Over 40 organisations removed from apprentice assessment register

More than 40 organisations have been removed from the government’s register to deliver final assessments for apprentices, as officials strengthen regulation around the system. 

Data released under Freedom of Information laws to Apprenticeship Data Insight – operated by FE Week publisher Lsect Ltd – found 42 end point assessment organisations (EPAOs) that had previously been on the register (and awarded 2,509 apprenticeship certificates between them) were no longer on there because of changes this year. 

The new system introduced this year requires EPAOs to gain Ofqual recognition and submit their EPA on Ofqual’s register of regulated qualifications, as well as applying to the EPAO register through the Department for Education’s apprenticeship service. 

The DfE then reviews the application submitted to its register and cross-checks that with the qualification on the Ofqual register, before approving its inclusion. 

This more robust regulation system was introduced after years of concern over the organisations that were being allowed onto the EPAO register, which FE Week previously revealed had included one-man bands and companies with no trading history.  

Federation of Awarding Bodies chief executive Tom Bewick said EPA had become a “Wild West market”. 

According to the DfE, EPAOs had until May 16 to make formal applications to Ofqual for recognition and must complete the recognition process by December 31. Its guidance however did stress that those removed from the register will be welcome to reapply for Ofqual recognition and the register later. 

Ten of the 42 EPAOs no longer on the register had not issued a certificate in the last three years, according to the data, with the other 32 having issued a combined 2,509 certificates in the last three years. The United Centre of Excellent Ltd (UCE) issued 339 in the last three years, but twice has been refused entry onto the register. 

It remains in the system attempting to iron out the issues raised by Ofqual in its application, but said it had lost customers as a result. 

Richard Bates, former chief executive of UCE, said the rejection was around UCE’s role as both a training provider and an EPAO, with Ofqual not satisfied there were no conflicts of interest around the firm assessing its own intake. 

It has also faced a 12-week window before it could re-apply. 

Bates said: “We have applied and are still waiting in that window. It was the conflicts of interest that was the problem, and we could show quite clearly that we had a system working around that and had no conflicts, but it was just the wording and the clarity.” 

Bates said the firm, which assessed standards in improvement technicians, practitioners, professionals and leaders from levels 3 to 6, would have preferred to have seen Ofqual visit and carry out an audit. 

“I know why they put Ofqual in to do that, I can appreciate that and we are happy we have got proper governance now, but the only thing is it has taken too long – it should have been done right from the start,” Bates said. 

Others, such as the Association of Taxation Technicians (ATT), opted not to apply as a commercial decision. 

The ATT, which issued 231 certificates in 2019/20 and 20/21 but none in 2021/22, said it did not apply for Ofqual recognition at all given the number of EPAs it was issuing, and was only involved in one standard – level 4 taxation technician. 

Rosalind Baxter, institute secretary and director of education at ATT, said: “We always have around 5,000 students per student qualification at any given time, but we never got over 100 per session on the EPA, and sometimes a bit lower than that. 

“If you weigh that up against the requirements of going into Ofqual, it’s hard to stack that up resource-wise as we are a charity.” Instead, ATT opted to work with NCFE for the same standard, and was able to ensure existing apprentices could transfer. 

Jeremy Hay-Campbell from Manpower Services Ltd, which issued just over 300 certificates in the last three years, said the firm opted to withdraw from delivering EPAs as a commercial decision following a review earlier this year. 

According to the data obtained by ADI, City and Guilds issued the most certificates in the last three years (37,000), followed by Innovate Awarding Ltd (25,629) and Chartered Management Institute (22,932). 

There are now 285 EPAOs left on the register. 

Sixth form and FE college quality hits new high

The quality of education at sixth form and general further education colleges has hit a record high, FE Week analysis of latest Ofsted data has revealed. 

Top ratings for independent training providers have, however, begun to fall. 

FE Week analysis of inspection grades shows that 100 per cent of the 44 sixth form colleges in England had an ‘outstanding’ or ‘good’ Ofsted rating as of August 31, 2022 – 13 percentage points up on the same period last year. 

