Pearson helps UK teachers with Covid GCSE and A-levels and restructures for growth

The boss of Pearson today said it was still working closely with the UK government on grading GCSE and A-Levels even though its exams had been scrapped due to Covid.

As children returned to school today, Pearson, whose Edexcel division runs UK exam courses and examinations, CEO Andy Bird said: “We have been working very closely with the Department of Education and schools and universities around the best way to assess children.”

He said Pearson was working with schools to help offer tutoring services for children left behind during lockdowns and is still heavily involved in advising on teacher-assessed grades.

Bird, who joined in October, was speaking after unveiling plans to reorganise the company into five divisions and put up for sale its business publishing courses locally.

He stressed the plan was not just about disposals, however, saying: “As well as selling things off we have a strong balance sheet and could make acquisitions to fit our new strategy but we believe there is an enormous amount of organic growth to come.”

The five key focuses Bird is setting up for the group are the faster growing areas of online and digital learning; English language tuition; workforce skills and accreditation and certification.

Across each area, Pearson would be looking to push direct to the consumer, rather than sitting behind third parties, Bird said.

He said companies would increasingly take over the role of education for many people.

“Corporations are becoming the new universities,” he said.

Pearson was well-placed to help them assess, train and award qualifications and grades, he added.

During the pandemic, such training demand fell from locked-down businesses. Turnover in the year fell 11% to £3.4 billion while underlying operating profit tumbled 40% to £313 million and the group held its total dividend at last year’s 19.5p a share.

The group’s shares jumped 23p to 783.4p.