Colleges shake-up programme a success, report claims
A major shake-up of Scotland's colleges has been hailed as a success after delivering annual savings of more than £50 million.
A major shake-up of Scotland's colleges has been hailed as a success after delivering annual savings of more than £50 million.
The Scottish Funding Council (SFC), the public body that distributes funding to colleges, said its review had also found evidence of better outcomes for students since the Scottish Government reforms between 2012 and 2013.
SFC concluded the aims and expected benefits of college mergers, which reduced the number from 43 to 25 between 2010 and 2016, "have been, or are in the process of being, achieved".
A report said: "Overall, the implementation and outcome of the merger programme has been a success, though we recognise that some colleges are still addressing particular challenges of merger, including financial and operational issues."
The organisation said the annual recurring savings across nine of the merged colleges was £52.2 million in June compared to a delivery cost of £69.6 million, meaning the original costs were covered in less than a year and a half.
However, the figures do not include Edinburgh College, which is facing "ongoing financial challenges".
The majority of savings came from staff cuts as well as savings in administration and IT.
SFC concluded the mergers were not the primary factor in a 1.9% drop in performance for students enrolled in full-time further education in 2014-15.
"Colleges have indicated that it is likely that the reasons for the increases and decreases are independent of the merger programme," it said.
The organisation also said it had updated its guidance on severance schemes after failings identified at North Glasgow College and Coatbridge College.
"We concluded that we did not set out in enough detail the governance requirements associated with severance arrangements, expecting that the colleges would refer to our other published guidance on severance."
Other issues identified in the report were the impact on staff during the mergers and the scale of the challenge in integrating IT systems.
John Kemp, SFC interim chief executive, said the report showed the reforms had "successfully transformed the landscape for colleges in Scotland, creating something that will be better for students and employers".
Shona Struthers, chief executive of Colleges Scotland, said: "Post-merger colleges are delivering benefits - significantly in driving positive and improved outcomes for students, integrating curriculum and a better landscape for the delivery of skills.
"It is particularly encouraging that it highlights progress such as much more effective engagement with employers and schools by colleges since the reorganisation of the sector.
"The context within which the mergers were implemented was complex. The college sector, however, is not complacent and we acknowledge that there are still areas where further work is required."
Larry Flanagan, general secretary of the EIS, said: "The regionalisation and mergers programmes were touted as a means of delivering a leaner, more efficient Further Education sector which would reduce duplication and deliver so-called efficiency savings, but without having a negative impact on high-quality learning and teaching in colleges.
"Unfortunately, the experience for students and staff has been very different with cuts to staffing, course provision and places, as well as reductions in student support over the past few years."
Shirley-Anne Somerville, minister for further, higher education and science, said: "This government has a strong track record on colleges, having maintained full-time equivalent college places, increased the number of full-time students under the age of 25 by 14% and increased full-time students over 25 at colleges by 26%, as well as investing over £550 million in college estates, all since 2007.
"The report highlights an overall and recurring annual saving of £52.2 million as a result of the merger programme against a one-off cost of delivering the merger which was £69.6 million.
"This report rightly highlights that overall merged colleges are delivering efficiencies and benefits of scale, and they have been able to ensure the development of stronger and more effective students' associations, making sure the students experience is the best it can possibly be."