Skills and Post-16 Education Bill [HL]

Lord Lexden Excerpts

Committee stage
Thursday 15th July 2021 Lords Chamber

[Baroness Penn (Con)]

My Lords, now that I have de-masked myself, I will first make two remarks to the noble Lord, Lord Watson. In my enthusiasm to start my speaking role on this Bill, I did not thank him for his kind words in welcoming me to the Dispatch Box. I also acknowledge completely his point about the timing of various announcements and the need to ensure that noble Lords have as much information as possible to help them to scrutinise proposals for this Bill. We will endeavour to do our best in that regard.

I am grateful, too, to the noble Lord, Lord Addington, for giving us, on behalf of his noble friend, the opportunity to discuss apprenticeships, which are at the heart of the Government’s skills ambitions. As we recover from the impact of Covid-19, apprenticeships are more important than ever in helping businesses to recruit the right people and to develop the skills that they need.

I hope that noble Lords will allow me a little time to outline a few principles of the apprenticeship levy and its funding, as that will respond to some of the points made in this debate. The funds available to levy-paying employers through their apprenticeship service accounts can be used for apprenticeship training or assessment in their own businesses, or transferred to other employers. They are not the same, however, as the Department for Education’s annual apprenticeships budget.

While those unspent funds, therefore, expire from the employer’s accounts after two years, the broader funding contributes to the budget set by the Department for Education, according to its rules, and funds other costs associated with apprenticeships. This includes training and assessment for apprenticeships for employers that do and do not pay the levy, the cost of English and maths tuition and additional payments to support young apprenticeships—as I heard from noble Lords, those are a priority—and those with additional learning support needs.

On Amendment 39, I reassure noble Lords that we keep apprenticeship funding policy under review. I say to the noble Lords, Lord Addington and Lord Aberdare, among others, that a key principle of the apprenticeship levy is that we should only pay for apprenticeship training and assessment costs from the apprenticeship budget, as apprenticeships deliver a significant return on investment from the public purse, rather than using the levy to fund wider skills training needs.

We have an ambitious agenda for apprenticeships and we have made huge strides forward with the apprenticeship reforms, but we cannot and will not stop here. We want to grow the programme, drive up quality and improve apprenticeships, to the benefit of all employers and ultimately the economy, through increased skills and jobs. While widening the scope of the apprenticeships budget to pay for other costs or skills training, even for a time-limited period, would not be in line with the Government’s aims for the programme, I hope that noble Lords who have raised questions about how it currently operates will be reassured by some of the improvements that we are making to make it easier for employers to use and to encourage take-up by potential apprentices.

We continue to listen to employers and to adapt apprenticeships to better meet their needs. Work is under way on a package of improvements that respond directly to employer feedback, so that employers can make better use of their apprenticeship funds.

First, we are introducing a new service that will make it easier for employers that pay the apprenticeship levy to transfer funds in their accounts to other employers, including smaller employers. Large employers will be able to pledge funds for transfer and other employers will be able to receive these funds, so that both will benefit from those transfers. In response to a question from, I think, my noble friend Lady Neville-Rolfe, the lead employer that is transferring those funds will not retain any responsibility for the provision of training after the transfer. It is not an additional burden on them.

Secondly, we are helping employers to choose more innovative training models, such as front-loaded training and accelerated apprenticeships, which will help apprentices with relevant skills and experience to complete their training more quickly. Finally, we are supporting sectors of the economy that have more flexible working patterns, such as the creative industries. We will shortly launch a £7 million fund to help organisations in England to set up and expand new flexi-job apprenticeship schemes.

The noble Lord, Lord Aberdare, asked about the funding available for apprenticeships. In 2021-22, the funding available for investment in apprenticeships in England is almost £2.5 billion. That is double what was spent in 2010-11. We have increased the investment available for apprenticeships.

My noble friend Lady Neville-Rolfe and the noble Lord, Lord Addington, asked about the aims of the apprenticeships programme and its direction of travel. Our reforms to the programme have all been focused on making them longer and better, with more off-the-job training and proper assessment at the end. Many pre-reform apprenticeships were of low quality and involved little or no training. That is what we have aimed to change.

We know, however, that there is more work to be done and, in addition to the reforms that I have mentioned that will make it easier for employers to take up their levy funds, we have introduced new incentives for those employers, particularly during the pandemic, to take on new apprentices. Until the end of March those incentive payments were £1,500 for those aged 25 and over and £2,000 for those under 25—71,140 incentive payments were paid up to that date. We have increased the incentive to £3,000 and that remains in place until 30 September.

I hope that noble Lords take some reassurance from what I have outlined that we remain committed to the apprenticeship programme. While we do not agree with diverting apprenticeship funding to other forms of skills training, we acknowledge the need to continue to review and adapt the apprenticeship programme so that there is better take-up and it works better for employers and those who will potentially benefit from it. I therefore hope that the noble Lord, Lord Addington, feels able to withdraw his amendment.

[The Deputy Chairman of Committees (Lord Lexden) (Con)]

I have received no requests to speak after the Minister so I call the noble Lord, Lord Addington, to conclude the debate on this amendment.

