Blueprint for the Future: V-Levels, STEM Incentives, and Workforce Data Shaping UK FE

Date | 7th November 2025

The UK's Further Education (FE) sector, particularly the crucial 16-18 college provision, continues to undergo significant reform aimed at modernising the curriculum and stabilising the workforce. This week, we’ve seen important updates from the Department for Education (DfE) regarding qualification restructuring, vital staff retention initiatives, and the ongoing push for deeper sector insight through data collection.

Simplifying the Landscape: The Rise of V-Levels

Perhaps the most structural change on the horizon is the introduction of V-levels at Level 3. Announced as a major vocational pathway, V-levels are set to replace a substantial number of existing qualifications outside of A-levels and T-levels from 2027. The goal is clear: to streamline a previously confusing landscape of nearly 900 qualifications at this level, ensuring all young people have a clear, high-quality technical or vocational route.

For 16-18 providers, this represents a pivotal shift. It will require focused preparation to embed these new Level 3 pathways effectively. Alongside this, new Level 2 pathways are also being developed, with one track focusing on employment (a two-year, job-aligned programme) and another designed as a bridge to higher-level study. Crucially, the reform also includes new English and Maths qualifications for resitting students, which will now require a minimum of 100 hours of dedicated, in-person teaching per subject, backed by increased funding to support delivery. These changes underscore the government’s commitment to ensuring that every young person is equipped with the foundational skills needed for work or university.

Retaining Talent: Targeted Retention Incentive

Amid the ongoing challenge of staff recruitment and retention, the DfE has confirmed the claim window for the Targeted Retention Incentive for the 2025 to 2026 academic year. This initiative is specifically designed to help FE providers hold onto key specialists in STEM and technical subjects.

Eligible teachers in all FE colleges, including sixth form colleges and 16-19 academies, can claim up to £6,000 if they are in their first five years of teaching these high-priority subjects. The claim window is scheduled to open in March 2026. This financial incentive provides welcome support for colleges, acknowledging the competitive environment for specialist technical skills and aiming to ensure sustained, high-quality teaching in areas critical to the UK's economic priorities.

FE Workforce Data Collection is Now Open

To inform future policy and funding decisions, the DfE has opened the latest Further Education Workforce Data Collection. This mandatory exercise aims to provide a clearer, more comprehensive picture of the FE workforce, gathering essential data on staff pay, contracts, and skills gaps across the sector.

The collection, which opened in late September, will close in November. The insights gleaned are intended to better inform government policy and funding strategies moving into 2026 and beyond. Participation is vital for the sector, as the data collected directly influences the DfE’s understanding of the real-world implications of policy changes and funding levels on college staff.

In summary, the 16-18 FE sector is in a state of targeted evolution. The focus is squarely on modernising the technical and vocational curriculum through V-levels, stabilising the specialist workforce with financial incentives, and underpinning future strategy with robust, sector-wide data. College leaders must keep these three pillars of reform—qualifications, people, and data—at the forefront of their strategic planning.