The government is boosting opportunities for young people through
ambitious apprenticeship reforms in England.
The Prime Minister Sir and Education Secretary announced today a new
growth and skills levy which will replace the existing
apprenticeship levy and include new foundation apprenticeships.
These new apprenticeships will give young people a route in to
careers in critical sectors, enabling them to earn a wage whilst
developing vital skills.
The new levy will also allow funding for shorter apprenticeships,
giving learners and employers greater flexibility over their
training than under the existing system - where apprenticeships
must run for at least 12 months.
The training eligible for funding under the new levy will develop
over time, informed by Skills England's assessment of priority
skills needs.
The Department for Education will set out further details on the
scope of the offer and how it will be accessed in due course.
To fund this, employers are being asked to rebalance their
funding for apprenticeships, asking them to invest in younger
workers. This will also involve businesses funding more of their
level 7 apprenticeships – equivalent to a master's degree and
often accessed by older or already well qualified employees -
outside of the levy.
The first report from Skills England, the government's new body
for the skills system, has also been published today. It provides
an initial assessment of the nation's working skills, as well as
future skills needs and gaps which employers are struggling with
across the country.
The report has found that employer investment in training has
been in steady decline over the past decade, with training
expenditure at its lowest level since records began in 2011, with
investment per employee down by 19% in real terms. This
highlights the need for government reforms to the skills and
apprenticeships system.
It also shows that, across the UK, almost 1 in 10, or over 2.5
million roles are in critical demand, with more than 90% being in
roles that require training or education.
The government launched Skills England in July to help identify
skills needs. Skills England will play a crucial role in
determining which types of training will be eligible for the
expanded growth and skills levy and will set out shortly how they
will work with stakeholders to inform their advice to DfE.
The need for jobs and skills varies across industries, with the
health and social care sector experiencing the highest demand,
followed by education, manufacturing, and science and technology.
