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Adult skills funding cuts will undermine economic growth, says AoC

06 February 2025

Funding stock picture

David Hughes, Chief Executive, Association of Colleges said: "The Department for Education (DfE) decision to reduce adult skills funding (ASF) across combined authorities for the academic year 2025/26 takes funding away from an already deeply diminished budget. Opportunities for adults to train, re-train and get the skills they need have been drastically reduced since 2010, with more than £1bn of cuts over that time. This move, although modest, will further reduce those opportunities and undermine both economic growth and the government’s commitment to widening opportunities.

At last year’s budget, we welcomed the Chancellor’s message on the vital role FE and skills have in the government’s aims and ambitions and the investment made in young people.

That decision looks less positive now that adult funding is being cut, because it sends the wrong message, just at the time employers in key sectors of the economy like construction are calling for growth in adult education, not cutbacks. It also poses a risk for the delivery of the youth guarantee and the commitment to increase the employment rate to 80 per cent. Both of those ambitions need colleges to have the capacity to deliver training to help people into work.

The government must now commit to a serious investment in adult education and skills opportunities in the upcoming spending review if it is serious about national renewal.”

A full A-Z of further education can be found here, and a cheat sheet of key policies and issues in FE can be found here.