May 2006/14
Core funding/operations
Request for information

Returns should be made by Friday 28 July 2006

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Annual monitoring and corporate planning statements, and financial forecasts 2006

This document asks higher education institutions to send us an annual monitoring statement and a corporate planning statement for 2005-06, and financial forecasts for the period up to 2009-10. Templates for the annual monitoring statement and financial forecasts will be available for completion electronically at the end of May 2006.

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To:	Heads of HEFCE-funded higher education institutions Heads of universities in Northern Ireland
Of interest to those responsible for:	Planning, Finance, Student data
Reference:	2006/14
Publication date:	May 2006
Enquiries to:	HEFCE higher education advisers (on monitoring and corporate planning statements) HEFCE finance advisers (on financial forecasts)

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Contents and executive summary (read on-line)

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Executive summary

Purpose

1.    This document asks higher education institutions to send us a corporate planning statement (CPS) and an annual monitoring statement (AMS) for the 2005-06 academic year, and financial forecasts for the period up to 2009-10.

Key points

2.    The information requested will:

1. Summarise the institution's mission, key objectives and targets, and performance against objectives in strategic areas.
2. State the institution's priorities for the next operating year.
3. State the institution's key assumptions about future trends.
4. Provide a financial forecast for the period 2005-06 to 2009-10 in the context of the institution's financial strategy.
5. State the student number forecasts which underpin the plans and financial forecasts.

3.    We will use this information:

1. To identify trends across the sector, and to advise the Secretary of State for Education and Skills on the needs and development of the higher education sector.
2. To monitor the financial prospects of higher education institutions, both individually and collectively.
3. To monitor the use of funds and outcomes relating to our special initiative funding.
4. As a basis for discussion with institutions about their progress in key areas, their priorities for strategic development, their financial position, and the support which HEFCE may be able to give.

4.    This document also explains the action we will take if institutions have made insufficient progress towards meeting the objectives that they set for themselves under our strategic special funding initiatives.

5.    Templates for the AMS and financial forecasts will be available for completion electronically at the end of May 2006. We will write to heads of finance and our AMS contact in each institution during May, with details on how to access templates and how to return information to us.

6.    We are running a pilot programme this year with 10 institutions of the new 'single conversation' accountability process. These institutions will send us their returns by 30 November. We expect to implement this new process for all institutions next year, and will provide more details about this in spring 2007, once we have considered the outcomes of the pilot study.

Action required

7.    All institutions (except those involved in the pilot study) should make AMS, CPS and financial forecast returns to Linda Markham by Friday 28 July 2006. For further details see paragraphs 82-83.

8.    We will share the information we receive from institutions for which the Training and Development Agency for Schools (TDA) has lead accounting officer responsibility. These institutions do not need to provide separate returns to the TDA.