Select Committee on Education and Skills Minutes of Evidence


Examination of Witnesses (Questions 140-159)

SIR ANDREW FOSTER AND DR ROBERT CHILTON

16 NOVEMBER 2005

  Q140  Jeff Ennis: Sir Andrew, I guess a document which could be regarded as a sister document to yours would be the Tomlinson report, which looked at the 14-19 agenda. Unfortunately, the Government seems to have cherry-picked some of the recommendations from within that report rather than implementing the report in full. Is your report one which the Government ought to consider implementing in full, or could that also be cherry-picked, and if it was cherry-picked which bits would you like to still be retained?

  Sir Andrew Foster: Well, I have just come this morning from listening to Ruth Kelly give a significant speech at the Association of Colleges where her broad response to the report was probably more positive than I could have hoped for. Clearly, there is many a slip betwixt cup and lip. What she has in outline said today is that the Government wants to bring together some of what Leitch says with what the LSC has proposed in the agenda for change and what I have said. I think with what I am proposing you would need to do a substantial amount of it if you were going to make it work. In choosing not to go for radical change—and I do make it quite clear that I have actually been through quite a lot of big public service reorganisations in my life and I think I say in there somewhere I have seen them take a long time, cost a lot of money, and sometimes not deliver—I basically felt that going for evolutionary change where you work on the issues which really matter with the different places in the system is what I propose. If you started cutting back in any significant way from some of that, I think you would be in serious danger of not making it work. I think the most significant thing that I say is about clarity of purpose, and for me saying that you have an economic skills and employability mission as the prime mission is probably the most important thing. We might go on to that, because I do not say that FE should not do other things. I think FE, however, is badly understood by employers, the media and quite often by some politicians because it is not clear exactly what it does and I think having a stronger focus could make a big difference in terms of how it gets managed. So my answer is, very important is the notion of purpose in mission. I think you do need to look across how the whole system works and I would have to say to Ruth Kelly or the Government, or whoever, if there was a major cutting back of things I think you would be in danger of the basis of my recommendations not working.

  Q141  Jeff Ennis: You have not attached specific timeframes to many of the recommendations within the report. Presumably that was deliberate. Why have you decided against that, milestones within the report?

  Sir Andrew Foster: Yes, there are some which do not have them, but I am generally in favour of things happening as quickly as they possibly can. There is a number which have 12 and 18 months attached to them. I think that, if anything, quite a lot of public service change tends to end up happening too slowly and almost people have forgotten what its purpose was by the time they got round to it and somebody is starting to say it has not worked. I am not particularly joking. That does happen. So I would be in favour of rapidity and I think that is a major merit for not going for big structural changes. Most big public service structural changes take up to a couple of years before you even reach the starting gate and several early retirements, redundancies and political aggravation have happened. I would want to argue, why does this not start to get changed within the next six to nine months, because I think it aches to be changed, because I think some of the arrangements are really quite ineffective.

  Q142  Jeff Ennis: The report focuses, as the Chairman has already indicated, specifically on the role of further education colleges. Given the fact that you were assisted in your deliberations by the DfES and the LSC, has that influence impacted on the recommendations within the report at all, do you think?

  Sir Andrew Foster: Yes, I think the secretariat that I had were people who came from that. There were six people altogether. The arrangement that I had was that they were working for me during that time and I guess it would be only human that they would sometimes put what would be a DfES or an LSC point of view, but I think I was asked to do it because I had a history of 10 years running a big independent watchdog body and frankly I could not allow that sort of special pleading to be a significant issue. So what is in there is the result of people such as Bob and I having serious debate and discussion about what we thought would be effective, not special pleading by anybody.

  Q143  Jeff Ennis: I am looking at the report summary you have kindly provided and on p.2 it says: "The causes of the contrast between achievements of FE colleges and the lack of comprehensive impact are many." One of the issues you focus on is that it says there is a mismatch between the aspirations of FE colleges and available funding. I am sure it has been pointed out to you, the current funding gap in sixth form provision between school sixth forms and FE sixth-form provision?

