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Scottish Draft Budget 2013-14

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Chapter 5 Education and Lifelong Learning

PORTFOLIO RESPONSIBILITIES

The Education and Lifelong Learning portfolio is responsible for government policy related to improving outcomes for children, young people and in collaboration with colleagues in Health and Social Care Directorates, users of social care. It covers all aspects of school education and national qualifications; university research and science; further and higher education; as well as community and adult learning and development; skills and training, and Gaelic language and broadcasting. The majority of the budget is however contained within the local government settlement which provides for local authority delivery of school education and social work.

SUPPORTING RECOVERY AND INCREASING SUSTAINABLE ECONOMIC GROWTH

Education and lifelong learning is a key contributor to economic recovery and long-term economic growth in which we want everyone across Scotland to share.

Helping people to support themselves and their families while making the maximum possible contribution to the success of Scotland's economy and society, and enriching our culture, have been our guiding principles in making the tough choices demanded of us.

In early years we are continuing to shift the focus away from intervening when a crisis happens towards prevention and early intervention. This focus on the early years preventative spend will provide a strong base for all our children, irrespective of background to develop, learn and achieve their potential. It also delivers clear economic benefits in terms of making better and more effective use of resources and reducing the need in both the short term and the long term for more expensive, crisis intervention. Evidence shows us that this is where we can make the biggest impact, improving the life chances for our most vulnerable children.

Investment to support the implementation of Curriculum for Excellence will ensure that our young people will have the capacity to flourish in the labour market of the future. Curriculum for Excellence will enhance the prospects of a generation of our young people, providing them with the skills and behaviours they will need to thrive as citizens in the economy of tomorrow.

Moving beyond school, through investment in training opportunities, colleges and universities, we enable young people to move from education into work, supporting people of all ages and backgrounds to find jobs, and enabling them to acquire the higher level skills which lead to individual prosperity and will underpin our future economic growth.

Our Opportunities for All initiative offers a learning or training opportunity to all 16-19 year olds not already in work, modern apprenticeship or education. This is a central strand to our response supporting youth employment outlined in our strategy, Action for Jobs - Supporting Young Scots Into Work. This supports our ambition to develop the skills of all of our young people to ensure they are equipped to make a successful move into sustained employment.

Furthermore, our wide ranging programme of post-16 education reform seeks to improve the life chances of learners while responding to the needs of employers and the economy. These reforms aim to best support jobs and growth, improve life chances and deliver better outcomes with the resources we have. Separate reviews of university and college governance have already reported and arrangements are in place to further improve arrangements in both sectors. At the same time, unprecedented restructuring of Scotland's colleges is underway, led by colleges themselves, with the key objective of better meeting both learners' and employers' needs. And we are introducing outcome agreements with college regions and universities, to define clearly what the Scottish Government buys for its money.

The portfolio also supports a range of measures to promote Gaelic and Scots which have an important cultural and economic impact.

By working creatively with the Scottish education system we can also help ensure that future generations will see the need to protect our environment as a means of achieving economic growth rather than as a constraint to prosperity. The portfolio supports our collective efforts across Government to advance Scotland's position as an environmental leader, and ensure that we make the most of the economic opportunity that this provides. Over a thousand Scottish schools now have 'Green Flag' status and the portfolio continues to support sustainability and environmental awareness across the whole school community. Similarly, the portfolio supports development of the specialist skills and research needed for our ambitions in renewable energy and supports our institutions as they develop world-leading energy technology partnerships.

BUDGET CHANGES

The following changes have been made to our spending plans since publication of Scottish Spending Review 2011 and Draft Budget 2012-13.

Additional resources of £17 million will be made available to the Scottish Further and Higher Education Funding Council to maintain our commitments on student numbers and support, and the Employability, Skills and Lifelong Learning Budget will receive an additional £16.25 million as part of the Government's further investment in construction, skills and the green economy.

The Employability, Skills and Lifelong Learning budget received additional funding of £6 million in 2013-14 and 2014-15 as part of an overall package of £30 million to support the implementation of Opportunities for All.

£3 million for miscellaneous welfare initiatives has transferred to the Infrastructure, Investment and Cities portfolio to reflect the new Ministerial responsibilities announced on 5 September 2012.

There have been a number of other smaller changes to realign responsibilities across the portfolio and within wider Scottish Government as a whole but with very minor net effect on the overall funding available to the portfolio.

