Are Education exports slowing?

Last August I wrote a piece on this blog about UK Education’s contribution to the export drive under the title ‘Buy British Education’. This followed a research report from the DfE. https://johnohowson.wordpress.com/2017/08/04/buy-british-education/

Recently, the DfE has updated the figures to include those for 2015. https://www.gov.uk/government/statistics/uk-revenue-from-education-related-exports-and-tne-activity-2015 This remains a good news story for UKplc. Our higher education sector accounts for two thirds of the revenue stream in 2015, up from 60% in 2010. Further Education, presumably following the crackdown on colleges and visa infringements, has seen a two thirds drop in income to around £320 million. It had been looking in 2010 as if the FE sector would break the Billion pound barrier.

Happily, the independent school sector has increased income by 44% between 2010 and 2015, and brought in some £900 million in 2015.How they might be affected if further sanctions on are imposed on Russia is an interesting question. Despite a fall in income generated between 2010 and 2015, Language schools still brought in nearly £700 million more than independent schools.

As I predicted last summer, publishing is now being affected as the marketplace adaptation to new technologies gathers pace. Although income has increased by six per cent between 20-10 and 2015, that figure looks derisory compared with achievements elsewhere.  Qualification Awarding Bodies did exceptionally well, increasing revenue by 73% over the period between 2010 and 2015, and brought in £250 million that year.

Taken overall, total education exports and transnational educational activity that earned revenue for the UK saw a 22% growth in revenue between 2010 and 2015 to reach £19,330,000,000.

Of course, all the income flows aren’t in one direction and it would be interesting to assess how much net contribution education makes to UKplc after cash flows in the other direction are taken into account. During the period 2010-2015 that great British institution, the TES, was bought by an American Group and if were it making profits they would presumably be flowing overseas along with some of the company’s contribution to its debt pile.

TeachVac, the company where I am chairman, hope to start making a modest contribution to these export figures through www.teachvacglobal.com our recruitment site for international schools. As it is based in England, our income can be regarded as part of the export drive.

However, there are some worrying signs behinds the headline numbers. The DfE point out in the latest Bulletin that between 2014 and 2015 total education exports and TNE activity grew by 3.0%, 1.7 percentage points lower than the rate of growth seen between 2013 and 2014. This reflects the slightly lower growth rate in total education related exports which grew at 2.4% between 2014 and 2015, compared to 4.4% in the previous year.

We must now await the outcome of the UK’s departure from the EU to see whether or not it affects income, especially fee and research income received from overseas by our universities. Perhaps, if overseas students had been excluded from the immigration figures, some who voted leave might have felt differently about the referendum: or perhaps not.

Schools’ Costs

At the beginning of February the DfE published a note to help the School Teachers’ Review Body (the STRB) and other interested parties understand about costs for schools in England at the national level over the period2018-19 to 2019-20. You can read the document at https://www.gov.uk/government/publications/schools-costs-technical-note

Many school leaders and governing bodies will find the DfE’s analysis reads like something created in a parallel universe. Core funding over the two year period the DfE states is to increase at 3.1%, slightly ahead of government predictions of inflation at a predicted 2.9% over the same period. If these percentages turned out to be correct, then schools overall would find budgets under less pressure than expected. However, the DfE’s analysis doesn’t take into account any variations to local government pension schemes rates for employers, as they were not known at the time the technical note was put together. The analysis cannot also prejudge what the STRB will do about pay rates for teachers as a group. Will they hold the line or recognise the recruitment challenges schools in some parts of the country are facing and the system as a whole is facing in trying to entice graduates to train as teachers in some subjects.

The DfE also helpfully comment in their technical note that their high level analysis indicates that if the 25% of schools spending the highest amounts on each category of non-staff expenditure were instead spending at the level of the rest, this would save these schools an aggregate £1 billion that could be spent on improving teaching.

As regular readers of this blog know, TeachVac www.teachvac.co.uk was conceived for this very same reason to offer a free recruitment platform for schools that would create savings from recruitment in order to support expenditure on teaching and learning.  We know that TeachVac is saving schools money now, just as the DfE’s own vacancy scheme will if it ever becomes an effective player in the recruitment market.

