Employer's Social Mobility Alliance

The majority of school-leavers participate in further education rather than in higher education (70% versus 40%).1 Differences in participation between socio-economic groups broadly reflect differences in attainment at the end of compulsory schooling. With significant and persistent inequalities in attainment, diversifying intake to universities will be limited unless admissions are drastically reformed.2 In contrast, the further education sector is engaging with a substantial number of people from lower socio-economic backgrounds and is therefore well positioned to make a difference to their career trajectories.

A study analysing the educational routes taken by young people from different socio-economic backgrounds finds that the further education sector is more socially balanced in comparison to the higher education sector. Students from lower socio-economic backgrounds are more likely to participate in further education than other social groups (a feature of school-level attainment), but the gaps between social groups are less striking than in higher education.

The sector is positioned as having a lower status compared with universities, sixth-form colleges and school sixth forms. Students who received Free School Meals at secondary school are less than half as likely to progress to study 3 A-levels at level 3 (47% versus 21%).3 Consequently, students participating in further education who chose to take alternative qualifications to A-levels may be mindful of their positioning within the education sector.4 In spite of government rhetoric on the social and economic benefits of engaging in further training, substantial inequalities exist and some learners are excluded within the system itself.

The increase in participation in higher education, and the growth of the sector, is concurrent with a decline in adult participation in Government-funded further education and in the availability of opportunities at level 3 and above.

The adult skills budget is devoted overwhelmingly to lower-level qualifications, while in higher education HNDs and HNCs are tiny in number, and foundation degrees are in decline. There is insufficient incentive in the current funding system to promote colleges to deliver higher level qualifications which offer the best return to individuals.7 The English system does not have a clearly defined pathway through tertiary-level education, in contrast to other countries such as Germany and Finland. This has implications for social equality as it can hinder career progression.

The wage return from academic qualifications is similar to that of vocational qualifications of an equivalent level. Research has shown that once allowance is made for the time taken to obtain the various qualifications, the returns per year of study for vocational qualifications are similar to those for academic qualifications. And, significantly, the value of vocational qualifications is approximately twice as high for individuals with lower levels of attainment.8 For social equality, therefore, there are indications that higher-level vocational routes offer positive outcomes in the labour market.

There is geographical inequality in access to high quality further education. This is partly a feature of the complexity of the funding and qualification regimes, but it is also a result of a lack of coordinated focus on the impact of place on the sector. Some large urban areas have too many colleges whilst isolated and peripheral areas have no provision or limited choice, particularly when it comes to accessing qualifications at level 3 and above.