Technical and Further Education Bill (Third sitting)

Robert Halfon Excerpts

Committee Debate: 3rd sitting: House of Commons
Thursday 24th November 2016 Public Bill Committees

[The Chair]

Obviously that is not a matter for the Chair. However, the point has been made and I invite the Minister, if he wishes to respond, to do so.

[The Minister for Apprenticeships and Skills (Robert Halfon)]

Thank you, Mr Bailey—

[Kelvin Hopkins (Luton North) (Lab)]

rose—

[Kelvin Hopkins]

It is further to that point of order, Mr Bailey. I just want to support my hon. Friend the Member for Blackpool South. I arrived at the House fairly recently and picked up the paper from my office, but I have not had time to read it, and it is clearly lengthy. I entirely support what he said and hope that the Minister will be accommodating.

[Robert Halfon]

The existing policy statement has already been on the gov.uk website for several weeks, as has the delegated powers memorandum. What was provided last night was an expanded refresh, but we have provided information on the policy, and that is the key point.

[Gordon Marsden]

I appreciate what the Minister says about the original version having been on the website, but the point is that this is not the original but an expanded version. He used the word “refresh”, which, if I may say so, politely, is another slightly slippery term that would be best avoided. This is actually an amended version of what was on the website, which is why we are raising the issue.

We broadly support the principles of the Bill. We are trying to take it forward and do due diligence, as all members of the Committee should want to do. This is not a partisan argument or an opportunity to score points; it is about treating the Committee with the respect it deserves. Hon. Members received a significantly amended version of the policy statement at 5 o’clock last night, without having had any prior indication. I return to my point, which the Minister has not answered: why could this document not have been circulated on Tuesday? Why was it left until 5 o’clock on a Wednesday evening, when many hon. Members perhaps were not looking at, or were unable to look at, their emails? The Minister has heard already that my hon. Friend the Member for Luton North has picked his up only this morning. Frankly, if we want to proceed in a co-operative and friendly way in the Committee, this is no way to run a railway.

[Gordon Marsden]

I understand the hon. Gentleman’s point, and I assume that most of the time these things come about—if I am not using unparliamentary language—as a result of a cock-up, rather than a conspiracy. For the sake of Hansard, I stress that I am not saying that that was the case here. What I am saying is that it was not terribly helpful that the document turned up at only 5 o’clock last night. I understand that these issues are quite complex. I might add in passing, however, that some of the discussion in this sitting will be about capacity, and if the Minister’s Department did not have the capacity to produce this very important document by Tuesday, that will raise concerns about its capacity to do some of the other things that it needs to do in relation to the Bill.

I am not asking that the document not be looked at. I entirely accept the point made by the hon. Member for North West Cambridgeshire that these things happen, but in the circumstances I think it not unreasonable to ask that hon. Members on both sides of the Committee, who might want to look at some of these issues, should have the opportunity to table amendments in the light of this policy statement. I remind those on the Government Front Bench that clause 1 and schedule 1 deal with most if not all of the meat of the establishment of this new institution, and we should get that right.

[Robert Halfon]

I will just say one final word on the matter. It is important to note that this is existing material. Most of it is already in the public domain—in the Sainsbury report and the explanatory notes. We did not publish it on Tuesday because we wanted to be able to digest the oral evidence session. There is no conspiracy. We were just trying to be helpful to the Committee by ensuring that there was a fuller note on the matter.

[Gordon Marsden]

I entirely accept the Minister’s explanation. It is unfortunate that we are in this situation, but I am asking whether, under the circumstances, we will be able to move amendments to clause 1 and schedule 1 by manuscript or on a starred basis at the beginning of next week.

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[The Chair]

The situation is that Members can table amendments if the Committee has not moved on, but if schedule 1 has been taken, they cannot. I call the Minister.

[Robert Halfon]

The policy document does not change anything. As I say, most of it was already in the public domain and we were just trying to help the Committee. We are here to debate the clause and schedule relevant to the issue in hand.

[The Chair]

I will move on to some preliminary announcements. Today we begin line-by-line consideration of the Bill. Members may remove their jackets during Committee meetings. Please ensure that all electronic devices are turned off or switched to silent mode.

The selection list for today’s sittings is available in the room and shows how the selected amendments have been grouped for debate. Grouped amendments are generally on the same or similar issues. The Member who has put their name to the leading amendment in a group will be called first. Other Members will then be free to catch my eye and speak to all or any of the amendments in that group. A Member may speak more than once in a debate. I will work on the assumption that the Minister wishes the Committee to reach a decision on all Government amendments.

Please note that decisions on amendments take place not in the order in which amendments are debated, but in the order in which they appear on the amendment paper. In other words, debate occurs according to the selection list and decisions are taken when we come to the clause that the amendment affects. I hope that explanation is helpful. I will use my discretion to decide whether to allow a separate stand part debate on individual clauses and schedules following the debates on the relevant amendments. If any Member wishes to make a declaration of interest, he or she may do so at this point.

