Guidance

2025 to 2026 academic year: 16 to 19 funding: maths and English condition of funding

Published 27 November 2024

Applies to England

Summary

Changes to the maths and English condition of funding guidance are being introduced in the 2025 to 2026 academic year, to enable all students to access support that leads to the best outcomes for them. In summary, these introduce a requirement for all students to be offered 100 hours each of English and maths teaching, to be delivered at any point in the academic year. This should be delivered as in person, whole class, stand-alone teaching. As planned, compliance against these requirements will be measured.

We are also asking institutions to continue their best efforts to deliver extra teaching time for maths, totalling 35 hours over the academic year, but compliance with this will not be measured. As planned, the tolerance is moving to 2.5%, but we will then keep it under review rather than move to 0% as previously announced. Please see the Updates for 2025 to 2026 section for more information.  

Context

Gaining level 2 skills in maths and English helps students realise their potential, and gives them the opportunity to progress in life, learning and work. The maths and English condition of funding ensures that 16 to 19 year olds on study programmes without grade 4 or above GCSE maths and English get support to improve their English and maths skills and make progress towards level 2.

The maths and English condition of funding is a study requirement, focused on supporting students to continue studying and improving their skills. We trust teachers and institutions to use the flexibilities available in this guidance to support each student in the most appropriate way. If a student wishes to re-take their level 2 English and/or maths exam, they should do so when they and their institution think they are ready.

Since the condition of funding was introduced, maths and English teachers have supported hundreds of thousands of 16 to 19 year olds to achieve level 2 English and maths. Our updates for the 2025 to 2026 academic year strengthen this support, by ensuring teachers have the right time and teaching conditions to maximise the value they add. They require students to be offered a minimum number of hours of stand-alone, whole class, in person teaching. We have also reduced the tolerance by which students may be opted out, to ensure more students have access to this support. See more details below in Updates for 2025 to 2026.

We recognise the importance of high quality teaching hours, which is why DfE provides fully funded CPD for English and maths teachers of level 2 and below. For more details, please see the Workforce Support section.

Condition of funding interactive tool

We recommend that you use our condition of funding interactive tool with this guidance. This interactive tool presents the maths and English condition of funding in a step-by-step, user-friendly way.

The condition of funding interactive tool will be available again once updates are made to ensure alignment with this guidance. Once available, it will provide a step-by-step, user-friendly explanation of the maths and English condition of funding to support institutions.

Updates for 2025 to 2026

We have amended the maths and English condition of funding as follows, to enable students to access support that leads to the best outcomes for them:

Minimum planned teaching hours for maths and English

For full-time students, the minimum planned teaching hours requirement is a total of 100 hours for maths and 100 hours for English, to be delivered at any point in the academic year. This requirement will be pro rata for part-time students – for those on programmes of up to 485 hours, this averages 84 hours per year for both maths and English.

The department previously announced this requirement as a minimum number of hours per week. We have changed this to a minimum number of hours across the academic year in response to sector feedback, so institutions can use their professional judgement to timetable the hours in a way that is most beneficial to them and their students.

The minimum teaching hours must be delivered as stand-alone, whole-class, in-person teaching. If institutions feel that students would benefit from any further support, such as small group tuition, embedded learning or online support, this should be delivered in addition to the minimum teaching hours.

Compliance with these requirements will be measured by data returns in the school census or Individualised Learner Record (ILR). Institutions’ returns will cover the number of hours planned for each student, not students’ attendance of them. Please see Recording minimum teaching hours in English and maths for further details.

Best efforts on extra hours for maths

We encourage institutions to offer an extra 35 hours of maths teaching for the 2025 to 2026 academic year, continuing their best efforts in delivering these. This is in addition to the minimum planned teaching hours, and equates to an extra hour of maths teaching each week for full-time students.

Compliance with these extra hours will not be measured, in recognition of sector feedback. However, institutions are expected to make best efforts to deliver them, given attainment rates for maths remain lower than those for English.

We will engage with the sector to understand the impacts of these extra maths hours and share best practice across the year. As this is outside the mandated hours, institutions have the flexibility to deliver these extra hours in a way that best suits their students.

