Apprenticeship growth pilot cash would reach just 15 ITPs

Just 15 independent training providers would be eligible to receive the government’s new £3,000 apprenticeship top-ups if recent trends continue, FE Week analysis has revealed.

Treasury ministers this week announced 13 apprenticeship standards have been chosen to attract an extra £3,000 on top of their current funding band through a £50 million apprenticeship “growth pilot” from April.

But strict rules require training providers to start at least 15 apprentices to access the bonus funding.

The two-year growth pilot was announced in November’s autumn statement, but details only emerged this week ahead of the spring budget.

The chosen standards include laboratory technician, science manufacturing technician, and machining technician and all range from levels 3 to 5. In 2022/23, between 100 and 340 apprentices started each of the 13 standards.

Gareth Davies, exchequer secretary to the Treasury, stated in a written statement to Parliament on Monday: “The pilot will boost funding for eligible providers delivering 13 high-value advanced manufacturing and engineering, green and life sciences apprenticeship standards.”

The Treasury said growth pilot top-ups are “intended” for capital funds, like tools and machinery, that will “last beyond delivery of a single apprenticeship.” It’s not clear what, if any, checks officials will do to make sure the growth top-up is spent on capital.

‘Not just colleges’

Independent training providers, unlike further education colleges, rarely get access to capital funding. The apprenticeship funding rules explicitly categorise capital purchases and maintenance of parts and machinery as “ineligible costs” when pricing up how much they can claim in funding.

Further guidance on growth pilot spending is expected later this month.

Simon Ashworth, director of policy at the Association of Employment and Learning Providers (AELP), said: “Although the pilot of 13 initial standards in phase one is quite narrow, what is encouraging is that capital investment is being supported as part of this pilot funding – and is open to all provider types and not just colleges.

“This is something AELP have been calling for and we are pleased this has been recognised by DfE and HMT. ITPs deliver most apprenticeships, so we welcome this agnostic approach to extra funding to support growing additional capacity in the apprenticeship programmes.”

FE Week revealed earlier this week that training providers will have to deliver at least 15 starts to access the growth pilot funding, indicating a minimum payment of £45,000.

Using training provider starts numbers from 2022/23, the top-ups would cost at least £6.7 million per year from the pilot. It’s not yet been announced what the remaining pilot funding will be spent on.

Just 15 ITPs

Our analysis shows that just 35 of the 147 training providers that deliver the 13 apprenticeships started at least 15 apprentices last year.

Of those, 15 are further education colleges, another 15 are independent training providers, four are employer providers, and one is a university (London South Bank).

Some training providers will do very well out of the pilot. If the pilot scheme was in place for 2022/23, 12 training providers would receive over £100,000.

Bridgwater and Taunton College delivers five of the growth pilot apprenticeship standards. It clocked up over 15 starts in two of those: 131 apprentice water environment workers and 16 apprentice pipe welders. Combined, that could yield a windfall of £441,000 through the growth pilot in one year alone.

Meanwhile, for laboratory technician apprenticeships, Tiro Training Limited delivered 114 starts in 2022/23 which, if repeated from April 2024, could generate £342,000. Jancett Childcare and Jace Training Limited would receive £279,000 for their eligible starts and West Suffolk College would receive £192,000. 

Large employer providers such as BAE Systems and the National Grid could also stand to benefit.

BAE Systems started 42 apprentice plate welders#, and the National Grid and the British Army started 22 and 23 apprentice electrical power network engineers, respectively. If repeated, this could see an extra £126,000 go to BAE Systems, £69,000 go to the British Army and £66,000 go to the National Grid through the pilot.

FE Week understands the growth pilot has been specifically designed to help existing providers scale up the chosen apprenticeships to deliver value for money.

Matt Butcher, vice principal for commercial, skills and partnerships and New College Swindon, questioned the minimum number of starts threshold.

He said: “My concern here is the minimum number of starts required for the additional funding. I can’t see the rationale, as surely the point is around incentivising providers to grow into these sectors. As most of them are currently low in terms of start volumes, 15 is actually a sizable cohort. Incentives only work if you can achieve them.”

Five of the 13 growth pilot apprenticeships already attract the highest apprenticeship funding band rate of £27,000, meaning eligible providers could claim up to £30,000 for those starts from April.

Principal resigns weeks after Ofsted downgrade

A Somerset college principal has resigned with immediate effect after quality and financial problems came to light.