By 2019-20 the DfE sees academies as bearing the brunt of the cumulative net pressures as a result of the growth in pupil numbers and the fall in protection payments. The maintained sector will have to cope with the effects of local authorities retaining schools block funding for Education Support Grant (ESG) general rate duties over the three year period.

These figures act as a warning to the remaining maintained schools considering becoming academies. They need to consider the financial situation very carefully in the context of their own situation as well as these national figures to see whether they would be better or worse off.

The fact that the DfE has also apparently written to MATs and MACs where the chief officer earns more than £150,000 asking for a justification of the salary is also interesting. I heard one suggestion, not supported by the person making it, that these high salaries were the price the system paid for school leaders taking on the leadership of failing schools. A more insulting argument to the teachers and other staff working in these schools is difficult to envisage.

Might we perhaps be moving away from basic market economics and back to a negotiated national system of pay and conditions there are many that would welcome the better cost control such discipline would bring back into the system. However, the basic rules of supply and demand will always be difficult to ignore.

 

 

Most trainees teach close to where they train: no surprise there

Last week the DfE published the fourth in their series of publications about teacher supply. Entitled, ‘Analysis of teacher supply, retention and mobility’ it can be accessed at https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/682892/SFR11_2018_Main_Text.pdf Like the three earlier publications, it takes the School Workforce Census and the ITT Performance Profiles as the main sources for its data. As the authors make clear, this publication ‘aims to generate new insights, be an accessible resource to stimulate debate, improve the public understanding of our data, and generate ideas for further research, rather than to provide authoritative answers to research questions.’ (page2).

Much of the ground the document covers will come as no great surprise to those familiar with this field. However, there is a welcome aspect to this series of documents showing after many years of official neglect and even disinterest that these concerns are now finding more favour with the DfE as part of understanding the issues around the labour market for teachers. However, as our own TeachVac’s recent report into turnover of school leaders in the primary sector during 2017 shows, there remains much more work to be undertaken before the labour market can be fully understood.

Key features of the analysis by the DfE are that post ITT employment rates stand at 85% for the latest cohort where data is available, up from 75% for the 2009/10 cohort. However, the DfE still cannot count entrants into the independent sector; FE or Sixth Form Colleges so probably around 90% of postgraduates may enter some form of teaching after qualification.

Perhaps, not surprisingly, SCITTS have higher employment rates than HEIs. I suspect this is because more HEI trainees are likely to end up in teaching posts not covered by the DfE methodology and SCITT can offer teaching posts directly to their trainees. The existence employment outside the state funded school sector is given extra credence by the low outcomes on the employment measure for some pre-1992 Universities with only trainees in secondary ITT subjects.

Also, of no surprise given the distribution of ITT places, especially in the primary sector, is the fact that the North West region has the lowest outcomes for employment and the East of England the highest. A higher percentage of primary trainees end up in the state sector than do secondary trainees, again not really a surprise.

Most trainees start to teach close to where they train and then are more likely only to move locally. This means that many teachers may spend their careers in the same region. In 2015, possibly because of less competition from returners and a great number of vacancies than in 2010, a year during the recession, the distance travelled by new entrants was shorter. Young male graduates from HEIs were likely to move further than trainees from SCITTs.

Interestingly, teachers were more likely to move to schools with the lowest two Ofsted grades. This may be because such schools might shed staff after an inspection creating more vacancies than in schools with better ratings.  Overall, a part time female primary teacher has a 94.7% chance of moving 50 kilometres or less compared with 82.1% for a full-time male secondary teacher. Again, this is probably not surprising given that the former may have a stake in a community and a partner with employment locally. Their choice may be between either a local job or no job, whereas a male secondary teacher may be motivated to choose on a wider set of criteria including type of school and salary on offer.

The DfE conducted some interviews as a part of this work and recruitment difficulties featured as more of a concern than retention, with great concern over some secondary subjects: again, probably no great surprise.

Along with the recent work by NfER in the field of teacher retention, this study is worth reading and although the DfE support the value of a national teacher supply model, as indeed I do, there may be some benefit in evaluating whether some regional rebalancing of teacher preparation places might be appropriate.

However, if trainees cannot be recruited then, however, good the modelling, the outcome will always be that some schools will be unable to recruit the teachers they need and deserve. With rising pupil numbers driving demand for teachers, any shortfall in recruitment into training is eventually likely to affect school and pupil outcomes.

