FE News’ Post

🔍 Helen Cuthbert, AELP’s Policy and Stakeholder Manager breaks down there DfE Growth and Skills Levy Webinar: They discussed the future of UK apprenticeships 🧩Key concerns: system complexity, standards relevance, OTJ training 📊Poll results reveal industry priorities for reform 🔄Focus on flexibility, inclusivity, and workforce alignment Read Helen's full analysis on navigating #ApprenticeshipReforms and the upcoming Growth and Skills Levy.  https://lnkd.in/ejcUN85H #SkillsDevelopment #UKEducation

Last week we hosted a webinar with DfE on the Growth and Skills Levy... take a look at the summary below of the session. We were blown away by your engagement and it's been so important to hear from your views #aelp #skillsandgrowth #dfe

Delighted to see the work that AELP has been undertaking along with insight and input from our members on the need for a Foundation Apprenticeship is being taken forward by the new government and indeed the direct reference to "Foundation Apprenticeships" made today by the Prime Minister. We look forward to continuing to work with the DfE on the design and implementation of this new much-needed offer for young people. Making the apprenticeship programme itself more flexible has also been something that AELP has campaigned long and hard for so it is excellent to see that the arbitrary notion of time served as a measure of quality that is now set to be finally reformed. We don't want a return to 6-week apprenticeships, but 12+ months is simply not always needed for many programmes, especially some of those at level 2 and it's absolutely time to move on from an arbitrary one-size-fits-all approach. Alongside this commitment to move to a more flexible approach on duration, there are other pinch-points set to be reviewed, including maths and English policy. Today's narrative from the new government has been to indicate a future pivot on the apprenticeship programme and a redistribution of priority and funds away from level 7 apprenticeships to "rebalance spending towards young people to help them get on at the start of their working lives". We would argue that rather than a redistribution the government could have used some of £800m levy top slice to still do both. More on our press release here: https://lnkd.in/eR7E7mvR It is important to remember that Skills is very much a cross-cutting theme across all of Labour's key missions. It was positive to speak to and hear from many new Labour MPs over the last few days at the Party Conference who were not only interested and recognised the power and impact of our sector, but also already knew about the great work of independent training providers and the impact they have for learners, employers and communities. #FoundationApprenticeships #SkillsMeansGrowth #AskAshworth #Apprenticeshps #LabourPartyConference2024 #Flexibilities #SkillsEngland #OpportunityMission #ITPs https://lnkd.in/eKmqZdXH

Positive announcement by the PM to remove the mandatory coinvestment for 16-21 year olds starting apprenticeships at SMEs from 1st April and to increase levy transfer maximums. I’d wait for the technical detail on this one before finalising documentation: for example the definition of SME and whether it’s the under 50 employees micro definition or another measure. You’ll likely need an employer declaration of some sort of their size and I’d presume this may mean an ILR code to exempt them from co-investment calculations, much like the own employee code. But don’t make any promises to employers just yet, certainly not until the details of how this gets done are made clear. Hopefully that will be in ESFA update this week or next but it’s not a lot of time to get the necessary data changes into the system. More as it gets confirmed by the ESFA where this detail should be made clearer. PM announcement here:

Government Announces Groundbreaking Reforms to Support Apprenticeships and Small Businesses In a landmark announcement today, the UK government unveiled sweeping reforms aimed at revolutionizing apprenticeships and easing the burden on small businesses. Among these changes is the full funding of training for young people and a significant reduction in bureaucratic hurdles for small enterprises. Effective from April 1st, the government will embark on a pioneering initiative to cover the entire cost of apprenticeships for individuals aged 21 or younger at small firms. This ambitious move, supported by a substantial £60 million investment, aims to remove financial barriers and empower young people to pursue career opportunities through apprenticeship programs. Moreover, as part of the reforms, adjustments to the apprenticeship levy will be implemented to stimulate greater participation in apprenticeships. Businesses will now have the flexibility to share up to 50% of unspent funds, thereby encouraging the creation of more apprenticeship opportunities across various sectors. These groundbreaking reforms signify a paradigm shift in the government's approach to skills development and small business support, heralding a new era of opportunity and growth for both individuals and enterprises. Commenting on the announcement, Academy Training emphasised the importance of seizing this opportunity to invest in staff development. Academy Training Ltd’s Executive Director Anthony Bromirski stated "Academy Training stands ready to assist businesses in harnessing these funding opportunities, offering a specialised training programme tailored to the needs of small businesses. With expertise in the multi-channel marketer level 3 apprenticeship qualification, Academy Training is well-positioned to guide businesses through the process of maximizing the benefits of these reforms". The government's commitment to fostering a skilled workforce and supporting small businesses has been met with widespread acclaim from industry leaders and stakeholders. With these transformative reforms in place, the future looks brighter than ever for apprenticeships and small businesses across the UK. Anthony Bromirski Kelly Goddard #AcademyTrainingLtd #Skills #Apprenticeships #reform #smebusiness #multichannelmarketing #traininganddevelopment