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[Robert Halfon]

It is a pleasure to serve under your chairmanship, Mr Bailey. I am very pleased to be here this morning to begin line-by-line consideration of this important Bill. I look forward to debating it with all members of the Committee. I particularly want to convey my thanks to Lord Sainsbury and his Independent Panel on Technical Education for the excellent work that they have done on technical education, which we are now taking forward through the post-16 skills plan in the Bill.

I want to pay significant tribute to my predecessor, my hon. Friend the Member for Grantham and Stamford (Nick Boles), who has been recovering from a serious illness. It was good to see him in the House recently. I want to thank everyone who has taken time to serve on the Committee, and I thank you, Mr Bailey, and Ms Dorries for serving as chairpersons. I thank those who gave oral evidence on Tuesday this week and those who have already submitted written evidence; their expert contribution has got us off to a great start.

Turning to part 1 of the Bill, clause 1 seeks to amend the name of the Institute for Apprenticeships to reflect its wider responsibility for college-based technical education. The Enterprise Act 2016 will establish the Institute for Apprenticeships. The institute is expected to come into operation in April 2017 with apprenticeship functions. The clause, together with schedule 1, will extend the institute’s remit to reflect the Government’s vision for the skills system set out in the post-16 plan.

The reforms will result in technical education qualifications that are designed around employers’ needs. They will support young people and adults to secure sustained employment and will meet the needs of our rapidly changing economy. Measures to extend the institute’s remit are important for a number of reasons. As a country, we face a pressing need for more highly skilled people, yet the current system presents a bewildering array of overlapping qualifications with similar aims. We cannot continue to let so many of our young people work their way through a succession of low-level, low-value qualifications that lead at best to low-skilled, low-paid employment.

The Bill will give the Institute for Apprenticeships and Technical Education responsibility for approving high-quality technical qualifications that develop the skills, knowledge and behaviours required by employers for skilled employment. Apprenticeships and college-based technical education courses will be based on a common set of employer-developed standards. This will ensure consistency between the two methods of obtaining a technical education.

Securing a step change in technical education is vital for the productivity of this country. By 2020—we are open and honest about this—the UK is set to fall to 28th out of 33 OECD countries in terms of developing intermediate skills. The size of the post-secondary technical sector in England is extremely small by international standards. That affects our productivity, where we lag behind competitors such as Germany and France by as much as 36%. Unless we take action, we will be left further behind.

A high-quality skills system needs to be distinct from the academic option. Academic qualifications such as A-levels are clearly understood, yet most young people do not go to university. Evidence shows that technical qualifications have long been regarded as inferior to academic qualifications. Reforming the system so that it provides a clear line of sight to the world of work will ensure that technical education in this country is valued as equally as the academic option.

The reformed technical education system will be built around a clear framework of skilled occupations. Occupational maps will be used to identify the occupations that are suitable for technical education, grouping together those with similar requirements, designing the system around clearly identifiable occupations, and bringing together employers to identify the skills and knowledge needed for those occupations. They will ensure that the new system genuinely meets the needs of individuals, employers and the economy.

It is important that a single organisation is responsible for working with employers and is the custodian of employer-led standards. Giving the institute responsibility at the heart of these reforms will ensure that all technical education provision is closely aligned and of the same high quality. We will ensure that the institute has the skills and capacity to be responsible for technical education when its remit is extended in April 2018. It is right that the institute’s name is changed to reflect the wider scope of its responsibilities.

[Gordon Marsden]

I associate myself with the Minister’s kind words about his predecessor, the hon. Member for Grantham and Stamford. It is a great pleasure to serve under your chairmanship, Mr Bailey, and that of Ms Dorries. I appreciate that this is quite a technical and detailed Bill, so we will depend upon the skills of the Clerks and hopefully timely policy submissions from the Government to wade our way through it.

The Minister rightly spoke about the broad need for the institute. He talked frankly about the situation in terms of technical skills, which was alluded to recently by the noble Baroness Wolf. It is absolutely right that we have the Institute for Apprenticeships and Technical Education—I do not know whether we are going to have to state that in full all the way through, or perhaps we can use the acronym; I assume the “E” will not be silent. I shall not detain the Committee with the story of why one Government had to change the title of a higher education and lifelong learning department; Members can think about that acronym.

[Robert Halfon]

On a point of order, Mr Bailey. To help the Committee, IFATE is a perfectly acceptable description of the institute during the debate.

[Gordon Marsden]

Great. I shall use it with relish.

We are very much in favour of the establishment of IFATE. We were very much in favour of the establishment of the Institute for Apprenticeships—so much so, in fact, that we anticipated the Government in tabling a clause in which, with our limited capacity as opposed to the civil service’s, we tried to spell out what that institute should do. I make that point to issue a caution to the Minister. He is still relatively new to his post, but not to this field; he has a distinguished record in championing apprenticeships, both in person and in policy. I am entirely confident that the principle of everything he has said today is very close to his heart—it is not always close to every Minister’s heart, but I think it is in his case—and that he will do his best to take that through.

