Institutions offering education to students aged 16-19 receive bursary funds from the ESFA for distribution to provide financial support to help students to overcome financial barriers to participation in education.
There are two types of bursary:
- Vulnerable bursary - to be dispersed to defined 'vulnerable' groups (up to £1,200 can be awarded to each eligible student)
- Discretionary bursary - to be awarded based on internal policies but also taking into account the funding rules set out by the ESFA.
Examples of costs for which the bursary is intended to be used for include; cost of travel to and from school or college, purchase of essential books, equipment, or specialist clothing (such as protective overalls, for example) that are required for their study programme.
Common pitfalls with compliance
There are some common pitfalls where institutions may not be compliant with the funding rules. These include:
- Failing to assess actual needs i.e. not making flat/fixed payments but instead making payments based upon the actual cost of overcoming relevant financial barriers to participation.
- Using the funds to support non education costs, for example living costs, extra-curricular or non-compulsory activities and provision of learning support services such as counselling, mentoring or tutoring.
- Lack of clear policy setting out the eligibility criteria used for the discretionary bursary.
- Evidence of household income not being retained and lack of evidence generally regarding assessments of financial need
The ESFA have published this useful checklist which should be used when assessing applications which should help to avoid these pitfalls.
Areas of opportunity
There are also some areas of opportunity which may help to ensure that funds can be fully dispersed. Uses of the funding which are often overlooked include:
- Emergency meal support in cases of severe hardship. In these cases, a record of the number of students supported in this way, the number of days support is given, the financial value of the support given along with the rationale for meal support and receipts to support the expenditure.
- 5% of the discretionary bursary funding can be used for administration costs in relation to the 16-19 Bursary Fund.
- Institutions are permitted to carry forward funds to the next academic year, however any funds which are not dispersed by the end of the next academic year must be returned to the ESFA, therefore understanding the Funding rules is important in ensuring that the Bursary Funds are dispersed efficiently and effectively.
The next step
If your school requires support with best practices going forward, please get in touch with Jack Wilkinson on jack.wilkinson@uhy-uk.com, or your usual UHY academy adviser.
