MD2328 Governance arrangements for statutory functions relating to AEB

London, and the Mayoral Combined Authorities, are expecting to take on responsibility for the Adult Education Budget (AEB) in their respective areas from the 2019/20 Academic Year (1 August 2019) subject to a formal transfer of powers from the Secretary of State for Education.

In preparation for the transfer of these powers, and to satisfy the Secretary of State that the functions will be delivered effectively, the Mayor needs to put in place robust governance arrangements. This Mayoral Decision establishes the key decision-making bodies for ensuring that the statutory functions relating to the AEB are implemented and delivered effectively.

See MD2255 - Devolution of the Adult Education Budget to the Mayor for further information on the Mayor’s decision to accept the AEB functions, subject to the final arrangements being confirmed by the Secretary of State for Education.

Under the legislative framework which permits the transfer of the AEB functions to the Mayor, he is required to take all related decisions personally. This is recognised as a matter reserved by law for the personal exercise of the Mayor only under the Mayoral Decision-Making in the Greater London Authority protocol.

As such, the Mayor is establishing a new AEB Mayoral Board, which he will chair, to ensure that all statutory functions relating to the AEB are implemented and delivered effectively. This new forum will complement the Mayor’s standard decision-making processes, ensuring he has a dedicated forum to actively consider programme implementation, delivery and performance ahead of any final decisions through his standard Mayoral decision-making processes, notwithstanding that decisions cannot be delegated under the GLA’s usual financial thresholds. The draft constitution, including membership and terms of reference, is set out at Appendix A – this is subject to change when it is considered at the Board’s inaugural meeting.

Although accountability for all AEB related decision-making will sit with the Mayor, he recognises the need to engage with key stakeholders including London’s boroughs, Further Education (FE) Colleges, Independent Training Providers (ITPs) and businesses, particularly in relation to ensuring strategic priorities are being met, and addressing local need. Therefore, he is repurposing and reconstituting his existing Skills for Londoners Taskforce (as originally established under MD2051) into the Skills for Londoners Board. The new Board will help drive the Skills for Londoners Strategy (published in June 2018) and inform the GLA’s thinking on AEB as well as other skills and employment funding priorities. The draft constitution, including membership and terms of reference, is set out at Appendix B – this is subject to change when it is considered at the Board’s inaugural meeting.

As set out in his Skills for Londoners Strategy, the Mayor is also creating the London Occupational Skills Board with business / employer representatives to advise on how to improve and align skills provision, including specialist and higher-level skills provision (considering progression routes to higher education), to meet skills needs in London. This would support London-based industry to deal with workplace change, adapt to the changing demands of the global economy, and inform the Mayor’s work on the Skills for Londoners Strategy. The Board’s draft constitution, membership and terms of reference is set out at Appendix C – this is subject to change when it is considered at the Board’s inaugural meeting. Members of the London Occupational Skills Board will be appointed following an open and competitive recruitment process, with the exception of a nomination from TUC LESE (TUC London, East & South East).

Subject to the Mayor’s decision to proceed , the new bodies will be established as soon as possible, with inaugural meetings of the AEB Mayoral Board and the Skills for Londoners Board expected in September 2018 and the London Occupational Skills Board in October/November 2018.

All governance arrangements are subject to change when considered at the Boards to which they relate and may also be amended once clarity on the final form of the delegation of functions from the Secretary of State to the Mayor has been provided.

Section 149(1) of the Equality Act 2010 provides that, in the exercise of their functions, public authorities – of whom the Mayor is one – must have due regard to the need to:

• Eliminate discrimination, harassment, victimisation and any other conduct that is prohibited by or under the Equality Act 2010;
• Advance equality of opportunity between persons who share a relevant protected characteristic and persons who do not share it; and
• Foster good relations between persons who share a relevant protected characteristic and persons who do not share it.

Relevant protected characteristics are age, disability, gender re-assignment, pregnancy and maternity, race, religion or belief, sex and sexual orientation.

The Mayor is required to comply with the duty set out above in making the decision set out in this paper about future governance arrangements and any future decisions relating to the AEB made pursuant to those arrangements which will be subject to separate decision forms.

The public sector equality duty will be complied with in relation to any decisions made about the composition of the Boards proposed in this paper. London's diversity is its biggest asset and the Mayor of London strives to reflect London's diversity in all his external Board appointments. Where appointments are made through an open and competitive recruitment process , the actions below will be followed:

The GLA will:
• Promote its commitment to diversity in recruitment application packs and adverts;
• Reach the widest possible candidate pool by using a range of recruitment methods and positive action, for example targeting under-represented groups through social media channels;
• Define the selection criteria in terms of measurable skills, experience, knowledge and personal qualities; and
• Assess candidates against the role specification in a consistent way throughout the process.

The Mayor remains committed to fairness, openness and transparency in order to give confidence that any decisions made are proper, based on evidence and capable of being independently scrutinised. This Mayoral Decision sets out a robust governance framework for implementing and managing the AEB and has in principle agreement from London Councils as well as other key stakeholders.

As set out in the draft constitution at Appendix A, the GLA’s statutory chief finance officer will be a member of the AEB Mayoral Board meaning that all key decision-making in respect of the AEB and its administration will be subject to financial input and oversight in advance of the Mayor’s standard formal decision-making process.

The section of the GLA Act relating to delegation of ministerial functions to the Mayor also excludes the standard delegation powers of the Mayor. The governance procedure outlined is designed to ensure that any functions are exercised in accordance with the legislation.