We did not oppose the Bill’s Second Reading, not simply because of the Minister’s personal qualities but also because we believe there is a great deal of good in the Bill. However, the devil is in the detail, and the detail that causes us significant concern, and to which my hon. Friend the shadow Secretary of State referred on Second Reading, is the fact that we come to the Bill and to this new institution with a great deal of rather confused and not very comforting baggage.

I remind the Committee that when the Enterprise Bill was originally going through the House of Lords, where it started, there was no concept of an Institute for Apprenticeships at all. If Members consult the Hansard report of the House of Lords debates, they will see that there was much discussion on the Government Front Bench as to how the whole issue of standards could be developed. At one stage, a Government spokesperson suggested—whether accurately or otherwise I do not know—that some of it might be the province of trading standards officers. I think most Members here who know the way in which local government has had its trading standards officers cut back in recent years would agree that that is probably an over-optimistic assessment.

In due course the Government decided that they needed to set up an arm’s length body, which is why, at a relatively late stage during the Commons debate on the Enterprise Bill—I think it was on Report; I might be wrong—the then Minister, the right hon. Member for Broxtowe (Anna Soubry), tabled an amendment to that effect, which we then debated in Committee. As I said, the Government on that occasion had not got their act together to put a clause down establishing it in the Bill, so we put one down and we discussed it.

I know that no Government like to take anybody else’s idea, but we were rather disappointed that, when the Bill eventually came out, it was a fairly standard boilerplate structure, if I can put it that way, for setting up any institution of this sort. As we know, this is an innovation that potentially takes quite a lot of working responsibilities away from the Department for Education and the Skills Funding Agency. I think we are now back in the sort of territory that we were in during the Committee stage of the Higher Education and Research Bill. The Minister I faced then was the Minister for Universities, Science, Research and Innovation, but we had exactly the same conversations in that Committee about the appropriateness of a Bill that established the office for students but did not mandate students to go on to that body. I feel a sense of déjà vu, because we are in exactly the same place with this Bill. We will return to the detail of that amendment in due course, but I mention it now only to illustrate the lack of connectivity that there seems to have been, and the relatively late stage at which guidelines for the Institute for Apprenticeships have been produced.

Hon. Members might also remember that the skills plan was originally intended to be in the Government’s academies mark 2 Bill. It disappeared from that Bill at a relatively late stage, when the Government realised that that Bill would be too hot to handle with their Back Benchers. We then had the rather strange situation, again at the very last minute, in which a Government statement about introducing the Bill and laying out its provisions had a little bit tucked in the middle saying, “Oh, by the way, we’ve decided we don’t have to go ahead with the academies issue.” I am not here to talk about academies, but I mention that example because it is illustrative. The hon. Member for North West Cambridgeshire spoke earlier about things that go wrong in Government. It is illustrative of the fact that the Government felt, at a relatively late stage—largely because of their embarrassment over that Bill, some observers believe—that this set of changes, which we welcome, should have separate legislation.

Whatever the reasons for that, we welcome it now, although I will gently say that it would have been better to have been able to discuss some of this in more detail, and possibly to have the Institute for Apprenticeships itself incorporated in the Higher Education and Research Bill. During the passage of that Bill, as the Government Whip will well remember, the Minister for Universities and Research spoke at length about the importance of higher level skills and everything that went with that, so it seems rather bizarre to some of us that this did not go into that Bill in the first place. We will not dwell on that.

What we want and need to dwell on are the issues relating to capacity. Capacity and time in terms of establishment have plagued the Government ever since discussions about the skills plan and the apprenticeship levy started. Sector skills council after sector skills council, employer bodies and providers have all had queasiness about the apprenticeship levy. We, too, support the levy, but we share some of the severe concerns about its implementation. A long list of organisations, including the Confederation of British Industry and the Federation of Small Businesses, have expressed and continue to feel concern about timing and capacity.

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[Kelvin Hopkins]

Thank you, Mr Bailey. I was aware that I was straying from the subject. As I said, I taught in further education myself. I have taught a small number of day-release students as well, mainly A-levels in economics, politics and statistics. My experience was not very long—three years or so—but it was a great experience that has coloured my politics ever since. I know the difficulties of training young people.

Another problem that we have had is that, because of the reduction in employer size, there are fewer employees, and it is harder for a small employer to sustain an apprentice without a proper levy system with heavy state subsidy. I think that the levy system is exactly right; I would like it to be more extensive, so that we can give apprentices secure employment with reasonable pay, while they are working and studying. Apprenticeships across the board need to be properly sustained financially and a levy system is the way forward. We are moving in that direction.

I have come across another problem. Small garages, for example, might take on an apprentice as a car mechanic, who might stay there for three years, but then that small garage might suddenly find that its apprentice has been poached by a big garage that does insurance work, which would be very lucrative and much more highly paid. The small garage loses out because it has put a lot of work and finance into training somebody who has been lost to a bigger employer. We ought to be training more people and giving more security to small employers to ensure that they can sustain an apprentice with similar and appropriate pay for a longer period.

