Source · Select Committees · Public Accounts Committee
Recommendation 11
11
Rejected
DfE emphasised the importance of the FE Skills Index as its key measure of the...
Conclusion
DfE emphasised the importance of the FE Skills Index as its key measure of the impact of the FE system on productivity. The Index works by estimating the ‘value added’ for all adult learners and apprentices in England who have successfully completed their training during the year. DfE calculates the Index by measuring changes in the number of learners and in achievement rates, and shifts in the mix of learning towards more (or less) ‘economically valuable’ training in terms of learners’ subsequent wages. DfE explained that it regarded the Index as a critical measure because it took account of not just the number of learners on each programme, but also the outcomes people could expect to gain as a result of their training.14
Government Response Summary
The department advises against using the FE Skills Index as a sole indicator to measure performance and believes that stipulating an arbitrary target level of improvement for this index would not be a valuable measure of performance and could create issues about achievability.
Government Response
Rejected
HM Government
Rejected
2.2 The department advises against using the FE Skills Index as a sole indicator to measure performance. The department publishes the FE Skills Index annually – estimating how the economic value added by the 19+ FE and Skills system changes over time. 2.3 This is influenced by a range of factors including the number of achievements at different levels and in different subjects, and their associated earnings returns. It is not intended to be a timely measure for evaluating specific policy changes. The department believes that stipulating an arbitrary target level of improvement for this index would not be a valuable measure of performance and could create issues about achievability.