Select Committee on Public Accounts Minutes of Evidence


Examination of Witnesses (Questions 80-93)

DEPARTMENT FOR EDUCATION AND SKILLS, LEARNING AND SKILLS COUNCIL AND UFI/LEARNDIRECT

21 NOVEMBER 2005

  Q80  Stephen Williams: I do not know whether it is an interest or not but I will declare it anyway. I was formerly a tax manager with Grant Thornton, who I understand are the auditors for Ufi, but I never had any connection at all with Ufi while I was in practice. I want to focus on some of the target groups of learners, particularly those at pre-Level 2 qualifications, grade C GCSE. If you look at page 31, table 17, it shows the growth in the advice sessions that people have had, and the contact people have had with learndirect is increasingly via the website now rather than the telephone. My own webmaster is always bamboozling me with hits and visits to my website, and I notice you have web sessions. These figures look quite impressive, with up to seven million interacting with the website, but surely a lot of those are the same person looking at different things over and over again. Can you define how many people you think are using the website to access learning as unique individuals?

  Ms Jones: Yes, I can. I think it does state in here how many we believe are repeats, although I do not have the figure to hand. There is a proportion that we think are repeat web sessions and there is also a proportion of callers that we think are repeat callers. About a quarter of callers are repeat callers and that is stated in paragraph 3.4.

  Q81  Stephen Williams: It also says in paragraph 3.4 that a quarter of the callers are up in London and only 5% are from the north east or the east Midlands or other regions. Clearly, 25% is not a fair share of the population for Londoners and Londoners, from data I have seen elsewhere, tend to have higher qualifications anyway, so do you think you are reaching the right regions with the service or the server?

  Ms Jones: Yes, we believe we are. We think London is a bit of a quirk. Our own Ufi view is that there is so much provision in the London area that people need signposting through that, so they more often ring up to ask for that help in directing them to the best course in the area.

  Q82  Stephen Williams: Paragraph 3.5 maybe demonstrates how fatuous targets sometimes can be. I notice that the Department for Education originally set you a target of half a million calls from pre-Level 2 qualified people and you failed to reach that target. In the following year, 2003-04, they reduced the target and your success rate was lower again. Now the Learning and Skills Council is perhaps coming to the rescue with a lower target again for 2005-06 of 0.3 million calls. Do you think you are going to meet that target this year?

  Ms Jones: Yes. I am confident that we are going to meet the target this year. There was definitely a factor in 2004-05 which contributed and that was the fact that we take the calls for other campaigns. For example, with the BBC RAW Campaign recently, we have taken the calls for that and the number of calls that we get are part of our target. The Gremlins campaign, the apprenticeship campaign, they all contribute. If one of those campaigns slips in time that means there are fewer calls coming into our advice service, so part of it—and I know this sounds a poor excuse—is beyond our control because it is up to those organisations to launch the campaign that they had planned at the appropriate time and for that campaign to be effective. The other side of it is that the basis of the calculation was changed and I think that is why we ended up with the targets being misaligned for a while, but now we are back on track and we are confident we will achieve those.

  Q83  Stephen Williams: Do you think the target for other people to contact is meaningful though?

  Ms Jones: I think it is important for the sector because it means that we are integrating our activity across lots of different organisations.

  Q84  Stephen Williams: I read also in this section that you do a follow-up or you maintain information on some of the contacts via the telephone but you do not maintain a record of persons who contact you via the website. In that the growth in traffic is on the website anyway rather than the telephone, is that not going to make it harder in future for you to measure how successful you have been in having an impact on individuals' lives?

  Ms Jones: We are talking to the Learning and Skills Council and the Department to make sure that we are working with the website side of the business as well because it is growing at about 20% per annum at the moment. Vast numbers of people are coming to us via the web and I think that is a shift in how consumers deal with organisations nowadays.

  Q85  Stephen Williams: Paragraph 3.26 relates to how effective this service might be given that the key user group is people who have got below Level 2 qualifications when they initially contact you. It says that after two years from a survey only 9% of learndirect learners have progressed to a Level 2 qualification. Presumably you are not happy with that.

  Ms Jones: No, we are not happy with it and we are stretching the target and trying to improve in this area, but we must not forget that many of the people who come to our service are not aspiring to further qualifications at a Level 2 level. Over 50% do progress to a higher level of qualification than their initial point of engagement and also eight out of ten people get a positive outcome at work. Going back to the original basis of why Ufi was set up, it was designed to enhance productivity, so if people are getting a more positive outcome at work, getting a job, getting a promotion in a job, that must be having a knock-on effect on the productivity and the economy of the UK.

