Employability Funding in Scotland

Description

Employability funding in Scotland is coordinated through the No One Left Behind Approach (NOLB). It is primarily delivered by third sector organizations, and managed by Local Employability Partnerships (LEP), leading to variation across the country. Employability funding in Scotland comes from various funding sources including the Scottish Government, UK Share Prosperity Fund and local government’s core budgets. However, recent budget cuts – 23% in nominal terms in the 2024-2025 Scottish Budget - have strained resources contributing to significant funding delays. 

In ordered to better understand these processes and impacts, Dr Seemab Farooqi, Lecturer from the University of Dundee Business School is undertaking a project as a Scottish Parliament Academic (SPICe) research fellow. This research explores Scotland's employability provision, funding flows, and outcomes for different user groups, while assessing regional variations in service delivery and funding experiences of providers.

Drawing on a blend of survey data and in-depth interviews, Dr Seemab Farooqi's research brings together diverse perspectives on funding processes, barriers, and outcomes. Participants, including representatives from local authorities, third-sector organisations, and private providers, contributed to the survey, reflecting a balanced cross-section of rural and urban stakeholders. Responses were gathered through detailed surveys (160 responses form 32 local authorities) and extended interviews conducted with 16 local authorities (25 interviews in total), 10 representatives from third sector organisations, and 2 private sector providers, ensuring that regional challenges and variations in service delivery are clearly represented. The ongoing data analysis reveals patterns in funding allocation, delays, and systemic bottlenecks that affect the day-to-day realities of employability service provision across Scotland.

Dr Seemab Farooqi’s research suggests that adopting multi-year funding models and improving inter-governmental communication could alleviate administrative burdens, enhancing stability for councils and third-sector organisations across Scotland.

Looking Ahead: Policy Influence and Public Engagement

Dr Seemab Farooqi has also actively engaged with key forums such as SLAED (Scottish Local Authority Economic Development) and TSI (Third Sector Interface), enhancing the collaborative aspects of her research. These engagements have allowed her to gather input from a wide range of stakeholders and share her findings in spaces dedicated to strengthening Scotland’s employability framework.

Dr Seemab Farooqi’s fellowship also serves as a platform for networking and public engagement, enabling collaboration between local authorities, third-sector providers, and policymakers. The final report, anticipated in 2025, will present actionable policy recommendations to strengthen employability services across Scotland.