Labour’s extra £800m funding for FE

Published on 30/09/2025

On the last day of the 2025 Labour party conference, Sir Keir Starmer said he wants to promote a ‘gold-standard apprenticeship’.

Scrapping the 50% University Target

The Labour party has announced the end of the previous target aiming for 50% of young people to attend university. This significant change was revealed by the Prime Minister during the Labour party conference, where he outlined a broader and more inclusive approach to post-16 education.

A New Ambition for Education and Training

In place of the university-specific target, Labour will introduce a new goal: by the age of 25, two-thirds of young people should either attend university, pursue further education, or undertake a gold-standard apprenticeship. This more flexible target reflects a recognition of diverse pathways to success and aims to better equip young people for the needs of the modern economy.

Investment in Young People

To support these reforms, the Government will invest nearly £800 million in additional funding to benefit 16 to 19-year-olds next year. This funding, drawn from the existing Spending Review settlement, is expected to support 20,000 more students and drive improvements across the post-16 education sector.

Focus on Technical Education and Apprenticeships

The new policy also sets an ambition for 10% of young people to be engaged in higher technical education or apprenticeships by 2040, emphasising areas of particular need within the economy. As part of this commitment, the Prime Minister announced the creation of 14 new Technical Excellence Colleges. These specialised institutions will focus on sectors such as advanced manufacturing, clean energy, and digital technology.

Backing Young People: Raising Standards and Opportunities

Labour leader Sir Keir Starmer affirmed that the party is "backing" young people through these education policy announcements made during the Liverpool conference. He highlighted the importance of further education, which has often been neglected, and pledged that it will become a defining cause for the Labour Government. This will include raising teaching standards in every college, increasing apprenticeship opportunities, and linking qualifications directly to jobs within local communities.


Sir Keir described these changes as "young people, backed," and emphasised the breaking down of barriers—"the class ceiling, smashed; the grafters, finally included in our country’s highest aspirations."

More detailed plans are to be outlined in the forthcoming post-16 skills white paper.