Reduction of the tolerance

We apply a tolerance that permits institutions to opt out a certain proportion of their students from the maths and English condition of funding requirements. Above the permitted tolerance, we will apply funding reductions at half the national funding rate for every instance in which a student without a GCSE grade 9 to 4 in maths and/or English does not enrol on an approved qualification in these subjects, and where their planned hours for English and/or maths are below the minimum teaching hours.

As planned, we are implementing a reduction of the tolerance from 5% to 2.5% of institutions’ 16 to 19 cohort in the 2025 to 2026 academic year. This will impact funding allocations in the 2027 to 2028 academic year.

Setting the tolerance at 2.5% ensures as many students as possible get support for English and maths, whilst acknowledging that (despite institutions’ efforts) it may not be appropriate to deliver this support to every student - for example, those at risk of dropping out. Institutions should use their professional judgement to consider what support for English and maths is appropriate for students who have been opted out under the tolerance, and their exclusion from the condition of funding should be regularly reviewed.

We no longer plan to implement the full removal of the tolerance that we announced previously. Instead, we will continue to keep the level of the tolerance under review and engage the sector on the impact of our changes on students and institutions before committing to any future change. We will also share best practice on how institutions manage attendance issues for English and maths and consider these concerns as part of the government’s response to the Curriculum and Assessment Review.

Flexibilities for students with education, health and care (EHC) plans

To allow more students with EHC plans to continue to receive support for maths and English whilst remaining compliant with the condition of funding, there is a flexibility for institutions to deliver the minimum hours of teaching to them in an alternative format – for example, small group or embedded learning. This includes students with EHC plans on Supported Internships, who may struggle with the mode of delivery due to the unique format for this study programme. In line with the study programme guidance, institutions are encouraged to provide face to face support for students wherever possible.

Students with an EHC plan also continue to be eligible for an exemption from the whole of the maths and English condition of funding, where they are assessed as being unable to meet the requirements. Students who are exempted, in this or any other way, do not count towards the tolerance. In such circumstances, institutions should still offer support for English and maths at an appropriate level and mode of delivery for these students. Please see the Exemptions section below for more details.

Policy Detail

Students

Students must be supported to improve their maths and/or English skills as part of their 16 to 19 study programme or T Level in each academic year. This applies to students:

  • aged 16 to 18 (and 19 to 25 with an EHC plan) who do not hold a GCSE grade 9 to 4 (a level 2 pass grade) or equivalent qualification in these subjects, doing a programme of 150 hours or more, which started on or after 1 August 2014
  • aged 19+ who are continuing their 16 to 19 study programme or T Level

Qualifications

To meet the condition of funding, a student must study an approved qualification for the minimum teaching hours. These are GCSEs, Functional Skills level 2 and certain other qualifications, known as stepping stone qualifications.

Students should be supported to achieve the best outcomes for them, and we know they will come from different starting points. We expect institutions to use the flexibilities available in this guidance to support each student in the most appropriate way.

Full-time students who have a GCSE grade 3 must study towards a maths and/or English GCSE, as these students are those closest to achieving a pass at GCSE.

Part-time students with a GCSE grade 3 can study towards any qualification approved to meet the condition of funding, as a stepping stone towards achieving a GCSE grade 9 to 4.

Students who have a GCSE grade 2 or below can study towards a pass in Functional Skills level 2 or they can still study towards a GCSE grade 9 to 4.

For these students and part-time students, an institution and student may feel a ‘stepping stone’ qualification is more suitable at the beginning of their study programme, on their journey to studying a level 2 qualification. Please see the Demonstrating Progression for further details.

Once a student has achieved a level 2 qualification, there is no requirement to undertake further maths or English qualifications to meet the maths and English condition of funding.

If a student achieved a grade 4+ GCSE in either English literature or English language at Key Stage 4, there is no requirement to continue studying English as the condition of funding is met.

