Transfer to Skills Funding Agency and Young Persons Learning Agency

The Third Sector National Learning Alliance has been working to ensure that the Third Sector is represented through the process of transition of the LSC to the new agencies. See the link below for resources made available by TSNLA:

TSNLA LSC Transition Support

The House of Commons Business, Innovation, and Skills Select Committee has recently published a report of an Inquiry into the new arrangments.

Skills Funding Agency (SFA) & Regional Development Agencies (RDAs)

RDAs will have responsibility for commissioning services according to the skills requirements set out in the Integrated Regional Strategies. The SFA will be responsible for procuring the services as commissioned by the RDAs. A training provider will contract with the SFA rather than the RDA to deliver procured services.

Young Persons Learning Agency

For 14-19 learning in England, responsibility for commissioning and funding will pass to the sub regional groups of Local Authorities, using a commissioning framework devised by the LSC. The YPLA will be responsible for budgetary control of £7 billion within the new system.

SFA, YPLA and European Social Funding

The SFA will assume Co-financing status from the LSC and, as the LSC before it, will Co-finance both 14-19 and post 19 education and training.  The YPLA and Local Authorities (unless they are existing CFOs e.g. London Councils) will not become CFOs under the new arrangements.

Instead, the SFA will write a Co-financing plan in each region, informed by the refreshed Regional European Social Fund Frameworks.  

Co-financing Plans describe the activities outputs and results which the SFA intend to procure in order to contribute to the Regional employment and skills priorities. These priorities are set out in the Regional European Social Fund frameworks 2011-2013.

As the SFA is a funding rather than planning body, the Co-financing Plan goes beyond its remit. A Joint Co-financing board will therefore be established in each region. The board will comprise of:

SFA; YPLA & LAs (representatives from Regional Planning Group); National Apprenticeship Service; Government Office; RDA; JCP; NOMS

The board will be responsible for agreement of strategic priorities, administration, and evaluation of the Co-financing Plan.

Project Selection and tendering arrangements as set out in CFO Plan

2 Options: open and competitive tendering, or application of standard rates without procurement through open and competitive tendering (presumably grant).

The open and competitive tendering process will be the same as under the LSC. The SFA will assume the Qualified Provider Framework (the list of providers from which the LSC procure services). The QPF will become ACTOR (the Approved Colleges and Training Organisations Register), by the end of 2010.

How will Local Authorities Commission ESF Provision?

According to the Local Government Association, a national shared service agreement between the SFA (as Co-financier) and YPLA (as agency responsible for 14-19 education and training) will highlight roles and responsibilities of the respective bodies with regard to ESF.

Local Authorities will be involved in management of ESF through writing specifications; representation on selection and approval panels; evaluation; and representation through Regional Planning Group on SFA CFO board.