[MUSIC] So, how are the funding arrangements for education changing? >> Hm. Well, in part they're getting more complicated, and more sophisticated. we've, we've clearly moved away from, from the period where there was bulk funding of education. When, in this country for example, and the pattern would be replicated in slightly different ways in many other countries. Where governments would give funds to local authorities who would give funds to schools and at each level, the the responsible body would be able to make decisions about how that money was spent. So there was no central control over the, the allocation of funds. It was left to various professionals to make professional judgements about how, what the best use of funds should be. What has happened now is we've, we've, we've moved in various ways to much more towards something like, a business or a market model of funding. So, funding is now typically related to, to per capita recruitment. So the number of students who recruit. It's sort of allocated on the basis of particular programs or projects. In some cases, allocated on the basis of of performance. And that can be both positive and negative in the sense that there can be a reward for positive performance, as in the case of schools in Chile, for example. Or, it, it, under performance can, at least in the short term, generate additional income. So in no, in the No Child Left Behind program. There in the United States there's a, there's a form funding that would be attractive to under performing schools in the short term, but in the long term if they continue to under perform then various aspects of their services would be, would be contracted out to private providers. So there's a shift towards contract forms of funding. So that schools or other providers are expected to achieve certain levels of outcome specified in a contract, in order to to earn their income. So, so, very, in, in various different ways through contracting, or through performance related benchmarking and, and comparative systems ranking. We now have forms of funding that are increasingly modeled on, on business and the marketplace. >> So, does that mean that there are different groups of people getting involved in the processes of education? >> Absolutely, yes. I mean they're, they're, two very significant changes. We've now got the opening up of state educational services to non-state, non-profit providers of various kinds. So you're getting sponsors, charitable institutions, philanthropic institutions, community groups, social enterprises who are being encouraged to participate in the delivery of state services. Often through contracting. And you can see this certainly in, in England United States, to some extent, in Canada, Australia, various parts of Europe. And increasingly in other places like, like, India at the moment, where there's a shift towards public, private partnerships that are introducing philanthropic organizations into the running of state schools. So the state itself is withdrawing from direct delivery and increasingly managing a range of other providers. In some cases, that there's a second move in relation to that, which is actually to allow for profit providers to enter the state system. In fact, certainly in England they already operate expensively. Not very much, although there are a small number of schools which are, are run by private providers. But certainly, in the delivery of other educational services. In most schools now, all the back office services are, are, are, are provided or supported by, by private providers, technical services, computer services, the school grounds are managed the school playing field's managed by private providers of various kinds. A lot of CPD continued professional development of teachers is delivered by private companies now. Entry management, supply teaching, all these things are dominated by the private sector. But clearly there is, there is pressure from the private sector, from business for even greater latitude in terms of their participation. And it can be argued in this country, in England. That the, the free schools and the academies program is, is a precursor to a more full-blown participation of the private sector. So, the Academy changes are, are a model for a profit based form of provision of educational services