Stepping stone qualifications include:

  • Functional Skills at level 1 and below
  • ESOL qualifications
  • other qualifications that have been nominated by institutions and approved by the Department for Education

Qualifications that meet the condition have a validity record in the learning aim reference service (LARS) in either the category ‘EFACONFUNDMATHS’ or ‘EFACONFUNDENGLISH’.

Institutions must check the status of qualifications using find a learning aim before enrolling students, to ensure the qualification is approved and valid at the time of enrolment.

What students can and must study

Tables 1 and 2 show a summary of what qualifications students must study, with table 2 showing a breakdown of GCSE English language and GCSE English literature. If a student has a grade 4+ in either English literature or English language, there is no requirement to continue studying English since the condition of funding is met.

For the purpose of the condition, full-time and part-time hours are:

  • full-time: 580 hours or more for 16 to 17 year olds, or 485 hours or more for those aged 18 and older
  • part-time: between 150 and 579 hours for 16 to 17 year olds, and between 150 and 484 hours for those aged 18 and older

Table 1: What a student must study to meet the condition of funding

Student Programme What a student must study to meet the condition of funding
All students Short programmes (less than 150 hours) Condition of funding does not apply
GCSE grade 3 or overseas qualification at the equivalent grade Full-time GCSE
GCSE grade 3 or overseas qualification at the equivalent grade Part-time Any qualification approved to meet the condition for the minimum hours
GCSE grade 2 or below or overseas qualification at the equivalent grade or no GCSE Full-time or part-time Any qualification approved to meet the condition for the minimum hours. Functional Skills level 2 pass and GCSE 9 to 4 will meet the condition with no requirement to undertake further maths/ English qualifications
Overseas qualification GCSE grade 9 to 4 Full-time or part-time Exemption applies
EHC plan AND institution assessment that confirms they are not able to study either GCSE or stepping stone qualifications Full-time or part-time Exemption applies
EHC plan with NO assessment Full-time or part-time Any qualification approved to meet the condition for the minimum hours; the student is not exempt from the condition

Table 2: What a student can and must study

English language GCSE grade held English literature GCSE grade held What a student can and must study
9 to 4 9 to 4 Condition of funding met for English, no requirement to continue studying subject
9 to 4 3 or below or no grade Condition of funding met for English, no requirement to continue studying subject
3 or below or no grade 9 to 4 Condition of funding met for English, no requirement to continue study of subject
3 3 GCSE English language only for the minimum hours
3 2 or below or no grade GCSE English language only for the minimum hours
2 or below or no grade 3 Any qualification approved to meet the condition for the minimum hours. Functional Skills level 2 pass and GCSE English language 9 to 4 will meet the condition with no requirement to undertake further English qualifications
2 or below or no grade 2 or below or no grade Any qualification approved to meet the condition for the minimum hours. Functional Skills level 2 pass and GCSE 9 to 4 will meet the condition with no requirement to undertake further English qualifications

Level 3 qualifications

Institutions can teach a range of level 3 maths and English qualifications such as A levels and AS levels, core maths, and the International Baccalaureate (IB) as an alternative to GCSE when it is appropriate for the student.

Qualifying periods

Students must pass a qualifying period for each maths and English qualification before it counts. The qualifying period is:

  • 6 weeks for a qualification with a planned length of 24 weeks or more
  • 2 weeks for a qualification with a planned length of less than 24 weeks

Students withdrawing from their programme

A student still meets the condition of funding if they have studied the qualification for the qualifying period, even if they do not complete it.

If a student’s core aim was maths and/or English and the student withdraws from their whole programme, then we reduce funding through the retention factor. We explain this and core aims in programmes in the funding rates and formula guidance.

Notes on individual qualification types

International GCSEs no longer meet the condition of funding; however, they do continue to count as equivalent to GCSEs for the purposes of recognising prior attainment. Holding the International Certificate in Christian Education (ICCE) exempts a student from further study in maths and English. When students have achieved an ICCE, institutions can record an exemption for holding an overseas equivalent qualification.

