These funding determinations will come into effect from 1 January 2026. Changes arising from the determinations will be reflected in the 2026 Funding Conditions Catalogue, which will be published in November.  

General changes across funding determinations

• Included an alternative clause for organisations eligible for funding (ie, polytechnics and Industry Skills Boards), noting that this alternative will come into effect if the Education and Training (Vocational Education and Training System) Amendment Bill is enacted before 1 January 2026. 
• Made minor and technical updates, including:   
  • updates to terminology and standardisation of terms used 
  • minor corrections to align with current policy and practice
  • clarifying existing clauses or adding detail to clarify policy intent, and  
  • improving the consistency of similar clauses across different determinations.   

Funding determinations and changes

Adult and Community Education (ACE)      

• Updated funding rates. 
• Clarified that there is a six-hour minimum requirement for ACE provision in state schools, state integrated schools and charter schools. 
• Added a new clause allowing synchronous online delivery where this is in the best interest of the learner/s.
• Added “enabling access to education and the TEO’s capability to deliver effectively” as a consideration for online synchronous delivery.
• Clarified that TEC approvals for asynchronous delivery are valid for multiple years unless revoked.
• Added the ability for the TEC to revoke approval for asynchronous delivery.

Delivery at Levels 1 and 2 on the NZQCF

• Updated funding rates. 
• Clarified that programmes may be delivered asynchronously, with prior written approval from the TEC.
• Added a clause to allow overseas learners to be funded if “the learner is studying in a Realm country (namely, Tokelau, the Cook Islands, or Niue) in 2026 and is enrolled in a programme that was funded under this funding mechanism in 2025 or earlier”. 

Delivery at Levels 3 to 7 (non-degree) on the NZQCF and all industry training

• Updated funding rates. 
• Updated the definition of one EFTS unit for work-based learning. 
• Removed clauses relating to Standard Training Measure (STM).
• Replaced reference to “Funded STMs” with “Funded EFTS” next to the funding formula.
• Aligned fund purpose with other delivery funding determinations (no policy change is intended).
• Clarified requirement to embed literacy and numeracy as part of work-based mode delivery at Level 3.
• Simplified references to priorities and expectations for Learner Component funding.
• Within the Learner Component, removed Māori and Pacific learners as an eligible learner category, in accordance with a Cabinet decision to “remove Māori and Pacific learners as a category for Learner Component funding and reinvest this funding into provider-based delivery funding rates” [CAB-25-MIN-0085.01].
• Removed paragraphs relating to specific performance expectations for Learner Component funding.
• Removed references to the “work-based: pathway to work” mode of delivery.
• Removed paragraphs relating to the first-year Fees Free scheme and conditions no longer necessary for the administration of Fees Free.
• Set the Annual Maximum Fee Movement (AMFM) rate at 6 percent.
• Added Mathematics as a new delivery classification.
• Added a clause to allow overseas learners to be funded if “the learner is studying in a Realm country (namely, Tokelau, the Cook Islands, or Niue) in 2026 and is enrolled in a programme that was funded under this funding mechanism in 2025 or earlier”. 

Delivery at Levels 7 (degree) to 10 on the NZQCF

• Updated funding rates.
• Updated the cap for the medical undergraduate year 1 intake.
• Removed paragraphs relating to the first-year Fees Free scheme and conditions no longer necessary for the administration of Fees Free.
• Set the Annual Maximum Fee Movement (AMFM) rate at 6 percent.
• Added Mathematics as a new delivery classification.
• Added Mathematics as a funding category to implement the targeted cost adjustment to Mathematics provision.
• Added a clause to allow overseas learners to be funded if “the learner is studying in a Realm country (namely, Tokelau, the Cook Islands, or Niue) in 2026 and is enrolled in a programme that was funded under this funding mechanism in 2025 or earlier”. 

English Language Teaching (ELT)

• Updated funding rates.
• Added charter schools to the list of eligible TEOs.
• Clarified that the purpose of the ELT Intensive Literacy and Numeracy Fund (ELT ILN) is to increase opportunities for adults, particularly migrants and refugees, to engage in English literacy and numeracy learning.
• Clarified the purpose of the ELT Refugee English Fund to better reflect the intent of raising learners’ English literacy and numeracy skills to help them enter employment or undertake their choice of vocational or degree-level education.
• Clarified that there aren’t two different groups of learners progressing through the fund by replacing the term “learners” with “them” in the purpose section.
• Clarified that programmes funded by ELT ILN must have numeracy outcomes.
• Clarified that learners funded by ELT ILN must have low numeracy skills (as well as low English language and/or literacy skills).  
• Clarified that the hour intensity of ELT ILN is per learner.

Gateway

• Replaced the term “TEOs” with “schools” to better reflect the fund’s intent and use. 
• Clarified that the eligible students in Gateway will achieve, on average, 20 credits towards qualifications in either NCEA or another qualification on the NZQCF. 
• Expanded the eligibility for programmes funded under Gateway to include standalone micro-credentials. This change will allow learners to access a wider range of programmes and align Gateway with changes to the wider tertiary education system by recognising the value of standalone micro-credentials.

Literacy and Numeracy Provision

• Updated funding rates. 
• Added charter schools to the list of TEOs eligible for Intensive Literacy and Numeracy and Workplace Literacy and Numeracy (WLN) funding.
• Added a new clause to allow learners, whose disability represents exceptional circumstances that prevent them from being assessed using the Literacy and Numeracy for Adults Assessment Tool, to still be eligible for funding under this fund. 
• Added a new clause allowing synchronous online delivery where this is in the best interest of the learner/s.
• Added “enabling access to education and the TEO’s capability to deliver effectively” as a consideration for online synchronous delivery.
• Clarified that TEC approvals for asynchronous delivery are valid for multiple years unless revoked.
• Added the ability for the TEC to revoke approval for asynchronous delivery.
• Removed the following from disqualifying circumstances for learner eligibility for the WLN Fund:
  • Enrolled in a programme or micro-credential at Level 4 or above on the NZQCF
  • Enrolled in a New Zealand Apprenticeship.
• Added that the prior written approval of NZQA is necessary to subcontract where the TEO is quality assured by NZQA.

Māori and Pasifika Trades Training (MPTT)

• Added micro-credentials to the list of provider-based delivery eligible for fee top-ups under this fund.

Youth Guarantee

• Updated funding rates.
• Added charter schools to the list of eligible TEOs.
• Added that providers may be funded to deliver the NCEA literacy and numeracy co-requisite standards under the Youth Guarantee fund.
• Added that the delivery of the NCEA literacy and numeracy co-requisites standards is exempt from the 2.5 EFTS limit set on eligible learners; and that the TEC may specify exemptions to this limit.
• Added the NCEA literacy and numeracy co-requisite standards to eligible programmes.
• Added a new clause allowing synchronous online delivery where this is in the best interest of the learner/s.
• Added “enabling access to education and the TEO’s capability to deliver effectively” as a consideration for online synchronous delivery.
• Clarified that TEC approvals for asynchronous delivery are valid for multiple years unless revoked.
• Added the ability for the TEC to revoke approval for asynchronous delivery.
• Replaced references to “organisations” with “tertiary education organisations (TEOs)”.