There is a lot for the institute to address. I welcome the fact that we are moving in the right direction, but we must ensure that apprenticeships are high quality and secure, not just because our young people should have the right to good training, education and skills, but because our country and its economy needs those people to do well.

[Robert Halfon]

I could listen to the hon. Member for Luton North for a long time on this subject, because he speaks with a lot of wisdom. I have been to the north-east of England to see young people on five-year apprenticeships in companies, doing exactly the things that he talks about.

I will just say that the public and private sectors will be following the same standards. We have exactly the same standards on training and quality, and we are introducing a public sector target from April 2017 in all areas to increase the number of apprenticeships in the public sector: 30,000 by 2020.

I will respond to the points made by the hon. Member for Blackpool South. He is kind about me and it is good to be opposing someone who also cares passionately. I very much enjoyed the visit to Blackpool and the Fylde College. What it is doing is extraordinary, not just for students but for the long-term unemployed.

I will comment on a few things, given that we are about to discuss amendments. The hon. Gentleman said that the levy was an administrative challenge for the IFA. It is important that it has only an advisory role on funding caps. The implementation of the levy is for the Department and the Skills Funding Agency.

The hon. Gentleman talked about the apprenticeship target and how difficult it was. It is worth remembering that there have been 624,000 apprentice starts since May 2015. We have 899,400 apprenticeship participations in the 2015-16 year. That is the highest number on record. Of course, it is a challenge to reach a 3 million target, but we are on the way.

[Gordon Marsden]

The Minister is right to point to progress so far and I do not want to disparage that. He reminds us that implementation is for the Department and the Skills Funding Agency. I am well aware, of course, that David Hill, who is an extremely talented and assiduous civil servant, has been seconded to do precisely that as director of apprenticeships. I was puzzled, however, that the Minister made no reference to the Apprenticeship Delivery Board. I will not go into whether it will have tsars or not; that is for others to decide and the Minister to ponder.

When that board was announced, it was advertised as being a key part of the process of encouraging and driving up the numbers. It was not simply to be a bully pulpit, but it was to have a very direct and active role. Yet since the hon. Member for Stratford-on-Avon (Nadhim Zahawi) stood down from that post, we seem to have heard very little out of the board. What is its role?

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[Gordon Marsden]

I am duly rebuked, Mr Bailey.

[Robert Halfon]

I reassure the hon. Gentleman that the Apprenticeship Delivery Board is in full flow. I meet it and its chairman regularly. It goes up and down the country and works with businesses to encourage them to employ apprentices. Much of our success has been because of that board’s incredible work.

On frameworks and standards, the hon. Gentleman will know that 25% of frameworks will be gone by the end of this year. The 400 standards support around 340,000 apprenticeships. We hope by the end of the Parliament to have moved entirely from frameworks to standards. That is our target. As he knows, the standards will be determined by occupational maps based on labour market evidence and information about employer demand. We do not want to set an upper limit, because we need flexibility to respond to the economy. It will be up to the IFATE to plan the timescales for the review of those standards.

[Gordon Marsden]

Will the Minister give way?

[Robert Halfon]

I want to get to the amendments, and no doubt the hon. Gentleman will bring some of these things up again at some point, so will he allow me to answer the questions?

The hon. Gentleman asks us to sign a blank cheque on IFA capacity. We are consulting on the Secretary of State’s strategic guidance letter to the IFA. The IFA’s shadow board will publish a draft operational plan. The hon. Gentleman is right that Peter Lauener, the shadow chief executive, is excellent. He has been working with Antony Jenkins, who is the shadow chair. The shadow IFA is working hard to get the institute’s operational plan up and running by April 2017, and that plan will be published soon. Progress is being made, and the institute will be set up in April 2017.

As the hon. Gentleman knows, the institute’s board and chair are being appointed. There are 60 core staff. The IFA will draw on many more people through engagement with employer panels, experts and more than 1,000 employees, so the IFA does have the necessary capacity. We are doing this carefully. The technical education bit will start a year later; the first course on the new route will start in 2019. We are doing everything that he wants. The institute has the necessary capacity, and we have the right people and board to run it.

On occupations not included in the 15 routes, if the hon. Gentleman remembers, the principal of his college said in the evidence session that it was possible to do different things, such as sports, through the academic route and applied general qualifications. We are not closing the door on those things, but 15 is regarded as the right number. We have analysed the labour market, and I think that it is right to have those 15 routes, which are, in essence, what our economy needs. On that basis, I believe that the expanded institute is the right body to be at the heart of the reforms—we are implementing the Sainsbury reforms—and the Government are committed to ensuring that the institute plays that role. Clause 1 should therefore stand part of the Bill.

[Tracy Brabin (Batley and Spen) (Lab)]

It has been interesting to listen to the Minister. I have one quick question. How will the nearly 900,000 apprentices currently on courses be channelled into those routes? If they are in retail, for which a route does not currently exist, what will happen to their course?