Supporting students with SEND and those with EHC Plans

All students should be supported and given the opportunity to study English and maths wherever possible, given the benefits this brings. We expect institutions to use the options available for SEND students to tailor programmes to enable each student to improve in maths and/or English to the best of their ability. Institutions should recognise and record students’ progress and achievement.

When a student with SEND does not hold a GCSE grade 9 to 4 or equivalent qualification in maths and/or English, it is important they have every opportunity that others do to study and progress towards a level 2 English and/or maths qualification. There are a wide range of approved qualifications under the condition of funding that should enable this in most cases, from entry level upwards. Institutions should make every effort to enable students with SEND to study towards these valuable qualifications.

To allow more students with EHC plans to continue to receive support for maths and English under the condition of funding, there is a flexibility for institutions to deliver the minimum hours of teaching to them in an alternative format whilst remaining compliant with the condition of funding – for example, small group or embedded learning. This includes students with EHC plans on Supported Internships, who may struggle with the mode of delivery due to the unique format of this study programme. In line with the study programme guidance, institutions are encouraged to provide face to face support for students wherever possible.

Exemptions

There are 2 exemptions to the condition of funding:

  • students with special educational needs and/or disabilities (SEND) and an EHC plan, who are assessed as not able to study towards either GCSE, Functional Skills level 2 or stepping stone qualifications
  • students with overseas qualifications that are established as equivalent to GCSE grade 4 or above

Students exempted for either of the above reasons do not count towards an institution’s use of the tolerance.

Exemption for students with an EHC plan

There are a small number of SEND students with an EHC plan who are not able to study towards any qualifications. These students can be exempted from studying qualifications, but institutions should still include literacy and numeracy in their programme at an appropriate level and mode of delivery.

Institutions must consider all exemptions on a case-by-case basis. There is no blanket exemption for all students with EHC plans at an institution. Assessments for exemptions must be authorised by an appropriate professional in the institution, such as the head of SEND or student support. The assessment should be structured and documented. We do not expect to give further detailed advice on the format or on who should carry out the assessment. This is for institutions to decide. We will monitor exemptions from the data that institutions submit rather than on an individual basis.

Institutions should keep evidence that justifies their decision that a student is exempt. This information must be available to auditors appointed to test the use of ESFA funding and to Ofsted inspectors.

Exemption for students with overseas qualifications

Students who have studied in a country that does not provide GCSEs are potentially exempt from the condition of funding, where the overseas qualifications they hold are equivalent to GCSE grade 4 or above.

Institutions must get confirmation from the UK National Information Centre (ENIC) that the qualification is equivalent to GCSE grade 9 to 4. ENIC is responsible for providing information and opinion on academic, vocational and professional qualifications from across the world.

As well as confirmation from ENIC that an overseas qualification is equivalent to GCSE grade 4 or above, institutions must also ensure that the student possesses the necessary competence in maths and English to achieve their programme. If the student needs additional teaching or support to function on their programme, institutions must include it in the programme. This kind of activity is eligible for funding and institutions should include it in the planned hours.

Students who have achieved the ICCE do not have to study maths and English, as the ICCE is equivalent to a standard pass in maths and English. When students have achieved an ICCE, institutions can record an exemption for holding an overseas equivalent qualification. They do not have to get the equivalence certified by ENIC.

Qualifications counted as prior attainment

We treat some qualifications in maths, English language and English literature as equivalent to GCSE grade 9 to 4. This means that students who have studied in England or elsewhere who hold the following qualifications do not have to study maths and/or English to meet the condition of funding:

  • international GCSEs, regulated or unregulated, or equivalent level 1/level 2 certificates grade 9 to 4
  • GCSEs grade A* to C, obtained in Wales, including maths numeracy
  • GCSEs grade A* to C, obtained in Northern Ireland
  • Scottish Intermediate 2 certificates grade A to C
  • Scottish National 5 certificates grade A to C
  • Scottish Higher grade A to C
  • Scottish Advanced Higher grade A to C
  • Scottish National Certificate Unit (SCQF Level 6) only Communication at pass grade
  • international O levels grade A* to C
  • A and AS levels at any pass grade
  • full IB level 3 Diploma (LARS reference 50034157)
  • IB Middle Years Programme Certificates in maths and/or English at grade 3 or above
  • IB Certificate Level 3 Certificates in maths and/or English A at grade 3 and above
  • core maths qualifications at level 3

Guidance on student circumstances

19+ continuing students

The maths and English condition of funding applies to all 19+ continuing students. The first impact on 16 to 19 funding allocations will be in academic year 2027 to 2028.

