Bursaries of up to £1,500 are to be given to up to 11,000 trainers undertaking initial teacher education (ITE) to teach in further education.

Skills minister John Hayes, who originally set out his plans for the bursary at the Association of Colleges’ (AoC) Annual Conference in November, formally set out the funding available to those undertaking ITE on Thursday.

However, critics have already suggested that the money may not be enough in light of hefty tuition fees charged by some universities.

Lee Davies, president of Chartered Institute of Plumbing and Heating Engineering (CIPHE), said: “This will barely scratch the itch if universities maintain the fees position they have been stating recently.

“So it’s just ‘hip’ from me – one cheer out of three – and I will wait and see the full economic picture.

“Certainly for CIPHE’s members considering a further education teaching career, a bursary of £1,000 will do little to ease their move into FE if they are still faced with the double-whammy of an almost inevitable salary drop and HE fees in the thousands of pounds.”

Toni Fazaeli, chief executive of the Institute for Learning (IfL), welcomed the news but also warned that caution remains over tuition fees.

She said: “It is excellent to see the government acknowledging that FE teaching and training is vital to the economy and society and is a high-level profession.

“IfL believes that the teaching and training profession should be seen as an attractive and accessible career progression route by those in industry who decide to give something back by teaching in their specialist field.

“We have long been calling for a bursary scheme for FE teacher trainees and our members see this as a priority issue, especially in the light of the higher education tuition fee increases this year.”

However, she added: “We remain concerned about the tuition fee increases and hope this announcement relieves, to some extent, concerns from higher education institutions about the financial viability of their FE ITT provision.

“We await further details about the availability and distribution of the new bursaries and how they will link with the existing ITT grant that IfL distributes on behalf of the Department for Business, Innovation and Skills.”

When making his announcement last year, Mr Hayes alluded to making comparable money available in FE to that of those undertaking initial teacher training (ITT) in schools – which is between £5,000 to £20,000.

However, for 2012-13 bursaries of £1,000 are available for 10,000 trainees to take either the Higher Education Institution (HEI)-accredited Diploma in Teaching in the Lifelong Learning Sector (DTLLS) or a Level 6 PGCE qualification.

Another 1,000 trainees can apply for bursaries of £1,500 if they are taking a HEI-accredited ITE course and intending to teach basic Maths and English.

Mr Hayes said: “It is a powerful demonstration of the government’s wholehearted commitment to the FE and skills sector that despite the current financial pressures and in challenging times, we are looking to secure the talents and skills of potential FE teachers.

“Recruiting the best talent is central to making the sector as good as it can be.

“Further Education is at the heart of economic revival; at the core of social renewal.”

Despite the significant different between the bursary in FE and that which is existing in schools, the IfL believes similarity should “remain the goal” and there should be “support for trainee teachers undertaking awarding body routes” to teaching qualifications.

Ms Fazaeli said: “There is clearly still more to be done and IfL will continue to make the case for equitable access routes in to teaching and training in our sector.”

The Deputy Prime Minister has revealed a new scheme to try and tackle the “ticking time bomb” of 16 and 17 year-olds who are not in education, employment or training (NEET).

Nick Clegg said the government will be allocating £126 million to help more than 55,000 teenagers with no GCSES at A* to C.

The funding will form part of the youth contract, announced in November, and use a payment-by-results scheme.

Mr Clegg, speaking at the Groundwork Hub in south east London, said: “Sitting at home with nothing to do when you’re so young can knock the stuffing out of you for years.

“It is a tragedy for the young people involved – a ticking time bomb for the economy and our society as a whole.

“This problem isn’t new, but in the current economic climate we urgently need to step up efforts to ensure some of our most troubled teenagers have the skills, confidence and opportunities to succeed.”

Contracts worth up to £2,200 will be awarded to organisations with a history of putting young people back into work apprenticeships or training.

Charities and businesses will receive an initial payment for taking on a young person, followed by additional funds for when they start an apprenticeship, progress through a training programme or stay in a job for a sustained period of time.

Mr Clegg added: “Many of them will have complex problems: truancy, teenage pregnancy, a lack of GCSEs and health problems.

“So helping them onto their feet will not be without challenges and Government cannot do this alone.

“But we all have a duty to reach out to the young people who can be hardest to reach.

“That’s why today I am calling on charities and other organisations at the coal face to work with Government to help tens and thousands of lost teenagers onto a brighter path.”

The scheme will use a black-box funding approach and give businesses complete freedom in how they provide support.

Tim Loughton, children and young people’s minister, said: “Providers know how best to support young people back into education training and employment.

“We are looking forward to receiving some innovative ideas that really work from experienced organisations in all sectors.”

Liverpool, Leeds-Bradford-Wakefield and Newcastle-Gateshead will be allocated money as part of the ‘City Deals’ launched by the deputy prime minister in December 2011.

Subcontractors with an overall allocation of more than £100,000 have been listed for the first time by the Skills Funding Agency (SFA).

New data published today details more than 800 organisations and £434 million of public spending as of January 10, 2012.

The agency says the list was generated following consultation with the sector and is in line with the government’s transparency agenda.

“This exercise is about providing information back to the sector to help them to understand the supply chain in the sector and inform them of the commitments of the organisations with whom they may wish to subcontract,” an SFA spokesperson said.

The management fee charged by a lead provider to a subcontractor can relate to a widely varying suite of services ranging from simple collation of data through to full support services, IT and premises. Publishing this data for comparison would be misleading.”

“We developed this format with representative organisations in the sector to present providers with the information that they want.”

The list does not include however some of the information published in the ‘Providers’ Declaration of Sub-contractors’ spreadsheet released by the SFA in January last year.

The minimum and maximum payment rates passed on to sub-contractors, which show the percentage subcontractors keep following a management fee by lead providers, is noticeably absent.

The SFA told FE Week: “The management fee charged by a lead provider to a subcontractor can relate to a widely varying suite of services ranging from simple collation of data through to full support services, IT and premises.

“Publishing this data for comparison would be misleading.”

The list was generated using the ‘2011/12 College and Training Organisation Declaration of Subcontractors form’ sent out to all lead providers, including further education (FE) colleges and training providers.

Aspire Achieve Advance Limited does not hold a direct contract with the SFA and is the largest subcontractor on the list to receive funding from an FE college, with an aggregate contract value of more than £9.7 million.

The organisation delivers apprenticeships through Bloom and the Accounting Academy Partnership for institutions including Bedford College, North Hertfordshire College and Leeds City College, among others.

The list also includes Security Training School Limited, which came under fire last year for advertising two day fully funded NVQs, as well as 12 week apprenticeships on their website.

The firm is shown to be holding an aggregate subcontracting value of more than £2 million with Hull College, Leeds City College, Newham College of Further Education and Learning Curve (JAA) Limited.

The total amount of subcontracting is roughly 10 per cent of the £4.5 billion which the SFA spends on the adult skills budget (ASB), learner support, capital spending and other payments through providers.

The agency has revealed they are looking at refining the funding requirements for 2012/13, which will be published later this year and include subcontracting.

An SFA spokesperson said: “All of the funding requirements are subject to review and updating, so we do not expect there to be huge changes to subcontracting arrangements, just the regular review.

“All subcontracting must meet the same delivery, quality and value for money as the rest of our provision.”

(Download the list here, as well as frequently asked questions here.)

Note:  FE Week has been contacted by several providers for a spread sheet format of the list.When asked if the Skills Funding Agency could supply the information in an alternative file type, we received the following response:

“Supplying the information in a different electronic format is not something we plan to do, because we will have already made the information accessible in accordance with the stakeholder preference.”