OUR PRIORITIES

In this financial year we will:

  • continue to focus resources on supporting improved outcomes for children, young people and, in collaboration with Health and Social Care Directorates, users of social care. We will continue to prioritise investment in the first years of life - where we will have the biggest impact - and preventative spend at the earliest point where problems emerge. Similarly, we will invest so that we continue to deliver a better, more relevant learning experience for all learners; a further education sector which meets our needs in terms of skills; and a higher education sector which continues to enhance its international reputation for excellence. While we will continue to invest in these priorities, we will ensure that, across the portfolio, there is less regulation and national bureaucracy and less money spent on national support and challenge to protect as far as possible those frontline services we support. At the same time, we support our partners, in local government, higher and further education and elsewhere, to continue to find efficiencies and continuous improvement in the services they deliver;
  • continue to support third-sector organisations working with children, young people and families by developing, from existing resources, a new £20 million fund over the next two years. This will make funding available to the third sector for early years and early intervention activities. In these difficult economic times, this fund will work to improve life chances, building capacity within the third sector to deliver these vital services to those who need them most. In addition to this fund, we have sought to protect the funding that we provide to the third sector to support children and young people facing the greatest difficulties, including those with disabilities or those living with substance abuse in their families;
  • continue to invest to improve life chances. The introduction of the Children and Young People Bill will improve children's rights across Scotland and set in legislation our Getting it Right for Every Child (GIRFEC) approach to ensure that every child and family gets the support and help they need when they need it;
  • bring further drive to delivery of the early years change programme we will establish an Early Years Collaborative early in 2013. This is an outcomes-focused, multi-agency local quality improvement programme, which will be delivered at a national scale, to deliver on the vision and priorities of the Early Years Taskforce - using the Statement of Ambition as a template for joint working;
  • work with Education Scotland and key partners to continue to support the implementation of Curriculum for Excellence. Our focus will be the funding of the development of National Qualifications being introduced in 2013-14 and taking forward commitments on improving the quality of teaching and leadership to ensure we can prepare our young people for the challenges ahead;
  • continue to work with partners to promote parental involvement in children's learning to raise attainment and achievement; ensuring that parents have the opportunity to express their views and have them taken into account on matters affecting the education of their children, at school, at local and national level;
  • continue to invest in the school estate across Scotland to reduce the number of children in crumbling schools by half again during this Parliament; and, working with local authorities through the £1.25 billion Scotland's Schools for the Future programme, we will shortly announce support for a further 30 schools from the third and final phase of the programme. This is in addition to the 37 school building projects already announced, meaning that when complete, the programme will have delivered 67 new schools - 12 more than originally planned when the programme was announced in 2009. Also, we now expect to deliver more of these schools through the Non-Profit Distributing model by switching £80 million of planned capital investment in future years, allowing them to be built more quickly than originally planned;
  • continue, primarily through the Scottish Social Services Council, to drive and support the development of a competent, confident and valued social services workforce;
  • continue to invest in a range of measures to support the Gaelic language. Our focus will be to create a secure future for Gaelic in Scotland and a stable population of Gaelic speakers;
  • continue to invest in Scotland's young people, allowing them to access a wide range of opportunities and support to get the skills they need for employment, including the creation of 25,000 apprenticeship opportunities this year and throughout the period of the Spending Review;
  • maintain free access to higher education by ensuring that the opportunity to learn is based on ability to learn, not the ability to pay. We are investing significant sums in Higher Education over the period of this Spending Review. Our support for universities, when taken together with our changes to fee arrangements for students from the rest of the UK and a series of measures to improve efficiency across our institutions, will ensure that we maintain a university sector that is internationally competitive and truly excellent in world terms;
  • continue our far reaching reform of post-16 education, producing better learner journeys to equip people with the right skills to enter and stay in work. Last year, we published Putting Learners at the Centre, setting out our plans for skills, further and higher education. As part of this we are delivering a package which goes beyond our manifesto commitment for a minimum student income in higher education of at least £7,000, starting with the poorest students, and providing a simpler, more accessible and transparent system for students that recognises the financial pressures of the current economic conditions on all families. The aim of our programme of reform is to best support jobs and growth, improve life chances and deliver better outcomes with the resources we have;
  • make an additional investment of £17 million which will sit alongside the efficiencies we shall continue to generate through the current programme of college regionalisation, providing the resources needed to maintain full time equivalent numbers of students in our colleges;
  • support local partnerships to deliver our Opportunities for All initiative and the roll out of Activity Agreements to support our most vulnerable 16-19 year olds. We will continue to provide Education Maintenance Allowances and we will implement our new Careers Strategy with more and better support for those who need it most;
  • as we implement our youth employment strategy, Action for Jobs - Supporting Young Scots Into Work, invest £6 million in supporting young people toward and into work as part of a three year £30 million commitment. We will also ensure up to £25 million of European funding is directed toward supporting young people toward and into work. These measures will support our all Scotland, all Government youth employment strategy; and
  • support employers and help people find jobs to support themselves and their families by seeking the best possible outcomes for Scotland's people and the Scottish economy from the UK Government's Welfare Reform programme. We will refresh our approach to employability to reflect the significant changes in both the economy and the delivery landscape. We will work closely with Jobcentre Plus to create a more coherent offer of support to both jobseekers and employers.