Home educated students

A student who has previously been home educated and wishes to continue their education at a further education (FE) institution must comply with the condition of funding if they do not have a level 2 qualification in English and/or maths.

Students who speak limited English studying maths qualifications

A student who speaks limited English will still need to have maths in their programme, at a suitable level. Institutions could phase this into the programme as their ability in English improves. For example, a student could study an ESOL qualification in the first term and enrol on a maths qualification in the second term. However, over the course of a year the minimum hours will still need to be met per subject.

Students on short study programmes

To ensure that those who want to study short courses are not discouraged from doing so, there is flexibility for those on small part-time programmes of less than 150 planned hours. Students on these programmes do not have to study maths and English qualifications approved for the condition of funding. However, we expect institutions to include some maths and English content in programmes taken by such students to facilitate their learning.

Students achieving a GCSE or equivalent outside of their study programme

If a student achieves a GCSE grade 9 to 4 or a qualification deemed as equivalent by other means, then they will have met the condition of funding for the remainder of their programme. This also applies to students with prior attainment of GCSE grade 2 or below who pass Functional Skills level 2. Institutions must make sure that they update their data return with GCSE achievement grades or the Functional Skills code in the funding and monitoring (FAM) field, as appropriate, to tell us that the student has met the condition of funding.

Students on apprenticeship programmes

Students on apprenticeship programmes are not subject to the maths and English condition of funding. However, there are separate requirements in place to ensure all apprentices have achieved a good level of literacy and numeracy by the end of their apprenticeship to support their immediate and future career choices.

Students on T Levels

The condition of funding applies to all students starting T Levels and the T Level Foundation Year from the 2022 to 2023 academic year, in the same way as it does to students on other 16 to 19 study programmes.

Students on Supported Internships

Students on Supported Internships are not automatically exempt from the condition of funding.

Institutions can use their discretion on the mode of delivery requirements for students with EHC plans on an internship, so they can remain under the condition of funding and continue to benefit from it.

Students on an internship meet the criteria to be exempted if they hold an EHC plan and are assessed as being unable to study towards a stepping stone qualification, Functional Skills Qualification or GCSE for the minimum number of hours. Students on Supported Internships with an exemption should still be studying maths and English at an appropriate level and mode of delivery.

Recording minimum teaching hours in maths and English

From the 2025 to 2026 academic year, to ensure compliance with the new minimum hours and mode of delivery requirements in the maths and English condition of funding, institutions will be asked to submit relevant data through the ILR or the school census.

Table 3: the minimum teaching hours for English and maths by funding bands

16 to 19 funding bands1 (study programmes excluding T Levels) Annual planned hours2 Minimum hours for the Band English (hrs per year ) Maths (hrs per year )
5 Full-time students (at least 580 hours) 580 100 100
4a Full-time students 485+ 485 84 70
4b Part-time students (485 to 579 hours) 485 84 70
3 Part-time students (385 to 484 hours) 385 66 56
2 Part-time students (300 to 384 hours) 300 52 43
1 Part-time (up to 299 hours) 299 52 43

For institutions that return the Individualised Learner Record (ILR)

Updates will follow for institutions on how to submit relevant data to the ILR.

For institutions that return the school census

For the school census, institutions must use the appropriate FAM types and codes for each student. Institutions must ensure that the data submitted reflects the teaching hours planned and timetabled for each relevant student for maths and English qualifications.

Updates will follow regarding which FAM types and codes institutions should use to record this data in the school census.

This data is only required for 16 to 19 students and 19 to 25 students with an EHC plan who do not already hold a GCSE grade 4 or above in maths and/or English (or equivalent).