And 88 per cent of general FE colleges achieved a grade one or two in their most recent inspection – 11 percentage points up from the 77 per cent achieved in 2021. 

The findings are expected to feature in the education watchdog’s annual report for 2022, due to be published on December 13. They show that colleges are faring better under Ofsted’s education inspection framework which puts more emphasis on the quality of education rather than data. 

College sector chiefs have been buoyed by the figures. 

Bill Watkin, chief executive of the Sixth Form Colleges Association, said the data “reflects the extraordinary efforts made by staff and students in the sixth form college sector”. 

“For every sixth form college to be judged as ‘good’ or ‘outstanding’ is remarkable, particularly given the disruption caused by Covid. We are proud to represent such a high performing sector,” he added. 

More than 30 sixth form colleges have converted to academy status since this became possible in 2015, at which point they get their Ofsted grade wiped. The SFCA does not think this process has impacted the proportion of ‘good’ and ‘outstanding’ sixth form college grades, however. 

A spokesperson from the Association of Colleges said there are several possible reasons for the increase in ‘good’ and ‘outstanding’ general FE college grades, including the merging of weaker colleges with better performing colleges and college groups, as well as “this cycle of focusing on those with historically poorer grades, which lots of hard work has gone into turning around”. 

However, the AoC warned government that historic underfunding risked impacting on quality and provision, and stressed that properly funding colleges would protect future delivery. 

Elsewhere, 96 per cent of adult community education providers secured a grade one or two in the most recent inspection – up four percentage points on 2021, while the numbers of 16-to-19 academies in the top two grades at their most recent full inspection were up six percentage points to 98 per cent. 

In addition, 79 per cent of independent specialist colleges were in the top two grades – up four percentage points on last year, despite less than half of those inspected in the 12 months up to the end of August receiving an ‘outstanding’ or ‘good’. 

Independent providers suffer

However, while three quarters (75 per cent) of independent training providers were in the top two inspection boundaries as of August 31, that figure had fallen four percentage points on 2021. 

The proportion of private providers with the top two Ofsted grades sat at 75 per cent in 2019, the point at which Ofsted’s new education inspection framework came in, and grew to 77 per cent in 2020, then 80 per cent in 2021. 

Jane Hickie, chief executive of the Association of Employment and Learning Providers said Ofsted inspections of ITPs were heavily weighted towards new providers. 

“In fact, over three-quarters of ITPs inspected in the last year hadn’t previously had a full inspection and only 63 per cent of these were subsequently good or outstanding,” she said. 

“This drags the overall figure for all independent training providers lower and dilutes the full story of how the range of independent training providers are performing.” 

Hickie added that it was positive to see nearly half of the ITPs previously rated ‘requires improvement’ that were visited last year progress to ‘good’ or better. 

Prisons remain a problem

While sixth form colleges and general FE colleges celebrated rising figures, the ratings for prisons and young offender institutes remained problematic. 

Ofsted’s data showed that of the 22 inspections Ofsted contributed to in the 12 months to the end of August, 21 received one of the bottom two ratings. 

All but one of the 116 prisons or young offenders institutes have a rating, with just 37 per cent judged ‘outstanding’ or ‘good’ – nine percentage points down on 2021. 

Jon Collins, chief executive of the Prisoners’ Education Trust, said it was “extremely concerning” and “not good enough”. 

He said that prison education remained “chronically underfunded” with severe shortages of prison officers and teachers, as well as facilities not being up to scratch, a lack of digital technology and prisoner teachers too often feeling undervalued. 

He added: “The education select committee, the prison inspectorate, and Ofsted have all highlighted the need for urgent action. This data shows that if we carry on as we are education in prison will continue to deteriorate and learners will not get the opportunities they need.” 

Step aside Eton: New trust joins ‘elite’ sixth form race

A Bradford-based academy trust has unveiled plans for an “elite” all-girls STEM sixth form college. But, the proposals have gathered a mixed response from local education chiefs.

Feversham Education Trust is consulting on its early proposals with a view to submitting a bid to wave 15 of the Department for Education’s free school application process.

