UFS funding categories mapped to subject areas in the Course Classification Guide

UFS funding categories mapped to subject areas in the Course Classification Guide

Last updated 28 June 2022
Last updated 28 June 2022

The introduction of the Unified Funding System (UFS) has created six new subject categories for funding purposes and will require all vocational education providers to use the Course Classification Guide to inform their funding rates.

This webpage provides:

  • details on how the new UFS subject categories map to the Course Classification Guide;
  • further guidance about changes to the Course Classification Guide, that we signalled earlier this year, to complement the indicative allocations;
  • relationship between the Industry Training Register and the Course Classification Guide;
  • a new definition for intramural and extramural study for the single data return (SDR).

UFS subject category

SAC funding categories

Course classification guide numbers and subject areas


Humanities, Business and Social Service Vocations

A, J

#03: Arts; Advanced Studies for Teachers; Health Therapies; Humanities; Languages; Social Sciences.

#04: Business; Accountancy; Office Systems/Secretarial; Management.

#5.2: General Education (unclassified)

#14: Law


Trades, Creative Arts, Information Technology and Health-related Professions

B, P

#02: Architecture; Quantity Surveying

#06: Computer Science

#12: Fine Arts; Design

#16: Music and Performing Arts

#17: Health Related Professions

#22: Trades 2 


Agriculture, Engineering, Health Sciences and Science

C, L, V

#01: Agriculture and Horticulture

#3.1: Osteopathy, Acupuncture

#11: Engineering, Technology

#13: Health Sciences

#18: Science


Pilot Training and Priority Engineering

M, N

#11.1: Priority Engineering (leading to qualifications at L5 or above)

#11.2: Pilot Training


Foreign-going Nautical and Specialist Agriculture

S, H

#38: Foreign-Going Nautical

#01: Agriculture and Horticulture (specialist / higher-level provision leading to qualifications at L5 or above)


Te Reo Māori and Tikanga Māori


Currently within #03 – new course classifications - detailed definitions and guidance to follow

#40: Te Reo Māori

#41: Tikanga

Note: Agriculture and horticulture provision that could be coded to #22: Trades (F2) or #01: Agriculture (F3) should generally be coded to #01 (for the F3 rate).


Notes on the UFS delivery component funding categories

  • Course classification codes and subject areas, and the alpha-numeric funding categories, are a feature of the current Student Achievement Component (SAC).
  • The new funding rates for the UFS delivery component (e.g. F1, F2, etc.) are based on a combination of existing SAC funding categories (e.g. A1, B1 etc.). The current alpha-numeric SAC funding categories (e.g. A1, B1 etc.) group a combination of subject areas that are listed in the Course Classification Guide (e.g. #03 Arts, #04 Business).
  • A more detailed list of what specific subject areas are funded under each SAC funding category (which will be the basis for subject groupings in the delivery component) can be found in our guidance in the Course Classification Guide.
  • The Course Classification Guide will be re-published with enhanced guidance by November 2022. We also intend to provide examples to assist with correct interpretation of the Course Classification Guide.

Guidance on changes to the Course Classification Guide

As communicated in May, further guidance regarding course classification changes to accompany the indicative funding allocations and mix of provision templates is provided below:

Course Classification Guide Numbers and Subject Areas Change Guidance
#01: Agriculture and Horticulture

Specialised agriculture and horticulture

We will add specialised agriculture and horticulture as a new subject to course classification code 01 Agriculture; Horticulture. The proposed description for specialised agriculture and horticulture is:

Specialised agriculture and horticulture are programmes at level 5 and above that are targeted at primary industry management.

#11.2: Pilot Training

Update to Pilot training diploma funding

Pilot training diplomas have been approved for funding under the programme rule. This means all courses (both theory and practical) should be coded to #11.2.

This is for TEOs that are already funded to deliver undergraduate pilot training. We’ll review this arrangement in the future for its suitability. We are currently not likely to fund pilot training for providers not already delivering this as aviation delivery is capped and fully allocated.
#18: Science

Defining criteria for courses covered under Science

Science is funded at a higher rate to acknowledge the cost of provision. Therefore, courses coded as #18 Science need to meet the following criteria –

Qualifications that comprise courses under the Science classification must be an integrated programme of study of vocational or professional instruction lasting at least one year. The content must include a substantial practical component where at least 50% of intramural study involves laboratories, field, and allied work to exemplify and expand the theoretical material. Specialised staff must teach it with appropriate technician support, requiring facilities and resources that reflect the academic level of the qualification appropriate to this classification.

