Pearson’s response to the consultation was informed by engagement with stakeholders across education, higher education, industry and the wider skills sector. For decades, vocational qualifications such as BTEC Nationals have supported millions of learners to develop the skills and confidence they need to progress in their careers, while helping employers access highly skilled talent. BTEC qualifications are widely recognised and trusted by employers, higher education providers and learners.

We welcome the greater clarity now provided in a number of key areas. At the same time, the timetable for reform is ambitious, and a carefully phased approach to implementation will be essential to minimise disruption for learners, schools, colleges and employers. The success of these reforms will depend on getting the details right, including qualification size, the pace of implementation, and ensuring providers have the time and support needed to deliver the new qualifications effectively.

We will continue to work with the Department for Education, educators, higher education providers, employers and sector experts to help ensure the reforms support every learner to achieve and progress, while helping employers access the skills and talent they need.

What the reforms mean for colleges and schools

V Levels will sit alongside A levels and T Levels, providing a vocational option alongside the academic and technical routes. At level 2, two new pathways will simplify the qualification landscape and provide clearer progression to level 3 study or skilled employment. A transition plan will phase out existing qualifications as new qualifications are introduced.

To help providers understand what these changes mean in practice, we have updated our BTEC Level 3 National, and Level 2 funding guides for England. The guides provides detailed information on funding arrangements and timelines for individual qualifications over the coming years. Further information about how we can support you and your learners will also be available alongside guidance for Wales and Northern Ireland.

Refer to your Level 3 Funding Guide in England

Refer to your Level 2 Funding Guide in England

The consultation outcome

Funding in 2026/27

The government has confirmed that no additional existing qualifications will have their funding removed in 2026/27. This means the following qualifications will remain funded:

• BTEC National Extended Diplomas (1,080 GLH) in Health and Social Care, Applied Science, IT and Computing, and Forensics.
• BTEC National Diplomas (720 GLH) in Health and Social Care, Applied Science, IT and Computing, and Forensics.
• BTEC National Foundation Diploma in Forensics (510 GLH).
• BTEC National Extended Certificate (360 GLH) and Certificate (180 GLH) in Applied Psychology.
  

This extension helps ensure sufficient provision remains available during the transition period.

Funding from 2027/28

From 2027/28, changes to qualification funding will begin on a phased basis:

• BTEC National Extended Diplomas (1,080 GLH) will have funding removed where a T Level is available. As a result, Extended Diplomas in Agriculture, Animal Management, Business, IT and Computing, Enterprise, Engineering, Horticulture and Forestry, Marketing, Media, and Science will no longer be available for new learners from 2027/28.
• The Extended Diploma in Health and Social Care will remain available in 2027/28. Funding will be removed in 2028/29 to coincide with the introduction of a T Level in Social Care.
• BTEC National Diplomas (720 GLH) will have funding removed when replaced by V Levels. As a result, Diplomas in Digital (IT and Computing) will no longer be available for new learners from 2027/28, reflecting plans to introduce new Digital V Levels from that year.
• Existing level 2 qualifications will have funding removed when they are replaced by new level 2 qualifications.
  

This phased approach recognises the need to maintain sufficient provision while new qualifications are introduced.

Introduction of V Levels and level 2 pathways

The government has confirmed that V Levels, and the two new level 2 pathways will be first introduced from 2027/28 in a limited number of sectors:

• V Levels in Digital, Education and Early Years, and Finance and Accounting
• Level 2 qualifications leading to further study in Education and Early Years, and Digital, and level 2 qualifications leading to work or an apprenticeship in Catering and Hospitality, and Education and Early Years.
  

A phased introduction will help support transition to the new system. However, the timetable remains ambitious, and it will be important that providers have sufficient time and support to prepare. Pearson will continue to work with government, educators and employers to support effective implementation, drawing on our extensive experience of designing and delivering rigorous vocational qualifications.

V Level purpose and size

The consultation outcome confirms that the government:

• Intends V Levels to enable progression to related higher education or work with training including apprenticeships.
• V Levels will be 360 GLH. Depending on the occupational route, there could be more than one V Level subject in a route. In these limited cases, a maximum of two V Level subjects in the same route can be studied together for 720 GLH.
  

We welcome the focus on V Levels in enabling progression to higher education as well as to work with training, including apprenticeships. We also welcome the recognition that in some sectors more than one qualification may be needed to support progression. In our consultation response we highlighted that larger qualifications may be needed in several sectors and may work better when taught as a larger qualification. We look forward to working with the Department for Education to ensure the right qualifications are available to support young people to progress and succeed.