A study explored the roles of three British further education colleges in different inner-city geographical settings in initiating and supporting inner-city regeneration. Selected colleges initiated and contributed toward local regeneration during 1989-90. The project identified an increasing recognition that there were social and economic problems peculiar to the inner-city environment. The level and combination of problems affecting many inner-city environments and their population and their geographical concentration made inner-city areas need special initiatives. A number of key issues that affected the processes of inner-city regeneration were identified (institutional context and image; needs analysis; links with other agencies and groups; finance and resources; role of senior management and college organization; meeting needs and support for nontraditional entrants; recording, monitoring, and evaluating performance; and outcomes). In many cases, these issues were found to be interconnected so that action or choices in one area affected a college's response in another. (Appendixes, amounting to almost one-half of the report, include a checklist of regenerative initiatives and activities, expansion of some concepts in the report, a list of organizations concerned with inner-city regeneration, examples of college regeneration projects, a note on Training and Enterprise Councils, and a glossary.) (YLB)