A new vision for skills
– addressing failings in skills training
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At the annual Association of Colleges conference in Birmingham on 16th November. Business Secretary Vince Cable and Skills Minister John Hayes launched the Government’s strategy for reform of the further education and skills system which they believe will improve the skills of the workforce, the performance of the economy and engagement in learning.
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Vince Cable outlined his vision for the FE sector based on the Skills for Sustainable Growth strategy, which intends to boost the number of adult apprenticeships and fund basic skills courses for those who have left school without basic reading, writing and maths abilities. It outlines plans to invest £605 million in adult apprenticeships next year and create an extra 75,000 apprenticeship places by 2014-15 despite the fact that, under the spending review, the further education budget will be cut by 25% by 2014-15 also.
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It also pledges to improve the apprenticeships package so that level 3 (A-level) becomes the target level, while a £210 million investment in adult and community learning to support personal development will also be protected.
Other targets include replacing Train to Gain with an SME-focused programme to encourage small employers to train low-skilled staff and help people who are receiving job-seeking benefits to secure work through labour-market-relevant training.
Cable said that the strategy was designed to promote economic growth by addressing the “current failings in skills training”, but he acknowledged that funding was tight – following last month’s spending review the further education budget will be cut by 25% by 2014-15.
Investing in Skills for Sustainable Growth sets out how Government seeks to achieve its objectives through investing strategically in FE and skills over this Spending Review period. Savings will have to be made, but the Government understands the importance of continuing high levels of participation and performance.
The skills investment strategy revealed that only £100 million of Train to Gain’s billion-pound budget would remain for a work-based training scheme for small businesses.
A cut to the entitlements of benefit claimants for free training was also announced, restricting it to jobseekers. The AoC calculated it would affect 48,000 people now in education, ranging from asylum seekers to the dependants of people on jobseeker’s allowance.
Further Education, Skills and Lifelong Learning Minister John Hayes, said:
“Despite a reduction in the FE and Skills budget, we are continuing to protect and invest in programmes that provide the highest quality and greatest benefit to the maximum number of people. Replacing Train to Gain with funding for work place training prioritised on SMEs will to help employers with a small workforce train low-skilled staff. And as we continue to expand apprenticeships and reinvigorate community learning more people will be able to build their skills and fulfil their potential.
“The acquisition of skills enables people to progress in learning and work and delivers social benefits too. I want to see the development of a culture of learning with individuals and employers driving forward the skills system and contributing to the learning they receive.”
KEY POINTS:
The reform of the skills systems includes:
- Expanding the numbers of adult apprenticeships available, so by 2014-15 there will be 75,000 more adults starting than under the previous Government’s plans; 200,000 adults will be able to start an apprenticeship. We will invest £605 million in adult apprenticeships in the 2011-12 financial year;
- Improving the apprenticeships package, so that level 3 (A Level equivalent) becomes the level to achieve, and there are clear progression pathways;
- Fully funding training for young adults aged from 19 up to 24 undertaking their first full level 2 (GCSE equivalent) or first level 3 qualification when they do not already have one;
- Fully funding basic skills courses for individuals who left school without basic reading, writing and mathematics;
- Protecting investment of £210 million in adult and community learning, to support personal development, inclusive communities and a route into formal learning for the disengaged;
- Introducing Government-backed loans from 2013-14 for learners aged 24 and over undertaking level 3 or higher qualifications. This will give people access to finance. They will not have to make their contribution to costs of the course until they are reaping the benefits of it and earning a decent wage;
- Initiating a demand-led growth and innovation fund of up to £50 million of government investment a year, to support employer-led initiatives within sectors, such as new professional standards, and to promote leadership and management in small and medium enterprises;
- Replacing Train to Gain with an SME focused programme to help small employers train low-skilled staff;
- Helping people who are on active job-seeking benefits to secure work through labour-market relevant training; and
- Reducing bureaucracy in the sector. We will continue to free colleges and training providers from red tape so they can respond to the needs of employers and learners. We will simplify the complex funding system and from the 2011-12 academic year there will be a single adult skills budget.
COMMENTS:
Dr Adam Marshall, Director of policy at the British Chambers of Commerce, said: “We are pleased that the government’s new approach to skills has business growth at its heart.
“The government has taken up a number of our long-standing recommendations, including the need to focus limited resources on technical skills, on apprenticeships, and on helping small and medium-sized businesses get access to the right workforce.
After all, these are the companies that will drive employment and productivity growth in the years to come.”
TUC general secretary Brendan Barber said: “There is much to welcome in the strategy – plans to increase the number of apprenticeships, continued free courses for adults who struggle with their reading and writing, and the recognition that unions are key to helping people sign up for learning at work.
“But at a time when UK employers are still putting far too little money into training their staff, cuts to the funding of courses which adults can currently access for free will force many more employees who want to get on at work to fund their own training.
“At a time when inflation is high, pay is being squeezed and hundreds of thousands of job losses are on the cards, paying for training is likely to be a very low priority for cash-strapped workers.”
Further information here
Jason McGee-Abe
Project Support Officer
www.yesminister.org.uk