Government ambitions for new “elite” sixth forms emerged earlier this year as part of its levelling up white paper, targeted at the 55 education investment areas (of which Bradford is one) where it aims to bolster opportunities for disadvantaged pupils.

To date, the most high-profile bids have been from renowned private school Eton College, which has teamed up with Star Academies to submit proposals for selective sixth forms in Dudley, Middlesbrough and Oldham.

The government’s plan proved divisive at the time of the announcement, with the response to Feversham’s bid similarly mixed.

Luminate Education Group, which runs schools and colleges in the proposed catchment, said it was “short-sighted” and “saw little value in the concept of elite sixth forms”.

Gemma Simmons-Blench, deputy chief executive for quality and curriculum, told FE Week: “In an educational context, the elitist model inevitably leads to fragmentation of provision and a ‘winner versus losers’ scenario – the opposite of the inclusive, collaborative approach we and other colleges have been successfully pursuing”.

She said elite sixth forms “will offer nothing for the many students who would benefit from a more technical or vocational approach, rather than a narrowly academic one.”

The group warned that “unnecessary competition” could put some institutions and their programmes at risk of closure.

The sixth form would have 250 students in each year group and admit girls aged 16 to 18 from Bradford and the neighbouring cities and districts.

But a Feversham Education Trust spokesperson defended its plans.

“Given the ongoing need to improve female representation in the STEM sector, and the clear demand from related businesses for jobs and talent both regionally and nationally, we are in the very early stages of considering the establishment of an all-girls STEM sixth form college, to provide a proactive and innovative solution to these challenges,” the spokesperson said.

As part of its consultation, Feversham is asking interested parties whether other specialisms should be considered, such as humanities, English, law or social sciences.

It is also asking for feedback on the types of courses it should offer, including A-levels, T Levels, BTECs and apprenticeships.

The trust already runs two girls secondary schools and a primary, meaning the sixth form would likely provide an avenue of progression for its current students.

The bid has been backed by Bradford Council. A spokesperson said Feversham has “a track record of delivering outstanding Ofsted-rated provision that is valued by the local community.

“We remain committed to working with all partners to deliver improved outcomes in the post 16 phase in the Bradford district.”

The spokesperson added that while there was “not a basic need for places in the district,” the proposal contributes to ambitions of improving post-16 education and “also the national challenge that not enough young women are pursuing STEM pathways into higher education or as a career choice”.

Imran Hussain, Labour MP for Bradford East, also said he was delighted with Feversham’s plans in “opening new doors” for girls’ participation in STEM.

“With girls woefully underrepresented in science, technology, engineering and maths fields and careers, particularly computer science and engineering, the whole country is missing out on the potential that they can bring, and we need to be doing much more to break down the barriers that many women and girls face in taking up these subjects and seeing it as a viable future career.”

NCFE acquires health and leisure awarding organisation

An awarding and end-point assessment organisation specialising in health and physical activity qualifications has been acquired by NCFE.

Active IQ (previously owned by US-based firm Ascend Learning) brings with it over 30,000 learners on its vocational qualifications and 1,600 apprentices, extending NCFEs reach in areas such as personal training, fitness, and leisure management.

NCFE said Active IQ will continue to operate independently as a distinct brand owing to its “highly respected” position in the marketplace.

According to its latest accounts, Active IQ generated £4 million in income in its 2020/21 financial year and employed 42 staff. All current staff will be retained, NCFE said.

Jenny Patrickson, managing director of Active IQ, said: “I’m delighted and excited that Active IQ has joined the NCFE portfolio.

“There is much synergy between Active IQ and NCFE in our core purpose, vision and values and I am confident that joining the NCFE group will enable Active IQ to build on everything we have achieved since we were established in 2003.”

Jenny Patrickson

The amount NCFE paid to acquire Active IQ has not been disclosed. 

FE Week understands that Active IQ’s previous owners were seeking to exit the UK market. Ascend Learning, based in the United States, had another subsidiary company, Premier Global, which ceased trading in June.

NCFE confirmed to FE Week that it has no plans to make changes to Active IQ’s products or services.

