London Skills and Employment Policy Network KEY MESSAGES FROM SKILLS INVESTMENT STRATEGY Skills Funding Agency London 15

1. London Skills and Employment Policy Network KEY MESSAGES FROM SKILLS INVESTMENT STRATEGY Skills Funding Agency London 15th March 2012

2. New Challenges, New Chances • Further Education and Skills System Reform Plan: Building a World Class Skills System • The Skills Investment Statement 2011-2014: Investing in a World Class Skills System

3. Building a World Class Skills System • Principles: • Students at the Heart of the System • 1st Class Service from the National Careers Service • Ladder of Opportunity • Excellence in Teaching & Learning • Relevant & Focussed Learning Programmes • Strategic Sector Governance • Freedoms & Flexibilities • Simplified Funding System • Informed Choice • Global FE

4. Students at the Heart of the System • Funding for greatest impact - the young, those seeking work and basic skills • 2013 - Introduction of Loans • Innovation Code

5. The Ladder of Opportunity • English and Maths • Terminology Change • Prioritise young people and the unemployed • Pilot ‘distance travelled’ provider reward • GCSE funded from Sept 2012 • Apprenticeships – functional skills or GCSE from 2012 • JCP and OLASS • Development fund for Sector • National Campaign

6. The Ladder of Opportunity • The Unemployed: • 19-24 full funding for foundation learning • Full funding for 1st L2 or L3 • QCF Units • Job Outcome Payments • Transition to Universal Credit • Higher Education: • ‘College of Further and Higher Education’ • Proposals on collaboration for credit accumulation/transfer • Awarding bodies given awarding powers for HE courses

7. Relevant & Focussed Learning Programmes and Qualifications • Work to be done…. • Maximise benefits of QCF • SSCs no longer approve each unit • Business involved in design, development, assessment • National Occupational Standards – fit for purpose? • Consultation 2012 • Ofqual Review – how is the market working?

8. Freedoms and Flexibilities • Much already done….more to come • Simplification Programme • Whole College View • Large Employer Pilot • Communications – fewer and higher quality • Simplified Funding System

9. Skills Investment Statement 2011-14

10. Skills Investment Statement Main areas are: Funding Simplification and reducing bureaucracy Continued commitment to Apprenticeships Skills for life: English and Maths Further development of large employer commitment Less money in the system Consolidation of policy areas and funding streams Housekeeping - tidying up the Adult Skills Budget Funding entitlement Minimum Contract Level – no change Specialist Designated Institutions – no change Informal Adult Community Learning pilot Enhanced Discretionary Learner Support budget.

11. Funding Simplification principles approved Employer Architecture Agreement on principles of Job Outcome Payments Shifting priorities to young people 19-24 not in employment, education or training (NEET) Key Challenges (1)

12. Streamlining of Learner Support (2012/13) Incorporation of Formal First Steps into ASB (2013/14) Informal Adult and Community Learning Innovation code Opening up of the QCF Key Challenges (2)

13. Investment Statement Budgets There will be less money in the system: Total Skills Funding Agency £ in 000s 2011-12 FY 2012 -13FY 2013 -14FY 3,473,225 3,361,209 3,156,923 Teaching and Learning Adult Skills £ in 000s 2011-12 FY 2012 -13FY 2013 -14FY 2,834,542 2,699,009 2,497,346

14. ESF Context and Agency Approach

15. ESF Context andAgency Approach • Each region has ESF to address regional jobs and skills needs • In London, regional functions are delegated to the Mayor of London • Mayor is responsible for production of the London ESF Framework and approval of Co-financing organisations

16. Agency Strategy • The Skills Funding Agency will focus ESF for the 2011-2013 period on provision that adds value to mainstream activity, supporting, enhancing and filling gaps in mainstream activity • Operating on behalf of the YPLA, the Skills Funding Agency will use ESF to support 14-19 year olds who are NEET / at risk of becoming NEET • Provision will operate until August 2012 – national requirements but does include a London dimension

17. Freedoms andFlexibilities • ESF provision operates within the freedoms and flexibilities agenda • Activity funded by ESF sits within the Single Adult Skills Budget – consolidation of historical funding lines including Adult Learner Responsive, Skills for Life and Programmes for the Unemployed

18. Funding Eligibility • ESF operates within the Government’s intention to focus funding on those who need it most • All ESF will be in line with criteria published in Guidance Note 6 (December 2010) • Individuals on JSA • Individuals on ESA on the Work Related Activity Group

19. Context Skills Investment Strategy • Meeting the needs of JCP customers a key Government priority • Discrete programmes for the unemployed ended 31 March 2011 • Provision to be “mainstreamed” – providers to consider meeting needs of JCP customers from Adult Skills Budget in light of local needs • ESF provision to provide additional capacity / fill any gaps during transitional period

20. JCP and Stakeholder Engagement • Skills Support for the Unemployed • Programmes for JCP customers on active benefits (Jobseeker’s Allowance and Employment Support Allowance (Work Related Activity Group)) • Focus on pre-Work Programme (unemployed less than 12 months or 9 months if aged 18-24) • Provision to be determined locally in discussion with JCP District lead, having regard to: • JCP customer base • Employment opportunities • Any gaps in provision for JCP customers