December 2005/50, updated in March 2006 (web only)
Core funding/operations
Request for information

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2004-05 statistics derived from HESA data for monitoring and allocation of funding

This document describes the process we will use when reconciling 2004-05 data returns made to the Higher Education Statistics Agency (HESA) with other returns made to HEFCE. We will write separately to all institutions and identify significant reconciliation differences where appropriate. This report also describes how we will use HESA data to inform the widening participation allocation for 2006-07.

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To:	Heads of HEFCE-funded higher education institutions
Of interest to those responsible for:	Student data, Funding, Audit, Research
Reference:	2005/50
Publication date:	December 2005 (updated March 2006)
Enquiries to:	For enquiries regarding the HESES04 comparison contact: Lauren Humphrey tel 0117 931 7373 Gemma Harper tel 0117 931 7338 Joe Clark tel 0117 931 7292 e-mail hesa_heses_stats@hefce.ac.uk For enquiries regarding the RAS04 comparison contact: Ben Grassby tel 0117 931 7395 e-mail hesa_heses_stats@hefce.ac.uk For enquiries regarding the cost centre comparison contact: Joe Clark tel 0117 931 7292 e-mail hesa_heses_stats@hefce.ac.uk For enquiries regarding the widening participation allocations contact: Joe Clark tel 0117 931 7292 e-mail hesa_heses_stats@hefce.ac.uk

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Executive summary and table of contents (read on-line)

Frequently asked questions

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Contents

Executive summary (updated March 2006)

Introduction (updated March 2006)

Annexes

Annex A    Summary of changes since 2003-04 statistics derived from HESA data (HEFCE 2004/47)
Annex B    Comparison of HESES04 and the HESES04 re-creation
Annex C    Comparison of the HESES04 re-creation and the HESES04 re creation based on cost centre sector norms for subjects
Annex D    Comparison of RAS04 and the RAS04 re-creation
Annex E    Derived statistics likely to inform the 2006-07 widening participation allocations (updated March 2006)
Annex F    Information for leads of HEFCE-recognised funding consortia
Annex G    Obtaining data from the HEFCE extranet
Annex H    Guidance for completing and submitting action and implementation plans
Annex I    Submitting amendments to HESA data
Annex J    Submitting overrides to derived fields
Annex K    List of abbreviations

Technical appendices

Appendix 1    HESES04 re-creation algorithms
Appendix 2    Troubleshooting the differences between HESES04 and the HESES04 re creation
Appendix 3    Problems of fit with the HESES04 re-creation algorithms
Appendix 4    HESES04 re-creation based on cost centre sector norms for subjects algorithms
Appendix 5    Troubleshooting the differences between the HESES04 re-creation and the HESES04 re creation based on cost centre sector norms for subjects
Appendix 6    Problems of fit with the HESES04 re-creation based on cost centre sector norms for subjects algorithms
Appendix 7    RAS04 re-creation algorithms
Appendix 8    Troubleshooting the differences between RAS04 and the RAS04 re creation
Appendix 9    Problems of fit with the RAS04 re-creation algorithms
Appendix 10    Algorithms likely to inform the 2006-07 widening participation allocations
Appendix 11    Example action and implementation plans (see separate Excel download)
Appendix 12    Index of derived fields

The Executive summary, Introduction and Annex E were updated in March 2006 with new deadlines for amendments to HESA data to be incorporated into the July grant announcement.

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Executive summary

Purpose

1.    This document describes:

1. How we will use 2004-05 Higher Education Statistics Agency (HESA) student data to monitor returns made to HEFCE.
2. The responses required from institutions to these monitoring processes.

2.    This document is divided into the following sections:

1. The comparison of Higher Education Students Early Statistics Survey 2004-05 (HESES04) with HESA 2004-05 student data.
2. The comparison of institutional cost centre assignments with cost centre sector norms for subjects.
3. The comparison of Research Activity Survey 2004 (RAS04) with HESA 2004-05 student data.
4. How we intend to use HESA data to inform 2006-07 widening participation (WP) allocations.
5. Guidelines on returning action and implementation plans.

Key points

Data quality

3.    We are confident that this exercise improves the data quality of both HESA and HEFCE returns. It also increases our understanding of data quality issues that relate to these returns.

Funding monitoring

4.    The exercise is conducted in two interrelated but chronologically distinct parts. The first is the process of reconciling, explaining and amending the data up until the point where institutions are in a position to sign off a re-creation as a reasonable reflection of the outturn position for the year. The second part, which follows sign off, is the consideration of funding adjustments made, and the appeals process.