On Thursday, the next set of UCAS data on recruitment to training for 2018 will be published. The data will be watched closely and reported on this blog.

 

A National Vacancy Service

Tomorrow, the DfE is holding a meeting to brief recruiters about its plans around a service publishing vacancies for teachers and school leaders. In the light of the demise of Carillion, is this new service a move based upon foresight by officials of the need to protect services from private sector enterprises or a belief that State operated services can do the job cheaper than private companies?  This is an important issue, since there are many in the government and among its supporters that see nationally operated services, of the type a vacancy service would presumably offer, as little more than a return to recreating nationalised industries.

At this point I must declare an interest for new readers of this blog. Some years ago, I helped form TeachVac to provide a free national vacancy service for teachers and for schools to save money on recruitment advertising, through the use of modern technology to bring together schools with vacancies and those looking to apply for such posts. TeachVac www.teachvac.co.uk and its offshoot for international schools, TeachVac Global, www.teachvacglobal.com are now the largest since source for teaching posts in England and can help to attract teachers back to work in England. All at no cost to the public purse.

TeachVac also had the added bonus, of providing real time information on the labour market: something the DfE will no doubt also want to play up about their service. This week, TeachVac will have already a recorded record number new vacancies for teachers and school leaders since schools returned from holiday just over a week ago.

As I pointed out recently in the blog post about business studies teacher recruitment – blink and they are gone – a large proportion of vacancies recorded so far in 2018 are in and around London. As of yesterday, 58% of recorded vacancies in 2018 were from schools in London; the East of England or the South East with just 32% located in the other six regions. The percentage was the same for both vacancies in the primary and secondary sectors.

Is this because these areas are seeing the fastest growth in pupil numbers and are already adding new vacancies in expectation of their growing rolls? Is it because teachers in these areas are leaving in larger numbers. TeachVac Global is certainly seeing interest from teachers wanting to consider working overseas. Is it because these schools feel the new National Funding Formula doesn’t hurt as much as it could have done and they now feel more confident on their spending for 2018/19? There are other ways of answering these questions: TeachVac at least points out what to ask.

TeachVac will shortly be publishing two reports on aspects of the teacher labour market during 2017. One reviews primary school leadership and the other considers main scale vacancies in the secondary sector across England. Details of the cost and how to obtain them will be available on the TeachVac web site. As a free service, TeachVac is happy to discuss data provision for teacher trainers, schools, MATs, diocese, local authorities or indeed anyone interested in labour market real time data on teacher vacancies.

 

Requiem Collegium

So the long journey for teacher recruitment, training and development has finally come full circle. From the establishment of CATE (the Council for the Accreditation of Teacher Education) and creation of the TASC unit (originally, Teaching as a Second Career- Lucy Kellaway please note this is not a new idea) in the 1980s, to the brave new world of the Teacher Training Agency (TTA) as an NDPB or Quango in the 1990s and then its successor the TDA, through to the NCTL and the return to being an executive agency of the Department in 2012 (with a Chair but no board), to the final announcement of the re-absorption of teacher responsibilities, except regulation, back into what I assume will be the Teacher’s Branch or Unit of the DfE, the  journey has led us finally back where we started.

In practice, the latest change probably won’t really make much of a difference and, even at its height, the TTA didn’t manage all teacher recruitment programmes. For many years, employment-based routes and the short-lived Fast Track Scheme were outside their remint. Teach First has always operated on a different set of governance rules in relation to the DfE. Ministers will now be directly accountable for the success or otherwise of the annual teacher recruitment campaign and the presentation of data about recruitment. Once the writing was on the wall for the General Teaching Council in England, the return of all teacher matters into the Department was probably only a matter of time.

As a one time employee of the Teacher Training Agency, and a long-time monitor of the working of teacher supply, will I shed any tears over the latest announcement: probably not. There are fashions in government delivery mechanisms, as in so many other areas of life, and the trend has been for simpler and more direct reporting arrangements over the past few years.

If I have a concern about the announcement, it is over the responsibility for professional development and the articulation of what a teacher can expect in developing their careers during a working life of 40 years. It is general knowledge that preparation courses of all types in no way cover everything a teacher needs to know to undertake the basic work of a professional successfully.