[Robert Halfon]

Current apprentices in the existing frameworks will not be affected. This will only be for new apprentices. Standards are being brought through, but people in the existing frameworks will not be affected by the changes.

Technical and Further Education Bill (Fourth sitting)

Robert Halfon Excerpts

Committee Debate: 4th sitting: House of Commons
Thursday 24th November 2016 Public Bill Committees

[Kelvin Hopkins]

It is a pleasure to see you in the Chair again this afternoon, Ms Dorries. I strongly support the amendments tabled by my hon. Friend the Member for Blackpool South and the case he made for them. I am also sympathetic to what the hon. Member for North Swindon said.

I have some knowledge of these issues. In general, it is so important for all citizens to have a sense of worth, and having some form of education or having a job gives us that. Without that sense of worth, we can become not only alienated and miserable, but difficult people in society. All sorts of problems arise when people do not have a proper role in society. Even if one has disabilities, to be able to have a real role among one’s fellow human beings is so important.

I particularly wish to discuss adults with moderate learning difficulties. Some 15 years ago or so, a friend invited me to speak to a class of young adults with moderate learning difficulties at my local college. I spoke fairly briefly about politics and about what I did and then they asked questions. I have to say that I could not answer the first two questions, which were very perceptive and intelligent. One was about benefits—they were very conscious about benefits and the rules governing them. I was not up to speed on that, so I was in difficulty there. The young man’s second question was why Tony Blair had abandoned socialism. I have to say that on both counts I was completely floored. I had to say that I could not speak for the Prime Minister, but that I had not abandoned socialism.

That experience showed me that these young adults were not daft. They had things to say and they had an understanding of the world. With the right courses and, if possible, the right apprenticeships, they could find some employment at some point. For example, recently, in one of our supermarkets, the young man who collects the trolleys and pushes them to the collection points for customers has moderate learning difficulties, but he has a job; he is a character; everyone knows him and he is happy. We ought to organise the world so that such things can happen.

Amendments such as the one tabled by my hon. Friend the Member for Blackpool South ought to be on the face of every Bill relating to education, training and employment, so that it becomes deeply embedded in our culture. Some employers and teachers, although they would not necessarily discriminate wittingly, might do so unwittingly without such things in their mind. They need to be aware that they must be fair and provide equal opportunities. Some employers are notorious for discriminating against women. That is changing, but we still have some way to go to ensure that women have equal shares with men. We do not have equal pay yet.

We have also talked about minority ethnic communities. Again, it is particularly those who are unemployed and live in poorer areas who sometimes get into difficulty or trouble. If they had jobs, it might be different. There was a time in my own town when anybody could literally knock on the door at Vauxhall and get a job. It might not be a very skilled job, but they could get one.

On the difficulties on the streets, an interesting statistic featured in The Guardian some years ago: when unemployment rose to 3 million in the early 1980s, street disorder and street crime took off like a rocket. It is not surprising. All those young men whose energy would have been absorbed putting wheels on cars or doing whatever they would have been doing were on the streets, with nothing better to do than cause trouble. I have always been a passionate believer in organising society to ensure full employment. Some years ago, I was chair of a Back-Bench group with outside members called the Full Employment Forum, started by the renowned Bryan Gould, one of the leading Labour politicians, who is still a friend.

On looked-after children, I said in an intervention that it is important for them to be given extra advantage, because they have had disadvantages in early life. Perhaps their education has been disrupted by their being absent from school, moving house or being generally disturbed and unhappy in education, but they might have abilities way beyond the level of education that they received, so it is important that they are given an extra boost through an apprenticeship or a college education. Providing them with security, hope for the future and a stable and predictable environment in life is important to giving them a sense of optimism and increase their self-worth.

I think these two amendments should, in one form or another, be made. I hope that at some point—maybe today, or maybe not—such amendments can be incorporated into the Bill in its final form. I am happy to support them, and I congratulate my hon. Friend on moving them.

[The Minister for Apprenticeships and Skills (Robert Halfon)]

It is a pleasure to serve under your chairmanship, Ms Dorries. I will respond to some of the issues raised. The hon. Member for Batley and Spen talked about careers guidance in schools, and I agree with her. The first ever speech that I made in the House of Common was about the problem of careers guidance in schools not encouraging people to do technical education or apprenticeships. We must consider the issue holistically, from primary school all the way through. Although it is not part of the Bill, I am considering from the start how we deal with the issue.

That said, we are investing £90 million in careers. The Careers & Enterprise Company has 1,190 enterprise advisers and a £5 million careers and enterprise fund. I have seen myself how they go into schools to boost provision on technical education and apprenticeships, to encourage work experience and to build links between businesses and schools. There is also a separate £12 million mentoring fund, which I am very keen on.

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[Gordon Marsden]

I beg to move amendment 11, in schedule 1, page 22, line 14, at end insert

“following consultation with institutions, students and employers, and their representatives”.

