1. Education Funding Agency
Update
Lynne Tabone
Education Funding Agency
October 2013

2. Programme Cost Weighting National Funding Rate per student
The funding formula
Programme Cost Weighting
Disadvantage Funding
Area
Cost Allowance
Student Numbers
National Funding Rate per student
Retention Factor ( )
Total Programme Funding

3. Programme Cost Weighting National Funding Rate per student
Full- and Part-time Funding rates
Programme Cost Weighting
Disadvantage Funding
Area Cost Allowance
Student Numbers
Retention Factor ( )
National Funding Rate per student
A full time rate based on circa 600 hours
Three part time rates for bands 2,3,4
Each funded at mid-point of the band
For Band 4 ( hours) for 13/14 and 14/15 we will fund at the full time rate
Band 1 (below 280 hours) funded as a proportion of 600 hours ie 150 hours gets 25% of the National Full Time funding Rate
Student Number status
Hours funded at…
Funding
Rate (13/14 allocations)
Full time
600
£4,000
Band 4
Band 3
405
£2700
Band 2
320
£2133
Band 1
% of 600
% of £4,000

4. National Funding Rate per student
What is Funded?
Prog Cost Weighting
Disadvantage Funding
Area Cost Allowance
Student Numbers
National Funding Rate per student ( )
Retention Factor
Hours that are:
Directly relevant to the study programme
Planned, explicit in the Learning Plan or Timetable
Supervised and/or organised by the provider
Quality assured by the provider
Within normal working pattern

5. National Funding Rate per student
Qualification Hours
Prog Cost Weighting
Disadvantage Funding
Area Cost Allowance
Student Numbers
National Funding Rate per student ( )
Retention Factor
Hours that are delivered towards qualifications that are approved for teaching to year olds under section 96 of the LSC act 2000.

6. National Funding Rate per student
Non Qualification Hours
Prog Cost Weighting
Disadvantage Funding
Area Cost Allowance
Student Numbers
National Funding Rate per student ( )
Retention Factor
Not counted towards a qualification
Informal certificates
Non-qualification activity
Tutorials
Work experience/Work related activity
Volunteering/community activities organised by provider
Enrichment activities

7. National Funding Rate per student
Not Funded
Prog Cost Weighting
Disadvantage Funding
Area Cost Allowance
Student Numbers
National Funding Rate per student ( )
Retention Factor
Voluntary extra-curricular activities and clubs delivered during breaks or outside normal working pattern
Study that is homework or independent study/research that is not timetabled
Employment or work experience organised by anyone other than by or on behalf of the provider
Volunteering/community activities that are not organised by or on behalf of the provider

8. The Bottom Line
Consider the needs of the learner – the programme must be relevant to their needs
Appropriate information, advice and guidance are vital
Where does the learner need to get to – progression planning is key

9. Programme Cost Weighting National Funding Rate per student
Retention Factor
Programme Cost Weighting
Disadvantage Funding
Area Cost Allowance
Student Numbers
National Funding Rate per student ( )
Retention Factor
Success no longer used in funding, a retention factor is now used
Applied at student level, not qualification level
Retained means still studying a core aim on planned end date or leaves early and is recorded as completed the core aim
For academic programmes – still studying one of the academic aims
For vocational programmes still studying the core aim
Retention FACTOR = half way point between Retention RATE and 100%
Number of students completed
Number of students started
Student retention and funding
Funding
Leaves before qualifying period
Leaves before planned end and not recorded as completed
50%
Retained to planned end date and recorded as completed
100%
Leaves before planned end date and recorded as completed

10. National Funding Rate per student Programme Cost Weighting
Disadvantage Funding
Area Cost Allowance
Student Numbers
National Funding Rate per student
Retention Factor ( )
Programme Cost Weighting
Recognition that some vocational subjects are more expensive to teach than others
Applied to the student’s whole programme
Determined by the student’s core aim ie A Levels or substantial vocational qualification
All academic programmes uplifted by one weight, which has been determined by merging the 2 current academic weightings and low cost vocational programmes and rebasing these as 1,
Vocational Programme Weighting categories are being reduced in number and re-set to make it simpler: applied at sector subject areas
Cost Weighting Category
Agreed for 2013/14
Base
1.0
Medium
1.2
High
1.3
Specialist
1.6

11. National Funding Rate per student
Disadvantage Funding
Programme
Cost Weighting
Area Cost Allowance
Student Numbers
National Funding Rate per student
Retention Factor ( )
Disadvantage Funding
Recognises that some students require additional support to participate and achieve if we are to achieve full participation and improve attainment
Principle is to create a single budget that institutions use as they see fit
Disadvantage Funding
Economic
Deprivation
Prior Attainment

12. ? ? ? Formula protection funding (FPF)
Will be paid for at least three academic years until and including 2015/16, where the move to a basic funding rate per student would otherwise result in a reduction in funding per student.
Calculated by comparing funding per student allocated for 2013/14 (excluding transitional protection) with funding per student for 2012/13
The operation of formula protection funding for future years will depend on progress of Ministerial Working Group on the reforms for large programmes, A levels and GCSEs.
Enables you to move on with curriculum reforms and simplification while final details are resolved
TP from 11/12
Formula Protection Funding
High Needs Students
Student Support Funding ? ? ?

13. ? ? ? High Needs Students (HNS) The place – EFA Funded
Element 1 This is the standard Funding Formula as we have described – it is based on lagged student numbers – this aspect rolls on from year to year.
Element 2 This is the first £6,000 of additional support – numbers are calculated based on information provided by the local authority about the number of places it is going to commission from each institution and the EFA adds £6,000 for each place to the allocation – completing the place funding.
The Plus – Top up Funding – LA Funded
Element 3 any funding the individual requires above the first two elements is negotiated and agreed with the student’s home LA
TP from 11/12
Formula Protection Funding
High Needs Students
Student Support Funding ? ? ?

14. National Funding Rate per student
Condition of Funding English & Maths
Prog
Cost Weighting
Disadvantage Funding
Area Cost Allowance
Student Numbers
National Funding Rate per student ( )
Retention Factor
Any student without a minimum grade C in English and/or maths must be working towards this level from 2014/15 Academic Year
Or that student WILL NOT be counted in lagged funding for 2015/16
DfE will publish a list of what counts as having a grade C – watch the bulletin
These students must enrol on a GCSE, Functional Skills, Free standing maths or ESOL
Functional Skills are a stepping stone towards GCSE and not an end in itself – if the student already has a FS at level 2 then must enrol on GCSE
Reports to show you how you are doing – Information Management Portal.

15. Traineeships
For students not quite ready for the workplace, but looking for an apprenticeship route
A 5-6 month full-time programme comprising:
Employability
Work experience
English and maths
Must lead to progression into an Apprenticeship

16. Questions