HC Deb 11 December 2001 vol 376 cc822-3W
Mr. Chaytor

To ask the Secretary of State for Education and Skills if she will list each college of further education subject to a recovery plan, together with the allocation to each college from the Learning and Skills Council standards fund; and if she will make a statement. [19618]

Margaret Hodge

[holding answer 10 December 2001]: Information about colleges that are subject to a recovery plan is commercially sensitive and confidential between the individual colleges and the LSC. We are unable to release this information as it may adversely affect individual colleges' ability to attract new, non-government funded, business and may also adversely affect the colleges' ability to attract new learners. This would increase problems at the individual college. Not supplying this sensitive information is in accordance with Part 2 of the Code of Practice on Access to Government Information.

Mr. Chaytor

To ask the Secretary of State for Education and Skills if she will list(a) the criteria used for categorising the financial health of further education colleges and (b) the number of colleges, in each of the last five financial years, in each of the categories; and if she will indicate which existing colleges are in category C. [19909]

Margaret Hodge

[holding answer 10 December 2001]: The financial health of further education colleges is assessed by the Learning and Skills Council (LSC) as falling into one of three categories:

Group A comprises providers that appear to have sufficiently robust finances to implement their strategic plan and to deal with the circumstances most likely to occur during the planning period.

Group B comprises providers that show signs of financial weakness that might limit their ability to implement their strategic plan if they encounter adverse circumstances during the planning period.

Group C comprises providers that are financially weak and that are, or may become, dependent on the goodwill of others. This might involve, for example, a loan from their bank for solvency purposes.

The number of colleges in each of the categories in each of the last five years is as follows:

Year1 Group A Group B Group C
1996 206 148 93
1997 197 151 96
1998 213 142 80
1999 242 124 65
2000 242 102 69

1Source:

Colleges' audited financial statements

Information about colleges in category C is commercially sensitive and is confidential between the LSC and colleges. We are unable to supply the information as doing so may adversely affect individual colleges' ability to attract new, non-government funded, business and may also adversely affect the colleges' ability to attract new learners. This would increase the financial pressure on the colleges. Not supplying this sensitive information is also in accordance with Part 2 of the Code of Practice on Access to Government Information.