This amendment would ensure that the Government must consult with institutions, students and employers, and their representatives before making changes to the “occupational categories” or “routes”.

The amendment would ensure that the Government consult with institutions, students, employers and their representatives before making changes to the occupational categories or routes. You were not with us this morning, Ms Dorries, but we had quite a detailed discussion around occupational categories and routes, so I will try not to repeat the arguments that we had—people can read them in Hansard.

If there are concerns and controversies about the different routes—for instance, about whether the service sector is adequately represented in the existing routes—that gives even more force to the argument that there should be as broad a consultative and collaborative process as possible. It should not hold up the processes; I am conscious that consultations can go on and on endlessly.

As it stands, the Bill enables the Secretary of State to propose categories for those routes without any further input. It simply requires the Secretary of State to notify the IFA of any changes. I say to the Minister what I said to his counterpart on the Higher Education and Research Bill: although I genuinely have every confidence in his wish to consult, and, for that matter, in the Secretary of State’s wish to consult, we are setting down legislation that will last for a significant number of years, so we have to be careful that we do not hook everything on to the whim of a Secretary of State. After all—we made this argument about the Higher Education and Research Bill—if a new institution is to succeed, it has to have the active and enthusiastic participation of as many of the people who are affected by it as possible. A consultation with institutions, students, employers and their representatives is a necessary part of the process.

A further point is that there is a balance to be struck —the Minister will be well aware of this, because it is a continuing and intensifying debate—between the bespoke skills that are needed for immediate jobs and the enabling skills for more generic future employment. There will always be a tension between the needs of an employer and the needs of an employee—they might be a student or an apprentice—in whichever skills area. After all, in the 21st century we will not all have, as my father was promised before the second world war, a job for life.

We will probably see young people who—I am sure we have all used this phrase, one way or another—do five careers during their lifetime, two of which have not yet been thought of. It is therefore even more important that we have that broad process of ongoing consultation about how generic, as opposed to bespoke, skills should be, so that not only do we get the skills that we need for the future, but young people and adults wanting to return to work or start a new career get the skills that they need.

[Robert Halfon]

I welcome the opportunity to debate the amendment, and understand why Opposition Members support it. It is important to understand the purpose of occupational categories, which we refer to as routes in the technical education reforms we are putting in place, and how they relate to the overall system we are developing. The routes are the main ways that learners will find their way around the new system. They provide clear and accurate signposts to the new qualifications.

Lord Sainsbury’s report proposed a system that has

“employer-designed standards...at its heart”,

which is what we have created. He urged that there be a common framework of standards, covering both apprenticeships and college-based provision. Those standards are the basis of the new technical education system we have created. In essence, the standards are the knowledge, skills and behaviours required to perform the occupation.

Presentationally, it does not help to have hundreds of different standards, completely distinct from one another. It is better to group them together to make it easier for people to understand how to navigate through the system. The routes give us a mechanism to do that. I shall not go through it again, but on Second Reading I set out how, if someone went down the engineering route, that would be reflected if they then chose a different branch of engineering.

Earlier, we discussed best practice overseas—I think the hon. Member for Luton North mentioned it—and our system does reflect international best practice. It was reviewed with employers, academics and professional bodies as the Sainsbury panel developed its proposals. The routes are each based on evidence-based occupational maps, on which we have to consult widely. The institute will take on board a wide range of views when developing the occupational mapping, which will then feed into the shape of the routes. It will have to help to ensure that the routes are aligned with the needs of the economy and the industrial strategy, so that young people and adults can make the choices they need to make when they move into skilled technical occupations.

Route panels—panels of professionals—and employers have been consulted to ensure that the institute gets it right, so it is not necessary to consult on the routes separately. Nevertheless, there will of course be an ongoing need to keep the route structure under review—it is flexible—and to continue to listen to the feedback from stakeholders. In view of that, I hope that the hon. Gentleman will feel reassured enough to withdraw the amendment.

[Gordon Marsden]

I thank the Minister for that explanation, which is helpful. I hear what he says, but I am still not entirely reassured. I understand the process; indeed, I understand the process laid out by Lord Sainsbury in the skills plan. The point I was trying to make, and to which I referred this morning when I discussed the responses from the Association of Employment and Learning Providers and various others, is that there remains considerable unease—I will put it no more strongly than that—about whether the routes cover a large enough area of the skills or sectors we will need for the future. That is separate from the issue I raised about enabling skills.

I am not rubbishing the existing routes at all, but the matter needs to be thought about and watched very carefully. I can understand what the Minister is saying about not having everything chopped into silos, but I would not want him to think that certain areas, particularly the service sector, can be ignored just because he has been told that this is the route to follow. Nevertheless, it was a probing amendment. I was interested in what the Minister had to say, and we can always return to the matter on Report if we are not happy. On that basis, I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Ordered, That further consideration be now adjourned. —(David Evennett.)

