Recommendation 56

Colleges face significant challenges due to limited and short-term capital funding. Whilst recent allocations have addressed urgent maintenance needs, the lack of sustained capital investment prevents long-term improvements. The £300 million allocated for 2025–26 is insufficient given the scale of need across thousands of college buildings. Furthermore, access to capital funding is inequitable, with specialist colleges and sixth form colleges often being excluded from capital funding streams. Without ongoing and increased investment across the sector, colleges and other providers risk falling behind in providing modern, industry-aligned facilities which are essential for skills development and for delivering the ambitions of the Government’s Industrial Strategy. (Conclusion, Paragraph 211)