In confidence
32
9.8 Resources for student support services were increased by £0.05 million in 1989/90. This has funded better facilities at arrival points and provided grants for UK bodies involved in overseas student welfare. Internal studies in 1990/91 will look at further proposals to improve welfare services.
Outward visits
9.9 The policy of devolving to Representatives the administration of British specialist visitors undertaking short visits overseas will be continued. Systems to improve the monitoring and forecasting of results achieved with devolved exchanges funds will be introduced overseas by 1992.
Youth exchanges
9.10 The Council administers youth exchanges as an agent of FCO and DES. Against the background of an expansion of youth exchanges as a result of the EC-funded Youth for Europe programme, the Council took over the management of the Youth Exchange Centre as the agent of FCO and DES on 1 April 1990. Improved productivity levels agreed with these sponsors have been achieved and funding is now sought from them to increase the number of exchanges between Britain and Eastern Europe (see table 9, page 27).
Principal effectiveness measures in interchange work
• % increase in agency exchanges business
•
weighted average rating of Council services in surveys of major external clients and Representatives
• % of programme participants recording overall satisfaction with Council services.
10 English language and literature (Courses Validation Scheme, EL projects, English Language Schools Recognition Scheme, English language teaching, English language promotion, examinations, International English Language Testing System (IELTS), promotion of English literature)
10.1 The Council is charged, in its Royal Charter, with promoting a wider knowledge of the English language. The Council extends this commission. to English literature i.e. literature written in English and the other languages of the United Kingdom, by British and Commonwealth writers.
Direct Teaching of English (DTE)
10.2 DTE is managed as a global business by Central Management of Direct Teaching (CMDT). CMDT is concerned with strategic and financial control; operational management is delegated to local managers and Representatives. In April
1990 there were 54 DTOs covering 31 countries. The forecast is that, by 1993, there will be 70 DTOs covering 35 countries. The dominant market within the network is in southern Europe but priorities for development also take into account the Council's geographical strategy as well as the business remit. Opportunities for DTE in Eastern Europe will be surveyed to quantify their funding and staffing implications as this area is of major strategic importance.
10.3 With the aim of supplying high-quality English language teaching profitably as a mainstream Council activity contributing to the Council's wider purposes, principal objectives are:
• to maintain at least a 10% net surplus on turnover per annum
to increase the redeployable dividend paid to the Council to £1.5 million by 1993/94
• to create an investment fund for DTE growth and return
⚫ to establish DTE in Eastern Europe.
10.4 As can be seen from table 11, the network has done well under central management in its first two years. In 1990/91, the projected cash surplus of £7.2 million will provide a recurrent investment budget of £2.3 million as well as covering overheads, all related costs and providing £3 million for other Council activity. In 1991, after three full operational years, a full cost/benefit review of DTE as a global business under central management will take place. Depending on the Council's overall budgetary needs, this will also consider returning a proportion of new surplus overseas to Representatives as an incentive for expansion, and the more general question of the disposition of all additional surpluses.
10.5 The main strategic factors affecting plans for the future of the DTO business include:
⚫ the single European market, bringing increased competition as well as increased opportunity ⚫ foreseen difficulties over teacher supply
political uncertainties in Hong Kong
⚫ the opening of Eastern Europe to DTE
• obtaining better results largely from growth, as
many existing DTEs are in a mature phase
•
⚫ delays in developmental projects in Europe and elsewhere because of pressure of work in Representations; investment in additional staff for project development will be necessary to apply investment bids to planning deadlines
⚫ the inability under Treasury rules to carry forward investment reserves at the end of the financial year. FCO and Treasury approval to alter the position is being sought so that invest- ment funds can be managed to optimum effect.