Industrial Training Levy (Engineering Construction Industry Training Board) Order 2023

Baroness Wilcox of Newport Excerpts

Wednesday 5th July 2023 Grand Committee

This order has significant industry support and will enable the ECITB to continue to carry out its vital training responsibilities. I beg to move.

[Baroness Wilcox of Newport (Lab)]

My thanks go to the Minister for the clear and concise manner in which she laid out this statutory instrument and what it seeks to achieve. The Opposition welcome its current continuance.

We know that the purpose of the instrument is to enable the engineering construction industry to raise and collect a levy on employers. Some years ago, industry training boards were transformed from statutory to non-statutory bodies. The CITB and the ECITB retained their statutory status and powers. We are now considering this routine order.

The CITB exists to ensure that the construction workforce has the right skills for not just now but the future based on three strategic priorities: careers; standards and qualifications; and training and development. However, there is a distinct market failure in the development of skills in the construction industry. This is partly due to the trading conditions, incentives and culture that fail to lead to a sufficient level of investment in skills by employers.

Sadly, it is not just this sector of business. Many employers have failed and continue to fail their employees’ upskilling needs, which leads to low levels of productivity. The introduction of the apprenticeship levy six years ago pointed to this fact. The Government needed to encourage employers to invest in skill development, and legislation was needed to support this encouragement.

The economic success of any country relies on delivering key infrastructure. There is a further economic benefit, and this industry provides a wide range of employment opportunities, many of them well paid, highly skilled and with career progression.

Nevertheless, there are intrinsic sectoral barriers that hinder workforce training and the development of skills. Employment in the sector is linked closely to the actual project, which means that there are high numbers of temporary workers and a lot of movement between employers. Furthermore, training costs are high in such a skilled industry and many core engineering skills are transferrable to other industries. This results in individual employers lacking the incentive to train their workforce out of fear of plundering by rival firms. There are few incentives for individual employers to train since the work is often short-term and the labour force highly mobile. This means that long-term skills are overlooked; these are vital, especially in engineering.

The ECITB is right to claim that it helps to make the labour market in engineering construction more efficient and effective. Its intention is to address this market failure by providing grants to employers to train their workforces. I understand that funding from the apprenticeship levy supports apprentices across all sectors and occupations, whereas the ECITB is specifically for the engineering construction industry, using levy funds to provide direct grants to employers to train staff or develop the skills of their existing workforce.

Employers have long asked to be able to use the levy for a wide range of training, not just apprenticeships. Does the Minister have any update for us on whether that change might happen? We have seen more than a decade of decline in skills and training opportunities, which is making the United Kingdom poorer. Businesses, especially those in the engineering construction industry, are unable to fill job vacancies, are being held back by a lack of people with the skills they need and have growing skills shortages. How are the Government addressing these skills shortages in the short, medium and longer term?

Young people and adults are ambitious for their families’ futures. They want to learn new skills to get new jobs or progress at work. However, they are being let down and are unable to find training opportunities. Apprenticeship starts have plummeted, with 200,000 fewer people starting these training opportunities. More than 11 million people in the UK lack the basic digital skills needed in our economy while four in 10 young people are leaving education without the qualifications that they need to get on.

By harnessing the ambition and determination of British people, a Labour Government will face these challenges and create a skills system that works for businesses and people across our country. Labour will give businesses the flexibility that they are asking for to train their workforce and deliver growth. We will start by turning the apprenticeships levy into a growth and skills levy so that it can be used on the greater range of training courses that businesses tell us they need, so that adults can gain new skills and businesses not just in this sector but across the whole economy can grow.

In the intervening time, His Majesty’s Opposition support the continuance of the current scheme through this industrial training levy order.

[Baroness Barran (Con)]

I thank the noble Baroness for her support for this order and for recognising the importance of skills training in this area. She paints a rather bleaker picture of the situation as it stands today but certainly raises some helpful points, which I will try to clarify.

The noble Baroness asked what the Government’s vision for skills is, both in the short and medium term. I am not sure that time permits me to go into all that but I hope she will recognise that the Government have made a huge investment in skills and apprenticeships, whether that be in the new T-levels, many of which are targeted towards some of the skills demands in engineering and construction, as well as more widely, with the reform of level 4 and level 5 qualifications, the introduction of the lifelong learning entitlement and the provision of boot camps for skills—including digital skills, to which the noble Baroness referred.