To move to new levels and different responsibilities needs more development, alongside the general changes caused by both research outcomes and the march of technology, let alone changes in society. The College of Teaching, when it is fully successful will play an important role, but the Department, with its access to the purse strings, must create policy. It could start with ensuring there is adequate preparation for primary leadership across the country. The dual academy and local authority system of governance, complicated as it is by the extra layer in the primary sector of diocesan schools, needs much more careful monitoring and attention than it has generally received over the past few years in respect of this key development priority.

So long as civil servants continue to take advice and discuss with others the approach to the recruitment, training and development of the teaching profession this move won’t harm the profession. But, it is worth reflecting why the journey was commenced more than 30 years ago.

 

School Recruitment Service Mark 2 announced

Yesterday, at the Public Accounts Committee, a senior civil servant announced the date for the DfE’s latest foray into the world of teacher recruitment. The DfE’s version of a vacancy service will go on trial in the spring. Over the past two months, I have written a couple of posts about the development of this service, first mooted in the 2016 White Paper and then, somewhat surprisingly, rating a mention in the 2017 Conservative General Election Manifesto. In the meantime, the DfE has been quietly beavering away designing their service.

With political backing of this nature, such an idea wasn’t going to be ditched easily, unlike the plans to offer middle leaders to struggling schools, unceremoniously dumped this time last year. So, I am not surprised by the latest announcement.

As regular readers will know, I chair TeachVac, http://www.teachvac.co.uk the free service for schools and teachers that has been up and running for the past four years with no government aid and is now the largest platform by number of vacancies for teacher vacancies in England. More recently TeachVac has expanded to handle vacancies in international schools around the world through TeachVac Global www.teachvacglobal.com

As TeachVac is free to everyone using it is England, competition from the DfE doesn’t both us; although I do wonder about the size of the DfE’s budget that will be needed to ensure the new product doesn’t follow the route to oblivion of the School Recruitment Service that was established and then scrapped a decade ago. Perhaps someone could ask a PQ or submit an FOI to find out how much money they aim to spend on marketing the trial next spring?

For paid providers of recruitment services, whether, either just vacancy advertisements or through recruitment services and teacher placements, the threat to their profits is more real. You only have to look through the accounts posted on the web site of Companies House to see how valuable teacher recruitment has been over the past few years and why the government might have wanted to offer an olive branch to schools by providing a free service at this time so many schools are strapped for cash.

As I pointed out when starting TeachVac, such a service, like TeachVac, also helps satisfy the National Audit Office’s remarks about the lack of data available to the DfE about the teacher labour market. What they will do with the data they will obtain we won’t know until 2020 at the earliest, as 2019 will be the first full year they will be able to obtain data for a whole recruitment cycle. However, by then Ministers won’t be able to fall back on just the data from the School Workforce Census.

TeachVac, now covers all schools state funded and private – I wonder whether the DfE will offer their service to the private sector – as it does with access to the Teachers’ Pension Scheme – or restrict it only to state-funded schools thus offering a lifeline to paid services.

I will post more when I have read the transcript of yesterday’s Public Account Committee hearing where the announcement was made.

Nationalise teacher recruitment?

Does the Prime Minister’s speech to the CBI Conference this morning leave us any the wiser about the future for a DfE managed teacher vacancy service? Since there were several mentions of education and in particular T Levels and higher education in the speech, I assume the DfE, and The Secretary of State’s Private Office in particular, will have seen a copy of the speech or even watched the recording on YouTube, assuming that they weren’t following it live as it was delivered.

The Prime Minster was, as you might have expected, looking to the future while at the same time reminding her audience of past successes, including the first industrial revolution and the number of Nobel Prize winners Britain has produced. Here are some of the phrases she used during her speech; ‘back innovation’; ‘support business people’; Invest in key public services’ and ‘deploy infrastructure for the long-term’.

She also said that there were choices to be made and government must learn from past failures. I am sure after the failure of both the Fast Track Scheme and the School Recruitment Service the DfE has been learning from the past. Dumping the scheme to provide middle leaders for challenging schools a year ago also showed a willingness not to take on schemes that won’t work. Indeed, as Yorkshire was one of the regions that scheme was aimed at, it is interesting to read the account in the Yorkshire Post of the success of the teacher recruitment programme run in Bradford over the past three years, although it does seem to have been a tad expensive.

