Institute for Apprenticeships and Technical Education (Transfer of Functions etc) Bill [HL]

(Limited Text - Ministerial Extracts only)

Consideration of Commons amendments and / or reasons
Wednesday 30th April 2025 Lords Chamber

Moved by

[Baroness Smith of Malvern]

That the House do agree with the Commons in their Amendment 1.

1: Clause 12, page 5, line 6, leave out from “force” to end of line 7 and insert “on such day as the Secretary of State may by regulations appoint”.

[The Minister of State, Department for Education (Baroness Smith of Malvern) (Lab)]

My Lords, I will also speak briefly to the procedural Amendment 2. It is a pleasure to present the amended Bill to this House. The passage of the Bill has benefited from scrutiny from your Lordships and from the other place. I am heartened to have seen the clear commitment to addressing the challenges of our current skills system. By paving the way for Skills England and empowering it with the functions currently exercised by IfATE, the Bill will ensure that Skills England is the single authoritative voice in the skills landscape. The changes the Bill makes will enable Skills England to identify and help address the skills gaps that hamper growth and opportunity in this country.

Skills England is not just ready but raring to go. That is why the substantive change made to the Bill in the other place was to remove the amendment that would have delayed the commencement of provisions in the Bill for a year after the creation of Skills England. The Skills England leadership is in place, the work is already ongoing and staff are ready to transfer. Delay to the commencement of the provisions in the Bill would not have been needed or helpful.

In addition to the substantive amendment on commencement, a procedural amendment was made in the other place to remove the Lords privilege amendment, in line with convention. This amendment makes no substantive change to the Bill. I am grateful to noble Lords for all their energy and collaboration as this House has considered the Bill and I beg to move.

[Lord Aberdare (CB)]

My Lords, I have no intention of opposing the amendments sent to us by the House of Commons. I regret the removal of the sole amendment passed by this House, which would, in my view, have given more time for Skills England to get its strategic work fully up and running before taking on the functions to be transferred from IfATE. Having said that, I greatly welcome the establishment of Skills England. I am impressed by the leadership appointments that have been made, with Phil Smith as chair and Sir David Bell as vice-chair. This body has a vital role in meeting the UK’s skills needs, which are fundamental to virtually every objective we and the Government have set for ourselves, and I wish it every success.

I would like to restate my two major concerns, and I will be more than happy if they prove unfounded in the fullness of time. First, will Skills England be able to effectively co-ordinate the work of all the different bodies that need to be involved if we are to deliver a successful skills system overall? That is across government departments, across regions and nations, across industries and sectors and across education and training institutions. Skills England will have to be a pretty effective and tough body with some teeth to make sure that all those bodies fulfil their particular roles in the overall system. My second, more specific question is, how will that successful skills system be defined, measured, monitored and assessed? What will the Government come back to tell us in a few years’ time to demonstrate that it has been successful?

I welcome the Bill as an important first step towards a successful skills system, and I very much hope that the concerns I have expressed will indeed prove to have been unfounded.

[The Earl of Effingham (Con)]

My Lords, I thank the Minister and all noble Lords who have been involved in the passage of the Bill. His Majesty’s Official Opposition remain concerned that the Government have removed the amendments in the name of my noble friend Lady Barran. Other noble Lords also expressed concerns that Skills England will be overly focused on administration, resulting in it being unable to prioritise its central strategic tasks. By allowing a year to pass between the creation of Skills England and the abolition of IfATE, we would create sufficient time for the effective transfer of functions and ensure that Skills England could take on its role successfully.

We would suggest that it is a mistake for the Government to ignore these concerns. In both your Lordships’ House and the other place, there has been cross-party support on this issue, and we cannot hide our disappointment that the Government remain unconvinced on this focal point. We on these Benches are worried that the transition period as planned will have a damaging impact on apprentices.

At the same time, we recognise that this is a manifesto commitment. We will, of course, while challenging constructively, work with His Majesty’s Government to progress their skills programme, and we do not intend to push this issue any further. We will continue to remain vigilant on the transition to Skills England and ensure that it is working for the very people it aims to help. Should our concerns increase, we will endeavour to raise them in your Lordships’ House. It is now up to the Government to ensure that Skills England is able to run effectively and does not become overwhelmed with the weight of the accreditation and assurance process.

We are indeed grateful that His Majesty’s Government have listened to some of the key points that have been raised across your Lordships’ House, and the Bill has been strengthened accordingly. A report on the exercise of functions conferred or imposed on the Secretary of State has now been included, which is important for accountability. The Government have listened to the concerns about the Secretary of State preparing apprenticeship plans and assessments, and will, as such, publish information about the relevant matters that have been taken into account.

We thank the Minister for her engagement throughout consideration of the Bill, and we thank all noble Lords who have made such valuable contributions and worked constructively on its scrutiny.

[Baroness Smith of Malvern (Lab)]

My Lords, I am grateful for the support of noble Lords and the continued challenge of those who have made the Bill better during its passage through this House.

On whether Skills England is ready, I reassure noble Lords that it is ready to take on the functions currently exercised by IfATE, where appropriate. Detailed transition plans are in place to ensure continuity throughout the transition. There will be continuity in staff and team structures, which will ensure a smooth operational transition and maintain vital links to employers. Staff are eager to contribute their expertise and valuable insights, to feed into Skills England’s broader purpose from day one.

--- Later in debate ---

Motion on Amendment 2

[Baroness Smith of Malvern]

Moved by

That the House do agree with the Commons in their Amendment 2.

2: Clause 14, page 6, line 4, leave out subsection (2)