AELP backs new ESFA financial handbook for independent training providers

The Association of Employment and Learning Providers has backed the new financial handbook for independent training providers, which has been published by the Education and Skills Funding Agency today.

The ESFA launched a financial handbook for ITPs on 28 February 2024 and will become effective from 1 August 2024. The handbook aims to support ITPs with financial management and governance by setting out good practice and through requiring or recommending specific arrangements to be in place. It has been recognised that a single approach for the whole sector would not work given the diversity of the ITP market. As a result, the handbook categorises ITPs based on the level of direct funding they receive each year from DfE / ESFA.

AELP strongly encourages its members to find out more about the handbook and how it applies through:

A recorded webinar by ESFA
A letter sent to the sector by the CEO Chief Executive David Withey
The complete handbook which can be found on GOV.UK here.

AELP will also be holding a webinar which will explore the handbook with members in more depth on 8 April 2024.

Ben Rowland, AELP Chief Executive said:

“I’m delighted to see the ESFA publish the financial handbook which sets out good practice for Independent Training Providers. AELP has been working closely with the ESFA to develop this handbook with the aim of making requirements clearer for providers. For most ITPs, the requirements laid out in the new handbook will already be a feature of what they do already and builds upon our own Good Governance Guide published in 2018. However, the handbook should formalise expectations while also giving more clarity to the sector.
“I’m particularly pleased that – following extensive lobbying from AELP – the handbook acknowledges the need for proportionality, so that requirements are tapered based on ESFA income. Moving away from a one-size fits all approach is welcome and a sensible change of direction on policy implementation which will mean the smallest providers are completely exempt.”

The Association of Employment and Learning Providers (AELP) is a national membership body, proudly representing its many member organisations. AELP members support thousands of businesses and millions of learners in England by delivering a wide range of training, vocational learning, and employability programmes.

For further information or interviews please contact Matt Strong, Communications Manager, AELP, on 07920 161685 or [email protected]