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Adult Education Budget FUNDING RULES 2021/2022 - August 2021 - July 2022

Annex M - Specification: Level 4+

There are 825,500 people qualified to NVQ Level 4 in the WMCA area. This is an increase of 3.4% on the previous year or 27,200 people, comparable to the national growth rate of 2.3%. Longer term, since 2012 the WMCA area has also performed better than the national average with an increase in the number of people with higher level skills by 147,900 (21.8%) compared to 17.2% for the UK.

Despite this positive trend, just 32.1% of the population are qualified to NVQ Level 4 compared to 39.2% for the UK - a shortfall of 181,538 people. Qualifications are key to progression, with people qualified to NVQ4+ estimated to earn significantly more than those with lower qualifications.

While qualifications levels are improving, these shortfalls remain at level 4+ impact on productivity, competitiveness and inward investment which hold back growth of the regional economy. In addition, low skills also impact on earnings and household income for residents in securing sustainable employment in higher skilled job roles.

At present the WMCA has not funded any non-prescribed higher-level course at level 4 but through its recent procurement round has secured a small amount of provision to be delivered in 2020/21. It wants to extend the opportunity for current providers to develop level 4 and above provision funded through AEB. Whilst in 2020/21 we will test activity at this level we do anticipate further growth in 2021/22 and beyond.

The Offer

Provision at level 4 + will be developed exclusively in our priorities as set out in the WMCA Local Industrial Strategy (LIS). We consider either full or unitised delivery against published courses and use subsidies similar to those tested in the Career Learning Pilots – tested by DfE in 18/19 where subsidies of 25%, 50% or 75% were offered.

We are also keen to explore providers putting together an adult offer of learning at Level 4 where qualifications don’t exist e.g. new emerging sectors to meet the needs of residents. This can be used following an activity matrix based on delivery of GLH (funding band hours).

We want an offer that people can access independent of their employer similar to the old ‘night school’ concept but offered in flexible ways – modes, times and locations. It’s also important to us that individuals are clear on what they can move onto and progress to following successful completion of their learning.