Changes to funding approval principles and processes for 2023 to 2024
The changes we have made to our approval principles and process for the funding year 2023 to 2024.
Rollover is the process by which we continue the funded offer in a current funding year into the next funding year or subsequent funding years.
Rollover of 2022 to 2023 offer into 2023 to 2024
If a qualification was part of a funded offer in 2022 to 2023 in the list of approved qualifications published on 21 February 2023, it remains available in that same offer for 2023 to 2024, as long as:
- it had a funding approval end date of 31 July 2023, the final day of the 2022 to 2023 funding year.
- it had an operational end date after 1 August 2023, the first day of the 2023 to 2024 funding year, as published in Ofqual’s Register on 21 February 2023
- it is not a qualification in scope to have funding approval withdrawn on 31 July 2023 – for example, some non-GCSE or functional skills qualifications English and maths qualifications at level 1 or 2 and level 2 in the 16 to 19 offer only
Rollover of 2023 to 2024 offer into 2024 to 2025, and 2025 to 2026
Qualifications approved for the following publicly funded offers will be in scope for this rollover process:
- 14 to 16
- 16 to 19
- ESFA funded AEB local flexibility offer
- level 2 and level 3 statutory entitlement
- English and maths statutory entitlement
- digital statutory entitlement
- advanced learner loans
- level 3 free courses for jobs
In November 2023, we will begin the process to confirm which qualifications approved for 2023 to 2024 will continue into the next 2 funding years, 2024 to 2025 and 2025 to 2026, at the following levels:
- entry level
- level 1
- level 4 to 6 (non-advanced learner loan offers only)
Qualifications continuing to be approved will have a funding approval end date of 31 July 2026.
In November 2023, we will also begin the process to confirm which qualifications approved for 2023 to 2024, will continue into the next funding year, 2024 to 2025, at the following levels:
- level 2
- level 3
- level 4 to 6 qualifications (advanced learner loans only)
Qualifications continuing to be approved will have a funding approval end date of 31 July 2025.
Level 2 and 3 qualifications will be continued for one year only because they are in scope of the 2025 to 2026 funding approval process for new reformed qualifications.
Level 4 to 6 qualifications in the advanced learner loans offer will be continued for one year only due to the introduction of the lifelong loan entitlement.
We will confirm which level 2 and level 3 qualifications have been approved for funding in 2025 to 2026 in:
- May 2024 for level 3 qualifications
- July 2024 for level 2 qualifications
This process will include:
- the addition of new reformed qualification at level 2 and level 3, which will be approved for funding until 31 July 2028
- the removal of funding approval from 1 August 2025, from existing qualifications at level 2 and level 3, in certain sector subject areas, where those qualifications align with the routes and qualification categories being considered in the first funding approval cycle for 2025 to 2026
- the continuation of funding approval for non-reformed level 2 and level 3 qualifications, not covered by point 1 and 2 above, into 2025 to 2026, which will be approved for funding until 31 July 2026
November 2023 rollover process
For the November 2023 rollover process, to confirm a qualification currently approved for funding can be continued into 2024 to 2025 only or into 2024 to 2025 and 2025 to 2026, we will require the following information:
- funding approval end dates in the DfE’s list of qualifications approved for funding that is available on Tuesday 24 October 2023 - only qualifications with a funding approval end date of 31 July 2024 will be eligible to be continued into 2024 to 2025 or 2025 to 2026
- qualification operational end dates in the Ofqual’s register of regulated qualifications available on Tuesday 24 October 2023 - only qualifications with an operational end date of 1 August 2024 or later will be eligible to be continued into 2024 to 2025, and only qualifications with an operational end date of 1 August 2025 or later will be eligible to be continued into 2025 to 2026
If qualifications have an operational end date earlier than those indicated above when we take our download of the published version of Ofqual’s register of regulated qualifications available on Tuesday 24 October 2023, we will not extend that qualification’s funding approval into the funding year 2024 to 2025 or 2025 to 2026.