[Lord Addington (LD)]

I believe that the noble Baroness, Lady Neville-Rolfe, wanted to come in.

[The Deputy Chairman of Committees (Lord Lexden) (Con)]

Forgive me.

[Baroness Neville-Rolfe (Con)]

I have a quick question for clarification. I think what the Minister is saying is that she wants quality of apprenticeships, not quantity—for example, that level 2 apprenticeships are a thing of the past. I was saying that I am rather sorry about that, but I would like to be clear, either now or before Report, exactly what the direction of travel is on the lower grades. I completely support those doing level 6 including even the stonemasons , but I think that there is a place, especially among youngsters—those between 16 and 23 years old—whom we are trying to get to do apprenticeships, to do something perhaps a bit less sophisticated that brings discipline and the sense of attainment that apprenticeships can bring.

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Amendments 40 and 40A not moved.

[The Deputy Chairman of Committees (Lord Lexden) (Con)]

My Lords, we now move to the group beginning with Amendment 41. Anyone wishing to press this or anything else in this group to a Division must make that clear in the debate.

Clause 5: Institutions in England within the further education sector: local needs

Amendment 41

Moved by

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[Lord Lingfield (Con)]

My Lords, I shall speak to Amendments 43, 44, 45 and 46 and, in doing so, remind noble Lords of my registered interest as chairman of the Chartered Institution for Further Education, which is a growing Russell-type group of the most distinguished FE colleges in the country.

Briefly, this amendment adds a requirement for institutions to review, from time to time, how well they are meeting the special educational needs of students in their areas. I read the guidance published after I put down my amendment, and it makes a short reference to special educational needs and disabilities, as did the Minister, my noble friend Lady Berridge, in her reply at the end of Second Reading.

The role of further education colleges in developing SEND provision is central to ensuring that those who have the most significant barriers to learning improve their life chances and are given the opportunity to develop new skills, establish independence and contribute to the local economy.

The parents of special needs students find that the best further education colleges provide their sons and daughters with safe, productive and supportive environments in which they can have confidence. I have been struck by the readiness of FE student bodies to welcome special needs colleagues and to extend friendship and help to them.

The best colleges are very good also at progressing special needs and disabled learners into employment. These institutions encourage close co-operation with local employers to provide work experience opportunities for SEND learners, often by supported internships.

All these young people gradually become less reliant on local support services and acquire an ongoing sense of achievement and self-esteem. Many develop a special level of expertise in certain vocational areas and are welcome additions to the local workforces in their areas.

In the past few years, far more companies have become more sensitive to the needs of disabled employees. There is no regulation in this country that requires the employment of a quota of staff with special needs, as there is in certain European countries, but I know a number of firms that have made the gratifying effort to ask colleges to steer disabled students in their direction.

We tend to think of FE students with some kind of special needs as being in a very small minority. Last week, I received the statistics from four excellent colleges in various parts of the country. They support the figures quoted briefly on Second Reading of around 20% of students requiring special support, rising to 25% of those under 19 years old.

For far too long, further education has been, as my noble friend Lady Berridge underlined earlier this afternoon, the Cinderella of this country’s education service, underfunded and often neglected as it has been. Too much of its provision has become mediocre today. If that were not so, this Bill would not have been necessary. The Government have woken up, at last, to the fact that high-quality vocational education is absolutely essential to our country’s competitive performance in a post-Brexit world, and all this is very welcome indeed.

However, too many colleges have still to improve, and as special needs and disabled students’ numbers are visibly on the increase, the regular legal requirement for review of the needs of SEND students becomes even more needed. With such a considerable proportion of the FE student population in this category, it is clear that we owe them a special duty of care. It is my view that the face of the Bill should reflect this in the way my amendments make apparent.

[The Deputy Chairman of Committees (Lord Lexden) (Con)]

My Lords, the next three speakers—the noble Lords, Lord Adonis, Lord Young of Norwood Green and Lord Liddle—have all withdrawn from the debate, so I call the right reverend Prelate the Bishop of Durham.

[The Lord Bishop of Durham [V]]

My Lords, I first need to declare my interest as chair of the National Society. I should also apologise that I was unable to take part in Second Reading because of other engagements; my noble friend the Bishop of Leeds spoke in my stead. I also need to apologise for a complete error on my part in not being available to speak to Amendment 11, to which my name was added, during day one of Committee; that was entirely an administrative error at my end.

However, I now enter into the debate on a very small matter, on Amendment 41, on which I simply want to endorse the comments made by the noble Lord, Lord Addington, about the phrase “from time to time”. The language seems too loose. The word “regularly” implies something more frequent without expressing exactly what that regularity is. Put simply, regular review that connects with potential changing local needs makes good sense. The amendment simply tightens this up.

But I want to connect Amendment 41 to Amendment 43. My local college, Bishop Auckland College, which is an excellent example of FE provision, in reviewing the support for SEN in its own context, also found itself reviewing the wider provision for the students with SEN who were coming into the college. That led it to recognise that there was a serious gap in provision locally, which has led it further to now open a campus for a school specialising in special educational needs support for those who need the provision of a specific school with all the facilities provided. That means that the local FE has now added to the provision in the area. It also means that it has developed, or is developing now, a much longer-term vision for support for these students. It will see them through their secondary education and then into the FE itself. There are potentially all sorts of long-term advantages, I believe, for some of the students in this provision.

