The Armed Forces (Enhanced Learning Credit Scheme and Further and Higher Education Commitment Scheme) (Amendment) Order 2016

EXPLANATORY NOTE

(This note is not part of the Order)

This Order amends the Armed Forces (Enhanced Learning Credit Scheme and Further and Higher Education Commitment Scheme) Order 2012 (“the 2012 Order”), which established the Enhanced Learning Credit Scheme (“ELC Scheme”) and the Further and Higher Education Commitment Scheme (“FHEC Scheme”). The ELC and FHEC Schemes provide payments towards the cost of different defined levels of post-service learning qualifications.

Under the 2012 Order, eligible adult dependants may be eligible for payments under the ELC Scheme and the FHEC Scheme. Article 4 of the Order sets out the definition of “eligible adult dependant”.

Part 3 of the Order amends Part 3 of the 2012 Order, which provides for the ELC Scheme. Article 5 of the Order removes the requirement for members of the armed forces to become members of the ELC Scheme by registration. Article 6 of the Order inserts a new article 5A in the 2012 Order. Under new article 5A, members of the armed forces will automatically be members of the ELC Scheme once they have completed Phase 1 training.

Articles 7, 8 and 9 of the Order amend eligibility conditions for ELC Scheme payments in respect of: the length of the period during which a person who is eligible under the Scheme must commence their course of higher level learning, and the length of the period of service the member must have completed. Article 7 increases from 4 to 6 years the period of service required before a person will be eligible for lower tier payments under the ELC Scheme. This change does not apply to any member who has completed 4 years service before 1st April 2017.

The 2012 Order provides for two types of ELC Scheme payments: lower tier payments and higher tier payments. The Order introduces a new type of payment called an aggregated lower tier payment. A single aggregated lower tier payment can be paid instead of lower tier payments. Article 10 of the Order amends the 2012 Order so that payments made on or after 1st April 2016 while a member was in service under the Defence Direction and Guidance on Training, Education and Skills (Joint Service Publication 898) count toward the maximum number of payments under the ELC Scheme.

Part 4 of the Order amends Part 4 of the 2012 Order, which provides for the FHEC Scheme. Articles 11 and 12 of the Order amend the eligibility conditions for payments under the FHEC Scheme in respect of: the length of the period during which a person who is eligible under the Scheme must commence their course of qualification level learning, and the length of the period of service the member must have completed. Article 11 increases from 4 to 6 years the period of service required before a service leaver will be eligible for payments under the FHEC Scheme. This change does not apply to any member who has completed 4 years service before 1st April 2017.

Article 13 of the Order amends the definitions of “capped fees”. These are the maximum amount of a FHEC Scheme payment.

A full impact assessment has not been produced for this instrument as no, or no significant, impact on the private, voluntary or public sectors is foreseen.