  Sir Andrew Foster: Yes.

  Q144  Chairman: Will your report have any influence on that particular agenda, the funding gap that should not really exist?

  Sir Andrew Foster: I would need actually clarification of what the Secretary of State said this morning. She did make an announcement saying that the Government would plan to start closing some of those gaps over the next small number of years, taking it to 8%, I think, within three or four years.

  Q145  Jeff Ennis: She said two years last week, but go on.

  Sir Andrew Foster: Okay. Well, I am just in the main auditorium so I am not claiming to be absolutely vouchsafe. I think there clearly are issues around that. I think the Government clearly recognises it and I think it is desirable to move to close it.

  Q146  Jeff Ennis: Do you recognise then that that further education funding gap is impacting on the quality of the students' education at the present time in FE colleges?

  Sir Andrew Foster: I certainly think it is an issue, and I think it is an issue which needs attending to. When we start to look at what affects quality, I suppose we would get into an argument or a debate about causality, and when we talk about quality for me the key issue about quality would be the motivation of the learner, the student, and it would be the professional development of the teacher, the lecturer. Those would be the two key things which would impact on quality. So we would have to start talking about the relationship between those, in my mind, and the funding gap.

  Q147  Chairman: You have been doing this inquiry and you know this territory pretty well now, Andrew, and if you were going to give a lump of money is the priority for giving FE a lump of money to redress this particular balance in the teaching of A-levels students, or would your priority go somewhere else?

  Sir Andrew Foster: I think it is something which does merit investment. I think I would probably phase it over a time. One of the things which stood out for me from doing this study—and Bob may want to help me here with this—is the need for further capital investment in FE around the technology it has. If you are going to drive for world-class technological skills, because the global economy is changing, there is no point in training people on old equipment which does not suit them for the jobs they go out to, and frankly some of the FE estate is very tired. It has not had the same level of investment. So I do make quite a strong argument here about investment. Bob may want to add to that.

  Dr Chilton: Quite often when people talk about funding gaps there are, I think, probably at least three which I have come across. There is the gap between what a person teaching in a school is paid to teach at a particular level and the person in FE. There is a funding gap between the per capita allowance of each sector, but then there is another one and this is the one which the report largely focuses on, which is kind of a strategic issue. FE, as we know it today, describes itself as an adaptable sector. It is very responsive. It does an enormous number of things. If you tried to sum the cost of doing all the things which FE could do, it would be quite high. I actually do not know how high because nobody has ever seemed to have measured it. If you then measured all the things it should do, there would be a debate about what it should do, but it would be a lesser figure. Then if you tried to assess what it can do, it is probably a step down again. That is why you get a lot of rationing going on, sometimes not explicitly. If somebody seizes an initiative and says, "This must happen," something else gets displaced. We argue strongly in the report that there needs to be a model of this. There needs to be an assessment of what actually is the national requirement of FE matched against the capacity of FE and the funding. One of the frustrations of this review is that we have not been able to lay our hands firmly on that, or on another ingredient in the equation, which is how well they use the money they already have, value for money, and finding concise, sharp, incisive comparisons at that level. So when you get to the first two funding gaps there is quite a noisy debate about them, but in the absence of that financial context it is not easy to be precise about what the answer is on the first ones. Could they use existing money better? Are they doing the right things? Have we made the right strategic choices? If we resolve those matters, could you close the funding gap?

  Q148  Jeff Ennis: My final question continues on the theme of the funding gap to some extent and I am going to take advantage of the fact that Sir Andrew is Chairman of the Learning and Skills Council, or used to be according to the cv. Have I misread that?

  Sir Andrew Foster: I have been Chairman of lots of things in my life, but not that. I was Chairman of the Bureaucracy Review Group.