Draft Budget for 2013-14 and Spending Plans for 2014-15 are set out below:

Table 5.01: Detailed spending plans (Level 2)

Level 2 2012-13 Budget
£m
2013-14 Draft Budget
£m
2014-15 Plans
£m
Learning 193.2 179.7 172.2
Children and Families 100.6 96.7 93.4
Employability Skills and Lifelong Learning 240.4 267.2 247.5
Scottish Further and Higher Education Funding Council 1,577.7 1,607.1 1,596.8
Student Awards Agency Scotland 558.0 744.4 854.6
Total Portfolio 2,669.9 2,895.1 2,964.5
of which:
DEL Resource 2,395.5 2,496.5 2,508.6
DEL Capital 148.6 108.8 108.1
AME 125.8 289.8 347.8

Table 5.02: Spending plans (Level 2 real terms) at 2012-13 prices

Level 2 2012-13 Budget
£m
2013-14 Draft Budget
£m
2014-15 Plans
£m
Learning 193.2 175.3 163.9
Children and Families 100.6 94.3 88.9
Employability Skills and Lifelong Learning 240.4 260.7 235.6
Scottish Further and Higher Education Funding Council 1,577.7 1,567.9 1,519.9
Student Awards Agency Scotland 558.0 726.2 813.4
Total Portfolio 2,669.9 2,824.5 2,821.7
of which:
DEL Resource 2,395.5 2,435.6 2,387.7
DEL Capital 148.6 106.1 102.9
AME 125.8 282.7 331.0

Learning

Table 5.03: More detailed categories of spending (Level 3)

Level 3 2012-13 Budget
£m
2013-14 Draft Budget
£m
2014-15 Plans
£m
People and Infrastructure 88.4 73.4 66.7
Strategy and Performance 16.2 28.1 27.1
Learning and Support 43.3 33.8 35.2
Gaelic 20.6 21.1 21.2
Education Scotland 24.7 23.3 22.0
Total Level 2 193.2 179.7 172.2
of which:
DEL Resource 109.8 118.2 121.4
DEL Capital 83.4 61.5 50.8
AME - - -

What the budget does

The majority of expenditure on school education in Scotland is funded by local authorities from the budgets outlined in chapter 12.

The Learning Directorate budget delivers national challenge and improvement support for education. It funds Education Scotland and the Scottish Qualifications Authority.

In 2013-14, working with national partners and local government, we will:

  • deliver national support for local delivery of Curriculum for Excellence including delivery of new qualifications and implementation of the assessment framework, ensuring that all children are able to benefit and their needs met;
  • focus on improving attainment for all our children and young people, with a particular focus on those from deprived backgrounds;
  • continue to implement the Donaldson review of teacher education, in order to develop excellent learning and teaching, supported by improved educational leadership;
  • invest in a fit-for-purpose school estate through the Scotland's Schools for the Future programme;
  • support the vitality of Gaelic, working with Bòrd na Gàidhlig and with MG ALBA;
  • improve and evolve Glow, the national intranet for schools, and continue support for the use of ICT in schools to enhance learning and teaching; and
  • provide a national programme of support to help authorities deliver two hours of PE a week for all primary pupils and two periods for all S1 to S4 secondary pupils.

Children and Families

Table 5.04: More detailed categories of spending (Level 3)

Level 3 2012-13
Budget
£m
2013-14
Draft
Budget
£m
2014-15
Plans
£m
Care and Justice 36.3 37.9 36.1
Children's Rights and Wellbeing 7.4 7.0 6.6
Disclosure Scotland 10.3 7.8 6.8
Early Years and Social Services Workforce 43.3 40.3 41.0
Education Analytical Services 3.3 3.7 2.9
Total Level 2 100.6 96.7 93.4
of which:
DEL Resource 96.5 95.7 92.9
DEL Capital 4.1 1.0 0.5
AME - - -

What the budget does

Most of the expenditure on children's services is channelled through local authorities and NHS Boards. The Children and Families budget primarily supports the functions of the Scottish Children's Reporters Administration, Scottish Social Services Council and Children's Hearings Scotland, building on the reform of the children's hearings system. It provides support for specific workforce development activities for the social services sector and also for Centres for Excellence providing training and support for the workforce on specialist areas such as residential child care and youth justice. It also supports a broad range of activity to improve children's services, including commitments shared with local government, such as the development of strategic commissioning strategies and improvements to care and permanence planning for looked after children.

