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Brian Wilson sets new direction for further education
25/02/1998
Mr Brian Wilson MP, Scottish Education Minister, today announced resources of £237 million for Scotland's Further Education colleges next year as "further evidence of the Government's commitment to raising standards in, and promoting wider access to the Further Education sector." The Minister also announced allocations of £44 million of bursary funds for the direct support of FE students.
Announcing the grant allocations and his decisions following a review of the funding methodology for Scotland's Further Education colleges, Mr Wilson said:
"I am determined to raise standards in, and improve wider access to the Further Education sector, which has such a vital role to play in the delivery of high quality education throughout Scotland. That is why the FE colleges next year will have £8 million more to spend than in the previous Government's plans.
"We have decided this year to introduce changes to the way colleges' grant in aid is distributed. These reflect proposals made by the Funding Methodology Review Group which was set up last year to review funding for FE colleges. The Group's Report was followed by extensive consultation throughout the FE sector.
"This year we are dividing recurrent grant in aid into three funding 'streams'. There is a Student Unit Achievement Fund, a first step towards linking quality and funding. There is a Strategic Fund to promote strategic change within the sector - more collaboration and less competition between colleges. And there is a General Fund, within which we have introduced changes to the funding formula to address in particular the need to smooth out some of the funding consequences of volatile changes in growth patterns from one year to the next.
"I want to ensure that we work in partnership with the colleges towards agreed objectives. These changes represent the first stages in a process of review and adjustment, of aligning the distribution of recurrent grant with other Government priorities such as our agenda for widening access to and participation in lifelong learning, and improving standards in education.
"The new direction signalled by these initial changes to the way we allocate the colleges' grant will see students, employers and the tax payer all benefiting from a more focused distribution of public funds. This Government intends not only to improve the quality and accessibility, but also to rationalise the delivery of further education in Scotland. I believe the changes we are introducing represent a major step in the right direction."
BACKGROUND
1. The £237 million of resources announced today comprise £232 million of recurrent grant allocations and £5 million in additional tuition fees for the higher education courses which the colleges deliver.
2. The Funding Methodology Review Group was established with a remit to review the arrangements for distributing Government grant to FE colleges, to ensure that they support and deliver Ministerial objectives and reflect appropriate funding principles, and to identify scope for improvements, in consultation with the sector.
3. Media can obtain a summary of the main changes to FE funding proposed by the Review Group, with an indication of those which are being implemented during this funding round, and copies of a table showing the 1998-99 grant-in-aid and bursary allocations for the individual FE colleges by contacting the number below.
News Release: 0352/98
February 25, 1998