Skills England, the government’s new body for the skills system, has published a report: 'Skills England: Driving growth and widening opportunities', which contains plans for a new Growth and Skills Levy to replace the existing apprenticeship levy and include ‘new foundation apprenticeships’.
The key points are:
- The new apprenticeships will offer young people a path to careers in critical sectors, where apprentices can earn a wage while developing essential skills.
- The new levy will allow funding for shorter apprenticeships, offering more flexibility than the current 12-month minimum.
- The range of training eligible for funding will be informed by Skills England’s assessment of priority skills needs.
- The Department for Education (DfE) will provide further details on how the scheme will work.
- Employers are encouraged to rebalance apprenticeship funding and invest more in younger workers.
- Businesses will also be required to fund more of their level 7 apprenticeships.
Social care is identified in the report as one of the sectors with high workforce demand.
Demographic shifts are expected to impact the skills needed in the labour market by 2035. The shifts are likely to include increased demand for social care due to an aging population.
The report notes that labour market needs and skills requirements vary considerably by region, which could impact social care provision across different areas of the country.
Skills England is intending to conduct a series of activities and round tables to gather input and refine their initial skills assessment. It will also consult employers and other key organisations to provide initial views on what high-value training should be accessible through the new Growth and Skills Levy. More in the Next Steps section on page 60 onwards.
The new levy was announced at the Labour Party conference yesterday.