Jayne Davis stepped down as the head of Bath College during half term for “personal reasons”.

She will be replaced in the interim by college troubleshooter and FE Commissioner special adviser Martin Sim.

The leadership change comes weeks after Ofsted downgraded the college from ‘good’ to ‘requires improvement’, in a report which warned that leaders “do not have sufficient and consistent oversight of the quality of education” for its 5,000-odd learners, and “do not recognise weaknesses quickly and accurately”.

Bath College also missed the government’s January 31 deadline for publishing its 2023 accounts, with the latest published board minutes suggesting the financial health of the college is worsening.

Davis served as a deputy principal at the college from 2016 and took up the top job in 2021.

Jayne Davis

Bath College chair Andy Salmon, who previously spoke of the “significant pressure” put on staff involved in an Ofsted inspection, told FE Week it would be “wrong for us to comment” on the “personal reasons” that led to Davis handing in her resignation.

He thanked Davis for her “considerable contribution” to the college, but added: “While acknowledging all that Mrs Davis achieved, it is also important that we look to the future to ensure our educational success and financial sustainability.”

Financial statements for 2022 show that Bath College’s deficit grew to £1.1 million, an EBITDA (earnings before interest, taxes, depreciation, and amortization) of £904,000, £3.9 million in cash and a ‘good’ financial health rating with the Education and Skills Funding Agency.

But board minutes throughout 2023 suggest finances have begun to deteriorate. Governor meetings discussed how the college breached bank covenants and its financial health rating had dropped to ‘requires improvement’.

The minutes also said the college will record a bigger deficit than forecasted in the 2023 accounts, with cash falling and staff costs rising.

In a May 2023 meeting one governor suggested that a “root and branch business transformation approach might be required if the college remains in a position where it cannot achieve surplus”.

The chair then commented that volume of income in future years needed to increase “significantly to enable an offset against the cost challenges in year”.

Its latest accounts noted how there is an “optimum size” of colleges that secures stability, sustainability, facilitates investment and security. Research has shown this to be around £25 million income, but Bath College’s total income sat below £22 million in 2022.

The college is also engaged in a potentially costly legal dispute. Its 2022 accounts described how an unnamed organisation is claiming payment for work it claims to have done on the college’s behalf, seven years ago, amounting to £426,000.

The college “does not believe anything is due to this organisation and is defending the claim”, the accounts added.

FE Week understands the board is concerned about potential financial risks to the college were the case to go to court or to fail, and therefore authorised Davis to negotiate a settlement up to a ceiling of £150,000.

The college told FE Week it cannot comment on legal proceedings but confirmed the case is ongoing.

Incoming interim principal Martin Sim served as a deputy FE Commissioner from 2019 to December 2023, and currently acts as an adviser to the commissioner.

He’s been parachuted into several struggling colleges in recent years including West Nottinghamshire College, Barnfield College, Gateway College, Nottingham College and most recently City College Southampton.

Salmon said Sim was appointed through a recruitment partner and while the college works closely with the government and FE Commissioner’s office, there is currently “no formal intervention in place”.

The chair told FE Week that the college’s student recruitment levels are “strong”, but there is “work that needs to be done to help us achieve our ambitious target of a good financial health rating over the next few years”.

He added: “As part of this, we are looking at how we enhance our financial planning and resilience. We have, for example, been working with our auditors to finalise two details in our latest annual accounts to ensure that the figures that we publish are robust and accurate.”

The college expects to publish its 2023 accounts “around the Easter break”.

Sim will take the reins after the Easter break. Until then, the college said its executive team, chair and board will “work closely with internal and external stakeholders”. 

Big Listen: Ofsted explores ‘withholding’ safeguarding failure reports

Ofsted is considering whether it should “withhold” reports for three months where education providers fail on safeguarding, but are otherwise ‘good’, so they have a chance to fix issues before publication.

The watchdog will launch its “big listen” this morning, a 12-week consultation on further inspection changes following the death of headteacher Ruth Perry.

The survey also comes against a backdrop of increasing legal challenges to Ofsted ratings by FE providers, as well as challenges to its “not fit for purpose” complaints procedure.

Chief inspector Sir Martyn Oliver will vow to listen to criticism and ideas for “big reforms”, reiterating “nothing is off the table”.

Many of the questions ask for wider feedback about the experience of schools, colleges and providers on four “priorities”: how Ofsted reports on findings, carries out inspections, the impact inspection has, and the organisation’s culture.

