Funding and payments

Funding and payments

Last updated 13 January 2023
Last updated 13 January 2023

This page provides information about how Intensive Literacy and Numeracy Fund - English for Speakers of Other Languages (ILN ESOL) funding is set, funding allocation, funding rate, funding calculation, payment and funding recovery.


The Specialised English for Speakers of Other Languages funding mechanism is issued by the Minister responsible for tertiary education. The funding mechanism outlines the general form and essential components of the fund. It provides the mandate for us to allocate the funding and what the funding can be used for, and details how we administer the fund.

Funding is agreed through a tertiary education organisation’s (TEO’s) Investment Plan (Plan).

A TEO that receives ILN ESOL funding is required to:

Funding for ILN ESOL is set through the Government’s annual budget process. We determine the appropriate amount of ILN ESOL funding for a TEO.

Through each TEO’s Plan, we agree the mix of provision (MoP). This includes the:

  • programmes that the funding can be used for
  • allocation of funding towards each programme, and
  • volume of delivery expected from each programme.

Funding allocations

2023 Intensive Literacy and Numeracy ESOL indicative allocations

The 2023 indicative allocation is our early estimate of each TEO’s ‘On-Plan’ funding that each TEO could receive for 2023 if their Investment Plan is approved for funding. We calculate the indicative allocation using a set of allocation methodologies. The indicative allocation methodologies are specific to each fund and are reviewed and revised every year to ensure alignment to funding determinations and the current tertiary environment.

2023 indicative allocations are made available through the My Allocations and Payments app on Ngā Kete on 1st June 2022. This will include additional details that provide the additional breakdown for the allocations.

The details of the 2023 indicative allocation can be found within the 2023 Global Indicative Allocations Methodology [PDF] (PDF, 514 KB) document.

For more details regarding your specific allocation, please contact or your Relationship Manager.

Funding rate

ILN ESOL provision is funded at a fixed rate of $19.40 per hour of face-to-face English language and literacy tuition, i.e. each hour of provision not attended by the learner is not to be reported, and is not funded.

For funding from 1 January 2023, the funding rate for ILN ESOL will increase by a further 2.75% to $20.17 per hour. This is in addition to the 1.2% increase that was applied for the 2022 fund rate.

Note: Delivery to learners receiving less than 20, and more than 500, hours (if eligible) is also funded, not just delivery to learners receiving 20 to 500 hours. See Eligibility. (Programme eligibility).

Funding wash-ups

The methodology and technical specifications for the calculation of 2022 funding wash-ups can be found in the 2022 Global Wash-up Methodology document.

2022 Global Wash-up Methodology (PDF, 1.1 MB)


ILN ESOL funding is paid in monthly instalments. The payment amounts are in equal instalments from January to June, and in equal instalments from July to December.