Guidance

FE capital funding

An overview of capital funding for post 16 education providers, the type of funding available, what it can be used for and when to apply.

Applies to England

Overview

We allocate funding to:

  • upgrade college estates which are in unsatisfactory condition
  • get specialist equipment
  • improve training facilities
  • create extra capacity to accommodate increases in 16 to 18 year old learners

Condition Improvement Fund

The Condition Improvement Fund (CIF) is an annual bidding round for eligible academies, sixth-form colleges and voluntary aided (VA) schools to apply for capital funding.

The priority for the fund is to address significant condition needs, keeping education provider buildings safe and in good working order. This includes funding projects to address:

  • health and safety issues
  • building compliance
  • poor building conditions

CIF also supports a small proportion of expansion projects. These are for academies, sixth-form colleges and VA schools rated good or outstanding by Ofsted that can demonstrate a need to expand.

Eligibility is confirmed each year when the new application round opens.

What funding is available

Budgets are confirmed on an annual basis.

The most recent funding round, CIF 2022 to 2023, provided funding of £498 million for 1,405 projects at 1,129 academies, sixth-form colleges and VA schools.

When to apply

The Condition Improvement Fund is currently closed for applications. We aim to launch the next bidding round in autumn 2022, subject to budget approval.

Sign up for Condition Improvement Fund alerts.

Previous funded projects

A list of projects funded in CIF 2022 to 2023 is available.

FE capital transformation programme

The further education (FE) capital transformation programme seeks to upgrade the FE college estate.

What funding is available

The FE capital transformation fund is providing £1.5 billion to colleges over 6 years ending in March 2026. To date, we have:

  • provided a formulaic allocation of £200 million in autumn 2020 to support colleges to carry out immediate remedial projects
  • identified 16 colleges with some of the worst condition sites in the country where we are working in partnership with the colleges to deliver their capital projects
  • announced 62 colleges, and 78 projects, that were successful in the bidding process which will receive funding of up to £405 million
  • announced a further 2 condition improvement projects where colleges are involved with the Education and Skills Funding Agency (ESFA) specialist restructuring

When to apply

The FE capital transformation fund is currently closed for applications.

The next stage of the programme will be announced in the autumn.

Sign up for FE capital transformation fund alerts.

Previous allocations

A list of successful applications at stage 2 of bidding for the further education capital transformation fund is available.

Post 16 capacity fund

The post-16 capacity fund supports post 16 education providers to accommodate demographic increases in 16 to 18-year-old learners.

In 2021, it was available to:

  • FE colleges and designated institutions
  • sixth-form colleges
  • 16 to 19 academies
  • university technical colleges (UTCs)
  • studio schools providing technical education
  • maths schools

What funding is available

£140 million will be available to be allocated in the next bidding round for projects delivering extra capacity from September 2024. We hope to be able to launch this in the autumn.

When to apply

The post-16 capacity fund is currently closed for applications. We aim to launch the next bidding round in autumn 2022.

Previous allocations

A list of providers which made successful bids for post-16 capacity funding is available.

T Levels capital fund

The T Levels capital fund is available to support providers with a 16 to 19 funding contract delivering T Levels courses, with industry placements, from September 2023.

What funding is available

Wave 5 of the T Levels capital fund is expected to be launched in autumn 2022.

Wave 4 of the T Levels capital fund is now closed for applications, we expect to announce successful applicants in July. This wave is worth over £150 million and is formed of 2 parts:

  • the building and facilities improvement grant which providers need to bid for
  • the specialist equipment allocation is awarded to providers using a formula allocation

The specialist equipment allocation is usually paid early in the calendar year that providers first deliver T Levels to allow them time to procure equipment.

When to apply

The T Levels capital fund is currently closed for applications, we expect wave 5 to open for applications in autumn 2022.

Sign up for T Levels capital fund alerts to find out when the next stage of the fund is opening.

Previous allocations

A list of the successful applications for T Levels capital fund wave 3 is available.

Higher technical education skills injection fund

The skills injection fund was previously known as the higher technical education growth fund.

The fund will support providers to grow high-quality provision at level 4 and 5 including higher technical qualifications.

What funding is available

The skills injection fund will provide additional funding for colleges and universities to invest in equipment and facilities that will support technical studies in key areas such as digital, construction and health care.

Up to £32 million of additional funding will be available through the skills injection fund for eligible providers.

When to apply

Further information to follow.

Strategic Development Fund

The Strategic Development Fund provides capital and programme funding to support changes in local teaching and training facilities and provision.

It supports FE colleges across an area to upgrade their facilities, equipment and curriculum to better meet the needs of their local economy in preparation for the roll out of the local skills improvement plans.

What funding is available

The fund consists of £92 million (£50 million capital and £42 million programme).

Each area may apply for up to £1.25 million of programme and £1.5 million capital funding.

When to apply

The Strategic Development Fund is currently closed for applications.

Sign up for Strategic Development Fund alerts to find out when the next stage of the fund is opening.

Previous allocations

A list of the successful applicants appointed to pilot the Strategic Development Fund and local skills improvement plans in 2021 to 2022 is available.

Institutes of Technology

Capital investment is to fund new builds, refurbishments and specialist equipment. Institutes of Technology are collaborations between FE colleges, universities and employers, to offer higher technical education and training at higher skills levels in key STEM sectors such as digital, construction, advanced manufacturing and engineering, where employer demand is greatest.

What funding is available

The government is investing up to £290 million to provide the capital investment required to establish a comprehensive network of Institutes of Technology across England. The funding window is now closed.

Previous allocations

A list of the Institutes of Technology in operation and those currently in development is available.

Published 29 June 2022