Popular level 3 qualifications, including 44 BTECs, that were facing the scrap heap have been given a stay of execution – meaning schools will now be able to tell students what courses they can offer from September.
Ministers will allow 70 per cent of the courses earmarked for defunding to continue up to 2027.
It ends months of uncertainty and is a departure from the previous government, which wanted to clear the decks and axe qualifications that could rival T-levels from this year.
In its outcome for a much-anticipated “short review” of level 3 qualifications, the government confirmed 157 qualifications that were up for the chop will be retained for a time.
There are 57 qualifications in digital, construction and health and science that will now be funded until July 2026.
A further 100 qualifications in engineering, agriculture, business and creative will retain their funding until July 2027.
But plans to defund 94 courses that were due to be defunded this year and next will still go ahead.
The amnesty includes many popular applied general qualifications, such as BTECs. Download the full list here.
In addition, previously proposed funding rules limiting how schools and colleges can combine qualifications and piece together study programmes have been dropped.
Skills minister Jacqui Smith said: “This government is committed to the long-term delivery of T Levels as the best quality technical education option for young people.
“Qualifications are not one-size-fits-all, and we recognise we must take a pragmatic approach. Our ambitious programme must meet the needs of employers and our public services if we are to see our economy flourish.
“We took decisive action as soon as we came into government to ensure the best outcomes for learners and I am thankful to all those who contributed to the pause and review.”
Colleges and schools have been unable to tell prospective students what level 3 courses will be available in September 2025 until now.
It confirms a shift, first revealed by skills minister Jacqui Smith writing for FE Week, that courses overlapping T Levels will retain funding. The previous government insisted on removing funding from overlapping qualifications in the face of significant sector opposition.
Bill Watkin, chief executive of the Sixth Form Colleges Association, which leads the Protect Student Choice campaign, said: “We are pleased the campaign’s recommendation not to introduce constraints on combining different types and sizes of qualification will be implemented.”
He added that 13 of the 21 applied general qualifications (AGQs) that the campaign identified as “being essential to retain, will be retained”.
“That means students will continue to benefit from BTEC and other qualifications in key subjects such as applied science, health and social care, IT, and engineering. Although these 13 AGQs (that account for 58,000 16 to 18 enrolments) are only being retained for a further year, we understand that many have a long-term future alongside A-levels and T Levels.”
Watkin added: “More broadly, there is now a clear recognition from ministers that A-levels and T Levels cannot be the only level 3 options available to young people. Today has brought a degree of certainty to the level 3 reform process, and we look forward to working with the government on the implementation of the plans set out today.”
Limited certainty
While ministers claim today’s announcement provide principals and students with some certainty, that might be short-lived.
Shadow education minister Neil O’Brien said: “The sector will heave a sigh of relief that today’s announcement is finally out. But this announcement leaves some huge unanswered questions.
“The minister says that things will be clear until 2027, which means we’ll be back here again in two years’ time. We had a pause and a review, we’re now going to have a longer pause and another review. At some point the government will have to decide.”
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