So, should the DfE set up in competition with the free market? The TES, eteach, The Guardian and indeed TeachVac have been doing a good job matching schools offering jobs with teachers seeking vacancies. The TES embraced new technology and the internet almost two decades ago and eteach has always been an on-line platform.

TeachVac created new technology to develop into what is now the largest free site for teaching vacancies in England.

So, is there a place for government in this market place? You might argue that government can operate for the long run. But, the TES has been serving the market for more than 100 years and the others are not fly by night organisations. You might argue that a DfE led service would provide the government with better data about the labour market for teachers than they have had in the past and that’s difficult to deny, but they could obtain that for other providers at less cost.

You might also argue that the DfE can offer the service cheaper than the private sector, but with TeachVac already offering a free service to schools that is a difficult argument to sustain.

The Prime minster talked about government working in partnership with the private sector, even so it is difficult to understand why the DfE has chosen a company with little knowledge of the intricacies of the teacher labour market to undertake their initial work on the vacancy project. No doubt this is something the Public Accounts Committee can explore when they question the DfE on recruitment and retention.

TeachVac has demonstrated that the use of new and innovative technology can drive down the price of teacher recruitment: should the government of the private sector take the rewards?

 

 

 

A National Vacancy Service for Teachers?

The DfE’s explanation of their aim for a national vacancy service mentioned in yesterday’s blog may have partly been provoked by the following parliamentary question answered on the 13th October.

Gloria De Piero: To ask the Secretary of State for Education, when the free national teacher vacancy website announced in the March 2016 White Paper Educational Excellence Everywhere will be operational. 

Nick Gibb: The Department is undertaking user research with head teachers, school business managers and recruitment staff and established, returning, aspiring and newly qualified teachers, to strengthen its understanding of the issues schools face when advertising teacher vacancies and the challenges teachers have finding and applying for jobs. It is using this to inform the development and design of a new national teacher vacancy service. We are currently at an early stage of prototyping the new service and testing to ensure the service design is one that best meets the needs of users. Depending on the outcome of this development phase, we would expect to start building a service early in 2018. 

Any teacher vacancy service will aim to reduce the time schools spend on publishing vacancies and the cost of recruiting new teachers; make it easier for aspiring and current teachers to find jobs quickly and easily; and increase the availability and quality of data on teacher recruitment.

So, who might be the winners and losers if the DfE does eventually go ahead with a national vacancy service? Much depends upon the structure and take-up of such a service, and it is too early to tell exactly what it might look like. However, assume a free full service model something like TeachVac already provides, but possibly with a few more bells and whistles in terms of handling applications, offering schools facilities for internal short-listing and the handling of references between schools.

Existing paid for vacancy platforms would either have to win the contract, assuming that the DfE puts the service out to tender; possibly at a much lower income than at present, or try to compete with free to schools government service. That scenario has happened in the past when the School Recruitment Service was launched in around 2009. However, the DfE seems to have learnt something from its past mistakes and will presumably be prepared to back any new service more effectively. Nevertheless, as ever, the issue remains as to whether the DfE service can persuade job seekers to come on-board and use the service as their main source of vacancy information or whether schools will continue to use other services, including paid for platforms?.

There is another issue if the government runs the service and that is access to the data collected. At present, the DfE has little management information on the working of the teacher labour market in real-time. A national vacancy service would change that situation, as we know for the data we collect at TeachVac. Indeed, it is one of the reasons for establishing such a service.

Will the teacher associations, the NGA, teacher educators and others with an interest in this area be willing to cede total control over the data to the government?

An alternative model would be for either some joint arrangements between all the interested parties and the DfE or just among the interested parties that train and recruit teachers. They have access to the teachers and trainee and could operate a ‘not for profit’ model at least as cost effectively as the DfE because they are already more commercially minded than the civil servants in Sanctuary Buildings.

 

Can you trust the data?

How often do government departments have to reissue press notices? Following intervention from the Office for Statistics Regulation, the DfE have been placed in that position. The OSR letter can be read at
https://www.statisticsauthority.gov.uk/wp-content/uploads/2017/09/DfE-statistics-Ed-Humpherson-to-Mike-Jones.pdf The revised press notice and the other issue about MAT transfers raised by OSR concern matters dear to the policy objectives of Ministers, so any potentially misleading data are of concern.

