1. College Efficiency Maximising Income John Bolt

2. © 2011 KPMG LLP, a UK limited Liability Partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 1 What I’m covering Making the best of your YPLA/SFA allocation Other sources of income

3. © 2011 KPMG LLP, a UK limited Liability Partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 2 KPMG ACE Comprehensive and swift review of your college’s efficiency Let’s look at some things to consider

4. © 2011 KPMG LLP, a UK limited Liability Partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 3 Making the best of the YPLA/SFA allocation Group sizes - how many learners are actually in class? The college decided that groups should no less than 10

5. © 2011 KPMG LLP, a UK limited Liability Partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 4 FE Tuition Fee Collection SFA has quoted an aspiration of 67% fee collection Are the figures low because of fees for full-time learners?

6. © 2011 KPMG LLP, a UK limited Liability Partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 5 Tuition fees for Part-Time learners

7. © 2011 KPMG LLP, a UK limited Liability Partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 6 Looking elsewhere for income Other Government sources of income Higher Education ■Colleges can offer ■Lower fees ■Local study Apprenticeships Department of Work and Pensions Government may introduce new schemes for unemployed

8. © 2011 KPMG LLP, a UK limited Liability Partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 7 Full Cost courses – how are colleges doing? Source – College accounts

9. © 2011 KPMG LLP, a UK limited Liability Partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 8 Full Cost courses Do they help the bottom line?

10. © 2011 KPMG LLP, a UK limited Liability Partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 9 More sub-contracting? A panacea or a poisoned chalice?

11. © 2011 KPMG LLP, a UK limited Liability Partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 10 Does sub-contracting help the bottom line?

12. © 2011 KPMG LLP, a UK limited Liability Partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 11 Proposed funding changes YPLA ■Funding consultation with response date of 4 January 2012 ■Wolf + Gove’s simplification ■Implementation in 2013/14 SFA ■Funding proposals ■Simplification ■Changes to eligibility (loans) ■Implementation in 2013/14

13. © 2011 KPMG LLP, a UK limited Liability Partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 12 The Way Ahead Simplification Rough justice ComplexityPrecision Government Policies and Priorities

14. © 2011 KPMG LLP, a UK limited Liability Partnership, is a subsidiary of KPMG Europe LLP and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (‘KPMG International’), a Swiss entity. All rights reserved. 13 In summary Make the best use of SFA/YPLA funding Consider potential for other government funding Look for other sources of income Be aware of proposed funding changes

15. College Efficiency Maximising Income John Bolt john.bolt@kpmg.co,uk