Awarding organisations may wish to review operational end dates on Ofqual’s register if they want qualifications to be in scope for funding approval in 2024 to 2025 and 2025 to 2026. Awarding organisations must do this and make the appropriate changes in Ofqual’s register by Monday 23 October 2023.
We will use the Ofqual portal and sector representatives’ newsletters to communicate this. We will not use ESFA Update because this publication is for providers of education and training.
We will publish outcomes on our list of qualifications approved for funding before 31 December 2023.
The same outcomes will be published on Find a learning aim in the spring as usual. In the interim, awarding organisations can inform their providers which funding offer has been continued for their qualifications, and can direct providers to search our list of qualifications approved for funding for confirmation of funding approval in 2024 to 2025 and 2025 to 2026.
In spring 2024, we will inform awarding organisations of the information we will need for the May and July 2024 processes to continue funding approval for non-reformed level 2 and level 3 qualifications into 2025 to 2026.
The process to add cycle 1 new reformed qualification at level 2 and level 3 to the 2025 to 2026 offer is covered in the 2025 to 2026 funding approval manual.
Future funding approval cycles
August 2023
Once the August 2023 funding approval completes, as previously announced in the transition to the 2025 to 2026 funding approval process, we will move to termly funding approval cycles.
November 2023
The next funding approval cycle will be November 2023. The deadline for receipt of funding approval applications for this cycle is 23 October 2023.
Qualifications approved for funding during this cycle will be approved until 31 July 2025, unless there is a reason to apply a shorter funding approval end date.
In this and in all future funding approval cycles, we will not consider moratorium exemption type 3 submissions for level 2 and level 3 qualifications in some sector subject areas. Read Changes affecting the moratorium.
We will publish the outcomes of this process on our list of qualifications approved for funding and Find a learning aim before 31 December 2023.
This cycle will run in parallel to the rollover of the 2023 to 2024 offer into 2024 to 2025.
The cycle for November 2023 is the final funding approval cycle where you will be able to submit moratorium type 3 exemption requests in some sector subject areas. Read Changes affecting the moratorium.
March 2024
We will run a further funding approval cycle in March 2024. The deadline for us to receive funding approval applications for this cycle is 19 February 2024.
Qualifications approved for funding during this cycle will be approved until 31 July 2025, unless there is a reason to apply a shorter funding approval end date.
In this and in all future funding approval cycles, we will not consider moratorium exemption type 4 submitted for level 2 and level 3 qualifications in some sector subject areas. Read Changes affecting the moratorium.
We will publish the outcomes of this process on our list of qualifications approved for funding and Find a learning aim before 30 March 2024.
The cycle for March 2024 is the final funding approval cycle where you will be able to submit moratorium type 4 exemption requests in some sector subject areas. Read Changes affecting the moratorium.
Resetting operational end dates
For 2023 to 2024 we will monitor if an awarding organisation sets a qualification’s operational end date within the 2023 to 2024 funding year for rollover then sets it back to be 31 July 2023 or earlier. We will consider if we will end funding approval for that qualification in all offers on this newest operational end date.
If we do this. awarding organisations will have no further opportunity to extend funding approval for that qualification, and funding approval in the year 2023 to 2024 will be lost.
We will apply this principle to subsequent funding years.
Replacement qualifications
When we approve new qualifications that are replacements or updated versions of existing qualifications already approved in an offer covered by this guidance (including as moratorium type 4 exemptions), we will apply a funding approval end date for the existing qualification. This will be 2 months after we publish details of the new qualification, unless:
- you have set an earlier operational end date in Ofqual’s register for the existing qualification
- the new qualification has an operational start date that is more than 2 months in the future at the point we consider it for funding approval
Similar content to qualifications with removed funding approval
We continue to retain the common approval principle that we will not approve a new qualification for funding in any offer if it has the same or similar content as a qualification that has already had funding approval removed or will have funding approval removed.
From 2023 to 2024, changes to the existing funding approval process will begin. These will reflect the fact that qualifications at certain levels and in certain sector subject areas are being reviewed as part of the 2025 to 2026 qualification funding approval process.