But there are some potential policy changes outlined.

Withholding reports plan

Following an internal review, the inspectorate is “considering” a change in approach so “where safeguarding arrangements are ineffective, but the school is good or better in all other areas, it could “withhold finalising a judgement for three months”, thus delaying the report.

Ofsted would then reinspect safeguarding and if the issues were fixed, rate it ‘good’ or ‘outstanding’. 

This suggests that should the provider improve, its previous failing would not be reported, but Ofsted said no further details have been worked out as yet, and it is open to views.

While the consultation only appears to seek feedback from schools on this proposal, the watchdog confirmed to FE Week it also wants to hear from further education providers and if implemented, any change is likely to apply to FE.

In December, a coroner ruled that an Ofsted inspection at Caversham Primary School contributed to Perry’s suicide. The school had failed on safeguarding but was otherwise deemed to be performing well.

‘Every voice will be heard’

Speaking at the Association of School and College Leaders conference in Liverpool this morning, Oliver will say: “We need to listen to feedback. To criticism. To ideas for small changes and for big reforms … Every voice will be heard, and nothing, nothing, is off the table.” 

School and college staff, education organisations and parents are urged to complete an online survey. 

Ofsted will also commission a series of focus groups with “parents and professionals to gather views on Ofsted’s future direction”.

The watchdog will also seek views on whether to create a safeguarding judgement that is separate from leadership and management – something Labour has suggested it would take forward if elected.

But there is no specific proposal on axing single-word judgments, which would require a change in government policy. However, a free text box in the section of the consultation on reporting can be used for feedback on this issue. 

Disadvantaged young people ‘at heart of reforms’

Oliver has pledged to “champion high standards for all children, especially the most disadvantaged and vulnerable”. Ofsted said poorer learners will be “at the heart of future reforms”.

Views are sought on the importance of reports making clear how disadvantaged students are supported, and includes separate sections aimed at further education providers, schools, the social care sector, and teacher training inspections.

On impact, the survey asks how the inspectorate can best “improve lives and outcomes”, including a question about whether it should be given the power to inspect part-time direct entry provision for 14- to- 16-year-olds in college as well as higher technical qualifications.

Geoff Barton, general secretary of the Association of School and College Leaders, said the consultation was an “important step in resetting the broken relationship between Ofsted and schools and colleges”.

Chief executive of the Association of Colleges David Hughes added: “Colleges have a unique role across children, young people, adults, skills and working with employers, which Ofsted must learn to both understand and appreciate.

“Ofsted has a wide remit, and we want to help support Martyn Oliver lead the cultural change we believe is needed and support inspectors to fully understand the complexity of the college work.”

The consultation will close on May 31. Findings will be published “later this year”.

AQA to launch free digital maths tests for GCSE resitters

England’s largest exam board will launch a free digital maths test to help teachers work out why students are struggling, but has delayed plans to introduce on-screen exams.

Developed by AQA over the past 18 months, the test is aimed at students in the first few years of secondary school or those preparing to study towards a maths GCSE resit. 

The on-screen test is powered by “adaptive technology” that reacts to the answers a student gives. It will be available to all schools and colleges, regardless of whether they use AQA qualifications. 

The exam board said it would allow teachers to “pinpoint gaps in a student’s conceptual knowledge – saving the teacher time and empowering students who then know what they need to do to improve”. 

AQA is also working on “how this test data can be used at a large scale so that, for example, multi-academy trusts or colleges can see mathematical concepts students are struggling with across a wide number of schools and campuses”.  

But a move towards on-screen GCSE exams has been pushed back by the board. 

Last year, AQA said it aimed to launch its first digital mock exams for GCSE Italian and Polish reading and listening components in 2025.  

They would then move to live exams the following year, subject to Ofqual approval.  

More would follow until bigger subjects were partly digitally assessed in 2030 – meaning hundreds of thousands of on-screen exams. 

But AQA said it was “continuing to talk to the regulator [Ofqual], school leaders, teachers and exams officers, and now plans to introduce digital Italian and Polish GCSE later”. 

A spokesperson told FE Week the board recognised they “must get this right and maintain public confidence in our exam system, as well as give schools and colleges proper notice before making changes”. 

“We will update when we can on a revised date for implementing these exams.”  

It is understood the 2030 target has not changed. 