The charity’s chief executive, David Gallagher, said acquiring Active IQ will allow NCFE to “better service a broader range of learners and fulfil current and future skills needs”.

He added: “We chose to make this acquisition given that policy direction and market forces are taking us towards consolidation in the market.

“We’re delighted to add Active IQ to the NCFE portfolio. Both organisations are aligned in vision and purpose – Active IQ, like NCFE, prides itself on exceptional customer service and high-quality, transformational learning experiences.”

This isn’t the first time NCFE has taken over another awarding organisation.

The former childcare and early years awarding body CACHE was bought by NCFE in 2015. Its name still features on some of NCFE’s education and childcare qualifications.

Temporary apprenticeship funding uplifts delayed

Temporary funding uplifts for apprenticeships where costs have significantly increased have been delayed.

Government chiefs promised more information on how to apply for the short-term boosts would be released by mid-November, with bids set to open by the end of the month.

However, the Department for Education and Institute for Apprenticeships and Technical Education have been silent on this process since it was announced at the Association of Employment and Learning Providers (AELP) conference on November 1.

The DfE has now told FE Week that its officials will “provide further information in December”. The department gave no indication as to whether the application process would launch at this point.

An IfATE spokesperson added: “We understand the challenge posed to the sector by the increase in the cost of living and we are working closely with the DfE on this issue. We expect to publish updated guidance as soon as possible.”

FE Week understands that the change in the DfE’s ministerial team and the chancellor’s autumn statement has slowed down development of the process.

Association of Employment and Learning Providers chief executive Jane Hickie said her members will be frustrated by the delay in the face of spiralling inflation.

She told FE Week: “Unfortunately, the initial timelines announced at our autumn conference were too ambitious, and it looks like this important process will now take longer than originally planned.

“However, the intent is still there for some kind of intervention which is critically needed.”

The DfE’s director of apprenticeships, Peter Mucklow, told AELP’s autumn conference that the temporary funding uplifts would only be signed off for apprenticeship standards in the hardest hit sectors.

Mucklow said: “Our intention is that from later this month, employers and trailblazers will be able to apply for a temporary increase in funding for individual standards, where they can present conclusive evidence that costs of delivery have been substantially impacted.”

The AELP published research recently which showed funding for current apprenticeship standards was not meeting the true cost of delivery in sectors such as catering and hospitality, transport and logistics, care, construction, and engineering and manufacturing.

It is not yet clear what will constitute “substantial impact” or how much funding is being made available to deliver the uplift.

Mucklow said it was “more appropriate and better value for money for the taxpayer” to take an approach to supporting standards which will be more impacted rather than increasing funding for all standards across the board.

IfATE chief executive Jennifer Coupland told AELP’s conference that she hopes the temporary funding uplifts can be reviewed and approved within a month of the application being received when the process is up and running.

Ofsted to hit university-run college with grade 4

A troubled adult residential college that was forced into a last-minute merger with a university last year is set to be hit with an ‘inadequate’ rating from Ofsted, FE Week can reveal.

Ruskin College will be downgraded from ‘good’ in a report due to be published next week by the education watchdog.

FE Week understands leadership and management will bring the college’s grade tumbling down after inspectors found poor safeguarding processes, including incomplete disclosure and barring service checks on staff.

It will become the only “institute for adult learning” – as classified by Ofsted – to hold the lowest possible grade.

The Oxford-based college, originally founded in 1899, focuses on adult learners and its offer includes Access to HE diplomas, English for speakers of other languages courses, and trade union courses accredited by the TUC.

It has historic links to Oxford University and is renowned for educating working-class people, especially those in the trade union movement.

Ruskin College has gone through a period of turmoil in recent years. It has been subject to a financial notice to improve from the Department for Education since 2014.

The notice was reissued in November 2020 and the Department for Education placed the college in supervised status following a report by then-FE Commissioner Richard Atkins, published in October, which said the provider faced an “uncertain future”.

This was due to the “serious deterioration of its finances” cause by a sharp decline in higher education enrolments alongside a “substantial overclaiming” of adult education and bursary funding due to the misapplication of funding rules and poor record keeping.