5.    Our funding allocations are informed by the data provided by institutions. If we find, either through reconciliations with HESA data, or any data audit, that data do not reflect the outturn position for the year, and that this has resulted in institutions receiving incorrect funding allocations, then we will adjust their funding accordingly. This is subject to the appeals process and the availability of our funds.

6.    Any funding adjustments arising from the reconciliation of a re creation of HESES04 from 2004-05 HESA student data (the HESES04 re creation) with HESES04, or from the comparison of cost centre assignments with the sector norms for subjects, are likely to affect the funding previously announced for 2004-05 and all subsequent years.

7.    Any funding adjustments arising from the reconciliation of RAS04 with a re creation of RAS04 from 2004-05 HESA student data (the RAS re creation) are likely to affect the funding previously announced for 2005-06.

8.    In many cases the funding adjustments arising from the reconciliation may be significant. Therefore it is important for institutions to ensure that sufficient time and resources are allocated to allow the exercise to be completed accurately and promptly. If institutions have not signed off their re-creations by the deadlines given below, then we will implement any reductions to 2006-07 grant that we expect to arise, pending completion of the reconciliation process. This is an interim measure to avoid grant adjustments accumulating to the point at which they become difficult for institutions to manage. The deadlines is 10 February 2006 for both the institutions selected to respond to the comparison of HESES04 and the HESES04 re-creation and those selected to respond to the comparison of the HESES04 re creation and the HESES04 re creation based on cost centre sector norms for subjects.

Annexes and appendices

9.    The annexes below describe how we will use HESA data for this exercise. The technical appendices describe the algorithms we will use.

Action required

Funding monitoring

10.    We will write to heads of institutions, copied to HESES and RAS contacts, on 16 December 2005 specifying whether a response is required to any part of the exercise.

11.    Where a response is required, action and implementation plan(s) must be returned by 10 February 2006.

12.    The final deadline for receipt of amendments to HESA data and overrides to derived fields detailed in the action and implementation plan(s) is 28 March 2006.

Timetable

13.    The following timetable details the critical deadlines for this exercise:

16 December 2005	Issue of letter to all institutions, requesting response to exercise where appropriate
17 January 2006	Deadline for receipt of action and implementation plans for 2004-05 HESA amendments for incorporation in the provisional 2006-07 WP allocations
31 January 2006	Deadline for sign off for amendments to 2004-05 HESA data for incorporation in the provisional 2006-07 WP allocations
10 February 2006	Deadline for receipt of final action and implementation plan(s) produced by each institution required to respond
28 March 2006	Final deadline for sign off for amendments to 2004-05 HESA data amendments and overrides to derived fields as detailed in action and implementation plan(s)
26 May 2006	For institutions asked to respond to the comparison of the HESES04 and HESES04 re creation: deadline for confirmation that the HESES04 re creation reasonably reflects the outturn position for 2004-05 to avoid interim grant adjustments (see paragraphs 31 35 of the Introduction)
5 July 2006	For institutions asked to respond to the comparison of the HESES04 re-creation and the HESES04 re-creation based on cost centre sector norm for subjects: deadline for confirmation that the HESES04 re creation reasonably reflects the outturn position for 2004-05 to avoid interim grant adjustments

14.    Table 1 summarises the response required for each of the comparisons, along with the possible causes of differences.

Table 1 Response process for institutions required to respond

Comparison causing selection	Differences to explain in action and implementation plan	Possible causes of differences
HESES04 and the HESES04 re creation	All differences between HESES04 and the HESES04 re creation	Errors in HESA student data Errors/estimation discrepancies in HESES04 Problems of fit with the HESES04 re creation algorithms
HESES04 re creation and the HESES04 re creation based on cost centre sector norms for subjects	All differences between the HESES04 re creation and the HESES04 re creation based on cost centre sector norms for subjects, to include any differences between the HESES04 and the HESES04 re creation	Errors in the HESA student data Errors/estimation discrepancies in HESES04 Problems of fit with the HESES04 re creation algorithms Problems of fit with the cost centre sector norms for subjects mapping
RAS04 and the RAS04 re creation	RAS04 and the RAS04 re creation differences	Errors in the HESA student data Errors in RAS04 Problems of fit with the RAS04 re creation algorithms