17 August 2016 
Matt Sisson, Projects and Membership Manager
Following discussions over the Summer, HEFCE has now published a circular letter outlining the direction of VFM reporting in the English HE sector. As the circular letter points out, the sector is generally aware of the increasing expectations on it from government and other stakeholders to provide better evidence on how VFM is being achieved. The letter explains how this will be developed in the next few years.
All institutions are required to submit a VFM report in December 2016 as part of their annual accountability returns. This has been voluntary in the past but is now mandatory. There is no prescribed format for the returns, however some supporting information is provided by HEFCE in Annex A. The VFM report must be presented to an institution’s governing body, or to a delegated subcommittee responsible for assurance on VFM.
For 2017, HEFCE will issue stronger guidance on what should be included in the VFM report, following consultation with the sector. In the meantime, HEIs are encouraged to continue to develop their own approach and measures for VFM reporting.