From 2023 to 2024, exemptions to the moratorium will be approved on a ‘termly basis’. Moratorium exemption requests will not be accepted for type 3 and type 4 qualifications at level 2 and level 3 in the sector subject areas where qualifications are being reviewed as part of the 2025 to 2026 qualification funding approval process.
This means that moratorium type 3 and type 4 exemption applications will not be accepted after 23 October 2023 (November 2023 funding approval cycle) and 20 February 2024 (March 2024 funding approval cycle) respectively, for level 3 qualifications in the following sector subject areas:
- ICT user
- ICT practitioner
- child development and wellbeing
- teaching and lecturing
- direct learning support
- health and social care
- science
- medicine and dentistry
- nursing and subjects and vocations allied to medicine
- building and construction
- engineering
Moratorium type 3 and type 4 exemption requests will not be accepted after 23 October 2023 (November 2023 funding approval cycle) and 24 February 2024 (March 2024 Funding approval cycle) respectively, for level 2 qualifications in the following sector subject areas:
- child development and wellbeing
- health and social care
- science
- medicine and dentistry
- nursing and subjects and vocations allied to medicine
- building and construction
- engineering
We will continue not to accept exemptions for new qualifications that are similar to those that have had funding approval removed or we have announced will have funding approval removed. This will also reflect the fact that qualifications which overlap with wave 1 and 2 T Levels will have funding approval removed for 16 to 19 from 1 August 2024.
We have again updated the criteria for moratorium exemption type 3 for new qualifications that are designed to respond to a particular economic need. This is to help awarding organisations to determine if their qualification can meet the criteria.
We will continue to approve only new qualifications in sectors which are a government priority, where they meet the updated criteria and where there is not already sufficient provision in that sector. T Levels will now be considered to offer sufficient provision in sectors that they cover and will therefore be considered as part of the assessment of provision.
Changes affecting specific offers
14 to 16 and 16 to 19
We have removed the facility for individual academies to apply in exceptional circumstances to offer a course leading to a qualification that is not approved for funding in the 14 to 16 and the 16 to 19 offer. This was previously shown in Annex D of earlier funding approval manuals.
Qualifications at level 4 and above in the 16 to 19 offer
From 1 August 2024, DfE will only approve qualifications at level 4 and above in the 16 to 19 offer for students aged 18 and over. DfE is doing this because there are very low numbers of enrolments on the large number of these qualifications. This affects qualifications currently approved for funding in the 16 to 19 offer and any newly regulated qualifications that you ask DfE to consider.
European Social Fund
The European Social Fund programme for 2014 to 2020 in England will end on 31 December 2023. We are no longer considering requests to approve qualifications for the European Social Fund offer. This includes requests as part of exemptions to the moratorium.
Advanced learner loans
From 1 April 2024, there will a moratorium on new level 4 to 6 qualifications entering the advanced learner loans offer as part of the transition ahead of the introduction of the lifelong loan entitlement.
For qualifications which remain in scope to transition to the lifelong loan entitlement, and for any new qualification approved between January and April 2024, there will be 2 additional requirements:
- the qualification’s purpose and outcome statements must support student progression into employment and higher education and training
- there is clear employer endorsement for the qualification
Where the qualifications are technical in nature, we will work with IfATE to draw on their existing processes for approval and keep these under review.
Beyond these requirements, from January 2024, awarding organisations submitting new qualifications for advanced learner loans approval will need to meet these new criteria. The process for doing this is detailed in Step 2 of How to transfer qualifications funded in Advanced Learner Loans.
Awarding organisations with qualifications already approved for loans and in scope for transition to the lifelong loan entitlement, will need to evidence that their existing advanced learner loans approved qualifications meet these new criteria by 31 March 2024. The process for doing this is detailed in Step 3 of How to transfer qualifications funded in Advanced Learner Loans.
From 1 April 2024, there will be a moratorium on any new qualifications coming forward for advanced learner loans at levels 4 to 6, so that the offer remains stable in advance of the transition to the lifelong loan entitlement.
We will communicate more details on how the post moratorium gateway for new qualifications will operate by January 2024. Where new qualifications are technical in nature, our expectation is that IfATE will run an approvals process to ensure alignment with employer need and demand.