The Lifelong Loan Entitlement: What Does It Mean for Higher Education?

What does the lifelong loan entitlement (LLE) mean for higher education?

The upcoming Lifelong Learning Entitlement (LLE), set for launch in September 2025, promises to shake up the landscape of higher education in England. But there are still many questions surrounding this new funding system. In this article, we explore a key one: what does this mean for universities and colleges delivering these courses?

The potential impact of the LLE on higher education providers is huge. Read on to find out about how it could transform course delivery and offerings, put careers and employability centre stage, and present potential challenges for higher education institutions (HEIs).

Increased Student Flexibility, Broader Course Offerings

The LLE offers students a funding pot equivalent to four years of higher education, which can be used on a range of modules throughout their lives. This empowers students to pursue bite-sized qualifications or spread full degrees over time.

While this is great news for students, there’s no doubt that it will be a complex challenge for higher education providers – and even require an overhaul of the current course offerings across the sector. Institutions will need to adapt by:

Developing micro-credentials and short courses: Cater to students seeking specific skills or knowledge boosts. Working with industry and business to develop these programmes will be crucial to ensuring their relevance.
Offering flexible learning options: Deliver courses part-time, online, or through blended learning to accommodate working professionals. This will help to support the focus on retraining and upskilling that the LLE prioritises.
Strengthening credit transfer mechanisms: Allow students to seamlessly integrate past learning into new qualifications. Having a robust approach to Recognition of Prior Learning (RPL) will be key, as will working with the government and other stakeholders in the sector to develop an approach to credit transfers.
Preparing student services to support students with different needs, objectives and abilities: As the presence of part-time and distance learners grows under the LLE, providers will need to ensure that their student journey is seamless and supportive no matter their circumstances. This will include building plenty of touch points and considering integrated or embedded service delivery.

A Focus on Skills and Employability

The LLE emphasises the importance of lifelong learning and employability. Public discussion of this transformation to the higher education funding system has been oriented around retraining and upskilling.

In order to meet the needs of students when it comes to employability and lifelong learning under the LLE, higher education providers will need to:

Align course content with industry needs: Ensure graduates are developing the skills employers actively seek. This could include developing courses or micro-credentials with the support of business and industry.
Develop strong partnerships with businesses: Beyond developing courses with and alongside industry, creating other opportunities for students to engage with business is also crucial. Offer work experience placements that bridge the gap between academia and the workplace.
Highlight graduate career outcomes: Attracting students to make use of the LLE will also be a challenge that HEIs need to rise up to. To ensure you’re capturing the right audience, showcase success stories and employability data to attract students.

Potential Challenges and Areas of Opportunity

With all this change and transformation, it’s clear that LLE presents both challenges and opportunities for higher education providers. Some of these might include:

Competition for student funding: With a finite funding pool, institutions will need to effectively market their offerings to secure student admissions.
Administrative burden: Managing modular learning and credit transfer systems will require streamlined processes, including working with the wider sector.
Focus on quality and value for money: The emphasis on skills and employability outcomes means institutions must demonstrate the value proposition of their courses.
Syncing up with other institutions: To make credit transfer possible and uncomplicated from the perspective of the student, providers will have to work together. This will require cross-sector discussion and strategy.
Creating a seamless student journey: The typical student journey doesn’t apply to an LLE learner who completes multiple modules at different institutions throughout their lifetime. Providers will need to consider how they will deliver a joined-up student experience and prevent students from falling between the gaps.

Embracing the LLE as an Opportunity

The LLE presents a unique opportunity for higher education providers to reach new student demographics and cater to the evolving needs of the workforce. By embracing flexibility, innovation, and a focus on skills, institutions can position themselves to thrive in this new learning landscape.

Further Considerations:

The details of the LLE are yet to be finalised. Staying informed about updates is crucial for higher education providers.
Institutions should consider conducting research to understand the specific learning needs of their target student populations. You can read about the experiences of Staffordshire University and the University of Worcester who participated in the Office for Students’ (OfS) short course trial on HE Professional.

By proactively adapting to the LLE, higher education providers can ensure they remain relevant and continue to play a vital role in shaping the future workforce.

From Why to How

We have plenty of content on HE Professional that can support you to prepare for the increased flexibility and broader course offerings the LLE will usher forward. Browse our premium content for members to find out more or take a look at the upcoming events we have that delve into the challenges and opportunities facing the higher education sector today.