A data return is not required for students who do not have a Level 2 qualification as described in the maths and English condition of funding guidance, but are not studying an eligible qualification as they may be covered either by exemptions or the tolerance. We are implementing a reduction of the tolerance from 5% to 2.5% in the academic year 2025 to 2026. This will impact funding allocations in the 2027 to 2028 academic year.

Institutions do not have to make a return for students that have already achieved a GCSE grade 4 in English and/or maths who may be continuing to study these subjects to improve their grade.

Table 4 shows examples of the maths and English status of students and whether institutions are required to confirm delivery of minimum hours via the mode of delivery or not.

Student maths and English status Required to confirm delivery of minimum hours and mode of delivery or not
Doesn’t hold a GCSE grade 9 to 4 (a standard pass grade) or equivalent qualification in CoF compliant qualification(s) Yes
Doesn’t hold a GCSE grade 9 to 4 (a standard pass grade) or equivalent qualification isn’t undertaking a relevant CoF compliant qualification No
Holds a GCSE grade 9 to 4 (a standard pass grade) or equivalent qualification in maths and English No
Holds below grade 3 in GCSE and holds a FSQ Level 2 pass in the relevant subject(s) No
Exempt from the condition of funding for both subjects No
Condition of funding doesn’t apply No

How to record students when they achieve in year

In instances where a student studying under the condition of funding achieves Level 2 during the academic year, we do not expect the institution to amend their record confirming delivery of minimum hours or not. As the hours for either or both subjects are included in total planned hours, for these students, institutions should retain the planned hours and replace the hours previously for teaching English and/or maths with alternative activity such as work experience or pastoral support.

Implication of minimum teaching hours in English and maths on calculating compliance

Prior to the 2025 to 2026 academic year, non-compliant students were those without a GCSE grade 9 to 4 in maths and/or English who did not enrol in an approved qualification in these subjects.

From the 2025 to 2026 academic year, there will be additional requirements to be compliant: students without a GCSE grade 9 to 4 in maths and/or English will be required to be enrolled in approved qualifications, and their planned hours for English and maths must meet the minimum teaching hours via the required mode of delivery.

Students recorded as enrolled in an approved qualification but whose planned hours for the subject are below the minimum teaching hours, or do not comply with the required mode of delivery - or where the planned hours meet the minimum, but the qualification is not eligible - will be included in the maths and English condition of funding calculation as non-compliant.

For further details on penalties associated with non-compliance, including adjustments to the tolerance thresholds, please refer to the section on Applying a tolerance to allocations.

Recording and monitoring of exemptions and prior attainment

Institutions must record exemptions in their data returns so that we do not withdraw funding. It is also good practice for institutions to note exemptions in their own records.

There is no need to inform ESFA that a student is out of scope for the maths and English condition of funding because they are studying for less than 150 hours in the academic year.

ILR returns use FAM codes to show when a student qualifies for one of two exemptions. The same FAM field shows when the student meets the condition of funding by holding a UK qualification or by studying maths/English at another institution.

School census returns use a set of letter codes to record the same information.

Table 5: ILR FAM and school census codes

ILR FAM code School census code
Learner is exempt from GCSE maths/English condition of funding due to a learning difficulty ECF (English condition of funding)/MCF (maths condition of funding) 1 L (the same code is used in the English and maths fields)
Learner is exempt from the condition of funding as they hold an equivalent overseas qualification ECF/MCF 2 O
Learner has met the condition of funding as they hold an equivalent UK qualification ECF/MCF 3 U
Learner has met the condition of funding by undertaking/completing a valid maths/English GCSE or equivalent qualification at another institution through collaboration with the home institution ECF/MCF 4 No code available

Collaboration between institutions to ensure students are meeting the maths and English condition of funding

When institutions collaborate to deliver maths and/or English, one institution must be responsible for claiming funding for a student’s whole programme, and making sure that they meet the condition of funding. Institutions must avoid enrolling and claiming funding for part of a student’s programme.

However, in a small number of cases, students study for maths and/or English with another institution. In these circumstances, the home institution must make sure that students meet the condition of funding.