In 2013-14 we will:

i) Continue to focus on early years and preventative spend. We will:

  • introduce children and young people legislation;
  • continue, through the Early Years Taskforce and our partners, to drive a shift towards preventative spend at a national level;
  • continue to use the Early Years Change Fund and other funds to support a range of initiatives including parenting, play, childcare, child and maternal health and family support, with the aim of helping parents and communities build better lives for themselves and their children;
  • continue to support implementation of the Whole Systems Approach to youth justice to maximise early intervention and minimise the impacts on young people coming to the notice of the police;
  • build on our national parenting strategy that encourages agencies to work together to support new parents, giving parents the skills they need to best support their children and we will continue to expand our hugely successful PlayTalkRead programme which drives home the importance of positive interaction between parents or carers and children; and
  • continue to develop support for families to meet a range of needs, including flexible childcare options, support for families in conflict and significant investment in a new generation of family support centres.

ii) Help improve the life chances of vulnerable children and young people. We will:

  • introduce legislation to secure children's rights and give statutory backing to the Getting it Right for Every Child (GIRFEC) approach which plays a key role in our ambition for Scotland to be the best place to grow up in;
  • working with partners, strengthen strategy and practice around looked after children and young people, children and young people at risk of going into care and young people who offend, giving a greater focus to earlier and more effective interventions to improve outcomes for some of our most vulnerable children;
  • continue, primarily through the Scottish Social Services Council, to drive and support the development of a competent, confident, valued social services workforce; and
  • continue to improve guidance for frontline child protection professionals and through Disclosure Scotland we will implement the second phase of the Protecting Vulnerable Groups Scheme;

Employability Skills and Lifelong Learning

Table 5.05: More detailed categories of spending (Level 3)

Level 3 2012-13
Budget
£m
2013-14
Draft
Budget
£m
2014-15
Plans
£m
Colleges & Adult Learning 7.9 7.0 6.3
Employability 1.2 0.8 0.8
Higher Education 2.0 2.0 2.0
Office of the Chief Scientific Adviser 6.0 3.4 3.4
Youth Employability & Skills 46.9 66.6 50.0
Skills Development Scotland 176.4 187.4 185.0
Total Level 2 240.4 267.2 247.5
of which:
DEL Resource 240.4 267.2 247.5
DEL Capital - - -
AME - - -

What the budget does

These budgets support policy and development relating to all aspects of lifelong learning. This includes our investment in skills and national training programmes and our continued support for young people to develop their skills as they move into training and work.

Budget changes

Additional funding of £6 million has been allocated in both 2013-14 and 2014-15 as part of an overall package of £30 million to support the implementation of Opportunities for All.

A further £16.25 million has been added in 2013-14 for:

  • a national employer recruitment initiative that will create up to 10,000 opportunities for SME to recruit young people; and
  • the establishment of an Energy Skills Academy to support the creation of skills in oil and gas, renewables, thermal generation and carbon capture and storage industries.

In 2013-14 we will:

  • deliver 25,000 Modern Apprenticeship opportunities within an overall training target of 46,500 places;
  • implement Opportunities for All, our initiative that offers an education or training place to every young person under 19 who is not already in a modern apprenticeship, job or learning;
  • continue to fund the Education Maintenance Allowance for young people in school and college;
  • work in partnership with employers, local authorities and third-sector organisations to deliver a wide ranging package of support as part of implementing Action for Jobs - Supporting Young Scots Into Work, our youth employment strategy; and
  • maximise our science spending against Government outcomes. Our priorities will be Scotland's four science centres, its family of science festivals and its science engagement outreach programmes.

