Adult Community Learning Budget Reductions

Transcription

1 MERTHYR TYDFIL COUNTY BOROUGH COUNCIL Civic Centre, Castle Street, Merthyr Tydfil, CF47 8AN Main Tel: To: Chairman, Ladies and Gentlemen CABINET REPORT Date Written 1 st June 2014 Report Authors Sue Hughes/Ian Benbow/Ryan Stokes Service Area Social Regeneration Committee Division Portfolio Committee Date 18 th June 2014 Adult Community Learning Budget Reductions PURPOSE OF THE REPORT: To update Cabinet on the budget/funding reductions and key issues for the Local Authority s Adult Community Learning (ACL) service. 1.0 INTRODUCTION AND BACKGROUND 1.1 The legal basis for Adult Community Learning (ACL) and much of lifelong learning is embedded in the term further education. The Education Act 1996 places a duty on local education authorities to secure provision of adequate Adult Learning facilities. 1.2 The Welsh Government s ACL policy statement (2010), sets out the direction of travel for ACL Providers at a local level. The statement focuses primarily on ACL provision which is funded through Department for Education and Skills (DfES) and requires the providers to work in partnership to develop and deliver ACL provision. The DfES provision is: MTCBC Family and Community Learning; Merthyr College Community Learning provision (delivered by MTCBC Family and Community Learning); and Workers Educational Association. 1.3 ACL partnership provision within all local authority boundaries are subject to an area inspection by Her Majesty s Inspectorate Estyn. 1.4 The local authority has the lead role in coordinating the Merthyr Tydfil ACL partnership and has had the lead role of nominee during inspections.

2 1.5 ACL plays a key role in ensuring that the Council s goals (and its partners) for improving skills and attainment across all levels and abilities are achieved. ACL is a universal offer (with some targeted provision) and whilst it focuses, in the main on adults (16 plus), there is also a focus on young people through Intergenerational/Family Learning. 1.6 MTCBC has been notified of a 37.5% reduction in funding from DfES in financial year There has also been a 37.5% reduction in funding from MT College through the franchise contract. (Please see Appendix 1 - WG financial allocations for each local authority). 1.7 DfES has also indicated that there will be a further 10% cut in direct delivery funding in but no written confirmation has been received to date. The developments proposed within this report have taken into consideration this additional cut to mitigate and limit any future need for restructuring. 1.8 WG have advised that the National policy statement is currently being reviewed which will have a further impact on local delivery of ACL services funded by DfES. 2.0 ACL LOCAL AUTHORITY SERVICE PROVISION 2.1 Since 2009 the MTCBC Adult and Community Learning service has developed and coordinated a partnership strategy without additional resources. The ACL partnership work which has been recognised by Estyn as excellent and one of the best performing partnerships across Wales (see Appendix 2 for Estyn comparison tables). This has been achieved by utilising existing resources that were allocated to managing the local authority s direct service delivery. 2.2 It is important to note that in the 2014 Estyn report on the Merthyr Tydfil ACL partnership stated that Adult learner achievement in Merthyr Tydfil is outstanding. The success rates achieved by adult learners in Merthyr Tydfil were among the best in Wales. Nearly all learners are highly motivated enthusiastic and enjoy their learning. Many learners have developed a passion for learning and are gaining valuable personal, social and employability skills leading to greater social inclusion and independent living. 2.3 The Cabinet budget forum in June 2013 considered data on Value for money from the ACL service. The service demonstrated very good VFM in terms of funding against the % of learners who gain a qualification (see Appendix 3 VFM comparison graph). 2.4 The Adult and Community Learning service plays a key role in delivering the adult education and skills priorities outlined in the Merthyr Tydfil Single Integrated Plan (SIP) and also support actions indentified in the Merthyr Tydfil Local Education Authority s (LEA) Post Inspection Action Plan.

