Labour conference news – Reforms to apprenticeships and further information about Skills England

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In the Labour conference today, Prime Minister Sir Keir Starmer and Education Secretary Bridget Phillipson announced 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 wider training eligible for funding under the new levy, previously announced by Labour, will develop over time, informed by Skills England’s assessment of priority skills needs. The DfE will set out further details on the scope of the offer and how it will be accessed in due course. Employers are being asked to rebalance their funding for apprenticeships and asked to invest in younger workers. This will also involve businesses funding more of their level 7 apprenticeships.

Alongside this, the first report from Skills England, the government’s new body for the skills system, was announced as 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 findings show 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, 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, and that 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. The report outlines next steps for Skills England which is looking to build an open and collaborative approach to build relationships with partners across the system.