The new digital maths test will involve each student being asked 30 to 40 questions from a bank of around 150. The test will analyse responses and offer the next question suited to their learning needs – dubbed a “Goldilocks approach”. 

This will avoid questions “that are either too hard or too easy, and quickly establishes a young person’s level of conceptual knowledge”. 

AQA CEO Colin Hughes said: “We know that many students struggle in GCSE maths because they don’t have a firm understanding of its fundamental concepts. 

“Students have told us that they find the new test engaging, since it offers rapid feedback that tells them what they need to work on.” 

Pioneering employer partnerships have helped us plug the SEND budget gap

FE Week recently revealed that councils have spent just one per cent of funds earmarked for SEND places with post-16 providers. Yet as a specialist college for young people with complex disabilities and learning difficulties, we are dependent on local authority funding for the provision that our 320 full-time students need.

The long-term squeeze on public sector budgets means we have had to find additional ways to fund skills-based provision – essential if we are to buck a disgraceful national trend which sees less than five per cent of people with learning disabilities in paid employment.

So eight years ago we launched our first supported internship programme with Severn Trent Water, giving our learners high-quality work placements with a realistic chance of securing a job at the end of the year. I’m delighted to report it’s still going strong.

This led to similar partnerships with other major businesses which saw the huge potential workforce in SEND specialist colleges, including Holiday Inn, West Midlands Police and Evtec Automotive.

In 2019 another employer partner, Premier Inn, opened a three-room training hotel at our Coventry campus, a significant investment and a huge vote of confidence in the college.

Five years on and Hereward is working with parent company Whitbread PLC to help deliver the national rollout of its Thrive programme, which aims to place mini training hotels across the country while delivering on a stated 100 internship places per year for young people with disabilities and learning difficulties.

We are now looking at two more mini hotels dedicated to the training of learners with SEND being constructed in new geographical locations by September.

Having run supported internships since 2016, we have never encountered a large employer which has been committed to enhancing the capital resources of specialist FE providers in the way Whitbread has.

Nationally, 4.8 per cent are in paid employment – a shameful statistic

Indeed, Janet Tidmarsh, head of inclusion and development at Whitbread, says the partnership is just as beneficial to the hospitality giant as I know it is for the college and its learners. The company recognises the value of a more diverse workforce, and employing more young people with special educational needs is an important part of its people strategy.

This innovative approach has brought a number of additional benefits to the college, alongside the private sector investment which we simply could not have achieved through the public purse in the current climate.

Last year, our supported internship programme had a 100 per cent retention rate and a 94 per cent pass and achievement rate for our 32 interns on 12-month employment placements. The very positive outcomes saw 81 per cent of participants going on to gain paid or voluntary work. This compares to only 4.8 per cent of people with learning disabilities being in paid employment in England – a shameful statistic.

This did not go unnoticed when a team of ten Ofsted inspectors, including a national lead for skills, visited our Tile Hill campus last April. We received the highest possible grade for skills while our high needs provision, which includes all of our full-time learners, was graded as ‘Outstanding’.

The college now wants to share its success to further the employment needs of young people with SEND. I currently chair the national employment forum for Natspec members and the Regional Colleges West Midlands SEND group. Deputy principal, Rosie Herbert has also joined the Natspec Centre for Excellence Communities of Practice programme which enables colleges to share best practice, network and discuss current issues.

The world of work has recognised the value of investing in inclusive workplaces and in staff that represent our whole communities. Every college should be reaching out to ensure their learners with SEND know the career pathways that are available to them and are empowered to access them. 

For too long, a lack of aspiration for learners with SEND has held them back from being economically active and from finding the personal fulfilment that comes with that. We can’t let lack of funding be the new barrier to their progress.

A more sustained approach to sustainability through CPD

Once upon a time in the ever-evolving land of Sustainabilityville, the residents were engaged in a perpetual game of “Guess What We Care About Today?”

At first, the villagers were all about saving the trees. “Paper is the enemy!” they declared, as they hugged every tree in sight. But lo and behold, a few months later, the trees were old news. Suddenly, it was all about reducing carbon footprints.

The residents traded in their tree-saving campaigns for carbon footprint dancing lessons. “Step lightly, my friends, for the Earth has a delicate dance floor!” they exclaimed, twirling around in their eco-friendly slippers.

Just when the carbon footprint craze reached its peak, a new fad emerged: Sustainable fashion! The villagers tossed their slippers aside and embraced clothes made from recycled fizzy pop cans. “Fashion with a fizz!” they proudly proclaimed.

