The Association of Colleges and the UK’s main further education unions have jointly called on the Department for Education to provide additional funding for colleges, warning that current financial pressures could leave little scope for meaningful staff pay awards in 2026/27.
In a joint letter to Education Secretary Bridget Phillipson, sector leaders say colleges continue to face significant challenges recruiting and retaining skilled staff, with pay remaining one of the biggest concerns across further education.
The organisations argue that colleges are expected to deliver many of the government’s priorities for skills, economic growth and opportunity, yet funding has not kept pace with the increasing demands placed on the sector.
According to the AoC, the average salary for a college lecturer in England remains around £12,500 lower than that of a school teacher, making it increasingly difficult for colleges to compete for experienced teaching staff and industry professionals.
The joint letter has been signed by the Association of Colleges alongside the University and College Union (UCU), National Education Union (NEU), UNISON, GMB and Unite the Union, reflecting a rare consensus between employers and staff representatives on the need for increased investment.
Without additional funding, the organisations warn that the recommendation for the 2026/27 pay award could be very limited, placing further pressure on colleges already experiencing recruitment difficulties in a number of curriculum areas.
The letter also highlights concerns that continued funding pressures could undermine the government’s ambitions to expand technical education, address skills shortages and support economic growth.
The intervention comes ahead of national pay discussions for the next academic year, with sector leaders urging ministers to ensure colleges have the resources needed to recruit, retain and reward the workforce required to deliver high quality further education.
Source: Association of Colleges, FE leaders and unions issue stark funding warning to DfE. Read the original announcement on the AoC website.