ESFA Non-Levy Procurement Results

Results of this recent tender exercise were published by the ESFA the week ending the 8th December. We understand that there may be a delay in the ESFA issuing contracts due to several organisations challenging their results.

Funding cut by a third

It is clear that the procurement exercise was over-subscribed at a national level. LCR based providers faced fierce competition, with most organisations having funding requests cut by a third or more it would seem.

Minimum contract value

We are aware that a small number of members have been unsuccessful in receiving a non-Levy funding allocation. Some of these submitted high quality proposals that met and exceeded the scoring criteria. However they have not been awarded an allocation because, following a pro rate reduction by the ESFA, their tender value fell below the £200,000 minimum contract value.

GMLPF survey results

GMLPF surveyed members on the outcomes of the procurement exercise. Despite submitting successful tenders, most members have received allocations significantly below what they anticipated. A number of key messages emerge from our survey, these are:

  • 75% of members who were successful in the tendering exercise believe that the reduced funding allocation will have a negative impact on their organisation
  • 56% indicated that there will be reduced Starts in contrast to only 13% suggesting that they will be able to increase Starts.
  • 44% indicated that there would be reduced provision ie they will cease to deliver certain learning programmes

GMLPF has been working with the LCR Employment and Skills team to raise awareness of the potential consequences of this procurement with the Metropolitan Mayor. There is a concern that the reduced allocations may impact negatively upon the capacity and capability of the local supplier base and their ability to address emerging skills issues.

GMLPF would also like to broker relationships between members who were unsuccessful or have reduced allocation, and those who might now be looking for potential delivery partners. If anybody is looking for delivery partners based in the Liverpool City Region then please contact Ian Lomas at GMLPF on ian@gmlpf.net or 0151 707 8775

Check back to the GMLPF website for further updates

Results of ESFA Non-Levy Apprenticeships Procurement

Last week the ESFA notified applicants about the outcome of the recent procurement exercise for Apprenticeship training for non-levy paying employers. GMLPF is conducting a survey with its members to try to establish the impact of this procurement exercise.

At this early stage, we know the following

  • Nationally, it is clear that the ESFA has awarded learning providers a significantly reduced allocation, using a pro rate formula, than they originally asked for.
  • Regionally in the NW, it would appear that learning providers overall have been awarded funding that equates to approximately 61% and 54% of their 16-18 and 19+ bid values respectively. Some providers may have received more or less than this.
  • That in a number of case ESFA do not appear to have issued details of the scores which the applicant was awarded.
  • That mirroring the recent AEB procurement exercise, some providers have scored very highly and their tender passed the compliance checks and qualitative criteria yet, because their contract award resulted in a contract value of less than £200,000 for the Initial Contract Period , they have been unsuccessful.

Members have been sent a link to an online survey. Please complete the survey as this will provide GMLPF with a clear picture of the impact upon our members of the results that were published last week and assist us to more effectively represent you and lobby for change on your behalf. If you are a member and haven’t received a link please e-mail ian@gmlpf.net