157 Group responds to Chancellor’s announcement of in-year cuts

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The 157 Group has responded to yesterday’s announcement that the Department for Education (DfE) and the Department for Business, Innovation and Skills (BIS) will each have to find £450m of savings in this financial year.

Dr Lynne Sedgmore CBE, executive director of the 157 Group, said “We understand that both Departments are hoping to find savings without affecting front-line delivery, but the scale of the plans announced yesterday implies that this will be difficult. It would be extremely unhelpful for Colleges to be faced with a change to the financial settlement that was only announced in March after they have already made their plans for the next academic year.

“The government has been clear that funding for schools is protected. This means that savings within DfE can only fall on those parts of the education system which have already borne the brunt of cuts so far, including Further Education. From this September, young people are required to be in some form of education until they are 18, and most of them will be studying in Further Education Colleges, preparing for Apprenticeships or Higher Education. The evidence is clear that successful economies, both in Europe and beyond, invest more in post-16 education, but England is heading in the other direction completely.

“We fully support the drive to create more Apprenticeships, but many adults are simply not able to take on an Apprenticeship, either because of their previous experience of education or because of lack of availability. With funding for Apprenticeships protected within BIS, budget cuts will inevitably affect provision for these adults. At a time when working lives are getting longer, and we need every person of working age to be as well trained as they can be in order to close skills gaps and improve productivity, cuts in this area seem unproductive.

“Our recent report confirms the real economic value gained by both individuals and the country from investment in Further Education, and we will be working hard to ensure that this fact is not ignored, either in the implementation of these cuts or in the spending review which is sure to follow next month’s Budget.”