutions use as they see fit



EconomicDeprivation

Prior Attainment

ProgramCost

Weighting

Area Cost

Allowance

Student Numbers


Retention Factor( )Disadvantage

Funding

• Based on students’ home postcode• Deprivation is calculated using Index of

Multiple Deprivation 2010. This examines the students’ home area based on: income; employment; health and disability; education, skills and training; housing and services; living environment; and crime

• Uplift is between 8.4% and 33.6%

Block one:


EconomicDeprivation

• Additional categories are no longer eligible

• Care Leavers attract a standard uplift- rate

ProgramCost

Weighting

Area Cost

Allowance

Student Numbers



Funding

Prior Attainment

• Acknowledges the additional cost of students who need extra learning support

• Based on students’ achievement of GCSE English and maths at end of Year 11

• Funding rate for shadow allocations =£450• Reduced flat rate for part time = £274- pro rata

as per programme costs

Block two:

ProgramCost

Weighting

Area Cost

Allowance

Student Numbers



Funding


ExampleMaths below

grade CEnglish below

grade CFunding attracted

per student (£)

Student 1 yes *Rate x1

Student 2 yes *Rate x1

Student 3 yes yes *Rate x2

• Used to be graduated payments based on student’s grades

• Now only a flat rate based on non-achievement of grade C

Area Cost

Allowance

Reflects the cost of delivery in high cost local areas

We will continue to calculate this using the same methodology as now

Applied to the whole participation formula (including all disadvantage)

Program Cost

Weighting

DisadvantagFunding

Student Numbers


Retention Factor( ) Area Cost

Allowance

Area Cost Allowance

Area Uplift

Inner London 20%

Outer London 12%

Berkshire 12%

Crawley 12%

Surrey 12%

Buckingham (London fringe) 10%

Hertfordshire (London fringe) 10%

Buckinghamshire (non fringe) 7%

Area Uplift

Oxfordshire 7%

Essex (London fringe) 6%

Kent (London fringe) 6%

Bedfordshire 3%

Hertfordshire (non-London fringe) 3%

Cambridgeshire 2%

Hampshire and Isle of Wight 2%

West Sussex non-fringe 1%

Program Cost

Weighting

DisadvantagFunding

Student Numbers


Retention Factor( )

2014 to 2015Areas where funding policy is changing

Funding of 18 year olds

Band Study programme hours and ages

5 Full time 16/17 year olds doing 540 hours or more

4 Full time for 18 year olds and 16/17 year olds doing between 450 and 539 hours

3 Between 360 and 449 hours

2 Between 280 and 359 hours

1 Less than 280 hours

Students who are 18 or over at 31st August preceding the start of the academic year

New for 2014/15

FPF was introduced for 2013 to 14 to be paid for at least three academic years, until and including 2015/16

For 2014 to 15 it will:

• Reduce from any gains in the formula – e.g. where the value of the formula increases due to improved retention, more students attracting disadvantage, increased programme size, for example FPF will reduce

• Stay the same if the value of the formula reduces• Should the value of the formula exceed the funding per

student paid in 2012 to 13 then the formula, net of FPF, is paid in full

• For those institutions with additional TP for short courses in 2013 to 14, in 2014 to 15 this additional amount will be half the amount it was in 2013 to 14

Formula protection funding (FPF)

New for 2014/15

Formula Protection Funding

£4,500

£4,300

£3,800

12/13 13/14 14/15

Formula downFPF the same

Funding per student reduces

£500

£4700

£4,500

£4,000

12/13 13/14 14/15

£4,700 per student from the formula

£500£500

Free meals for 16-19 year olds

Extends eligibility for free meals to disadvantaged

students in further education and

sixth form colleges

Currently only eligible students in school sixth forms have an

entitlement to free meals.

Further details in January 2014.

The review of Programme Cost Weighting is now completed and has been considered by Ministers

There will be no changes to these weightings for 2014 to15

We will keep the weightings under review

Programme cost weightings

Planned hours eligible for funding

• Directly relevant to the study programmeRelevant

• Explicit in the Learning Plan or TimetablePlanned

• Hours that are supervised and/or organised by the institutionSupervised

• Hours that are quality assured by the institutionQuality Assured

• Hours that are within an institution’s normal working pattern

Normal Working Pattern

• Where it meets the criteria set out above, is time limited and the weekly hours do not exceed the student’s planned weekly hours for the overall study programme

Study Leave

Hours that do not count for funding

• Voluntary extra-curricular activities and clubs delivered during breaks or outside normal working pattern

Voluntary

• Study that is homework or independent study/research that is not timetabledHomework

• Employment or work experience organised by anyone other than by or on behalf of the provider

Employment

• Volunteering or community activities that are not organised by or on behalf of the provider

Volunteering

Recording planned hours for funding purposes

• Hours that are delivered towards qualifications that are approved for teaching to 16-19 year olds under section 96 of the Learning and Skills Act 2000

Qualification

Hours• Do not count towards a qualification on

section 96• Informal Certificates• Non-qualification activity• Tutorial activity• Work experience/Work related activity• Volunteering/Community activities• Enrichment activities

Non Qualification Hours

Planned hours: Schools and academies with sixth forms

You need to capture planned qualification hours and non-qualification hours separately in readiness for recording.