The DfE’s Education and Skills Funding Agency clawed back more than £5 million, an issue which led to the firing of former principal Paul Di Felice, and was told to find a strong merger partner to secure its future.

The college was set to merge with Activate Learning, but switched to the University of West London (UWL) at the eleventh hour, joining in August 2021. UWL minutes from October 2021 stated how Ruskin College had been “poorly managed, and governance had been non-existent which had demoralised staff”.

There had been “no management and board accountability. Student recruitment had collapsed and so the college had presented as a clean sheet,” the minutes added.

UWL was unable to comment on Ofsted’s upcoming report ahead of its publication.

FE Week understands that the watchdog’s report will grade the college as ‘good’ in other areas apart from leadership and management.

Sources close to Ruskin College have also said the college received a recent visit from current FE Commissioner Shelagh Legrave, who said “the University of West London makes an excellent partner for Ruskin” and has “a clear educational vision for the college underpinned by strong finances and the capacity to invest”.

She went on to say that UWL has “made significant progress in addressing the unviable operating model you inherited” and concludes that “my team and I are very impressed with the way the University has implemented the acquisition of Ruskin College and the sound foundations you have laid to achieve your vision for the future of this treasured institution”, sources added.

It is also understood that the ESFA has given Ruskin College’s financial plan an assessment grade of ‘outstanding’ for 2021/22 and 2022/23.

We’re prioritising skills to extend the ladder of opportunity to all

Last week, the national finals of the WorldSkills competition were held at colleges across the UK, including Blackpool and The Fylde College and Barking and Dagenham College. These saw talented young people compete in a range of advanced skills – from mechatronics and automation to carpentry and bricklaying. Those who were outstanding will be selected to represent the UK at the next ‘Skills Olympics’ in France in 2024.

WorldSkills is an extraordinary way for participants to competitively hone their skill sets while gaining the confidence and experience they need to forge great careers. They are also inspiring the next generation of students by opening their eyes to the range of opportunities that technical education routes can offer.

Take Jack, who studied advanced manufacturing and engineering at Dudley College and secured a job as a boilersmith at Severn Valley Railway. Competitors such as Jack are all the proof you need that a traditional academic route is not the only path to success.

I would like to congratulate all the competitors: they have done an amazing job showcasing their exceptional talent. They are all winners in my eyes for choosing a pathway that will build their skills and career potential, allowing them to climb the skills ladder of opportunity.

WorldSkills has been running for 72 years, but like the technical and vocational education it showcases it doesn’t always get the attention it deserves.

I know I’m preaching to the converted here. But if we want this to change, we need more people to recognise the huge value of technical and vocational education – for career advancement, earning potential and the economy.

We have come a long way, buoyed by the government’s skills revolution, but there is still more to do to promote these routes to the point where they hold parity of esteem with academic courses.

I’m passionate about social justice and have for many years been a vocal advocate of apprenticeships and technical education.

We have come a long way, buoyed by the government’s skills revolution

Most of you will have heard me talk about the ‘ladder of opportunity’ before. Now that I am back at the department for education, as minister for skills, apprenticeships and higher education, you will hear me speak about it a lot more. It is the sequence through which young people and adults can progress to attain good jobs and career progression, beginning with the social justice required to access and achieve good educational outcomes and get on the first rung of the ladder of opportunity.

The government has an ambitious skills agenda, backed by a £3.8 billion investment over this parliament. We’re using this to expand and strengthen higher and further education, ensuring skills training is aligned to the needs of employers to enable communities to thrive.

This includes supporting more people to earn while they learn with an apprenticeship, rolling out more T levels, establishing our network of 21 institutes of technology and expanding our popular skills bootcamps and free courses for jobs programmes.

We are also simplifying and strengthening qualifications at level 3 and below. This will allow all leaners to be confident that their chosen course will set them on a path to success and give employers confidence that employees will have the skills needed to grow their business.

