Further Education: Finance

(asked on 10th April 2026) - View Source

Question to the Department for Education:

To ask the Secretary of State for Education, whether she plans to review the lagged funding model for 16–19 provision, in the context of trends in the level of demographic growth and the inability of further education colleges to receive full in‑year funding for additional learners.


Answered by
Josh MacAlister Portrait
Josh MacAlister
Parliamentary Under-Secretary (Department for Education)
This question was answered on 20th April 2026

In recent years, the number of students in 16 to 19 education and the funding to support them have risen rapidly. In the 2026/27 academic year, the government will provide nearly £9 billion in 16 to 19 funding. We have made significant increases to the average funding per student since the 2024/25 academic year, an expected per student increase of 10.5%. We expect that the average per student funding in 2026/27 will stand at £6,874, compared to £6,219 in the 2024/25 academic year.

The expected funding per student in 2026/27 will be an increase of 1.66% compared with the 2025/26 academic year, meeting the White Paper commitment by reflecting forecast inflation at the time the Spending Review was settled and the White Paper published. This increase does not include the new Inclusive Mainstream Fund which will provide £83 million per year in additional funding for mainstream settings delivering 16 to 19 provision over the next three years, to boost capacity in mainstream settings to meet a greater proportion of special educational needs and disabilities needs.

These increases in funding contribute to the financial sustainability of further education colleges. We will continue to fund the demographic increase in 16 to 19-year-olds, providing significant investment to ensure there are valuable and high-quality post-16 places for every student that wants one, supporting our economy and enabling young people to be able to progress and thrive. However, the lagged funding model for 16 to 19 provision will be kept under review and we will announce the position on in-year growth for the 2025/26 academic year in due course.

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