Welcome to this edition of the FE Digest, bringing together the latest developments shaping the further education landscape in 2026. This issue arrives at a pivotal moment for the sector, with significant reforms, accounting changes and policy signals converging to create both challenge and opportunity for colleges, training providers and sector leaders. From the upcoming FEHE SORP 2026, set to reshape financial reporting and operational planning, to the government’s ambitious post‑16 reform agenda, providers are navigating a period of rapid transformation that will influence strategy for years to come.
Alongside these major shifts, renewed political attention on VAT parity, clarity on the future of accounting year‑ends, and important employment law reforms mean that operational, financial and workforce planning will require fresh focus. Our aim in this digest is to equip you with timely insight, clear analysis and practical points to consider as the sector prepares for another year of significant change. Whether you are leading on finance, governance, curriculum development or organisational strategy, we hope this edition supports your decision‑making through what promises to be an important and dynamic period for further education.
The implications of the new FE HE SORP 2026 for higher and further education institutions
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Articles from the Spring 2026 edition
Ambitious change for post-16 education
The Post-16 Education and Skills White Paper was published on 20th October 2025 and sets out a broad and ambitious reform agenda for England’s further and higher education system.
Accounting Year End – July Retained, March Assurance Likely
You may recall that, following the reclassification of the FE sector into the public sector, HM Treasury indicated a desire to align college financial year ends with the government financial year (31 March).
VAT Status of FE Colleges – Renewed Political Attention
The VAT position of FE colleges has once again moved into the political spotlight following a recent session of the Public Accounts Committee, attended by the Prime Minister.
Employment rights act 2025 update
The Employment Rights Act 2025 became law on 18 December 2025, and the Government has confirmed it will be introduced in stages across 2026 and 2027, with a significant amount of operational detail still to be set through consultation and secondary legislation.
