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This document illustrates the benefits of higher education (HE) classified according to market and non-market benefit, and whether they relate to the individual or society [the four quadrants]. It builds on earlier work by BIS entitled 'Things we know and don't know about the wider benefits of higher education: a review of the recent literature'. A table showing the four quadrants provides links to relevant sources of evidence that have been identified on the specific benefits of HE.

The report covers only benefits from HE participation, so that benefits arising from research exploitation, spin-off companies, export earnings through international student fees and spending, and other aspects of HE are not included. A fuller exploration of direct and indirect benefits and the mechanism through which they (might) operate can be found in the 'Supporting analysis for the Higher Education White Paper' published by BIS in 2011.

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This report is a short review of the extent to which the importance of strong governance is recognised within colleges. It shows how freedoms and flexibilities have helped colleges operate as independent organisations, responsive to local needs. It sets out the impact to date of the changing status of governance, and what more colleges, Department for Business, Innovation and Skills and partners might do to improve governance in further education.

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This report provides an economic analysis of the further education (FE) market in England. FE in England refers to any study taken after the age of 16 that is not part of higher education (that is, not taken as part of an undergraduate or post-graduate degree). It is delivered by a range of public, private and voluntary sector providers and, in general, equips a learner for further learning, including higher education, or for employment. It also plays an important role in reaching out to disadvantaged groups to encourage their participation in learning when they otherwise might not. To inform decisions about how best to fund and regulate the FE market so that it can deliver effectively for learners and employers and contribute to a skilled and productive workforce, this report has four key objectives. They are to: (1) describe the FE market and its sub 'markets': the economic structure, policy landscape and key players in the market; (2) investigate the extent to which features are observed in the FE market and its sub 'markets' that are common to well-functioning markets and to identify where such features would not be appropriate given the wider objectives of FE; (3) identify the barriers that prevent the FE 'markets' from functioning effectively; and therefore (4) stimulate discussion of priorities for policy intervention to improve effectiveness.

The focus in this report is on the publicly funded components of the FE market and not the wide range of education and training that is privately funded by employers for their staff. Also excluded is other study that FE providers may offer within the school and higher education systems, e.g. vocational provision for 14-16 year olds. The analysis draws on three substantive forms of evidence: a review of published literature, a quantitative analysis of data, and around 60 semi-structured interviews with stakeholders across the market.

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The National Adult Learner Survey (NALS) is a series used by [Department for Business, Innovation and Skills] BIS and its predecessor departments to look at a variety of aspects of adult participation in learning beyond compulsory continuous education. The 2010 survey is the fifth such survey with previous releases in 1997, 2001, 2002 and 2005. Fieldwork took place between January and August 2010, with a short break in the run up to the General Election. A total of 4,647 interviews with 16-24 year olds not in continuous full-time education and those aged 25 and over were conducted with a response rate of 57 per cent. The 2010 survey covered England only; this differed from previous surveys which also included Wales and Scotland. Participation in learning was subdivided into three main categories: (1) formal learning designed to lead to a nationally recognised qualification; (2) non-formal learning, being a taught class but not leading to a qualification; and (3) informal learning involving self-study to improve knowledge of a subject. The key predictors of participation in learning are unchanged; they are prior engagement in learning and educational attainment. Learners are more likely than non-learners to appreciate the wider benefits of learning, meaning that they are more willing to move beyond formal learning to include non-formal and informal learning. They are also more willing to contribute towards the cost of learning which is key given finite public resources and the need to rebalance the financial contribution borne by the individual, the employer and the state. It is also important to note that those in learning are undertaking more than recorded in 2005. Clearly then the challenge is to promote the value and wider benefits of learning to those with low prior qualifications, widening awareness of learning opportunities and addressing the finding that those with low or no qualification often lacked the confidence to learn. Accessible and effective [information, advice and guidance] IAG would appear to be one possible solution that would address several of these barriers to wider participation. Another would be to ensure that more people leave compulsory education with at least Level 2 qualifications, which, among a vast array of other benefits, is the threshold above which participation in further learning is highest.

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