Funding Update; Funding follows the learner


The UK Government  Skills Funding Agency (SFA) have published a new update regarding funding rules for 2014 – 15.  Here's a brief overview of the changes and key points that Further Education Colleges and Training Providers should be aware of.

Evidencing Traineeships

  • Learning Agreements: Now includes assessment of learners participating in a Traineeship. Providers requirements to show that learners will be ready to move onto an Apprenticeship or employment within 6 months.
  • Attendance Records: Now includes requirement to evidence attendance and participation in a work placement for learners taking part in a Traineeship.

“Funding Follows The Learner”

Building on the Government mantra that education should lead to employment, providers’ earnings will be affected successful outcomes.

  • Track the Learner Journey: Funding is distributed over the learner’s journey from starting the programme to achieving the expected outcome.
  • Outcomes: Funding is directly linked to learner retention and achievement of both qualifications and jobs.
  • Providers earn funding for what they deliver, when they deliver it.

Earnings Method

  • Earning Insallments: Earnings are based on monthly instalments so that funding follows the learner for as long as they remain in learning.
  • Learning Aim Achievement: For each learning aim the SFA will hold back 20% of the funding. This will only be paid when the learner achieves their qualification or when the framework is achieved.
  • Recognition of Upfront Costs: There will be  a double payment of the monthly instalments in the first month recognising the upfront costs of enrolling a learner on a learning aim.
  • Non-completers: If the learner leaves early, the monthly instalments will stop.
    • providers could be paid a job outcome payment (equal to half of the achievement element) if the learner leaves early without achieving their qualification to enter work of 16 hours or more a week for at least four weeks in a row. 
    • the provider will earn the outstanding monthly instalments and the remainder of the achievement element if the learner subsequently goes on to achieve the learning aim 

Are you tracking the learner journey in enough detail to meet these requirements?
Find out how we have helped further education and skills providers to improve retention, track learning aim achievements an evidence job outcomes. Tell Me More >

Read the full update from the Skills Funding Agency:

SFA funding rules 2014 to 2015 – summary of changes 

SFA funding rates and formula

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