2. 14-19 Funding But if funding follows the learner, how does this pay for provision? More required…. £251m in 09/10 and £404m in 10/11 for 54.5k places £70m for 17.5k apprentices 53% Colleges (+7%) 31% Schools (+0.5%) 10 % Appren (+7.5%) 3% E2E (+5.5%) £38m for 13k E2E learners 3% LLDD (+8.3%) 16-18 funding in 09/10 £6.69bn (+4.9%) After heavy lobbying the Treasury allocated extra funding for 2009/10 in May 14-15 Dedicated Schools Grant 16-18 Learner-responsive 19+ Learner-responsive Not a single funding phase:

3. LR funding Standard Learner Numbers (SLN) X National Funding Rate (NFR) Provider Factor (PF) Additional Learning Support (ALS) Funding X + = Learner-responsive funding is an enrolment based formula, although it is applied the same way for allocations Example funding for an AS level qualification in 09/10 150 SLN GLH / 450 = 0.3333 SLN X £2,920 NFR 1.123 PF £0 ALS £1,093 X + = Example for an allocation 3,123 SLNs X £2,920 NFR 1.123 PF £500,000 ALS£10,740,817 X + =

4. ER funding (Apprenticeships) LR Provider factor Calculated for 09/10 based on your full-year 07/08 data (ILR) Programme weighting X Disadvantage Uplift Area costs uplift Short programme modifier X x Success Factor Provider Factor x = Standard Learner Numbers X National Funding Rate Programme weighting Area Cost Uplift Funding X X = Disadvantage uplift X Framework of enrolments Monthly payments on actual 75% on-programme and 25% on achievement

5. Success factor simplifies and terrifies Replaced 3 funding census dates and achievement factor 0.5 + Success Factor = Weighted average success rate 2 0.5 + 0.9 = 80% for College X 2 0.5 + 0.5 = 0% for College Y 2 Although historical, think of this as 50% lost if a learner does not finish and achieve Learners Income lost Success rate Target group size of 16 at £5k each (£80k income budget) Do staff know the impact class size, retention and achievement have on income? Budget missed by 31%! Next allocation cut by 31%? 14 start£10k 2 leave within first 6 weeks 79% retention £7.5k 3 more do not finish 57%£25k8 succeed 73% achieve £7.5k 3 finish but don’t pass

6. ‘Harmonisation’ Keep an eye on this word, as it is may be applied in a variety of places  Success rate and funding rules  School and College funding rates Finally, check out my unofficial funding guide at www.fundingguide.co.uk  School and College performance measures  14-15 and 16-18 funding methodology

7. Any questions?