  Q86  Stephen Williams: This might be a question for Ms Pember. In the same paragraph, 3.26, it refers to the unique learner number from 2007 which the Department is going to introduce. Could you expand on that? What is the purpose of this learner number? Is it going to be allocated to every school leaver or every school?

  Ms Pember: Every school leaver and it is also the college and the number of the school which the pupil has attended. The rationale behind the learner number is to track people because we suspect that people start in learndirect, they go on then maybe a year later to another course at a college and often progress to Level 2 but because we have not got this unique learner number we have no way of tracking somebody through our system. We want to be able to introduce that so that we can do this progression of information. We also know that some learners go to more than one establishment to further their learning programme and we want to be able to track that as well.

  Mr Haysom: It is a really important development which will also have a huge impact on reducing bureaucracy because we will not have to keep collecting the same data over and over again and it will also have a real benefit to individuals so that their learning records will be captured and will be available to them and will go with them wherever they are.

  Q87  Stephen Williams: Ms Pember, how much is this going to cost the Department?

  Ms Pember: It is part of reducing bureaucracy so you have to measure it against efficiencies. The whole of what we call the in-management information project is costing us between three and five million a year to get it started, but we expect over the next few years to receive that back in efficiency gains because of, as Mr Haysom pointed out, the duplication in the system of every student having to fill out a registration form for every course, every provider having to log them onto a system. Once they are there this will be a very efficient way of dealing with this record-keeping.

  Q88  Stephen Williams: This presumably is going to go on a database on everyone from the age of 16?

  Ms Pember: Sixteen-plus, yes.

  Q89  Stephen Williams: And the database will be restricted purely to educational attainment?

  Ms Pember: Absolutely, and to the individual as well. Therefore, if they go into an establishment and they cannot remember what their last qualification was or the last time they took part in a learning activity, that information will be there for them and they can keep it renewed themselves.

  Q90  Stephen Williams: Will this information be discrete to the Department for Education and the Learning and Skills Council or will it be shared with other government departments?

  Ms Pember: It will be shared with other partners like QCA and the awarding bodies because that is where it stops the duplication, but it will be done with the full knowledge of the individual involved. It will be very similar to the number we already use in HE for entry into university.

  Q91  Sarah McCarthy-Fry: Going back to this innovation and the fact that it has taken this amount of time to get this far, Ms Pember, you are looking to recouping investment that has been made in learndirect through businesses. Have you also looked at whether you can recoup it by using the lessons you have learned in other government departments?

  Ms Pember: Absolutely. We use the example of offender learning with the Home Office. Learndirect is also in contact with the Home Office for developing their own staff skills. We also are very keen over this sort of direct involvement to help people access government information and local government information and we see the centres being part of that. We ran a pilot last year and now we are doing a cost analysis to see how we can do more on that but it is vital now we have grown this expertise that we use it across Departments and across government.

  Q92  Sarah McCarthy-Fry: Presumably the other Departments will get it cheaper and they will be looked on as if they are really good value for money because you have done all the work. Is there a mechanism for cross-charging?

  Ms Pember: I think my colleagues in Health will say they have developed some things that we in Education use. I am thinking on mental health and things like that for young people, so there is this conversation across government. With offender learning and for the Home Office, yes, you could say that Education did the development work for this in the beginning. We have not thought of cross-charging. There are other things we can do, and that is why we are doing this cost analysis where other government departments might have to provide us with some of the mechanisms to develop this activity.

  Mr Haysom: Could I come back on an earlier point? You used the phrase, "We are looking to recoup the cost of Ufi". I do not think that is an accurate comment, if I may say so. What we are saying is that Ufi is performing an incredibly important function. There is a business opportunity to bring in some money which will offset in part the cost but I would not wish the committee to feel that we are looking to recoup the costs of Ufi. That is not what is going on.

  Q93  Sarah McCarthy-Fry: I did not say you should manage to recoup the whole cost. I wanted to make the point that innovation costs money because it is trial and error. Therefore I am sure you must be looking to get some money back which we are not getting at the moment.

  Mr Haysom: Absolutely.

  Chairman: Ladies and gentlemen, thank you very much. You have heard what the Comptroller and Auditor General has said in his assessment of whether you provide value for money, Ms Jones, and that will be dealt with in our Report.





 
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