Yet, as quickly as it began, sustainable fashion faded into oblivion. What came next?

The villagers of Sustainabilityville decided it was time to put down the recyclable fizzy pop can garments and do something more substantial. Recognising the need for consistency, they collectively concluded that a village-wide shift in mindset and a united approach to sustainable changes were the key. The forward-thinking villagers of Sustainabilityville set their sights on the heart of the village: education.

My choice of a story over a conventional blog post reflects our belief at Suffolk New College that education for sustainable development is about changing how we experience and engage with the world. By weaving a narrative, we emphasise the need for a more immersive, dynamic, and adaptable approach to teaching and learning – an approach that aligns with the essence of sustainability itself.

It’s not a static concept; it evolves, just like the characters and plot in a story.

This is about creating a culture of change

Last week, Suffolk New College won the Association of Colleges’ beacon award for education for sustainable development, sponsored by Incenco. What made us different from the other finalists, I believe, is our dedication to sustainability beyond curriculum teaching.

For Suffolk New College, this is about long-term change and creating a culture of change. Sustainability demands that we experience the world in a different way, and that means teaching in a different way.

Our teacher development team have created a holistic CPD programme, aiming not only to integrate sustainability into curriculum areas but also to equip our staff with strategies to nurture sustainable mindsets in learners.

Essential components include critical and systematic thinking, alongside the ability to make decisions that are future-proof. By frequently revisiting these topics in various formats during CPD sessions, we hope to create an environment where sustainability becomes ingrained in our educational philosophy.

Our innovative approach to staff development has included escape rooms, Taskmaster tournaments, gamification activities and creative pledges during CPD days. Departing from traditional CPD formats, these activities prompted staff to reconsider their teaching practices by placing them in the learner’s role.

Our role as educators is not just to impart knowledge and skills but to instil values, attitudes, and a sense of responsibility in our whole college community. By prioritising sustainability in teacher development, staff members serve as genuine role models for environmental and social issues.

This awareness extends to the needs of others, including future generations and marginalised communities, motivating learners to contribute to positive societal change. These values have become ingrained in the culture of Suffolk New College, defining both learners and staff and establishing what it means to “Be Suffolk New College”.

The way I see it, our sustainability success relies on the importance of continuous learning, implementing innovative staff development programs, experimenting with teaching strategies and allocating dedicated time for research into green topics as pivotal components of a holistic approach to ecological stewardship.

Our acknowledgment as winners of this sustainability award is not merely a celebration but an invitation for others to embrace a journey towards a more sustainable and responsible future in education, by rethinking your staff development too.

Enabling colleges to deliver the Advanced British Standard

Broadening the curriculum and bridging the divide between academic and technical qualifications are welcome ambitions within the Advanced British Standard (ABS). Research is clear that broader curriculums benefit students in numerous ways, and a high-quality skills system relies on establishing greater parity between academic and technical routes into employment. Colleges clearly could be well placed to deliver such a framework, with many already offering a high-quality mixture of academic and technical subjects.

However, it’s clear that such ambitious reform will require equally ambitious investment and planning. Given estimates suggest college spending per student in 2024-25 will be about 10 per cent below 2010–11 levels, further funding will be needed to help colleges make the ABS a success. Luminate Education Group is one of the country’s largest groups of colleges and while we’re broadly supportive of the vision behind the ABS, there are challenges that we’re eager to work with policymakers to solve.

Putting what is a predominantly positive vision for 16-19 education aside, it’s important to recognise that the proposals are largely unachievable within current conditions. Simply put, there aren’t sufficient teachers or capacity within our education settings to deliver the increase in teaching hours and assessments that form part of this broader curriculum.

Attracting additional teachers

The long-standing and well-reported challenges in recruiting and retaining teachers cannot be ignored. Last year’s inaugural release of the Department for Education’s annual statistics on the further education (FE) workforce revealed an average of 5.5 per cent of all teaching positions to be vacant across FE providers. Shortages are particularly felt within subjects like maths, physics, construction and engineering. The far higher pay of competitor occupations within these areas makes attracting teachers tremendously difficult.

As evident through the welcome introduction of £6,000 per year incentive payments for teachers of shortage subjects in their first five years, meeting even current demand presents an uphill battle. The ABS only increases this demand. Whether it be facilitating higher numbers of students opting to take a technical qualification or accounting for vast amounts more maths teaching, remedying recruitment and retention shortfalls will be vital.