However, the DfE statisticians also have to battle with others that don’t always provide data that is of top quality. As reported in an earlier post, about local authority expenditure per pupil, there are a couple of local authorities in one table in that Statistical First Release where the data must be suspect because of the reported level: it both cases, way too low.

Then there is the case of under-reporting by schools in areas such as fixed term exclusions and more specifically for the number of pupils placed on reduced timetables, but not excluded. This is an area where more work is needed to discover what is actually happening, not least in the academy sector. This work is important because of the potential safeguarding aspect.

Local authorities and the local Safeguarding Board may not be in full possession of the facts if academies do not fully report to the DfE. It would be a simple change to add to the funding letter that academies are required to report all statistics via the local authority where they are located unless the Regional School Commissioner has explicitly provided for an alternative system that is as rigorous. At present, this is an issue with one part of the dual system not working as well as the other and creating potential risks for young people.

At least these days, as with the re-issued DfE Press notice mistakes can be rectified when noticed. In the former days before the internet such mistakes could become set in stone. One of my first communications with government was to point out that pupil teacher ratios provided in a written parliamentary answer and reported in Hansard were wrong. I think the first local authority in the list missed the PTR and was allocated that of the next by mistake. It wasn’t picked up before printing and went into the record. An error notice appeared later, but who checks written PQs for later revisions? Nobody, I would hazard a guess. As a result, anyone using that data source would have inaccurate data. It doesn’t matter now, but might have then. One year, the Department had to re-issue a whole Statistical Volume because of the number of printer’s errors.

Today, the record can be set straight quickly and easily, even if the original error is retained as well.

Statistics are important as a source of information under-pinning decision making and debate, hence the need for accuracy. The question of management information that is separate from statistics is one that has always interested me. In some areas, such as the labour market for teachers, I have always believed up to the minute information is important to spot changes in trends as early as possible. However, this data is often in a raw state and not 100% accurate. Where to draw the line between management information and statistics is an interesting and ever changing debate as technology provides ever more exciting tools for data collection and analysis.

A new Teacher Supply index from the DfE

Hot on the heels of yesterday’s report form the National Audit Office comes the DfE’s Analysis of school and teacher level factors relating to teacher supply. https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/643974/SFR86_2017_Main_Text.pdf

So hot off the press that the early on-line version still had formatting errors in the table of contents. There is now far more statistical information around about the teacher labour market than at any time since the 1980s although most is about teachers and we need more on leadership turnover. However, as in the 1980s, it is still largely statistics and not management information that is available from the DfE.

I have sent the last forty years, ever since I began counting head teacher turnover in the early 1980s, arguing that management information, what is happening in the labour market now, is at least as important and in some case more important than what happened in the past. This is especially important when trends are changing. If the relaxation of the pay cap attracts more teachers to remain or return in the 2018 recruitment cycle for September 2018 vacancies then we should not have to wait until spring 2019 to discover that fact when the results of the 2018 School Workforce Census will first appear; too late to influence recruitment in 2019.

TeachVac, the free national vacancy service was created to cut the cost of recruitment to schools in a period of austerity, but also to develop tools in real time that the DfE has provided historical data about in today’s report. If for 2017, the DfE publishes the outcome of the ITT census in line with the information in Figures 2.1-2.3 of today’s report, then TeachVac can translate that data into an analysis of the 2018 recruitment round and provide guidance to schools on the local labour market.

The lack of complete data in the School Workforce Census of 2016 from almost a third of secondary schools in London must raise issues with the quality of the data for the capital. TeachVac records more secondary vacancies in London than elsewhere. TeachVac has the data to update the DfE’s supply index for the 2018 recruitment round as a further reams of verification. The supply index needs to take into account future pupil growth and the effects of major policy changes such as the introduction of a National Funding formula and changes to the Pupil Premium. Not to do so makes it less of a policy tool and more of a historical record of what has been happened. In creating TeachVac, the decision was that there was a need for information in real time. That said, the factors identified are not by themselves a surprise, what matters is the need to be aware of what is happening now. The tools are available, as TeachVac has demonstrated, the DfE should not shy away from recognising that now local authorities cannot as easily provide information to all local schools there is a need for someone else to be able to do so. The focus should switch from a statistical unit to one that handles both statistics and management information.