3 2.5 Community Learning in Merthyr Tydfil has been completely modernised. The service has transformed the traditional Community learning classes into a mixed model of Adult and Family provision (targeted and universal) that is funded from a number of different sources. The total funding for ACL in 2014/15 equates to 139,296. The additional service that contributes to direct adult learning provision which allows individuals to gain a qualification is illustrated in the table below. At present these specifically funded provisions do not contribute to the ACL management and quality infrastructure. 2.6 The income funding profile detailed below demonstrates the planned reduction in funding. For the financial year 2015/16 it needs to be noted that there is the potential to lose additional grants which would further reduce the service delivery available. Budget source ACL direct provision Amount 13/14 Amount 14/15 Projected 15/16 DfES direct Delivery *63,386 *47,935 *36,000 Merthyr Tydfil College franchise Local Authority core Merthyr Learns ( 28,090) ACL ( 30,271) *52,995 *33,000 *30,000 58,361 58,361 **39,361 Conditions of funding Accredited and non accredited Learning. Tutor and delivery costs (including 50% of ACL managers cost). Accredited Learning - tutor and delivery costs. ACL/ML Management of ACL service including 50% of Managers cost, Accreditation/ Data staff and the coordination of the ACL partnership. ACL total 174, , ,361 A total reduction of 69,381 Wider Family and Community Learning provision Welsh Government Basic skills funding Local authority Core Venture Out ( 35,000) Basic Skills ( 47,600) ***56,200 ***66,028 ***66,028 82,600 82,600 **63,600 Families First Basic Skills 21,500 21,500 ****21,500 Merthyr College Family programme franchise Total Additional FCL provision 22,000 22,000 ****22, , , ,128 Basic Skills and Family Learning programmes tutor and delivery costs including contribution towards basic skills coordinator. VO Mental Health provision. BS - tutor costs for Basic Skills in the community. Basic skills support, contribution towards Basic Skills coordinator role. Basic Skills Family Programmes with schools tutor costs.

4 * Demonstrates the loss of WG and college funding which equates to 50,381. ** Is a projected figure should the planned efficiency savings being enforced and removed from the budget which equates to 29,000. *** Currently still awaiting formal confirmation from WG. **** This funding is not guaranteed. 2.7 The table below illustrates the different types of ways in which the service engages and supports adults and families. Service provision Targeted (for certain categories of Adults/Families) Universal (open to all) Family programmes Universal - With a focus on supporting literacy and numeracy skills of vulnerable learners to support their children Language and Play & Universal Number Play Skills for Work delivery Targeted - Focused on unemployed learners age 16+ Communication and number delivery Universal - Working with learners with skills below level 2 Welsh language course Universal delivery English for speakers of other languages (ESOL) delivery Targeted Learning support for individuals who have English as a Second Language. Digital inclusion skills training Universal Health and wellbeing delivery Universal Venture Out mental health recovery based programme Heritage Lottery Fund (HLF) Cyfarthfa Park volunteer project Targeted - Supporting service users with mental health conditions aged 18+ Universal 3.0 KEY ISSUES FOR THE SERVICE 3.1 Issues - The funding from WG and the College has provided the finance for the infrastructure for the local authority s ACL direct delivery which also coordinates the ACL partnership (a critical requirement from WG). This infrastructure also manages a number of other funded programmes which are detailed in 2.6 above and have specific outcomes relating to the terms and conditions of the grants. Action - The reduction in WG and College funding has required the service to review the delivery of all funded services and recommend proposals where all programmes contribute to the overall running costs of the management infrastructure for ACL.