With regard to the apprenticeship levy, although I absolutely do not suggest that the noble Baroness is in this camp, for the record, I feel that there is a slightly outdated understanding of the use of the apprenticeship levy. In the financial year 2021-22, 99.6% of the £2.5 billion apprenticeship budget was spent. I appreciate that, in previous years, there were underspends but, in fact, demand for apprenticeships is going up. The awareness and absolutely rightful recognition of the value of apprenticeships, including degree apprenticeships, is much more widespread among young people today than it was even just a few years ago. That programme has gained a lot of traction.

Returning to the order, it is clear from the support that the ECITB’s proposals received from levy-paying employers that the engineering construction industry continues to believe that it is right that training is funded through a statutory levy system. As previously stated, this sector is absolutely critical to delivering the infrastructure projects required to meet the environmental challenge of reducing the UK’s carbon emissions to zero by 2050. The levy system must continue to be used to help develop a pool of skilled labour, both now and in the future, for this critical sector.

If the levy ceased, it would fall on employers to determine their own training arrangements, devise their own standards and qualifications, and cover the full cost of training. Further, without the grants provided by the levy, many small businesses would simply not be able to afford to train their workforce. There is a firm belief that, without the levy, there would be a serious deterioration in the quality of training, creating a deficiency in skills levels and capacity and, crucially, leaving the sector unable to deliver key projects vital to the UK’s economic growth.

Higher Education: Arts and Humanities

Baroness Wilcox of Newport Excerpts

Wednesday 28th June 2023 Lords Chamber

[Baroness Barran (Con)]

The Government of course recognise the points that the noble Baroness makes, but it is also important that students are really well informed and understand the choices they make when they opt for one qualification or another, particularly in relation to the debt that they might take on. That is why we are so keen to encourage degree apprenticeships in the creative industries, for example, because of all the opportunities that offers.

[Baroness Wilcox of Newport (Lab)]

My Lords, among UEA’s alumni of novelists and Nobel laureates was a former colleague of mine. We taught together in the English department of a high school in Newport. Her teaching skills were exceptional, honed by her years studying the arts at UEA. Notwithstanding the Minister’s previous responses, what, if anything, are the Government doing to ensure that such motivating arts teachers continue to graduate from our universities and thus inspire a love of the arts in our children and young people?

[Baroness Barran (Con)]

A love of the arts can come from many sources—importantly from universities and schools but also from wider cultural experiences. As the noble Baroness knows, we are committed to the bursaries that we are putting in to support particularly the modern foreign language teachers that were referred to but also our wider commitment to the creative industries in this country.

Teacher Training: Dyslexia and Autism

Baroness Wilcox of Newport Excerpts

Thursday 22nd June 2023 Lords Chamber

[Baroness Barran (Con)]

There is no question of the Government lowering the standard. What the Government are seeking to do with the introduction of the national professional qualification for SENCOs is to ensure real consistency in SENCO training and qualification, and that it is practically focused and based on the best evidence possible.

[Baroness Wilcox of Newport (Lab)]

My Lords, last March Matt Hancock told the Times Educational Supplement that the lack of neurodiversity training in initial teacher training is “striking” and needs to change. Can the Minister tell us if anything has changed in this policy area since that statement was made over 15 months ago by a former Tory Health Secretary?

[Baroness Barran (Con)]

I know that the noble Baroness is a former teacher, so she brings professional insight to this. We had very serious expert panels, including educational experts, on special educational needs and disabilities, both for the core content framework and the reform of initial teacher training. All of them were clear that trainees need to be able to teach everyone, and one of the great skills of a teacher is being adaptive. There also needs to be a pathway to experts in a school, and that is where the SENCO comes in.

Lifelong Learning (Higher Education Fee Limits) Bill

Baroness Wilcox of Newport Excerpts

2nd reading
Monday 19th June 2023 Lords Chamber

[Baroness Wilcox of Newport (Lab)]

My Lords, this is an important addition to the education portfolio of legislation presented to this House by the Government, and from the outset I state the Labour Party’s support for the financial funding for students as evidenced in this legislation. I thank the Minister for introducing the Bill with clarity and in such detail.

We look forward to hearing the maiden speeches in this debate from the noble Lord, Lord Sewell, and the right reverend Prelate the Bishop of Sheffield, both of whom I am sure will continue to contribute thoughtfully and sincerely to the future work of this House.

This Bill follows on from the Skills and Post-16 Education Act 2022, which I had the pleasure of working on from the Opposition Front Bench alongside my noble friend Lord Watson. We sought to make changes as we took that Bill through the House; I am looking forward to my noble friend’s contribution in this debate on the latest Bill, as we continue to try to make changes to this primary legislation.

