Millions in unallocated adult education funding managed by the Mayor of London will be redirected to initiatives aimed at addressing youth unemployment.
Over the next two years, Mayor Sadiq Khan will allocate £9 million from the Greater London Authority’s (GLA) adult skills fund (ASF) reserves to support the capital’s NEET (Not in Education, Employment, or Training) program for young Londoners.
This decision has raised concerns regarding the potential impact on adult education funding, which is already under pressure due to government cuts affecting other programs.
The GLA’s ASF reserves will compensate for the loss of the UK Shared Prosperity Fund (UKSPF), which was reduced by the national government in March and previously provided the majority of funding for the city’s youth initiatives.
As per the latest reports, the GLA currently holds approximately £28 million in ASF reserves, a result of underspending since it gained devolved control over about £340 million annually in adult skills funding in 2019.
In the upcoming two financial years, the mayor plans to utilize these ASF reserves along with £1.5 million from the Department for Work and Pensions‘ youth trailblazer funding to support programs targeting around 6,000 young individuals facing significant barriers to education, employment, and training.
Program Initiatives and Funding Allocation
Among the initiatives is the ‚Jumpstart to Success‘ program, designed to assist 16 to 24-year-olds in central London through mentorship and guidance aimed at developing practical skills and fostering a sense of purpose and empowerment.
A total of 13 programs will be implemented across London, in collaboration with local authorities, businesses, and charitable organizations.
The GLA initiated the youth NEET program in 2024-25, initially funded with £9 million from the UKSPF. However, a significantly reduced allocation in the subsequent year led to the use of £2 million from ASF reserves.
Other anticipated uses for the estimated £28 million in ASF reserves include addressing the reduction in ASF funding from the Department for Education (DfE) in 2025-26, covering 2 percent over delivery tolerances for providers, and providing a contingency allowance for the talent pathways program.
Concerns from Education Advocates
“Diverting adult skills funding to support 16 to 18 NEET programs risks undermining already stretched adult education budgets,”
said Sue Pember, policy lead at the adult education provider body HOLEX. She emphasized that adult learning has already faced a 1.65 percent reduction this year, compounded by stricter regulatory constraints and a lack of growth allocation in the previous funding round.
Pember expressed concern that this shift penalizes adult colleges that are exceeding their targets, with no recognition for their additional engagement and skills provision efforts.
“Youth NEET programs should not come at the expense of adult learners who depend on publicly funded programs to retrain or re-enter the workforce,”
she stated, urging the GLA to adopt a more sustainable and transparent funding strategy.
“Using ASF reserves in this manner raises significant questions about whether funding intended for adult education is being repurposed to fill gaps left by the withdrawal of other government programs,”
she added, calling for a balanced approach to support both young people and adult learners effectively.
Official Reactions
Hina Bokhari, chair of the London Assembly’s economy, culture, and skills committee, acknowledged the mayor’s efforts to sustain support for young NEETs in light of the diminished EU and UKSPF funding.
However, she noted that this situation illustrates the limited options available to the mayor, necessitating the use of adult education reserves to address the funding shortfall.
“At a time when London faces significant skills shortages, diverting funds intended for adult skills and qualifications risks becoming a case of robbing Peter to pay Paul,”
Bokhari remarked. She raised concerns about whether these programs could yield lasting outcomes in a labor market where entry-level positions are declining, particularly with the advent of AI, or if they merely serve as temporary solutions to deeper structural issues.
Bildquelle: Bildquelle: Nathan Cima auf Unsplash