5 3.2 Issue - Over the past 5 years, WG have increased the requirements on ACL providers to administer the data via the national Lifelong Learning Wales Record (LLWR) system. The data generated from the LLWR forms the basis of the data utilised for validating the service outcomes by WG as well as informing Estyn in their inspection process. This requirement has become very onerous and has required the ACL service to designate a development resource to complete this administrative task. Action - There is a need to review the role and consider alternative approaches that provides the appropriate capacity to administer the WG requirements for data management. 3.3 Issue - As a provider of accredited learning, the Local authority is subject to external verification on the process and documentation administered for accrediting all course files and gaining certificates etc. Action - With the reduction of the WG grant, there is a need to re-evaluate the current process and consider alternative structure for delivery within the funding available. 3.4 Issue - Over the past 5 years, a number of services which employs tutors have become integrated within ACL structure which has resulted in tutors being employed with differing terms and conditions. Action - There is a need to standardise the tutors Job descriptions and implement any changes as part of the service redesign. 3.5 Issue - ACL providers are required to implement a fees policy where some learners are required to contribute to their learning activity, while others who receive certain benefits have the activity for free. As identified by Estyn, the Merthyr Tydfil provision is targeted at the most deprived communities and is linked to the WG priority areas, therefore a substantial amount of learners do not pay, however those who are required to pay continue to have their learning subsidised. Action - With the changes in the benefit system ACL and the financial position facing the service, there is a need to review and consult on the fee policy. It is unclear if those on income benefit and older learners can continue to have their courses free of charge/subsidised. 3.6 Issue - Basic skills and Councils efficiency agenda - the service was tasked to report to council on whether or not it is feasible to make an additional efficiency of 19,000 for basic skills. Given the severity of the issues highlighted above it is difficult to produce a business case to support the efficiency. Furthermore, basic skills is a critical component in the SIP and the councils drive to improving education. The implications for removing this funding mean that the contribution that ACL makes to the school and adult agenda will be lost. Ensuring parents understand, and also undertake learning, with their child in developing their basic skills has been a vital component in the drive on Basic skills within Merthyr Tydfil. The service will only be able to support one or two schools rather than the majority of schools which it currently does.

6 Action - Cabinet to consider whether they wish to progress with proposed efficiency savings. 4.0 RISKS 4.1 The table below outlines the potential risks identified and suggested actions to mitigate those risks. Identified Risks/Negative Consequences/Barriers Assessment of Risk Impact Likelihood (1 to 5) (1 to 5) Low - High Low - High Risk Score (Impact x Likelihood) Action(s) to Mitigate Risk(s) Potential risks of not implementing a change Unable to re focus resources on future priority areas Not meeting Welsh Government ACL learning agenda requirements Not contributing to meeting MT Single Integrated Plan priorities Potential negative consequences of implementing a change Adult learners / community campaign against reduction in provision Engagement of adult & family learners reduces Outcomes of adult /family learners reduces Current community providers unable to pay extra costs for services previously subsidised Learners who are not eligible for subsidised rates are not willing to pay for full cost recovery course resulting in a reduction of learners on leisure based courses. Potential barriers to implementing/delivering a change Community providers not prepared to deliver new model Need to progress with staff restructure in line with funding available Continue to review WG policies and amend proposal for delivery where appropriate Ensure developments are communicated to SMB, transformational board and Cabinet Effective communication on proposals with all key stakeholders Continue to promote service and opportunities and deliver within the agreed budget Deliver within the agreed budget and amend current plans with reduced targets. Identify alternative services / Resources that support ACL Work in partnership with VAMT as support network to access additional funding through grant aid Promote and deliver value for money leisure courses when needs identified Continue to work with providers on new ways of working.

