Councillor Bernie Mooney introduced a report by the 14-19 Adult Learning Strategy Manager that outlined a process for agreeing the Devolution Order required to enable full devolution of the Adult Education Budget (AEB) from the start of the 2019/20 academic year along with the timescale for doing so. Currently the AEB was administrated nationally by the Education Skills Funding Agency and primarily funded the Council’s Lifelong Learning Service and adult further education at Wirral Metropolitan College.

The Cabinet noted that at this stage, the Combined Authority did not have the legal powers to be able to administer the AEB. The Government did not include the required powers in the Order which created the role of the Metro Mayor and enabled the implementation of the majority of the Devolution Agreement.  The delay in providing these powers had meant that the original plan for devolution in time for the 2018/19 academic year had been delayed and it was now expected to commence with effect from 2019/20.

In order to enable the legal powers to be conferred on the Combined Authority, an Order needed to be laid and agreed in Parliament: this was in line with previous processes which included the creation of the Combined Authority and the enabling of the Devolution Agreement.  The final draft of the Order was then expected to be circulated in late May 2018, at which point the Government would require the constituent local authorities and the Combined Authority each to provide formal consent by mid-June 2018.

There was a tight legislative window to allow for the Order to be laid in Parliament and thereby enable the duties to be conferred onto the Combined Authority in time for the 2019/20 academic year.  The Combined Authority and the constituent local authorities would be required to provide consent to the final draft Order by mid-June 2018, with the text having been received in late May 2018.

This matter affected all Wards within the Borough and was a key decision.

No other options could be considered as the Council had signed up to be part of the Liverpool City Region devolution deal in November 2915.

Councillor Bernie Mooney reported that the principal purpose of the Adult Education Budget was to engage adults in learning which supported wider economic and social priorities.  This included the community learning provided by constituent local authorities and “second chance provision” within colleges and Wirral Metropolitan College had been instrumental in going out and supporting these people. The Combined Authority would also need to continue to secure provision of free study for learners who meet certain conditions for study for specified qualifications provided as a result of Statutory Entitlements.

Members noted that the funding value for 2019/20 had yet to be confirmed, but the illustrative budget value for the Liverpool City Region for the 2018/19 academic year was £52m.  Locally, the Council’s Lifelong Learning Service and Wirral Metropolitan College received largest share of this budget in 2017/18 with allocations of, £839,478 and £3,131,305 respectively. 

Having the powers to commission this funding would allow the Combined Authority to set out priorities for delivery through its local skills plan, rather than resorting to influence.  The Combined Authority called for this aspect of devolution because it would represent a significant change from the current situation, and would provide the Combined Authority with more ability to meet the needs of local employers. 

Councillor Phil Davies considered that the Government should have made this power available to the Council last year.  Concern had been expressed as it involved a key budget to enable learners to contribute to social and economic goals. 

The Council had entered into the devolution agreement as it took the view that decisions were better made locally.  The Merseyside Local Authorities all wanted further powers and funding and they would continue to lobby Government Ministers for this as would Steve Rotheram, the Metro Mayor of the Liverpool City Region.

RESOLVED: That:

(1)  the requirement for each Liverpool City Region local authority to provide consent for the draft legislative Order to enable the transfer of Adult Education Budget powers to the Combined Authority from the start of the 2019/20 academic year by June 2018 be noted ; and

(2)  authority be delegated to the Chief Executive to provide consent to the Final Order, on behalf of the Council.