The main issue with the Bill is the lack of detail. It is an incredibly short Bill to deal with the significant issue of the decline of lifelong learning and, as it stands, it will mean a lack of clarity for the industry. The Bill introduces the next set of changes to primary legislation required to enable the LLE to be introduced from 2025. It would amend the Higher Education and Research Act 2017 to allow Ministers to set credit-based fee limits for some modules and courses, and the framework for how those limits will be set. It will also provide powers for Ministers to determine which courses have credit-based fees and to set the parameters of the new system via secondary legislation.

As stated, we support the introduction of the LLE and the credit-based method to determine fees. That could make a real difference in helping adults to access flexible lifelong learning, thereby beginning to address the decline that the sector has experienced over some time in England. Notwithstanding that positive statement, we believe that the legislation could be significantly improved, and today is the beginning of how we set our case out in that respect.

The number of adults aged 21 or over accessing higher-level skills courses has fallen dramatically since 2009-10, and participation is now significantly lower in England than in the rest of the UK. As with much legislation presented by this Government, it appears that the integral features of how the LLE and the credit-based method will work in practice are left to secondary legislation. Yet again, more detail needs to be included on the face of the Bill to ensure that it will be effective in boosting lifelong learning. We need greater clarity on the concepts at the centre of the Bill; we need a definition of credits and what the minimum and maximum yearly credits will be, for example.

It is essential to reverse this decline in accessing higher education. That requires a funding and regulatory system which supports and encourages lifelong learning. The LLE could be transformative in revitalising flexible higher education and reversing the sharp decline in the number of adult learners. It could also incentivise alternative, flexible pathways that support people to access learning throughout life. However, its detailed design will be key in determining how it works in practice.

I will ask the Minister a range of questions that the slender content of the Bill raises but does not answer. What is the strategic vision for modular funding within the LLE, and is the intention for most modules of designated courses ultimately to be eligible for funding? Will per-credit fee limits be set at different levels depending on whether a course is full time or part time, face to face or distance learning, or be based on the subject or level of study? Will all students be included in the LLE from 2025, or will transitional arrangements be put in place as part of a phased implementation? How will the design details of the LLE, including those on ELQ rules and residual entitlements for those who already have higher education qualifications, work in practice? Will providers continue to receive support from the part-time student premium to help with the additional costs associated with flexible part-time study? It is vital to ensure that this flexibility is considered.

No doubt the Minister is expecting me to comment on what we do in Wales, and I would hate to disappoint her. While I will leave it to other noble Lords to comment in more detail, I note that the current, progressive system of student finance we have in Wales means that Welsh undergraduate students have less to repay, on average, than their English peers, as we continue to provide non-repayable grants. They also receive a guaranteed level of maintenance support, irrespective of income.

Currently, part-time students studying face to face are entitled to maintenance support. However, the vast majority of part-time distance learning students are not. The introduction of the LLE could be a real opportunity to make this important change. Introducing maintenance support makes a difference. We have seen this with the introduction in 2018-19 of such support for part-time and distance learning students in Wales. It illustrates the significant potential impact on demand for part-time learning from extending maintenance support.

Maintenance support is crucial to learners from disadvantaged backgrounds to prevent further hurdles. Otherwise, many adults will be unable to take up these opportunities and it would prevent these people transforming their life chances and being part of the skilled workforce that employers and our economy need.

Furthermore, an extension to distance learning students would help mitigate the current cost of living pressures facing distance learners, which are beginning to impact on mature students. For working students, there is also the concern that employers would reduce their own staff training obligations as expectations of individuals funding their own training would arise as an unintended consequence.

In conclusion, there is a positive element to the Bill that we welcome. But, as it progresses through your Lordships’ House, we will bring amendments to cover the points I have raised and to try to ensure that greater substance and practicality are put into the Bill and thus lessen the subsequent need for further secondary legislation.

School Uniform Policies

Baroness Wilcox of Newport Excerpts

Monday 12th June 2023 Lords Chamber

Asked by

[Baroness Wilcox of Newport]

To ask His Majesty’s Government, following the recommendation of the Welsh Minister for Education that school governing bodies should review uniform policies, what assessment they have made of the case for doing this in England.

[The Parliamentary Under-Secretary of State, Department for Education (Baroness Barran) (Con)]

My Lords, following the publication of statutory guidance in November 2021, all schools in England should already have reviewed their uniform policy and made changes to ensure their uniforms are affordable for parents. The Cost of School Uniforms guidance came into force in September 2022. It requires schools to ensure their uniform costs are affordable and that parents get the best value for money. Schools should be fully compliant with the guidance by September 2023.