Fields

Census Planned hours for qualifications

Planned hours for non-qualifications

Planned hours for qualifications

Planned hours for non-qualifications

Autumn 2014

Students in 2013/14

Students in 2013/14

Students in 2014/15

Students in 2014/15

Autumn 2015

Students in 2015/16

Students in 2015/16

Autumn 2016

Students in 2016/17

Students in 2016/17

Work experience-developments

From 2014 to15 the way non-qualification activity is recorded will change

Work Experience will need to have taken place within an EXTERNAL employers’ workplace

Simulated work environments should be separately recorded as non-qualification activity

Institutions/providers need to put arrangements in place to achieve this during 2013 to14

Activity in, for example, a college crèche or restaurant would not count as external work experience

English and Maths condition of funding

From September 2013, students who did not hold an A*-C in English or maths needed to continue to study towards: GCSE/iGCSE, or Functional Skills, Free Standing Maths or ESOL

qualifications as stepping stones to GCSE. This becomes a condition of funds from the beginning of

the 14 to15 academic year. This means any student recruited from 1 August 2014

without at least a GCSE grade C in these subjects and not registered to work towards this level will not be counted for your funding allocation for 2016 to17

ACTION FOR 2014/15

16-19 Allocations:2014 to 2015

TimelineKey Dates for 2014 to 2015 allocations (schools / academies):

Date Event

October 2013 School census return date

January 2014 Send out school funding factors based on 2012 to13 data and lagged numbers based on 2013 to14 recruitment

February Deadline for business cases to be with EFA

March EFA confirms national rateEFA send out school funding allocations

Lagged Student Numbers

Schools/Academies

2013 to 14 student numbers based on autumn 2013 census

Data Sources (Schools/Academies)

Autumn Census 2013 – autumn 2013 data for:

•Lagged student numbers – i.e. how many students will be funded

Autumn Census 2013 – end-year

2012 to 13 data for:•Programme Size (Full-time/part-time)•Funding factors – retention, programme cost weighting, disadvantage block 1 (economic disadvantage)•These factors determine the level of funding per student

YP Matched Administrative

Data, 2011to12 for:

•Disadvantage block 2 (GCSE English and maths grades) (DN: may also be used for bursaries)•Affects the level of funding per student

Useful Documents

Funding formula review - http://www.education.gov.uk/aboutdfe/executiveagencies/efa/a00210682/funding-formula-review

Funding guidance - https://media.education.gov.uk/assets/files/pdf/f/funding%20review%20june%2013%20v4.pdf

http://www.education.gov.uk/aboutdfe/executiveagencies/efa/a00210682/funding-formula-review

http://www.education.gov.uk/aboutdfe/executiveagencies/efa/a00210682/funding-formula-review

https://media.education.gov.uk/assets/files/pdf/f/funding%20review%20june%2013%20v4.pdf

https://media.education.gov.uk/assets/files/pdf/f/funding%20review%20june%2013%20v4.pdf

High needs funding in 2014 to 2015

From 2015 to 2016 academic year

A lagged system for most places based on the latest available data

Flags already included in ILR Flags will be included in the school census from 2014 to

15 There will still be an opportunity for local authorities and

institutions to discuss any expected substantial changes to the pattern of provision.

2013 to 2014 academic year We changed the high needs funding system in preparation for the

Children & Families Bill and the significant reforms to the SEN system which will come into force from September 2014.

Institutions need more stability in place funding and we have clarified that it is not specific to an individual student or local authority.

In some cases, placement decisions and contracts have been finalised much later than envisaged.

We have played, and continue to play, a supportive role to aid discussions between local authorities and institutions.

Accurate place funding gives security to institutions, and gives LAs greater control over top-up funding

Intention to base place funding for 2015 to 2016 onwards on prior year data

For 2014 to 2015, therefore, expect place numbers to be closely based on the actual numbers of placements commissioned in institutions for current year (2013 to 2014)

33

HNS 2014 to 2015 place funding

Element 3 Element 2 Element 1

Place Plus

2014 to 2015 key changes

We will be taking a step towards a lagged system and have designed the process to provide more stability in place funding for institutions.

We have encouraged dialogue between local authorities and institutions since we launched the 2014 to15 place review process in July 2013.

We have shared 2012 to 13 R14 ILR data with local authorities and requested they take this into account when planning for 2014 to15.

We know that 2013 to14 allocated volumes are not robust in many cases have asked local authorities to declare post 16 2013 to 2014 actuals on their high needs template (HNT)

We only expect 2014 to15 numbers to deviate from 2013 to 14 actuals where there are significant changes that LAs know will happen.

2014 to 2015 TimetableOn-going dialogue between institutions and local authority regarding place numbers for 2014 to15 November: Update to HNTs (high needs templates) for local

authorities, including 2012 to13 ILR data

December 23rd: Local authorities return HNTs and submissions January 17th: Share 2014 to 15 high needs places with FE, CCPs,

NMSS and ISPs January 31st: FE, CCPs, NMSS and ISPs return exceptional

submissions February: Confirmation of outcome of local authority and institution

submissions March: Final high needs allocations issued to local authorities and

institutions

Website

We have created a new high needs webpage, bringing together information for local authorities and institutions into a single place to improve access

http://www.education.gov.uk/aboutdfe/executiveagencies/efa/a00228993/hn-funding-information