For institutions that return the ILR

To avoid being penalised for students not meeting the condition of funding, institutions must use the FAM code ECF/MCF 4. Institutions must only use this code when students are studying maths and/or English qualifications at another institution.

For institutions that return the school census

The school census does not have the capacity to show that students are studying maths and/or English qualifications at another institution. Therefore, schools must submit a business case for an adjustment to their funding after they have received their allocation statement.

The business case must include this information:

  • the number of students who have studied or retaken a maths and/or English qualification at another institution (we do not need individual student data such as unique pupil numbers (UPNs) and names)
  • the name of the other institution(s) where they have studied
  • the maths and/or English qualifications studied
  • a statement that collaboration has taken place with brief details
  • accounting officer confirmation that the information is correct

Audit and inspection

Institutions will be subject to a risk-based compliance audit to ensure that the data submitted for maths and English planned hours and prior attainment and the evidence for exemptions is sound. Ofsted inspections will establish that students are on the most suitable study programme and that any exemptions from studying maths and English are appropriate.

Institutions must ensure that they keep adequate evidence when they apply either of the two exemptions. We will monitor how institutions use exemptions.

Applying a tolerance to allocations

We will apply funding reductions for non-compliance with the condition of funding to institutions where more than 2.5% of students (calculated by value) without a GCSE grade 9 to 4 in maths and/or English did not enrol on approved qualifications, and their planned hours for English and maths are below the minimum teaching hours. The funding reductions for these institutions will be at half the national funding rate above the tolerance.

Table 6 shows a when the reduction of the tolerance will affect an institution’s allocations

Academic year Tolerance Allocations
2025 to 2026 2.5% affects 2027 to 2028

Funding deduction calculation example

In 2025 to 2026, as part of reduction of the tolerance, we will apply funding reductions to institutions above a tolerance of 2.5% of total students (calculated by value) for students who do not meet the condition of funding. We will identify non-compliant students as those without a GCSE grade 9 to 4 in maths and/or English that did not enrol on an approved qualifications in these subjects and their planned hours for English and maths are below the minimum teaching hours. A student recorded as enrolled on an approved qualification but with planned hours for the subjects below the minimum teaching hours and vice versa will be calculated as non-compliant.

We will remove funding for these institutions for each student above the tolerance level at half the national funding rate. We calculate the 2.5% tolerance by determining the value of the non-compliant students and expressing this as a percentage of the total value of all students. The value for a student is the national rate for their funding band.

The funding reductions for these institutions will be at half the national funding rate above the tolerance.

The below example shows the calculation of the funding reduction for the academic year 2027 to 2028, which will be based on data from the 2025 to 2026 academic year. For students who are non-compliant above the tolerance, we will remove funding at a reduced rate of 50% of the 2025 to 2026 national funding rate for the band. We will only remove funding above the 2.5% tolerance.

Stage 1

To calculate the value of non-compliance (E), we multiplied the number of non-compliant students from end year 2025 to 2026 data (C) by the appropriate national funding rate (A) according to their total planned hours. We calculated values for students in the 0 to 279 band as a proportion of the full-time national rate based on their total planned hours divided by 640.

Stage 2

To calculate the total value of 2025 to 2026 students (D), we multiplied the total number of students in each band (B) by the appropriate national funding rate (A). We used the data from the final return of the ILR or the autumn census for the 2025 to 2026 academic year.

Table 7

In Table 7, the value of non-compliant students (E) is £768,223; the value of all students (D) is £9,393,907. This is non-compliance of 8.18%.

The national rate figures shown are for illustrative purpose only based on 2022 to 2023 rates.

