Building for the Future

Teesside University – New Approaches to Workforce Development

3 November, 2011

Workforce Development

‘We need to develop radical approaches that can lead to much higher levels of access to higher education by older people already in the workplace.

This means models of HE that make available relevant, flexible

and responsive provision that meets the high skill needs of employers and their staff....

I would like you to develop a new model for funding higher education that is co-financed with employers, achieves

sustained growth in employer based student places, and introduces the principle of employer demand-led funding.’

January 2007 HEFCE Grant Letter

HEFCE Investment 2008-11

• £100M investment to develop HE infrastructure for employer workforce development

• £50M HEFCE co-funded provision allocated to more than 90 HEIs and FECs

• Diversity of approaches: institutional, regional, national, sectoral

• Intention that existing investment provides a sustainable platform for further growth from 2011-12 onwards

Workforce Development Activity 2008-11

growth in work-based students co-funded by HEFCE

9,300 in 2008-09 (2,400 in SMEs)

19,800 in 2009-10 (6,900 in SMEs)

31,500 in 2010-11 (12,000 in SMEs)

growth in employer income

£4.2M in 2008-09 (54% public sector)

£12.8M in 2009-10 (56% public sector)

£21.2m in 2010-11 (59% public sector)

And this wasn’t happening in isolation (1)

• Additional student numbers

• HE Centres in ‘cold spots’, based on HE-FE partnership

• Lifelong Learning Networks (LLNs)

• Foundation Degree, part-time and widening participation allocations

• Economic Challenge Investment Fund (ECIF)

• Undergraduate and graduate internships

• Higher Education Innovation Fund (HEIF)

And this wasn’t happening in isolation (2)

And on Teeside (1)

• New HE Centres in Middlesbrough, Stockton, Darlington and Hartlepool (£6m HEFCE)

• 1,300 fte fully funded additional student places

• Workforce development grant (£5m HEFCE)

• 2,900 fte co-funded additional student places (1,550 filled – 5,400 students)

• £400k ECIF grant

• 212 graduate and 24 undergraduate internships

And on Teesside (2)

Between 2008/09 and 2009/10*:

• continuous professional development (CPD) increased by 78%

• consultancy increased by 36%

• regeneration and development increased by 48%

• public events participation increased by 53%

* Last 2 years of data from Higher Education Business and Community Interaction Survey (HE-BCI)

A new settlement for higher education

Independent Review of Higher Education and Student Finance (Oct 2010)

coalition Government’s first spending review (Oct 2010)

parliamentary vote on student finance (Dec 2010)

HEFCE grant letter (Dec 2010)

guidance to the Office for Fair Access (April 2011)

HE White Paper: Students at the Heart of the System (June 2011)

Consultation on a single regulatory framework (Aug 2011)

HEFCE 2012-13 teaching funding and student places proposals (Oct 2011)

Illustrative HE income 2010-11 to 2014-15

Shared responsibility

Government

Individuals

Employers

First order objectives:

• 35,000 additional entrants into HE co-funded by employers by 2010

• 100,000 enrolments to Foundation Degrees by 2010.

Additional objectives

• test the market and levels of demand from employers and employees

• stimulate HE institutional change

• promote access to and progress through HE for a wider range of learners, particularly those in the workforce without previous experience of HE

• build a platform to achieve growth in HE based workforce development

• generate information to inform policy development.

Workforce development programme objectives

Oct 2011 to May 2012 – legislation on new regulatory framework

Nov 2011 – Innovation and Research Strategy

Jan 2012 – Wilson review of university-business interaction

Feb to May 2012 – consultation on HEFCE teaching funding from 2013-14 onwards

by April 2012 - submission of fees and access proposals for 2013-14

Sep 2012 - first intake of new fee payers

by Aug 2013 – designation of new providers

Key next steps

Thank you for listening

c.millward@hefce.ac.uk