Part of the debate – in the Senedd at 3:45 pm on 21 November 2018.
Despite these financial constraints, the rising demand for further education and lifelong learning opportunities has been noticeable, as it should be. It's part of the Welsh Government's strategy to upskill our economy, and to do so, they indicate to us, to equip our citizens with the skills they'll need to be successful in a modern economy. Yet, the truth is the funding and vision have not been forthcoming. I mention vision for a very specific reason. It's clear that over recent years there hasn't been the strategic leadership and road map for what the Welsh Government actually wants to achieve. We have soundbites and we have statements, but we are still waiting for something long term and tangible that delivers strategy to embed colleges and further education into the heart of economic planning and policy. At present, this simply is not the case and this is what the sector wants and needs.
Sometimes, the only remedy is more money, but on other occasions and in some sectors what is also needed and often not provided is clarity of purpose, clarity of direction, and leadership. In so many areas of public life, the Welsh Government has singularly failed to do this. I think we can sum up our approach to further education in Wales as being stuck in a catch-22 situation. We need the economy to be better and more productive with higher wages and skills. How do we do that? By focusing on lifelong learning and upskilling and high-quality vocational education. How do we get there? The last part is left open, because, as yet, I don't believe the Welsh Government has decided, nor is it clear in its mind what it wants, despite myriad reviews and evidence on which road map is the way forward.
So, our motion today aims to reflect the importance that we believe this Parliament and the Government should place on further education. Firstly, there has been a substantial cut to the amount further education receives. Ultimately, the Labour Party is in Government here in Wales, this is a devolved field, and it has to take some form of responsibility for those political decisions it has taken. Of course, money is tight, but there are ways of finding extra money. In 2016, we as a party were the only party to have a five-year budget plan independently assessed by Professor Gerry Holtham, who determined that Plaid Cymru's plan to identify over £600 million of savings per year in the Welsh budget was reasonable. We were able to put forward these plans because we were ambitious about reforming our Government.
So, there are always choices to be made. We made a choice with the Welsh Government in recent budget agreements to find extra money for FE. The Government requested that the college sector became less financially reliant on the Welsh Government, and that is something that they were able to achieve, going from a financial reliance of around two thirds from the block grant to just over half. There are decisions and actions that can be taken.
The college sector has demonstrated this by becoming more financially efficient, but the flexibility is not being stretched to the limit. The problem is compounded by the complicated funding formula—which now, as Plaid shadow Minister, I'm getting to grips with—and the disparate and myriad pots of money, funding streams and programmes that run through the sector. Some people in the sector have told me that, compared to what is now a far simpler formula for HE, the FE sector is in need of a long-term overhaul.
Whilst Government funding has been cut, the FE sector has been asked to deliver a wider range of services and to be more central in delivering on upskilling and productivity. We welcome this, FE colleges are well placed to do this. But, the question remains: how much can be feasibly and effectively delivered when factoring in increased demand and fewer resources? Many of the actions from the Welsh Government's employability plan will fall upon the FE sector. As stated in the plan,
'Achieving the objectives within this Plan will require a co-ordinated and focused effort across the employability network. This requires partnership between Welsh Government, UK Government...Local Authorities, Universities, Further Education colleges' and so on.
'This effort will need to embrace flexibility and innovation whilst retaining a relentless focus on improvement and results.'