Purpose

Approval was sought to allocate and enter into Grant Funding Agreements for Construction Industry Placement funding to six West Yorkshire Further Education colleges for delivery during the 2026/27 academic year and to approve indicative allocations for 2027/28 and 2028/29.

Construction Industry Placements are a core element of the Department for Education's Construction Skills Package and form part of the Integrated Settlement. The programme supports learners undertaking specific Level 2 and Level 3 construction qualifications over 360 guided learning hours for learners aged 16+, by providing meaningful workplace experience with construction employers.

The funding will increase the availability of industry placements across West Yorkshire, support employer engagement, strengthen learner progression into employment and address skills shortages within the construction sector. The programme directly contributes to the priorities set out in the Adult Skills Plan and Local Growth Plan, particularly those relating to housing, retrofit, infrastructure and economic growth.

The Combined Authority has received £3.068 million through the Integrated Settlement for delivery across the three-year period to March 2029. This decision relates to the approval of Year 1 allocations and associated grant funding arrangements.

Decision

This decision authorises the issue of Construction Industry Placement funding to:
• Bradford College
• Calderdale College
• Heart of Yorkshire Education Group
• Kirklees College
• Leeds College of Building
• Luminate Education Group
via existing grant funding arrangements.

Total programme funding of £3,068,331 has been secured through the Integrated Settlement across three years, supporting the delivery of 3,420 industry placements. Year 1 funding of £866,258 will be allocated directly to colleges for placement delivery and regional coordination activity.

Leeds College of Building, in its role as the Construction Technical Excellence College (CTEC) for Yorkshire and Humber, will undertake additional regional coordination activity, including employer engagement, collaboration between partners, dissemination of best practice and promotion of programme outcomes.

Consultation was undertaken with the six West Yorkshire FE colleges in June 2026 to understand current delivery challenges, assess capacity and identify opportunities to increase the number of industry placements. Colleges identified opportunities for enhanced employer support, additional learner support, particularly for learners with SEND, and increased staffing capacity to facilitate placement delivery.

The proposals were assessed against programme eligibility requirements and delivery targets established through the Department for Education and Integrated Settlement framework. Internal consultation has taken place with Legal, Finance and Commercial colleagues, who have reviewed the
proposal and confirmed that appropriate controls, grant arrangements and performance management arrangements can be put in place.

Future allocations for 2027/28 and 2028/29 are indicative and subject to performance and availability of funding. Delivery will be monitored through the Adult Skills Fund Performance Management Framework.

Alternative options considered

Option 1 - Direct Grant Funding Without Regional Coordination.
This option involved providing direct grant funding to colleges without funding Leeds College of Building's regional coordination role. Whilst simpler administratively, it was not preferred because it reduced opportunities for regional collaboration, sharing best practice, coordinated employer engagement and sector wide development.

Option 2 - Single Lead Provider Model.
This option involved appointing a lead organisation to manage all funding and subcontract delivery. Whilst it offered a single point of accountability, it was rejected because it would increase mobilisation times, create subcontracting risks, reduce college ownership and potentially jeopardise delivery against Integrated Settlement targets.

Approved Option - The preferred approach is direct grant funding to the six West Yorkshire colleges, supported by regional coordination through Leeds College of Building as the Construction Technical Excellence College. This approach provides the best balance of speed, quality, collaboration, risk management and value for money while maximising the likelihood of achieving delivery targets.