A B C D (B x A) E (C x A)
16 to 19 funding band National rate 2025 to 2026 total students per band 2025 to 2026 non-compliant students4 National rate per student: value of all students National rate per student value of non-22/23 compliant students
Full-time students (at least 580 hours) £4,542 1,207 94 £5,482,194 £426,948
Full-time students 485+ £3,757 88 27 £330,616 £101,439
Part-time students (485 to 579 hours) £3,757 765 45 £2,874,105 £169,065
Part-time students (385 to 484 hours) £3,056 124 21 £378,944 £64,176
Part-time students (300 to 384 hours) £2,416 60 1 £144,960 £2,416
Part-time (up to 299 hours) £4,542 132 3 N/A N/A
Part-time (up to 299 hours) – FTE £4,542 40.31 0.92 £183,088 £4,178.64
    2,376 191 £9,393,907 £768,223

Stage 3

We calculated 2.5% of the total value for all students at the national funding rate (D) to calculate the financial value of the tolerance (F). The tolerance is then discounted from (E) the condition of funding reduction to calculate the in-scope reduction (G). We calculate the final reduction (H) taking 50% of (G) of the in-scope reduction.

Table 8

F G H
2.5% of 2025 to 2026 national rate per student funding (D x 2.5%) Non-compliant students total less 2.5% (E - F) Final condition of funding removal at 50% (G x 50%)
(£9,393,907 x 2.5%) = £234,848 (£768,886 - £234,848) = £534,038 (£534,038 x 50%) = £267,019

In this example, the tolerance (F) is £234,848, the reduction in-scope (G) is £298,527, and the final reduction is £267,019. If the value of non-compliant students in this example was less than £234,848, the institution would have no withdrawal of funding.

Demonstrating Progression

Students should be supported to achieve the best outcomes for them, and we know that students will come from different starting points.

Institutions must be able to demonstrate progression for students enrolled on maths and/or English qualifications. In most cases, we expect that it will be appropriate for students to study for a qualification at a higher level than they have already attained.

For example, a student with prior attainment of a GCSE grade 1 to 3 has already achieved a level 1 qualification so should be enrolled on a Functional Skills level 2 or a GCSE. Equally, a student studying an ESOL qualification in their first year of study should be supported to then enrol on a non-ESOL English qualification when the institution and student feel they are ready.

Stepping stone qualifications are available for those students who have achieved a GCSE grade 2 who are deemed not yet ready to continue studying to a level 2 qualification and may need this time to advance their learning.

When a student is studying for a qualification at the same level as a previous achievement, institutions must make evidenced based judgements of why that qualification is the best choice for the student.

English and maths progress measures

When we previously published these measures, they showed how much progress students who did not achieve a grade 4 or above in English or maths GCSE at key stage 4 made between their key stage 4 GCSE result and any retakes they did in English or maths GCSE or equivalent at 16 to 18.

We are not currently able to produce these progress measures, following a decision taken by the previous government. There is further information in the 16 to 18 accountability measures technical guidance.

We will return to producing the English and maths progress measure as soon as possible, which will be for the cohort of students completing 16 to 18 study in the 2024 to 2025 academic year at the earliest.

Other useful information

Resources

We are updating an interactive tool for the school census to help users to understand how the condition of funding works within the census. Once available, it will provide specific examples of how to check qualifications that do not meet the condition of funding and the impact this will have when institutions include non-compliant or out-of-date qualifications.

When schools and academies return the autumn census, which includes the post-16 module, 2 reports on the condition of funding are available through COLLECT (one for the current funding year and one for the previous year). We have published guidance on the reports.

The Funding Information System (FIS) will help FE institutions validate their ILR data. The reports available through FIS give the maths and English status of every student, showing whether they have achieved at least a GCSE grade 4 (or grade C) in each subject and whether they are currently studying for a valid qualification in the subject. The reports also show those students recorded as exempt from the condition of funding.

Workforce support

We recognise the importance of continuous professional development (CPD) and welcome college and school leaders’ support to ensure that English and maths teachers have the time for, and draw on, high-quality, evidence-based CPD.

The department has provided fully funded CPD for English and maths teachers of level 2 and below, via procured institutions. For participating institutions, this is intended to supplement, not replace, what college and school leaders routinely draw on and provide themselves. Additional support can be accessed through the maths hub programme, who are developing mastery specialists for further education.

Enquiries

If you have any queries on the maths and English condition of funding, visit our Customer Help Portal