[Baroness Wilcox of Newport (Lab)]

I thank the Minister for her Answer and the statutory guidance being put in place. But the Government have never been clear about how they are going to assess the success of the guidance. Has it reduced costs for parents? Are schools complying with it? Are stronger policies such as the ones we have in place in Wales needed? Can the Minister please tell us whether there are any plans to review its implementation?

[Baroness Barran (Con)]

In terms of complying with the guidance, which is obviously statutory, any concerns that a parent might have about a school’s uniform policy need to be raised with the school in the first instance through its complaints process. If the parent is then unhappy with the outcome of their complaint, they can, of course, raise it with the department.

Free Music Education

Baroness Wilcox of Newport Excerpts

Monday 12th June 2023 Lords Chamber

[Baroness Barran (Con)]

My noble friend is absolutely right and I thank him very much for drawing this to the attention of the House.

[Baroness Wilcox of Newport (Lab)]

My Lords, in Wales the National Music Service is carrying out a review of the terms and conditions for local authority-hosted music service teachers, commencing this autumn. It will look at whether the lack of teacher retention and pay is a factor in delivering good music education throughout all key stages. Have the UK Government thought of doing something similar in England?

[Baroness Barran (Con)]

We have just published a national plan for music education, Arts Council England has just carried out a consultation review of our music hub approach and we have published a new model music curriculum, so it is fair to say that this area has received a lot of attention.

Performing Arts: GCSE and A-level Qualifications

Baroness Wilcox of Newport Excerpts

Wednesday 26th April 2023 Lords Chamber

Asked by

[Baroness Wilcox of Newport]

To ask His Majesty’s Government what assessment they have made of the decline in the number of entries to GCSE and A-Level qualifications in the performing arts over the last decade.

[The Parliamentary Under-Secretary of State, Department for Education (Baroness Barran) (Con)]

My Lords, this Government remain committed to pupils receiving a high-quality cultural education, including in music, dance and drama. GCSE entries in arts subjects as a proportion of all entries went from 11.8% to 9.7% between the academic years 2011-12 and 2021-22, while A-level entries in arts subjects over the same period went from 13.1% to 11.2%. Over half of pupils in state-funded schools currently enter for at least one arts GCSE or technical award.

[Baroness Wilcox of Newport (Lab)]

I thank the Minister for that Answer and I will give her some figures back. There has been a reduction of 25% in entries for GCSE music, 30% for drama and, significantly, 60% for performing arts, with similar figures at A-level. Are any steps being taken by the department to ensure that this trend is reversed in future and, specifically, have the Government considered the merits of reimagining publicly funded performing arts provision, as is being done, for example, in Wales? Is it not time the Government guaranteed access to arts, music and drama clubs for every child, irrespective of background and wealth?

[Baroness Barran (Con)]

The noble Baroness cited a number of statistics, but I would say in response that, since 2016, uptake of the speech and drama vocational technical qualification has more than doubled, as has uptake of the music VTQ. My understanding is that the performing arts GCSE no longer exists, but the broader point the noble Baroness makes is being addressed through our cultural education plan and the national plan for music education, which aims to reach just the children the noble Baroness refers to.

Special Educational Needs: Employment Support

Baroness Wilcox of Newport Excerpts

Monday 24th April 2023 Lords Chamber

[Baroness Barran (Con)]

I know my noble friend feels very strongly about this, and I hope he welcomes the Government’s commitment to introducing a new national professional qualification for SENDCOs that will replace the existing qualification, and the commitment to increasing the number of educational psychologists in our schools, which we have already started to deliver on.

[Baroness Wilcox of Newport (Lab)]

My Lords, I thank the Minister for her answers to date, but I would like to probe a little further. Last month, in the SEND and AP improvement plan, the Government committed to publish guidance to support

“effective transitions between all stages of education, and into employment in adult services”.

Given that the Secretary of State acknowledged that parents have lost trust in the system, is the Minister able to give parents a timeline for when they might get this important guidance?

[Baroness Barran (Con)]

The first guidance we will deliver will be on early language support, autism and mental health and well-being. Those practice guides will be available by the end of 2025. I do not have the date for the transitions guidance but I will be happy to write to the noble Baroness with that.

Higher Education: Financial Pressures

Baroness Wilcox of Newport Excerpts

Thursday 30th March 2023 Lords Chamber

[Baroness Wilcox of Newport (Lab)]

My Lords, as a former teacher, I am glad to have the opportunity to speak on this issue. As noted in the register, I am the chair of trustees of the Council for Dance, Drama and Musical Theatre.