The fourth rung of the ladder is lifelong learning, giving adults the chance to upskill or retrain at any stage of life. From 2025, our lifelong loan entitlement will transform access to further and higher education, allowing everyone access to the equivalent of four years’ worth of student loans to use flexibly over their lifetime.

My driving mission is to provide this ‘ladder’ to good employment to everyone, which will help build the skilled workforce businesses are crying out for, boost our economy and drive growth. It’s not rocket science. It’s mechatronics. And concrete construction, cloud computing and carpentry skills that will propel this country forward.

8 interesting things we learned from today’s FE data drop

The Department for Education released multiple data sets this morning that show the take up of apprenticeships, traineeships and adult education in 2021/22.

Here’s what you need to know…

First full year of free courses for jobs

After a slow start, the government’s ‘free courses for jobs’ offer of fully funded level 3 courses for certain adults had just under 25,000 enrolments.

When the £95 million policy was introduced in April 2021, adults could only access funded courses if they didn’t already hold a level 3 qualification. That rule was changed in April 2022 when unemployed learners, and those earning below the national living wage, become eligible even if they already held a level 3 qualification.

There have been 24,470 enrolments through the scheme from when it launched in April 2021 up to July 2022.

Statisticians have estimated that enrolments on eligible courses were 70 per cent higher in 2021/22 than in 2018/19 as a result of the policy.

Record low loans

Advanced learner loans received the lowest number of applications in 2021/22 since they were introduced in 2016.

Applications have been in steady decline every year, however the drop from 62,870 applications in 2020/21 to just 49,210 is the largest year-on-year drop.

As a result, the total amount of loan funding in 2021/22 was £130.4 million. That figure was £236.2 million in 2016/17.

The introduction of the free courses for jobs policy has meant that potentially thousands of learners that would previously have taken out an advanced learner loan would have been eligible for full funding.

Public sector apprenticeship target missed… again

Public sector bodies in England with 250 or more staff were set a target by government to employ an average of at least 2.3 per cent of their staff as new apprentice starts over the period 1 April 2017 to 31 March 2021. Figures published last November showed this had been missed as an average of 1.7 per cent of employees started an apprenticeship over that period.

The target was repeated for the period April 2021 to March 2022, as a single-year stand-alone target. Figures published for the first time today show an average of 1.8 per cent of employees started an apprenticeship over that period.

During this one-year target, the armed forces were by far the largest employer of apprentices with an average of 7.1 per cent of employees starting an apprenticeship since April 2021.

The police were next at 2.4 per cent, followed by fire authorities at 2.1 per cent and the civil service, at 1.9 per cent.

Schools have the lowest rate of apprenticeship recruitment averaging at 1.1 per cent since April 2021.

Colleges fail to increase apprenticeship market share

Multiple education secretaries have pleaded with colleges to increase their delivery of apprenticeships in recent years – but the data suggests their calls have fallen on deaf ears.

Of the 349,200 apprenticeship starts in the 2021/22 academic year, private providers were responsible for 65.2 per cent (227,600).

General FE colleges accounted for just 18.7 per cent (65,300) – the same proportion as 2020/21.

Apprenticeship starts increase most for the young

As FE Week reported last month, apprenticeship starts for the whole of the 2021/22 grew 9 per cent on the previous academic year – and it was young people who saw the biggest increase.

Today’s data provides slightly updated figures but the proportions have stayed the same.

A total of 349,200 starts were reported for 2021/22 compared to 321,400 in 2020/21. Last year’s figures are still 11 per cent lower than the 393,400 recorded for 2018/19 – the year before the Covid-19 pandemic.

Of the 349,200 starts, higher apprenticeship (level 4+) reached their highest volume and now represent almost a third of all starts. They accounted for just 4 per cent of starts in 2014/15.

Encouragingly, the share of starts for under 19s increased to 22.2 per cent in 2021/22 from 20.3 per cent in 2020/21. Starts for 19 to 24s and those aged 25 and older saw their proportion of starts drop overall and now account for 30 per cent and 47 per cent respectively.

Another traineeships flop

The government missed its target of 43,000 traineeships by almost two thirds last year.