I think that Amendment 43 makes complete sense, as the noble Lord, Lord Lingfield, has so helpfully outlined. I wish to add my support to both Amendments 41 and 43.

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[Baroness Penn (Con)]

My Lords, Clause 5 places a duty on governing bodies of institutions within the further education sector to periodically review their provision against local needs and to consider changes that might improve the way that those needs are met. Regular reviews of provision should be a key part of strategic curriculum planning within every college, as the noble Lord, Lord Watson, pointed out. As well as reflecting the priorities set out in any local skills improvement plan, the reviews should cover the whole of the education and training offer and the needs of both current and future learners.

I reassure the noble Lord, Lord Watson, that this clause is not introduced with the intention of second-guessing practices that already take place within local providers or their value. But by placing a legal duty requiring reviews to be published, Clause 5 strengthens transparency and accountability around decisions on provision that are vital for local communities.

I turn first to Amendment 41, from the noble Lord, Lord Addington. I welcome the opportunity to respond to the points he made on clarifying the timing of reviews, including their frequency and regularity. In the draft statutory guidance—which we have been able to produce for this clause and which supports the new duty proposed in Clause 5—we set out the principle that reviews should be timely and undertaken at least once every three years. The term “from time to time” is often used in legislation, and can have the advantage that it can accommodate reviews that may, for very good reason, take place at different intervals and therefore could not, strictly speaking, be described as “regular”. The noble Lord, Lord Addington, himself asked whether you could have more frequent reviews or a review at a different point, perhaps in response to changing local needs or circumstances, and so “from time to time” is aimed at allowing for such circumstances.

I hope that there is a broad level of agreement across the Committee around the importance of reviews taking place on a timely basis, and that my explanation of the Government’s approach and the contents of the draft statutory guidance provide some reassurance that the proposals in Clause 5 will achieve that goal.

On Amendments 43 to 46 in the name of my noble friend Lord Lingfield, I completely agree with his remarks on the importance of provision for students with special educational needs, including those with an education, health and care plan. Provision for these students is an integral part of the education and training provided by an institution. Again, the draft statutory guidance published by the department makes clear that the review should include consideration of the needs of learners with SEND, including those with education, health and care plans, when governing bodies are considering the needs of different groups of learners locally. The existing statutory obligations on colleges relating to SEND, including the public sector equality duty, are a key reference point for the governing body when carrying out the review.

Colleges and other FE sector institutions already do fantastic work for students with SEND, and that provision is an integral part of the education and training that colleges offer. For that reason, we consider it essential that it is considered as part of any review of their wider provision, rather than through a separate or parallel exercise. To re-emphasise, in reviewing the college’s education and training provision under Clause 5, the governing body must do this in a way that is consistent with its existing statutory obligations in relation to SEND, and that is underlined in the draft statutory guidance supporting the review.

I hope that I have provided some clarity to the noble Lord, Lord Addington, on the use of the term “from time to time”, and he will feel able to withdraw his amendment, and sufficient reassurance to my noble friend Lord Lingfield that he will not move his amendments when they are reached.

[The Deputy Chairman of Committees (Lord Lexden) (Con)]

I have received one request to speak after the Minister from the noble Lord, Lord Lingfield.

[Lord Lingfield (Con)]

My Lords, I am grateful to my noble friend for her reply. I understand the Government’s views. I particularly thank my noble friend and kinsman Lord Addington for his support. He is one of the House’s experts in the area of special needs and always worth listening to. However, it is a sad fact that not all further education colleges and suppliers of further education are up to the level of the very best ones, and a regular review, clearly required by the Act instead of being hidden in guidance and regulation, would be an important incentive to those that are mediocre to improve their offering to these vulnerable young people. I hope that my noble friend might think again, and I hope to return to this at the next stage of the Bill, but I shall not press my amendments.

[Baroness Penn (Con)]

My Lords, I think we are in agreement on the importance of special educational needs being included in the reviews undertaken by providers. The noble Lord, Lord Watson, asked what the point of the provision of this clause is. The regular production and publication of these reviews might enable noble Lords and others to hold colleges more easily to account on how they have taken on that guidance, which is clear that the special educational needs of students have to be taken into account, and how they have taken that on in the conduct of their own reviews. I am sure that many colleges do an excellent job in that respect, but the additional transparency of having these reviews produced and published on a regular basis will aid in that job.

[The Deputy Chairman of Committees (Lord Lexden) (Con)]

My Lords, I have now received a second request to speak after the Minister from the noble Lord, Lord Young of Norwood Green. No? I call the noble Lord, Lord Addington, to conclude this debate.

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Clause 5 agreed.

[The Deputy Chairman of Committees (Lord Lexden) (Con)]

We now move to the group beginning with Amendment 47. Anyone wishing to press this or anything else in the group to a Division must make that clear in debate.

Clause 6: Functions of the Institute: oversight etc

Amendment 47

Moved by