Provided workforce demands can be met, ensuring some study of maths and English to age 18 has real promise. However, given core maths is complex to teach, upskilling current maths teachers would be needed to meet expected demand. Alongside maths and English, there must also be a focus on embedding digital skills throughout the broader curriculum.

Creating space to learn

At Leeds City College, we host over 20,000 learners and already operate at maximum capacity. Given projections for 200,000 additional 16-18 students by 2030, colleges will require more space. This is particularly acute in cities like Leeds, where there are already higher than average numbers of NEET young people. Investment will be needed to grow capacity, so colleges can offer the space more teaching time across a greater number of subjects requires.

Similarly, a broader curriculum naturally necessitates more assessments. Exam arrangements already pose a significant challenge for the sector. Alongside increasing capacity, there should also be a review of how to enable coordinated approaches within certain geographical areas so resources and space can be used efficiently.

The strong preference for summative, end-point-assessments within the ABS should also be avoided. Continuous forms of assessment could present a solution to assessment-based space constraints as well as a more effective means to judge learner ability, at least in technical subjects.

Unforgotten opportunities

In the early 2000s, the Tomlinson Report sought to move us away from exam-centric assessment. While the ABS proposals acknowledge the importance of practical skills, their emphasis on exam-based assessment undermines the value and practicality offered through a more holistic approach to assessment.

It’s also worth remembering that Tomlinson’s proposals focused on learners aged 14-19. To create greater parity between academic and technical forms of education, there might also be merit in exploring how best to introduce technical options of study from age 14 onwards.

The current ABS proposals are highly ambitious. Melding academic and technical qualifications into a single, broader framework would provide a serious upgrade to our post-16 landscape. To do so, it will need to be implemented correctly – and colleges can play a central role in ensuring its success.

DfE must act to prevent the apprenticeships system from falling APARt

It was fantastic to see employers of all sizes and politicians of all parties come together to celebrate the huge achievements of apprentices and the power of applied learning to transform during the recent National Apprenticeships Week. However, our system is at risk of wasting some of the important gains it has made and falling back again.

Apprenticeships are a huge asset to Britain. But as the digital economy and new technologies such as artificial intelligence transform the world of work, there is today a significant risk that apprenticeship opportunities may be unable to keep pace.

Almost two years ago, in May 2021, the Department for Education (DfE) took the decision to close the Apprenticeships Provider and Assessment Register (APAR) – the list of organisations able to deliver these vital apprenticeship opportunities. It has been effectively frozen in time ever since.

The implications of this decision are profound and far-reaching, particularly for apprenticeships in digital skills: by definition a fast-moving sector where agility and adaptability are not just advantageous but essential. In an age where technology evolves at breakneck speed and the frontiers of AI expand by the day, the rigidity of the current system has come to stand as a stark anachronism, a relic at odds with the dynamism of the digital age.

As a training provider which has helped thousands of learners gain the skills they need to thrive in the digital economy through coding bootcamps, we see first-hand how this damaging decision is constraining the quality and quantity of provision in the UK. And particularly so for the new and emerging skills needs crucial to fuel the growth of the tech sector, as those CoGrammar caters for.

More than 2,500 students have graduated from the government-funded bootcamps and short courses we’ve run in the past year, and we’re also partnering directly with Russell Group universities and employers. But, as things stand, learners going through the apprenticeship route are missing out on these life-enhancing opportunities. As long as the APAR keeps gathering dust, this will continue to be the case.

The rigidity of our system stands as a stark anachronism

Just last week, the government published data showing that graduates of these programmes have the potential to earn 55 per cent more than the national average, with average salaries in technology roles exceeding £70,000. Empowering learners of all ages and career stages with the ability to code professionally opens the door to new job opportunities, whether transitioning to an entirely new career path or advancing to a more senior role.

The current APAR system acts more like an exclusive club than a gateway to opportunity, stifling new, innovative provisions from entering the fray. This exclusivity not only limits diversity but also dampens the spirit of competition necessary for elevating standards and aligning them with the evolving needs of employers and the workforce.

The government is absolutely right to keep a laser focus on quality in provision, but there are also straightforward solutions which could ensure the quality guarantee of an apprenticeship is maintained whilst also allowing for competition and innovation.