If a course does not meet these criteria, it should be classified as #03.
#21 Trades 1 and #22.1 Vocational Training for Industry

Removal of two existing course classifications

We will remove two existing course classifications that are no longer relevant following the introduction of the UFS:

  • Course classification 21 - Trades 1 (all trade courses for trainees under the Industry Training and Apprenticeships): This is only used under SDR source of funding 11 (SOF11); delivery reported under SOF11 will require standard course classifications in 2023.
  • Course classification 22.1 - Vocational Training for Industry: All courses where delivery is comparable to industry training. This will be removed and courses under 22.1 will be mapped to the relevant subject-based category under the delivery component
#22: Trades 2

Clarifying subject areas for Trades

We are clarifying the subject areas covered under course classification code #22 Trades 2. Below is a summary of the changes we intend to apply in the updated Course Classification Guide –

  • All level 2 trades need to be classified as #22 Trades 2
  • Where a subject under #22 Trades 2 was referred to as ‘(pre-trades)’ we removed this reference to clarify that trade qualifications at level 4 and pre-trade qualifications at level 3 are covered under this course classification code. 
  • Removal of restaurant/bar to distinguish the cost differential to deliver food and beverage service training which is aligned to #04 Hospitality. Cooking and catering provision will continue to be covered under #22 Trades 2 in recognition of the higher cost to deliver this provision which requires access to ingredients, commercial kitchens and special equipment.
  • Addition of the following subjects to #22 Trades 2 to accommodate the use of the Course Classification Guide for all vocational education are:
    • Cleaning
    • Food processing (pending review to see if this is better aligned with course classification code 01 Agriculture; Horticulture or 11 Engineering: Technology)
    • Interior Design (e.g. kitchen, bathrooms)
    • Laundry
    • Sign writing
#40: Te Reo Māori and #41: Tikanga Māori

Te Reo Māori and tikanga Māori

Te Reo Māori and tikanga Māori will retain the current SAC rates in a separate sixth funding category (F6) of the UFS delivery component funding rates. This requires two new course classification codes.

Te Reo Māori is assigned course classification code 40 and defined as courses that prepare or develop further the abilities of individuals to understand and demonstrate knowledge of te reo Māori. Principal subject areas include kōrero, pānui , tuhituhi and whakarongo.

Tikanga Māori is assigned course classification code 41 and is proposed to be defined in 2023 as:

Tikanga Māori-based courses establish and strengthen an individual’s awareness, knowledge, and practices regarding te ao Māori (a Māori worldview). Tikanga Māori is informed by mātauranga Māori (Māori knowledge). Tikanga Māori originates accordingly from ngā atua Māori to inform a Māori way of being and knowing. The ‘Tikanga Māori’ classification must only be used for courses predominantly focused on furthering the knowledge of tikanga Māori as opposed to all courses that incorporate some tikanga Māori, e.g. Toi Māori, Te Reo Māori, Taiao.  The TEC acknowledges the importance of tikanga Māori within mātauranga Māori-based programmes.

There is the potential for the definition of tikanga Māori to be amended for 2024 and beyond based on a wider review of te reo Māori and mātauranga Māori funding in the tertiary sector that is being led by the Ministry of Education.

We are working with TEOs that currently use the tikanga Māori NZSCED code to seek feedback on an interim definition for 2023.

Providers should not change their course classification coding for te reo Māori and tikanga Māori until after their December 2022 SDR submission.

Industry Training Register

Previously, Industry Training did not have course classification codes. Industry Training Register submitters have now been supplied with information on the course classification codes and how these need to be used.

Single Data Return

To align with the Modes of Delivery as part of the UFS, we are making minor changes to the Single Data Return (SDR) definitions for Intramural and Extramural.

These minor changes will recognise the ways in which learners seek to access learning.

Intramural and residing in New Zealand

Covers courses where students must attend scheduled teaching sessions in New Zealand in person for the majority of their course in order to meet course requirements. These courses may, however, include periods of supervised research and clinical or field experience which may take place outside the campus, and can also include the option of on-line attendance for some or all teaching sessions.

Extramural and residing in New Zealand

Covers courses for students who are resident in New Zealand where the majority of their scheduled teaching is primarily delivered off-campus in New Zealand. These courses use postal services and online technology as the main method of teaching delivery. These courses may, however, include short periods of on-campus attendance.

Extramural and residing overseas

Covers students who are resident overseas and are unable to attend on-campus courses in New Zealand.

Intramural and residing overseas

Covers courses where students must be physically present in scheduled teaching sessions at a TEO’s campus located in an overseas country in order to meet the course requirements. These courses may, however, include periods of supervised research and clinical or field experience which may take place outside the campus.