Scottish Further and Higher Education Funding Council

Table 5.06: More detailed categories of spending (Level 3)

Level 3 2012-13
Budget
£m
2013-14
Draft
Budget
£m
2014-15
Plans
£m
Scottish Funding Council FE Programme 506.9 511.7 470.7
Scottish Funding Council HE Programme 1,002.2 1,041.6 1,061.8
Scottish Funding Council FE/HE Capital 60.7 45.9 56.4
Scottish Funding Council Administration 7.9 7.9 7.9
Total Level 2 1,577.7 1,607.1 1,596.8
of which:
DEL Resource 1,517.0 1,561.2 1,540.4
DEL Capital 60.7 45.9 56.4
AME - - -

What the budget does

The Scottish Further and Higher Education Funding Council budgets fund strategic investment in Scotland's colleges and higher educational institutions (including Open University (Scotland)). This funding will support the development and delivery of study programmes that offer coherent high-quality provision for learners across Scotland. It will also enable universities to undertake world-class research to maintain Scotland's international reputation for educational excellence in teaching and research. The funding will also continue to support college provision and help colleges deliver their valuable contribution to Opportunities for All, as well as funding Royal Society of Edinburgh scholarships.

Budget changes

Additional funding of £17 million has been awarded in 2013-14 for student support (£11 million) and college places (£6 million).

In 2013-14 we will:

  • invest in our universities so that they maintain their world-class reputation. This investment in our universities is a long-term investment in our medium and long term economic prospects through universities' contribution to the development of a highly skilled workforce and through a world-class research base with strong links to Scottish businesses; and
  • continue to implement our ambitious programme of reform of post-16 education, which aims to improve the life chances of individuals passing through the system and respond to the needs of Scotland's economy. We will achieve this by re-focusing college provision towards those that need it most - young people and those looking for a job; and towards learning that better meets the needs of employers, and therefore the Scottish economy. At the same time, reforms to college and university governance will offer new and better arrangements for students and employers and secure a sustainable future for post-16 education in Scotland. The Scottish Government will legislate to support reform of post-16 education later in the year.

Higher Education Student Support

Table 5.07: More detailed categories of spending (Level 3)

Level 3 2012-13
Budget
£m
2013-14
Draft
Budget
£m
2014-15
Plans
£m
DEL
Student Support and Tuition Fee Payments 325.9 302.4 307.0
Student Loan Company Administration Costs 5.0 5.0 5.0
Student Loan Interest Subsidy to Bank 4.5 4.5 4.5
Cost of Providing Student Loans (RAB Charge) (Non-Cash) 88.4 134.0 181.6
Student Awards Agency for Scotland Operating Costs 8.4 8.7 8.7
AME
Net Student Loans Advanced 241.3 408.3 468.3
Capitalised Interest (47.0) (50.0) (52.0)
Student Loans Fair Value Adjustment (69.0) (69.0) (69.0)
Student Loan Sale Subsidy Impairment Adjustments 0.5 0.5 0.5
Total Level 2 558.0 744.4 854.6
of which:
DEL Resource 431.8 454.2 506.4
DEL Capital 0.4 0.4 0.4
AME 125.8 289.8 347.8

What the budget does

We will, of course, maintain access to free higher education. Higher Education Student Support provides financial support to Scottish domiciled students undertaking higher education courses in the UK and abroad and to EU students studying in Scotland. The level of spend is demand led, depending on the student population in a given year, but an overall control is maintained on the number of students for which the Scottish Further and Higher Education Funding Council funds institutions. Student loans are provided at a cost to the Scottish Government which is calculated using the gross value of loans advanced in the year. The Student Loans Company administers the borrowers' loan accounts on behalf of the Scottish Government.

The Student Awards Agency for Scotland (SAAS) budget meets the costs of running the Agency (running costs, IT systems and capital charges). SAAS administers schemes covering student support for higher education students (at college and university) as well as bursaries for nursing and midwifery students. SAAS administers the Individual Learning Accounts Scotland scheme in partnership with Skills Development Scotland.

The AME figures are forecasts and relate to the amount of AME funding for student loans which the Treasury made available to the Scottish Government through the UK Spending Review published in 2010. We have developed proposals for a minimum student income of £7,250, starting with the poorest students and will implement this alongside a simpler system of higher education student support from 2013-14.

The actual amounts of student loans required by the Scottish Government will depend on the student response to increased loan availability. The associated AME forecasts set out above will therefore be subject to revision during the Spending Review period.

Local Government Gaelic

Table 5.08: More detailed categories of spending (Level 3)

Level 3 2012-13
Budget
£m
2013-14
Draft
Budget
£m
2014-15
Plans
£m
Local Government Gaelic Specific Grant 4.5 4.5 4.5
Total Level 2 4.5 4.5 4.5
of which:
DEL Resource 4.5 4.5 4.5
DEL Capital - - -
AME - - -

What the budget does

This budget, together with other Gaelic funding lines, supports the additional costs attached to the delivery of Gaelic education and Gaelic medium education in Scotland. This funding supports Gaelic education through a wide range of Gaelic education programmes and projects.