  Q149  Jeff Ennis: I apologise. I misread it. It was the Bureaucracy Review Group.

  Sir Andrew Foster: That was how I got to do this, but the year before I did this review I think it was Margaret Hodge who asked me to look at bureaucracy in FE, so I had a year before that.

  Jeff Ennis: It is a bit misleading.

  Chairman: Heads will roll, but if you would like to be Chairman! There is a misprint.

  Q150  Jeff Ennis: I am sure you are well acquainted with the function of the Learning and Skills Council anyway, Sir Andrew, and it is really on that theme because earlier this year there has been a sort of tension, if you like, between the Learning and Skills Council and certain colleges in terms of the over-achievement of student numbers. That certainly applied in one of my own authorities of Barnsley. If we implement all these recommendations, will that tension in terms of the over-achievement of student numbers be dissipated?

  Sir Andrew Foster: I think it is difficult to guarantee that, frankly. What we argue for is a regional understanding of what "need" is and then a greater influence at local level. I think that increases the chance that you would not have that happen, but I do not think I could guarantee it.

  Chairman: Let us talk about now the purpose and the focus of colleges. Before I do that, Stephen indicates he has got a supplementary.

  Q151  Stephen Williams: Just a supplementary on Jeff's line of questioning. From my own visits to FE colleges in the city—Bristol college is one of the largest in the country, and there is a sixth-form college as well elsewhere in the city—the principals are very, very keen to draw the funding gap to our attention and we have questioned many other witnesses about this in the course of Select Committee meetings. I thought your report would give us much enlightenment, but it is only paragraph 210 in a 100 page report where I could find it referred to, which says: "During the course of the review we received many representations about funding and the funding gap and we understand these. However, we chose to take the position in our work of maximising the use of existing resources," which is largely what you have just said. Presumably in order to draw up this report you did speak to many principals up and down the country?

  Sir Andrew Foster: Absolutely, including the principal of the Bristol college.

  Q152  Stephen Williams: I am sure. I am sure that all of them would have drawn your attention to their concerns about the funding gap for A-level tuition. Why is there not more in this report?

  Sir Andrew Foster: Basically, because I continue to believe that the prime priority is to drive existing inefficiency which exists in the system and I think the argument is already a made argument. I did not see as one of my prime focuses the determination of extra funding to the sector. I saw it as seeking to utilise the existing resources more effectively. Frankly, all of my experience of doing this sort of work is that where extra resources go is the prime heartland of political debate. What I was trying to do was to look to see how you could manage it more effectively. The argument about where more resources would go is something which politicians have very strong views and feelings about and it seems to me it is a political responsibility rather than a review managerial responsibility.

  Q153  Tim Farron: You say in your report that a residual rump of around 10% of colleges have persistently and continuously failed their communities. I am interested in your views and your experience of what those failing colleges have in common, and perhaps therefore what successful colleges have in common too.

  Sir Andrew Foster: The numbers we are talking about are the 389 colleges. I think there are 37 over the last four years' worth of inspections which have fallen into the least satisfactory category. The pleasing news is that 21 of those 37 have improved, which actually currently leaves 16 in the least acceptable category. I only say that because there has been some contention about what the figures are. So it is a small number, but if you are a learner in one of those that is still not at all acceptable. I had a conversation only in the last week with David Bell, who clearly would have been involved in doing this, about what the characteristics are, wanting to consider it along with my own experience. Very often these colleges have poor leadership, very often they have poor retention rates, very often they have had poor and badly defined programmes, and very often they have had not very good satisfaction and success levels. So those are some of the characteristics which come through. In terms of what a successful college looks like, I think we have actually got a box in the report drawing very significantly on the Ofsted work, which does give a range of characteristics of the most successful colleges, and frankly one of the prime ones which stands out is about the quality of its own management, the quality of engagement with learners (I draw your attention to p.26, box 3), and then the nature of its engagement with local employers. So it is quite clear (there are about seven or eight points there of what are 29 excellent colleges) what the characteristics are. So we do frankly know some of the characteristics of "poor" and we do know the characteristics of "excellent", and clearly the management task is to enhance the one and reduce the other.

