Medr/2026/18: Digital capital funding for further education institutions in 2026/27

14 May 2026

Introduction

1. The Welsh Government’s funding settlement to Medr for 2025-26 included £3 million digital capital funding ringfenced for FE. This funding has been maintained for 2026-27 and, subject to confirmation in future budgets, this is expected to become ongoing funding.

2. This funding is intended to support FE institutions in developing longer-term and more strategic approaches to investment in digital equipment, devices and infrastructure (which are required to enable digital delivery) and to maintain robust and resilient digital services and systems. These aims are in line with the Vision and Aims of the Digital 2030 strategic framework for digital learning, which is due to be refreshed in the coming months.

3. We are asking each FE institution to develop and submit a three-year digital capital investment plan by 10 February 2027. Future allocations of digital capital funding up to and inclusive of AY2028/29 will be awarded on the basis of this plan.

Timelines for Year 1 (academic year 2026/27):

Timing	Milestone or action
c.18 December 2026	Interim capital payment (50% of allocation) will be processed during December
By 10 February 2027	Three-year digital capital investment plan required from each institution (Annex B)
c.19 March 2027	Subject to the receipt of digital capital investment plans, the remaining 50% of capital allocation will be processed during March
By 21 July 2027	End-of-year expenditure reporting required (Annex C* to be added in early 2027*)