I do not need to tell noble Lords taking part in this debate about the strengths of the UK’s higher education sector. Whether it is our fantastic HE colleges or our world-famous universities, the teaching and research they give us should be a source of immense pride. That is why it is so important that the Government are alive to the risks the sector faces, and that they take a proactive approach to supporting providers and their students to weather them. I am grateful to my noble friend Lord Knight for bringing these matters to the attention of the House through this debate. Indeed, universities and higher education institutions face a perfect storm of rising costs, with EU structural funds ending and an increasingly combative Government raising fears about capping international students.

In June last year, the House of Commons Public Accounts Committee published a concerning report into the financial sustainability of England’s HE sector. The number of institutions with an in-year deficit has risen more than sixfold, from 5% in 2015-16 to 32% in 2019-20. It would not be fair to draw attention to any particular provider, but we know that when organisations look to balance their books, they often have to cut staff and subjects. This can be devastating for students and regional economies alike.

I am sure that noble Lords across the House will speak in more detail than I intend to on the second and third aspects of the debate, and I am certain they will do a sterling job. I wish to focus on the threats to local communities, and particularly the key role the Office for Students must play in supporting providers, considering the central contribution they often make within their surrounding economies. There is value in probing the regulatory role of the OfS, particularly how well it monitors the financial sustainability of the sector, and its role in protecting students from fallout when things go wrong. As my noble friend highlighted in the blog he published last week prior to this debate, the university sector brings much-needed skills to local communities: 73% of UK university students study locally, or go back to the region they grew up in to work. However, when the sector struggles, the impact on the local community is widely felt.

I will mention an institution that I relied heavily upon when teaching at Hawthorn High School, in Pontypridd. The University of Glamorgan, now the University of South Wales, generously gave of its time and facilities to my A-level students in preparation for their radio coursework submissions. It allowed us access to a fully equipped radio studio, when all I had in school was a double cassette recorder. This engagement not only allowed students to produce the best technical examples of their work but took youngsters from backgrounds where university was not part of their experience into the campus itself, where they saw that they too could look to engage with a university education in their future lives. It was an important aspect of the university within the community, and I could share many more examples, if time allowed.

The National Audit Office report noted that it collects a great deal of data on institutions to check the validity of the economic model, but smaller institutions question why they have to give the same amount of information as large ones. Perhaps the Minister could address this concern in her remarks and say whether the Government agree with the remarks of smaller institutions regarding information overload. When they speak to the Office for Students, perhaps they could ask how this could be reviewed and refined. I believe that the OfS is trying valiantly to refresh its comms approach. I hope it will improve the situation, and I trust it will set robust metrics to measure its success on this. What is the Government’s view on whether the OfS is communicating effectively.

As well as having clearer comms, the National Audit Office review recommended that the OfS should

“improve where necessary and then reauthorise student protection plans for all providers to ensure they remain adequate and can respond to new risks.”

The Office for Students must get this right. The “responding to new risks” part of the recommendation is absolutely crucial. Threats to the sector are evolving all the time, so the OfS must see its role as proactive: to foresee these risks and see them off before a university fails. Although the OfS sees the risk of multiple provider failures remaining low, the consequences for an area of its local college going under are simply too catastrophic for the regulator not to do everything in its power to set the conditions for success.

On this basis, I have several questions for the Minister. Are the Government satisfied that the OfS has the appropriate clout—I mean the regulatory tools and powers—to monitor the financial health of institutions effectively? Does the Minister believe the OfS is sufficiently alive to the financial instability of many institutions, and does it see its role as preventive or simply reactive? Should a provider fail, is the regulator confident it could mitigate the damage to the undergraduates and staff, and to the surrounding local economy? What is the Government’s overall assessment of the financial stability of the sector, and what are they doing to support it?

Over the next five years, it is predicted that universities alone will help set up more than 20,000 new businesses and provide more than £11.5 billion of support and services to industries and not-for-profit companies. Instead of the worrying trend of treating the sector as a convenient political arena for a culture war, it is imperative that the UK Government do everything they can to protect the jewel in the UK’s crown.

International Higher Education Students

Baroness Wilcox of Newport Excerpts

Tuesday 21st March 2023 Lords Chamber

[Baroness Wilcox of Newport (Lab)]

Does the Minister agree that it is regrettable that universities, and particularly their international students, increasingly are seen by some vocal commentators as a convenient political battlefield rather than existing for the public good? Given reports that the Government are considering reforming migration rules for international students, can the Minister confirm whether a comprehensive impact assessment has been conducted around the proposed changes?

[Baroness Barran (Con)]

Quite obviously, in all areas of policy there are different aspects which we would consider in great detail—the economic impact, our international soft power, which I mentioned, and a number of others.