  Q154  Tim Farron: That is very helpful and the message is that bad colleges produce bad results. I wonder how one gets to become a bad college in the first place. I suppose I am looking at whether there are patterns with regard to catchment areas, size and location?

  Sir Andrew Foster: I am not aware of there being completely consistent issues to do with rurality, downtown or size.

  Q155  Tim Farron: The affluence of an area, for instance?

  Sir Andrew Foster: Yes. I understand where you are coming from, but I think the single biggest feature is about the quality of leadership, as it is with many institutions, which is, frankly, where are the future generations of principals coming from? Are people coming from outwith? How strong is that programme? It seems to me that if it is a critical success factor, how you invest in the leadership of the sector, it is a very important issue.

  Q156  Tim Farron: I do not want to re-hash the funding gap issue again, but it is just worth dropping in that perhaps an issue there is down to salary levels and the remuneration of managers in FE compared to HE, and indeed schools?

  Sir Andrew Foster: Yes. I am not at all unsympathetic to the funding gap argument, but if you look at the best practice examples we have got here—and I have literally just come from two days of talking with a lot of principals—there are some excellent principals, if you look at the example in here of Leicester, and I spent time over the last couple of days talking with the woman who runs the big college in Newcastle. Even with a funding gap, there are excellent leaders delivering wonderful results and frankly our joint experience in the Audit Commission was that quality of leadership in vacuo of resources can still do excellent things. I am not, therefore, arguing for low resources, but to say that resources is the key issue towards excellent service is not correct. If you actually do a scattergram about the level of investment relative to the quality of the product, there is not a direct relationship between them.

  Tim Farron: Absolutely. I am sure we all know some incredibly well-paid bank managers.

  Q157  Chairman: In colleges principals are well-paid, comparatively?

  Sir Andrew Foster: I suppose it depends on what your comparison is.

  Q158  Chairman: Well, in comparison with university vice-chancellors there is not much of a gap between them, is there, with the larger colleges?

  Sir Andrew Foster: You are probably talking about something from £100,000 per annum plus from the larger ones, I guess, £100,000, £110,000, £120,000. I do not have the absolutely bona fide information.

  Q159  Tim Farron: Moving on to another area of the report, you talk about the importance of FE having a brand identity. You did talk about this a little earlier on. I just wonder precisely what you mean by that and how you think it would help FE?

  Sir Andrew Foster: If I start, and Bob may want to add to this. Effectively, it feels like FE do three things. They already do employability and skills, they do a lot of academic progression through A-levels and they then do adult learning and leisure learning. If you ask, many people are not at all clear where their focus is and I think one of the reasons why FE loses out in the resource debate in Whitehall between politicians is because there is not the same level of ownership as there is for schools and universities. You will see we have penned the phrase "the middle child of the educational family". It just does not seem to have got the resources in the same way. The argument of this report is that the economic skills and employability argument is a massively powerful one because of what is happening in the world economy and that we are falling behind as a country in relation to the economies elsewhere in Europe and if you were to put together a strong case around employability and skills that would make it very much more understandable by everybody in society what the prime role was and I think you could argue that that would end up having an enhanced role in terms of the level of resources which come FE's way.

  Dr Chilton: Just as a postscript, who stands up and champions FE outside FE? In the schools sector there is a great parent body there; in the universities, the professions, etc. FE is that neglected middle child and part of the problem is that it is not easy for someone to identify with it because it does so many different things. The emphasis on skills and employability gives it a potential champion, which is the economy, the business world, which is where it came from, but as it accumulated so many additional functions that became diffused. I am not saying lose those functions, but put a brand image out which builds alliances, friendships, support and champions beyond the sector itself.


 
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