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College reception desk with 3 staff and students walking through entrance hall
Key reforms to Further Education will see businesses helping to develop the courses that best meet their needs for growth, increased education exports and promotion of excellence in teaching as announced today by Skills Minister John Hayes.

Measures outlined in New Challenges, New Chances will give employers the power to support the design and delivery of new courses, helping create greater confidence in qualifications and equip learners with the skills they need.

It will also actively support the sector, promoting excellence in teaching and developing a package of education products aimed at global opportunities in emerging economies.

The Skills Minister also confirmed £3.8 billion investment in the sector in 2012-13 and indicative funding for the following year at a stakeholder launch event for New Challenges, New Chances.

Business Secretary Vince Cable said:

“Further education plays a critical role in extending opportunity, forging social cohesion and fostering enterprise. But we need to place more trust in the sector’s ability to understand and meet local communities skills needs.  By giving more freedom to colleges to set courses based on local skills needs, and increasing businesses’ role in designing qualifications, we will empower students, colleges and employers to drive economic recovery.”

Ministers will further free colleges from central Government control, giving them the responsibility to provide high quality, flexible courses meeting the needs of their local areas.

Mr Hayes said:

“These measures will place students at the heart of the FE system, free colleges to meet local skills needs and give the sector the financial certainty it has so long desired.”

“By giving students the power to make informed choices over which course is best for them and ensuring funds are prioritised, towards those most in need, we will build the skilled workforce businesses need to thrive and communities need to prosper.“

Today’s consultation response summarises a comprehensive vocational education and training programme including Government funding to support thousands of Higher Apprenticeships, enabling employers, colleges and universities to deliver the advanced skills most critical for growth.

Other measures outlined in New Challenges, New Chances include:

  • Empowering students to make informed choices, by pulling together comparative data on training providers;
  • The introduction of FE Loans from 2013 for those over 24 doing courses at Level 3 and above, ensuring continued access to advanced and higher level training through support to meet upfront costs and granting colleges greater freedoms from central Government control, allowing them to set courses based on local employers needs.

The Skills for Life survey headline findings also published by BIS today highlight that one in ten adults (aged 16 to 65) lack the basics in both numeracy and literacy skills. To address this, the Government will boost English and Maths training, including requiring Apprenticeships providers to offer training to GCSE standard.

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