7 5.0 FINANCIAL IMPLICATIONS 5.1 The reduction of Welsh Government funding will require the ACL service to restructure the service delivery for September 2014 within the funding available. 6.0 SINGLE INTEGRATED PLAN AND SUSTAINABILITY IMPACT SUMMARY 6.1 A Single Integrated Plan and Sustainability Impact Assessment has been completed and the reduction of funding from Welsh Government will have a negative impact on a number of aspects of the Single Integrated Plan. This includes people in Merthyr Tydfil have the opportunity and aspiration to learn and develop their skills to maximise their potential and Learning for life. 6.2 While the loss of funding is not the decision of the Local Authority, this will be managed by having a clear action plan that will seek to minimise the negative impact as much as possible. 7.0 EQUALITY IMPACT ASSESSMENT 7.1 An Equality Impact Assessment (EqIA) screening form has been prepared for the purpose of this report. It has been found that a full EqIA Report is required. Both forms can be accessed on the Council s website/intranet via the Equality Impact Assessment link. 7.2 The loss of Welsh Government funding will potentially have a negative impact on older learners and individuals with a disability. An action plan has been identified to minimise the impact on these specific groups. 8.0 RECOMMENDATION that 8.1 The financial issues facing the ACL service are noted and the actions detailed within this report are endorsed. GIOVANNI ISINGRINI DIRECTOR OF COMMUNITY SERVICES BACKGROUND PAPERS Title of Document Document Date Document Location Adult Community Learning March 2014 Community Services - Civic Centre Area Inspection Report Communication with Welsh Government Various Community Services - Civic Centre Consultation has been undertaken with Corporate Management Team in respect of each proposal(s) and recommendation(s) set out in this report.

8 Financial Allocations Appendix 1 Local Authority Allocation Allocation Revised Allocation only Variation (to cover summer term 2014) Isle of Anglesey County Council 16,557 10,348 12,397 2,049 Gwynedd Council 9,934 6,209 7,438 1,229 Conwy County Borough Council 9,934 6,209 7,438 1,229 Denbighshire County Council 142,390 88, ,614 17,621 Flintshire County Council 3,311 2,069 2, Wrexham County Council 132,456 82,785 99,176 16,391 Powys County Council 181, , ,540 22,401 Ceredigion County Council 100,767 62,979 75,449 12,470 Pembrokeshire County Council 636, , ,653 78,779 Carmarthenshire County Council 254, , ,589 31,500 The City and County of Swansea 244, , ,116 30,265 Neath Port Talbot County Borough Council 359, , ,428 44,530 Bridgend County Borough Council 214, , ,335 26,499 The Vale of Glamorgan County Council 378, , ,292 46,821 Rhondda Cynon Taff County Borough Council 283, , ,402 35,105 Merthyr Tydfil County Borough Council 64,020 40,013 47,935 7,922 Caerphilly County Borough Council 430, , ,321 53,272 Blaenau Gwent County Borough Council 462, , ,289 57,233 Torfaen County Borough Council 125,833 78,645 94,217 15,572 Monmouthshire County Council 3,311 2,069 2, Newport City Council 525, , ,398 65,019 Cardiff County Council 1,503, ,605 1,125, ,042 TOTALS 6,082,982 3,801,864 4,554, ,769

9 ACL Inspection Judgements in Wales Appendix 2 Local Authority Area Inspection Year Old Estyn Framework Grade Providers Performance Prospects for improvement Reinspection year (New Framework) Judgement Judgement Merthyr Tydfil 2009 Grade Excellent Excellent Bridgend 2007 Grade Unsatisfactory Adequate Cardiff 2007 Grade Unsatisfactory Adequate Neath Port Talbot 2007 Grade Adequate Good RCT 2005 Grade Good Adequate Vale of Glamorgan 2007 Grade Unsatisfactory Unsatisfactory Wrexham 2005 Grade Unsatisfactory Adequate Carmarthenshire 2007 Grade Adequate Good Conwy & Denbighshire 2005 & 2006 Grade Good Excellent Swansea 2010 Good Excellent Gwynedd & Isle of Anglesey 2010 Excellent Excellent Key Grade 1 Grade 2 Grade 3 Grade 4 Grade 5 What the Grades mean good with outstanding features good features and no important shortcomings good features outweigh shortcomings some good features but shortcomings in important areas many important shortcomings New Estyn Framework Judgement Excellent Good Adequate Unsatisfactory What the judgement means Many strengths, including significant examples of sector-leading practice Many strengths and no important areas requiring significant improvement Strengths outweigh areas for improvement Important areas for improvement outweigh strengths

10 VFM Pilot comparison Appendix 3