CT UK Social Bond Fund impact report 2023 - education, learning and skills
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CT UK Social Bond Fund impact report 2023 – education, learning and skills

Access to quality education is a critical determinant of social mobility and tackling societal inequalities. However, in recent years, schools in the UK have faced significant funding pressures.

More than a decade of austerity measures, rising costs, high staff turnover, and a myriad of challenges, have strained the educational system’s capacity to deliver quality learning experiences. Alongside stresses from the impact of the cost of living crisis on their families and a fragile recovery from years of learning in lockdowns, these financial pressures are affecting students’ educational and social outcomes across the country, including rising mental health issues.17

Furthermore, there is geographic disparity in England’s educational outcomes: findings from the Institute for Fiscal Studies shows a significant difference in income mobility for children across the country, with a strong North-South gradient.18 Encouragingly, some Local Authorities (LAs) are narrowing the attainment gap having taken measures to address these disparities and ensure that all students have equal access to quality education, offering hope that this trend can be reversed.

In addition to geographical disparities, patterns in accessibility and educational outcomes are influenced by various factors. Gender disparities persist, with more females attending university than their male peers, completing their studies at higher rates, achieving first or upper second-class degrees. Despite these achievements, females find themselves in “lower-skilled” jobs and tend to earn around 9% lower than males initially, with the gap growing substantially over time to 31% ten years after graduation.19

Socioeconomic grouping is another factor in educational outcomes. Individuals from more disadvantaged backgrounds face significant barriers to accessing higher education. They are not only less likely to attend university but also experience higher dropout rates and are more likely to become NEET (Not in Education, Employment, or Training), perpetuating cycles of disadvantage.

Moreover, disability introduces unique challenges in the educational journey. Disabled students are more likely to drop out of higher education and less likely to achieve higher grades in their degrees. Inclusive educational practices and support systems ensure that all students, regardless of their abilities, have the opportunity to thrive academically.

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25 January 2024
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17. Nesta: Six things we learned about educational outcome gaps in England post-pandemic.
18. Institute of Fiscal Studies, Intergenerational Income Mobility in England and the importance of education
19. Equality of access and outcomes in higher education in England, 2023

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For marketing purposes. Your capital is at risk. Columbia Threadneedle Investments is the global brand name of the Columbia and Threadneedle group of companies. Not all services, products and strategies are offered by all entities of the group. Awards or ratings may not apply to all entities of the group. This material should not be considered as an offer, solicitation, advice, or an investment recommendation. This communication is valid at the date of publication and may be subject to change without notice. Information from external sources is considered reliable but there is no guarantee as to its accuracy or completeness. In the UK: Issued by Threadneedle Asset Management Limited, No. 573204 and/or Columbia Threadneedle Management Limited, No. 517895, both registered in England and Wales and authorised and regulated in the UK by the Financial Conduct Authority.

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Important information

For professional investors

For marketing purposes. Your capital is at risk. Columbia Threadneedle Investments is the global brand name of the Columbia and Threadneedle group of companies. Not all services, products and strategies are offered by all entities of the group. Awards or ratings may not apply to all entities of the group. This material should not be considered as an offer, solicitation, advice, or an investment recommendation. This communication is valid at the date of publication and may be subject to change without notice. Information from external sources is considered reliable but there is no guarantee as to its accuracy or completeness. In the UK: Issued by Threadneedle Asset Management Limited, No. 573204 and/or Columbia Threadneedle Management Limited, No. 517895, both registered in England and Wales and authorised and regulated in the UK by the Financial Conduct Authority.

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