Education

Robert Halfon Excerpts

Wednesday 23rd November 2016 Ministerial Corrections

[Jake Berry]

Sian Nixon, the modern languages teacher, is one of the many inspirational teachers at Haslingden High School. She has invited me and a local manufacturer to go into the school and talk about the value of modern languages before pupils make their GCSE choices. Will the Government say what can be done to encourage more businesses to enter schools, in particular to promote apprenticeships in areas of high manufacturing worth such as Rossendale and Darwen?

[Robert Halfon]

I know that my hon. Friend is an incredible constituency champion on skills and careers. I hope that when he goes into that school he will talk about apprenticeships as well as modern languages. We have created the Careers and Enterprise Company, with £90 million of investment. It has 1,200 enterprise advisers to help more than 900 schools interact with businesses and have work experience and other career options.

[Official Report, 14 November 2016, Vol. 617, c. 13.]

Letter of correction from Robert Halfon:

An error has been identified in the response I gave to the hon. Member for Rossendale and Darwen (Jake Berry) during Questions to the Secretary of State for Education.

The correct response should have been:

[Robert Halfon]

I know that my hon. Friend is an incredible constituency champion on skills and careers. I hope that when he goes into that school he will talk about apprenticeships as well as modern languages. We have created the Careers and Enterprise Company, and have provided £90 million of investment for careers provision. It has 1,200 enterprise advisers to help more than 900 schools interact with businesses and have work experience and other career options.

Apprenticeships

[Gordon Marsden (Blackpool South) (Lab)]

To promote apprenticeships in schools, strong careers guidance is critical. However, this month’s cross-party verdict from the two Select Committee Chairs who have looked at this, the hon. Member for Stroud (Neil Carmichael) and my hon. Friend the Member for Hartlepool (Mr Wright), is that

“Ministers appear to be burying their heads in the sand while careers guidance fails young people”.

Will this Minister—the third Minister to whom I have put this question—back the Select Committee’s recommendation to restore proper work experience in schools at key stage 4? Will he lift his head out of the sand?

--- Later in debate ---

[Robert Halfon]

I suggest the hon. Gentleman stops being a doom-monger and becomes an apprentice-monger. We are providing the Careers and Enterprise Company with £90 million to boost career provision in schools, with £20 million for investment. The National Careers Service is getting £77 million to help people with careers. We have thousands of enterprise advisers in schools all over the country. This is what the Careers and Enterprise Company is all about. The Government are investing in careers, investing in skills and investing in apprenticeships.

[Official Report, 14 November 2016, Vol. 617, c. 14.]

Letter of correction from Robert Halfon:

An error has been identified in the response I gave to the hon. Member for Blackpool South (Gordon Marsden) during Questions to the Secretary of State for Education.

The correct response should have been:

[Robert Halfon]

I suggest the hon. Gentleman stops being a doom-monger and becomes an apprentice-monger. We are providing £90 million to boost career provision in schools, with £20 million for investment. The National Careers Service is getting £77 million to help people with careers. We have thousands of enterprise advisers in schools all over the country. This is what the Careers and Enterprise Company is all about. The Government are investing in careers, investing in skills and investing in apprenticeships.

Oral Answers to Questions

Robert Halfon Excerpts

Monday 14th November 2016 Commons Chamber

[Jake Berry (Rossendale and Darwen) (Con)]

9. What steps the Government are taking in schools to promote apprenticeships.

[The Minister for Apprenticeships and Skills (Robert Halfon)]

May I begin by paying tribute to my predecessor, the hon. Member for Grantham and Stamford (Nick Boles), and wishing him a speedy recovery?

We are transforming Britain into an apprenticeship and skills nation. We have ensured that schools provide high-quality careers guidance to pupils on their different options, and there is a legal requirement for schools to inform pupils about apprenticeships and other vocational options. We have also established the Careers & Enterprise Company to transform careers provision for young people, to inspire them and prepare them for the world of work.

[Jake Berry]

Sian Nixon, the modern languages teacher, is one of the many inspirational teachers at Haslingden High School. She has invited me and a local manufacturer to go into the school and talk about the value of modern languages before pupils make their GCSE choices. Will the Government say what can be done to encourage more businesses to enter schools, in particular to promote apprenticeships in areas of high manufacturing worth such as Rossendale and Darwen?

[Robert Halfon]

I know that my hon. Friend is an incredible constituency champion on skills and careers. I hope that when he goes into that school he will talk about apprenticeships as well as modern languages. We have created the Careers & Enterprise Company, with £90 million of investment. It has 1,200 enterprise advisers to help more than 900 schools interact with businesses and have work experience and other career options.[Official Report, 23 November 2016, Vol. 617, c. 1MC.]

[Peter Kyle (Hove) (Lab)]

At present, only 8% of young people finish apprenticeships with a higher level of qualification than they started with. Will the Minister set a target for young people starting higher level qualifications rather than just the target of 3 million starts that he has at present?

[Robert Halfon]

I have very good news for the hon. Gentleman. The number of apprentices doing higher apprenticeships has gone up by 500%. If we include degree apprenticeships, in which we are investing millions of pounds, more than 28,000 people are doing higher apprenticeships or degree apprenticeships.

