To ask the Scottish Government what work it is doing to support the sustainability and growth of Ayrshire College.
In my recent letter of guidance to the Scottish Funding Council (SFC), I made it clear that we expect the SFC to consider the financial sustainability of individual institutions, and needs of learners, as part of any decisions around funding allocations.
Francesca Osowska, Chief Executive of the SFC, wrote to Angela Cox, Principal of Ayrshire College, on 1 April advising the SFC intended to take more time before publishing its indicative funding allocations to allow time to consider the feedback provided, including that from Ayrshire College. Francesca also provided reassurance that colleges will receive additional funding for lecturers’ pay and additional funding for pensions; and advised that the SFC are happy to have further discussions with Ms Cox and her colleagues in relation to support for flexibility within the credit model. The SFC published the indicative allocations on 10 April.
Specifically in relation to the financial sustainability of Ayrshire College, Francesca urged the College to contact the SFC’s institutional sustainability team to discuss its projections. I too would urge Ayrshire College to engage fully with the SFC on these matters at the earliest opportunity.
In relation to supporting the growth of Ayrshire College, the College plays an important role in supporting Ayrshire’s regional economy. There has been engagement on regional skills planning between the College, my officials, Colleges Scotland and the Ayrshire Regional Economic Partnership. My officials have engaged extensively with the Regional Economic Partnerships Network, sharing initial guidelines for how to collectively strengthen regional skills planning, building on existing best practice. I would encourage further engagement of this nature between Ayrshire College and other parties to ensure that the College is at the forefront of the development of future models of regional skills planning.
The Scottish Government is also investing £103 million over 10 years in the Ayrshire Growth Deal, matching the investment of the UK Government. This is supporting a series of projects which will transform the regional economy and support long-term inclusive growth, and Ayrshire College is a key partner in a number of those projects.
Further to this, Skills Development Scotland (SDS) oversees the national apprenticeship programmes and administers funding on behalf of the Scottish Government. SDS regularly conducts an open procurement process via Public Contract Scotland, and throughout the year, implements in-year reallocations of Modern Apprenticeship (MA) starts to ensure flexibility in responding to employer demand. Depending on budget availability, training providers are informed of the policy and process to request an increase in volumes, and SDS may reallocate MA starts on an ongoing basis based on evidence of performance. I would encourage Ayrshire College to continue to liaise with SDS and raise any concerns about their contracts with them in the first instance if the College feels that its potential for growth in this area is not being fulfilled.
More generally on support for the sustainability and growth of our colleges, the college Tripartite Alignment Group (comprising of Scottish Government, the SFC and Colleges Scotland) continues to work on identifying and implementing workable flexibilities to ease colleges’ financial pressures while ensuring accountability for public funds.
A fresh set of priorities for the Group were agreed last year, and work is underway across those areas, namely diversification of funding into the sector, establishment of a new way to flexibly fund investment in Curriculum Transformation, and exploration of the breadth of delivery via colleges.
Formalised changes to guidance on college asset disposals have been issued as a result of the work of the Tripartite Alignment Group, enabling colleges to retain a more significant proportion of the value of any sale to invest locally. Here is the link to the Group’s webpage where you can view the Terms of Reference, members, and minutes from the Group’s meetings: Colleges: Tripartite Alignment Group - gov.scot