Just 15,500 starts were recorded in 2021/22 – 36 per cent of the goal. It comes despite the Treasury investing £126 million in traineeships in 2021/22.

This was on top of a £111 million being pumped into the pre-employment programme in 2020/21, when 17,400 starts were recorded against a target of 36,700.

Read our full story on the traineeships data here.

Overall adult numbers struggling to recover post Covid 

Participation in adult education increased by 80,000 learners in 2021/22 compared to the previous year, the first increase in nearly ten years.

Statistics released today reveal that there were 1.72 million adults participating in apprenticeships, community learning and government funded education and training in academic year 2021/22. There were 1.64 million in adult education the year before. There hasn’t been in increase in overall adult education participation since 2012/13.

While this represents a 4.8 per cent increase on the 2020/21 year, when Covid restrictions were still blighting the sector, it’s 25 per cent, or 380,000 learners, short on pre-pandemic levels in 2018/19.

Community learning sees largest rise  

Compared to 2020/21, numbers of adults on apprenticeships increased 3.3 per cent and on funded education and training courses 1 per cent. But participation in community learning increased by 24.9 per cent from 243,700 to 304,400.

The bulk of that increase came from participation in “personal and community development learning”, up 43,100 on the previous year. However, the community learning sector is 186,000 learners short on where it was pre-pandemic is 2018/19.

Huge T Level employer cash incentive underspend revealed

Just £500,000 of a £7 million budget earmarked to entice employers to take on early T Level students for industry placements was spent.

An evaluation report of the “employer support fund” pilot, which offered businesses £750 to cover their tangible placement costs in four regions in England between 2019 and 2021, found the grants supported 843 placements against a target of 32,466.

Just 8 per cent of the total budget was used.

The incentives were upped to £1,000 per placement for the 2021/22 academic year as they were rolled out across the country, and ministers have indicated they could be extended to future years amid calls for support from employer representative bodies.

But today’s findings, which do not examine take up of the bigger incentives in 2021/22, could discourage ministers from extending the grants.

Officials in the Department for Education and sector leaders have been concerned with convincing businesses to host students for the mandatory 315-hour, or 45-day, placements for T Levels – a flagship new qualification designed to be the technical equivalent to A-levels.

The T Level employer incentives were introduced to help overcome this concern. The pilot was rolled out in the South West and West Midlands in 2019/20 to help businesses prepare for the first T Level students in 2020. It was extended in 2020/21 to the East of England and Yorkshire and Humber.

Researchers noted that the majority of the programme delivery was during a period of social distancing requirements brought about by Covid-19, adding that it is “difficult to fully understand how the programme would work in an environment when these restrictions were not in place”.

However, even accounting for the impact of the pandemic, the targets set for placements and spend “seemed to have overestimated employer need”, the report said.

It added: “In practice, providers felt that most of the employers they engage do not regard cost as a barrier to providing placements and therefore did not have a need for the grant.”

Researchers found examples of T Level providers being “hesitant” to use the £750 grants because of the “risk that some of the funding could be claimed back, and also because of a lack of awareness of how the programme could be used”.

As expected, it was mostly smaller businesses that made use of the incentives. The report said over half of the employers were micro businesses (those with fewer than 10 staff) and a further quarter were small businesses (between 10 and 49 staff).

The funding limit of £750 per placement was “broadly suitable”. Researchers found the only time the placements exceeded £750 was when it was used to purchase expensive IT equipment such as laptops and even in these cases, employers were “generally willing to cover the additional costs, particularly as they mostly kept the equipment afterwards”.

Most employers found the funding “helpful in alleviating resource barriers to providing placements and in ensuring they could provide a meaningful learning experience for learners”, and a few also felt that it helped employer staff “justify providing placements to senior managers”.

But some stated they would have provided placements had they not received the funding.

The impact assessment of the programme did not find conclusive proof that the programme had increased the number of placements provided by providers, the report concluded.

It resonates with research from earlier this year that found just 7 per cent of employers who were not interested in offering T Level industry placements would change their mind with the offer of a £1,000 incentive payment.