Apprenticeships, Skills, Children and Learning Bill

My Lords, Amendment 153 would commit the YPLA to equalising the basic funding rate for a given programme of learning in schools and FE colleges. This important principle, that publicly funded providers of learning should receive comparable funding for comparable provision, has been at the heart of government policy and the work of the Learning and Skills Council in planning and funding post-16 learning for a number of years. We recognise that there have been historic differences in the way that schools and colleges have been funded, which has given rise to a gap in funding. In 2004-05 this gap stood at 14 per cent. We have responded to that by committing ourselves to a reduction of the gap by eight percentage points by the end of the 2008-09 academic year. I am pleased to say that, through the work of the Learning and Skills Council, at the end of the last academic year we had achieved that 8 per cent point reduction in the gap. This achievement has been verified by independent research published in 2008. We are not there yet, but I hope that the Committee—or at least the noble Baroness, Lady Sharp—will agree that this represents significant progress, although that is not to deny the validity of the point that she was making. As I have expressed before, I also share some of her concerns about the nature of what we hope in the future will be more independent and balanced advice and guidance. The noble Baroness was right that there tends to be a move towards pushing everyone towards A-levels when for some the vocational route would be more appropriate and valid, and in the end could still lead them to undertake degree-course studies. So we intend to improve the nature of that advice and guidance, and indeed we are committed to doing just that. My noble friend Lady Morgan confirmed at Second Reading that the Young People’s Learning Agency would continue to operate a national funding formula as the basis for funding schools and colleges beyond April 2010, and that important commitment will ensure that the achievement to date in narrowing the gap is sustained. While we will continue to make progress as funding allows, I hope that the noble Baroness will agree that our foremost priority in our use of public funds must be fully to fund a learning opportunity for every 16 to 18 year-old as we move towards raising the participation age to 17 from 2013, and to 18 from 2015. I hope that with that caveat, but with the assurance that a national funding formula will remain central to our plans and that we understand the importance of sustaining our commitment to remove that gap, the noble Baronesses will feel able to withdraw their amendment.