Ten colleges in England paid chief executives or principals £200,000 or more in base salaries in 2018-19, the latest Education and Skills Funding Agency account data reveals.

That number is lower than in 2017-18, when 12 colleges paid at least £200,000. A four of the colleges in 2018-19, more than one person held the post of chief executive, leading to extra costs. 

Collectively, the leaders of the 10 top-paying colleges in 2018-19 were also awarded £77,000 in bonuses, and £25,000 in other emoluments including benefits in kind. 

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Birmingham Metropolitan College stressed the amount listen in the account was due to more than one person holding the post of chief executive that year. A spokesperson said the accounts data included six months’ salary paid to the former principal, who resigned in October 2018. “The payment to the former principal was contractual and BMet had no option but to pay. The current BMet principal came into post in October 2018 on a salary of £160k per annum.”

 LTE Group paid £205,000 in base salary in 2018-19 - the second-highest amount in the list. A spokesperson said: “The reported salary is awarded for the position of CEO of a national group, which encompasses five education and training organisations that collectively support 100,000 learners. This is an important distinction to make as the CEO salary does not relate specifically to The Manchester College, which is in contrast to many other organisations in the further education sector.

College bosses’ pay: ‘Eye-watering sums’

“The reported figure is the total remuneration package, including an allowance in lieu of pension contributions, with the CEO salary currently standing at £205,000 per annum. This has remained unchanged for a number of years and will continue to do so as the group continues to ensure that it can provide high-quality training and education to our learners while navigating the challenges presented by a global pandemic.” 

At NCG, the 2018-19 year covers the resignation of the previous chief executive and the months leading up to the appointment of the current postholder, who took up her post in August 2019. A spokesperson said: “NCG is a large and complex organisation made up of seven colleges serving tens of thousands of students across the UK. Due to the nature of the role and its nationwide remit, the role of CEO isn’t comparable with a traditional principal’s role in an FE college.

“Remuneration is signed off by our highly experienced independent board and due care is always given to the need to balance value for public money with our ability to recruit the best leaders for the organisation.”

A spokesperson for New City College, another college on the list, said: “New City College is a £100 million organisation with 10 campuses, having undergone five mergers. The salary is appropriate to the chief executive’s role and responsibilities.”  

A spokesperson for Hopwood Hall College said the figures were “not an accurate reflection of the salary level of the college’s current principal and chief executive, but are instead based on the year that the previous long-serving principal and chief executive retired from the college.”

Unison’s head of education, Jon Richards, said that “there’s no justification for some college leaders being paid such eye-watering sums, especially when the sector’s on its knees”.

“Staff pay has been held back for a decade, college buildings sold off and courses axed to cut costs. It’s galling that employees who are working longer and harder for less aren’t getting the wages they should be,” he said.

“Paying principals more won’t improve the sector. Money needs to be ploughed back into colleges, into staff and students - that’s how the further education sector will recover.”

Julian Gravatt, deputy chief executive of the Association of Colleges, said that it’s “absolutely right” that the college sector sets fair and appropriate remuneration to demonstrate value for money. 

“This year’s figures show that governing bodies continue to make evidence-based decisions on senior pay, and very few continuously employed their principal/ CEO on a salary of £200K or above,” he said.

“While colleges are autonomous, they are recipients of public funding so proportionate remuneration should always be encouraged. Where an individual salary may be higher than average, these principals tend to be leading complex and large institutions. And at every turn colleges are as transparent as they can be with their finances, publishing data at regular intervals to allow for scrutiny and accountability.”

Colleges paying £200k or more in CEO salaries

• Birmingham Metropolitan College: £318,000 
• LTE Group: £205,000
• NCG: £238,000
• Cheadle and Marple Sixth Form College: £219,000
• Rotherham College of Arts and Technology: £215,000 
• Weston College: £213,000
• Nottingham College: £207,000
• Hopwood Hall College: £202,000
• Leeds City College: £200,000
• New City College: £200,000 

Leeds City College and Nottingham College chose not to comment. Cheadle and Marple Sixth Form College, Weston College and Rotherham College of Arts and Technology were contacted for comment.