Correspondence

DfE Update further education: 22 October 2025

Published 22 October 2025

Applies to England

1. Action: R03 submission: estimated student numbers

For academic year 2025 to 2026, we are requesting you submit your estimated 16 to 19 student numbers in November 2025 R03. We previously also requested this estimate at R02.

We will confirm the 16 to 19 student numbers in-year, when we receive the R04 data in December 2025.

We want to understand 16 to 19 participation earlier in the academic year in order to:

  • help us track progress on the government’s Opportunity Mission
  • monitor the likely financial position for the academic year, and
  • inform better policy decision making as necessary

We will not use this collection to make any decisions about your funding.

You can use our submit learner data portal to submit your estimate, alongside detailed guidance, as part of your R03 submission.

If you have any issues in submitting your estimate, or need any further information, contact us via the customer help portal.

2. Action: Apprenticeships care leavers’ bursary

In advance of National Care Leavers Month in November, we’d like to remind training providers of the requirement to inform your apprentices about the care leavers’ bursary, and to record this as part of initial assessment evidence.

You should also give current apprentices the chance to declare eligibility if they were not asked earlier, as late claims can be submitted. 

We would like to highlight the importance for training providers to log this information, as local authority data suggests many eligible apprentices are not receiving the bursary. Without the financial support they are entitled to, apprentices are more likely to withdraw from their apprenticeship.

Updates to the funding rules and bursary guidance clarify: 

  • how to submit late claims  
  • that the bursary is tax-free and does not count as income for Universal Credit calculations  
  • when we make the third payment for shorter and foundation apprenticeships  
  • that local authority confirmation of care leaver status does not require a specific format

3. Information: Foundation apprenticeships – additional funding and exemptions to age limits

We introduced foundation apprenticeships in August in four sectors: Construction, Engineering and Manufacturing, Digital, and Health and Social Care.

These are available for young people aged 16 to 21 and for those aged 22 to 24 if they have an education, health and care (EHC) plan, are a care leaver or a prisoner / prison leaver.

Employers can receive up to £2,000 for each foundation apprentice they recruit and support to progress.

Employers and training providers are also eligible for the existing £1,000 payments towards the additional cost associated with training for those aged 16 to 18, and 19 to 24 who have an EHC plan or have been in care.

You can find more information in our funding rules.

You can also read more about the content of each foundation apprenticeship on the Skills England website.

4. Information: Level 7 (postgraduate level) apprenticeships – additional funding and exemptions to age limits

From Thursday 1 January 2026, level 7 apprenticeships will continue to be government-funded:

  • for young people aged 16 to 21
  • for care leavers or those with an education, health and care (EHC) plan aged 22 to 24

We will continue to fund any apprentice who started a level 7 apprenticeship before Friday 1 January 2026, through to completion.

Age eligibility is dependent on the age of the apprentice at the start of the apprenticeship.

You can find more information at changes to funding for level 7 apprenticeships.

5. Information: 16 to 19 and adult revenue funding allocations for 2025 to 2026

We have published the 16 to 19 revenue funding allocations for academic year 2025 to 2026.

The publication covers schools, academies and further education institutions funded by the Department for Education (DfE) for 16 to 19 year olds and 19 to 25 year olds with an EHC plan.

We have also published the adult funding allocations for academic year 2025 to 2026 for training providers.

The publication covers the funding values for colleges, training organisations and employers with an adult skills funding, apprenticeship carry in or advanced learner loan contract for 2025 to 2026.

We publish both sets of allocations data annually in the interests of transparency.

6. Information: Update to college financial handbook about special severance pay

We have updated the college financial handbook to reflect guidance issued by HM Treasury on 28 July 2025.

The updated guidance means there is no longer a requirement for colleges to seek DfE approval if a special severance payment is equivalent to 3 months’ salary or more, provided the payment is less than £50,000 (gross, before income tax or other deductions).

In addition, the threshold for prior DfE approval of exit packages, dependent on earnings, has been increased to apply to employees earning over £174,000 (previously £150,000).

We have also updated guidance on the use of confidentiality clauses. The changes relate to paragraphs 5.9 to 5.12 of the handbook.

Other thresholds remain unchanged.

7. Information: Updated list of T Level qualifications, learning aim references and end dates

We have updated the T Level and transition programme cost weightings and funding bands 2025 to 2026 workbook.

The workbook reflects the updates to funding and occupational specialisms announced in September 2025.

This includes the learning aim reference for the new project delivery for construction and the built environment occupational specialism which was ready for delivery from September 2025.

8. Reminder: Submit your final Individualised Learning Record return

The deadline to submit your final Individualised Learning Record (ILR) return (R14) is on or before 6pm Thursday 23 October 2025.

We strongly encourage providers to submit their data as early as possible.

Early submission allows us time for validation and make any necessary corrections, helping to ensure data quality and support timely funding reconciliation.

To complete your return, log in via submit learner data.