Before summer recess finished and the new academic year started this week, I’ve spent the summer working with The St Martin's Group getting ready to launch its new report 📣 Overcoming barriers; unlocking supply to meet the growing demand for apprenticeships. 📣 Published on 11th September following a launch event in Westminster, I’m excited to see this timely report shared as we enter a new parliamentary term with a new government. It's good to see the focus and priority the Government are putting on skills and SMG welcomes reforms that support this, however as the report will show, we need to protect apprenticeships, and we need to consult employers, providers and awarding organisations who know the system well to do this. SMG brings all these parties together and has laid out a comprehensive list of design principles for a new Growth and Skills Levy. There’s a lot to say, but the here’s the ten overarching principles we believe will strengthen the system, protect quality, boost supply and support employers: ⭐ Maintain the parts of the system that work and transform those that could work better ⭐ Build an inclusive all-age, all-level skills system ⭐ Ensure the system is employer led, gives choice, and is flexible to employer needs ⭐ Enshrine quality into every part of the system ⭐ Guarantee all levy funds collected are used for skills and a protected apprenticeship budget ⭐ Protect and ringfence the Levy for paid employees ⭐ Increase training for SMEs – recognising delivering training to SMEs is expensive ⭐ Incentivise employers to train more young people starting out in their careers ⭐ Make use of existing accredited qualifications where they exist (e.g. HTQs, VTQs) delivered by approved providers ⭐ Consult employers, providers and awarding organisations who use the system widely – employers seek certainty, consistency and simplicity https://lnkd.in/ezy2DiAE Brenda McLeish OBE DL Jane Hadfield Mark Botha James Kelly David Gallagher FIEP Jenny Taylor MBE Ruth South Jill Coyle Jamie Pemberton-Legg Nigel Taylor David Smith Jo Bishenden Jo Burgess Rich T. Simon Rouse FIEP FLPI Hannah Connors Julie Grundy Assoc CIPD Paul Heppell Paddy Craven FIEP Freya Thomas Monk Samantha Sawyer Jen Bramley Debbie Bhebhe Alex Khan Simon Little James Swaffield Charlotte Wakeham FCIPD #apprenticeships #skills #growthandskillslevy

As we enter the new academic year, we reflect on the changing landscape of skills and apprenticeship policy. We hope reforms, including the Growth and Skills Levy, will support SMEs to hire apprenticeships, value entry-level skills and embrace a broad and diverse approach to skills development. To strengthen the system, protect quality, boost supply and support employers, the St Martin’s Group’s ten overarching design principles for a new Skills and Growth Levy are: 1. Maintain the parts of the system that work and transform those that could work better 2. Build an inclusive all-age, all-level skills system 3. Ensure the system is employer led, gives choice, and is flexible to employer needs 4. Enshrine quality into every part of the system 5. Guarantee all levy funds collected are used for skills and a protected apprenticeship budget 6. Protect and ringfence the Levy for paid employees 7. Increase training for SMEs – recognising delivering training to SMEs is expensive 8. Incentivise employers to train more young people starting out in their careers 9. Make use of existing accredited qualifications where they exist (e.g. HTQs, VTQs) delivered by approved providers 10. Consult employers, providers and awarding organisations who use the system widely – employers seek certainty, consistency and simplicity Read our full reflections ⬇️ https://bit.ly/4e7EFy1 #skills #skillsforlife #skillsforthefuture #apprenticeships #FE #FurtherEducation

Delighted to share my latest Aldersgate Group briefing on #apprenticeships. Apprenticeships have a crucial role to play in tackling skills shortages, driving economic growth, and advancing the UK’s net zero and environmental objectives. However, we’ve seen a significant decline in apprenticeship starts in England over the past decade, reflecting a broader trend of falling employer investment in skills and training. While the Apprenticeship Levy is often cited as a key factor behind this drop, my briefing highlights that there are deeper, structural barriers affecting both the uptake and provision of apprenticeships that must be addressed. The government has proposed a substantial overhaul of the apprenticeship system, transforming the Apprenticeship Levy into a more flexible Growth and Skills Levy. This change will allow employers to allocate levy funds toward a wider range of training courses. For this reform to be successful, it must be accompanied by complementary policy measures that tackle the broader barriers to apprenticeships. Our recommendations to government include: 1. Provide policy certainty to give employers confidence to invest in skills for their workforce, and for training providers to offer new courses. 2. Boost careers advice and awareness of apprenticeship delivery options. 3. Offer greater financial support to SMEs and apprentices. 4. Make the apprenticeship funding model more transparent. You can view the full report here: https://shorturl.at/Q5Gnq On a related note, I was great to see our submission to the Industry and Regulators Committee’s inquiry on apprenticeships and training referenced in the Committee's letter to the Minister for Skills earlier this week: https://shorturl.at/A15ej

Genuinely brilliant news. The apprenticeship reforms over the last 7 years have been transformative in terms of quality & the breadth of professions IfATE (Institute for Apprenticeships and Technical Education) apprenticeship standards lead to. BUT, if there's part of the system that still struggles, it's smaller firms. Removing the 5% 'co-investment' for apprentices under 22 will really help: https://lnkd.in/eWRwhFnK It's equates to an extra £60 million for apprenticeships, with an estimated 20,000 more apprentices as a result. Side story: the 'co-investment' used to be 10%, until myself & colleagues (esp. Rain Newton-Smith) at CBI (Confederation of British Industry) campaigned for it to be cut to 5% in 2018: https://lnkd.in/ez_FdhBx

This is a thought provoking article. Since the Apprenticeship Levy was introduced in 2017, the Government says that it has 'helped 312,900 people to start their apprenticeship journey'. My experience is that it is driving the wrong behaviours from some organisations in how they are investing it and while there are some shining exceptions, many are not utilising it for its intended purpose at all. Over the 30 years of my career, I have seen a general decline in development and training offered by large employers. And yet it is more vital than ever in a hybrid working landscape. It is suggested that one way forward could be to reform the scheme into a flexible skills levy with a 'ringfenced' apprenticeship element. Whatever the route forward, if we are to continue to grow our economy, we need to invest in strong and deep skills development so that our employees can truly access all opportunities and excel in the workplace.