Listen to this story Members can listen to an AI-generated audio version of this article. 1.0x Audio narration uses an AI-generated voice. 0:00 0:00 Become a member to listen to this article Subscribe Seven regions will take control of adult skills funding for the first time this year, as the government expands its devolution programme. In total, £120 million in adult skills funding (ASF) and free courses for jobs (FCFJ) will be handed to the authorities in the 2026-27 academic year. The newly devolved areas will join 13 existing authorities with full devolution of adult skills, bringing the percentage of devolved ASF and FCFJ to 77 per cent of the approximate £1.4 billion national budget. The new adult-skills authorities are: Lancashire Combined County Authority, Greater Lincolnshire Combined Authority, Hull and East Yorkshire Combined Authority, Devon and Torbay Combined County Authority, Surrey County Council, Warwickshire County Council and Buckinghamshire Council. While some authorities had published estimates of the funding they expected, grant determination letters released by the Department for Work and Pensions this week confirmed exact amounts for the first time. The funding allocations were welcomed by most authorities contacted by FE Week. A spokesperson for Devon and Torbay Combined County Authority, which will receive £13.1 million this year, said devolution of adult skills was a “positive and welcome step” that would give officials the ability to “shape provision” around local market demand and economic priorities. They added local control would allow training to focus on “high-growth sectors”, plus local “bedrock industries” such as hospitality, tourism and care. Strategic planning Ahead of devolution, officials in each area prepared strategies for their first year. Reform UK-run Greater Lincolnshire Combined Authority, receiving £19.6 million annually, has already decided to scrap eligibility for funded ESOL courses from August 2027. Both Devon and Torbay and Lancashire aim to have a new three-year contract framework in place by “autumn 2026 onwards”, while others will not procure until the following academic year. Plans published by Buckinghamshire Council last month revealed it would take a “light touch” approach by adopting national policies and delaying procurement until the second year of devolution to enable officials to “understand the delivery cycle” before changing providers’ allowances. Current contracts for delivery by the council-run Bucks Adult Learning and Buckinghamshire College Group will continue. To assure government officials that it is ready for devolution, the authority must submit an “assured” strategic skills plan that includes a skills and employment strategy that uses ASF related data, a governance framework, a procurement plan and funding rules. However, leaders in the county have voiced concerns that Department for Education implementation funding of £150,000 over three years is “not sufficient” to cover estimated costs and is “significantly less” than other areas have been paid in the past. They said: “We have lobbied DfE hard on this issue with no success.” Surrey County Council will take on a £12 million ASF and FCFJ budget this year. According to a cabinet report published in February, the council said it would finalise procurement plans once the DfE provided its final confirmation of funding levels. It added funding would focus on “tackling the highest need”, with grant funding agreements for local providers remaining the same in the first year. The council also plans to reduce funding for out-of-area providers and “non-contracted” spend, by assessing requests on a case-by-case basis. At Warwickshire County Council, a spokesman said officials had found the DfE “particularly helpful” during work to demonstrate their “readiness” over the last 18 months. They added the allocations “appear consistent” with the region’s previous funding levels for adult skills. Strong foundations The 2026-27 wave of adult skills devolution means there will now be four authorities with devolved skills that are not combined authorities and do not have a directly elected mayor. Cornwall will be joined by Surrey, Warwickshire and Buckinghamshire. These authorities, known as “foundation strategic authorities”, will be subject to tighter ringfence restrictions on what they can do with funding than “mayoral” or “established” strategic authorities. Six more authorities are expected to gain control of their adult skills budgets in coming years, although political disputes over local government reorganisation could cause delays.