One route is to remove any existing provider deemed ‘inadequate’ by Ofsted, or those not actively delivering apprenticeships, as well as enforcing higher standards and vetting processes for providers on APAR.

At the same time, ministers could choose to focus on new providers in priority skills areas so that provision keeps pace with technological change. To keep apprenticeship opportunities aligned with evolving labour market demands, DfE could publish an up-to-date list of priority sectors and, where possible, provide a ‘fast track’ route for new providers in these sectors – particularly where providers have a proven track record of capacity to deliver at scale, meet benchmarks on completion rates and quality of delivery, or are existing suppliers to DfE for other programmes.

The question is not whether the apprenticeship system can afford to change, but whether it can afford not to. As the digital revolution marches on, the need for a more flexible, responsive, and forward-looking apprenticeship framework has never been more urgent. The future beckons—a future where apprenticeships are not just pathways to employment but conduits to innovation and engines of economic dynamism.

To deliver this more inclusive, competitive, and dynamic apprenticeship ecosystem, DfE should first revisit its stance.

Budget 2024: Vote-winning apprenticeship reforms go begging

The spring budget may have been the last substantial fiscal policy event this side of the upcoming general election. Sadly, further education was alarmingly absent from the policy changes on offer. Some 200 new apprenticeship places a year for British film and a £50 million pilot for apprenticeships in the advanced manufacturing, green and life sciences sectors are far from the fundamental reform we need.

In a budget designed to help win the next election, further education has been considered a distraction from the issues the public cares about. This is despite Public First surveys indicating that increased funding for apprenticeship programmes isn’t just supported by voters but is in fact preferred over twice as much as additional childcare support within educational spending, for example.

The value of apprenticeships as an affordable educational route is clear. Those starting a university degree in the past financial year are expected to graduate with a staggering £45,600 of student debt.

And yet apprenticeships have declined dramatically since the levy was introduced. The number of starts has fallen by 157,800, including a near halving of the number of people starting apprenticeships in small and medium-sized enterprises (SMEs) in the four years since its implementation.

Change is now down to the next government. Whatever party forms that government, unlocking skills through apprenticeship reform must be a priority. With estimates that more than 30 million workers, over 90 per cent of the workforce, will need reskilling by 2030, increasing the uptake of apprenticeships and less formal skills development is necessary for a dynamic, innovative economy to continue growing and for raising stagnant levels of productivity.

A key move towards achieving this objective is removing the five per cent co-funding obligation for SMEs. Government must finance the entire cost to encourage more SMEs to participate in apprenticeship programmes. Easing the financial burden and streamlining the process by reducing the administrative burden associated with complex co-funding rules will make the system more user-friendly and minimise the hurdles SMEs face.

Further education has been considered a distraction

Additionally, offering levy-contributing businesses a financial incentive of £1,000 per employee for training could promote continued professional growth and development. This approach would make it easier for companies to engage with the apprenticeship system, potentially leading to formal apprenticeship agreements or, at a minimum, encouraging more staff training.

The Chartered Institute of Personnel and Development (CIPD) has reported a 19 per cent decrease in employer training and development investment over the past 13 years, with per-employee investment now half the average of the European Union. Reversing this decline and driving up investment in employee training is essential to improving productivity and growth.

These changes should not depend on harsh cuts in funding to other parts of the apprenticeship system but could be financed by fully allocating apprenticeship levy funds to apprenticeship programmes, as originally intended. Research by FE Week indicates that last year, the levy generated around £415 million more than was spent. From May 2019 to June 2022, more than £3.3 billion in revenue was returned to the Treasury because of strict rules on using unspent levy funds.

With the apprenticeship levy’s income expected to hit £4 billion by the 2024-25 fiscal year, the gap between the amount collected and the amount invested in apprenticeships is set to increase. Comprehensive reforms are needed to open up the vast economic opportunities further education can provide.

Beyond the kind of budgetary interventions that went begging this week, there is a lot more a serious potential government should offer. For example, the one-year minimum-length requirement does not guarantee quality, but it does hamper adaptability and frequently falls short of addressing the varied demands of both learners and employers.

Instead, a flexible model that modifies the minimum duration on a sliding scale according to level, from six and rising to 24 months, would enable greater accessibility. It would also suit the distinct needs of various industries and roles more effectively and see apprentices climb the ladder of opportunity more efficiently.

Rigid, inflexible rules are holding further education and skills development back. A government that was serious about growth and productivity would have begun to change those this week.

The sector awaits.