[Nicky Morgan (Loughborough) (Con)]

I am delighted to hear the Minister speak so warmly of the Careers & Enterprise Company, and I know he will do a terrific job in his post. For schools to promote apprenticeships successfully the apprenticeship positions must be there for students to move into. He will have had a letter from IMPACT Apprenticeships and Loughborough College in my constituency about the latest announcements regarding apprenticeship training agencies and levy paying companies’ not being able to transfer funds to the agencies, as that will be delayed until May 2018. Will he meet me to discuss that further?

[Robert Halfon]

I am very happy to meet my right hon. Friend and the apprenticeship training agency she mentioned. As she has said, from 2018 it will be possible for employers paying the levy to transfer up to 10% of the levy funds to indirect employers.

[Rob Marris (Wolverhampton South West) (Lab)]

A few months ago, the Secretary of State prayed in aid the Technical and Further Education Bill, which we will debate today, as a measure to help apprentices. That Bill changes the name of the Institute for Apprenticeships and includes vast numbers of provisions to deal with further education colleges and sixth-form colleges going bust. Will the Minister tell me exactly which part of the Bill does anything to promote apprenticeships, in schools or elsewhere?

[Robert Halfon]

As I said, we are transforming our country into an apprenticeships and skills nation. The whole point of the Bill is to drive up standards to help improve our technical education offering. We already have an Institute for Apprenticeships, which will be up and running by April 2017.

[Wendy Morton (Aldridge-Brownhills) (Con)]

15. As the Minister is aware, developing skills through apprenticeships is key for today and for the future, and across my constituency businesses such as JC Payne are playing their part in creating apprenticeships. Will he reassure me, though, that, as we move forward and develop more apprenticeships, this will not just be about quantity but about quality?

[Robert Halfon]

My hon. Friend is absolutely right: this is about quantity as well as quality. We made it a requirement that all apprentices have to be employed and have to do a certain amount of training. We tightened the definition of apprenticeships in law to ensure they are real apprenticeships. We are creating the new Institute for Apprenticeships and Technical Education, and we are moving from frameworks to standards to improve apprentices’ qualifications. Everything we do—in addition to the 3 million apprentices and the 619,000 apprentice starts since May—aims to drive up quality as well as quantity.

[Gordon Marsden (Blackpool South) (Lab)]

To promote apprenticeships in schools, strong careers guidance is critical. However, this month’s cross-party verdict from the two Select Committee Chairs who have looked at this, the hon. Member for Stroud (Neil Carmichael) and my hon. Friend the Member for Hartlepool (Mr Wright), is that

“Ministers appear to be burying their heads in the sand while careers guidance fails young people”.

Will this Minister—the third Minister to whom I have put this question—back the Select Committee’s recommendation to restore proper work experience in schools at key stage 4? Will he lift his head out of the sand?

[Robert Halfon]

I suggest the hon. Gentleman stops being a doom-monger and becomes an apprentice-monger. We are providing the Careers & Enterprise Company with £90 million to boost career provision in schools, with £20 million for investment. The National Careers Service is getting £77 million to help people with careers. We have thousands of enterprise advisers in schools all over the country. This is what the Careers & Enterprise Company is all about. The Government are investing in careers, investing in skills and investing in apprenticeships.[Official Report, 23 November 2016, Vol. 617, c. 2MC.]

[Justin Tomlinson (North Swindon) (Con)]

Following the disability apprenticeship report by my hon. Friend the Member for Blackpool North and Cleveleys (Paul Maynard), Scope and Mencap, which I set up with my hon. Friend the Member for Grantham and Stamford (Nick Boles), will the Minister confirm that it is a priority to open up apprenticeships to those with learning disabilities?

[Robert Halfon]

I thank my hon. Friend for his work as Disabilities Minister. That is exactly the case. We are ensuring significant financial support to encourage investors and providers to provide apprenticeships to those with disabilities and special needs. We are investing in a special £2 million fund to help to provide apprenticeships for those with mental health difficulties, and we have agreed to adopt the reforms suggested by the Maynard review in full.

--- Later in debate ---

[Yvonne Fovargue (Makerfield) (Lab)]

16. What assessment she has made of the effect of recent changes in the level of (a) funding and (b) costs on the provision of education to 16 to 19-year-olds in England.

[The Minister for Apprenticeships and Skills (Robert Halfon)]

We are committed to protecting the base funding rate of £4,000 per student for the rest of this Parliament. Moreover, the proportion of young people participating in education or training is now 81.6%, which is higher than ever before. Following reforms to qualifications, the system is delivering better quality provision to prepare young people for jobs and further study.

[Nic Dakin]

Sixth-form colleges have suffered a 17% cut in their funding since 2011, which has had a real impact on the quality and breadth of curriculum they can offer. Will the Minister, with the Secretary of State, commit to evaluating how much funding is necessary for 16-to-19 education so that it is of the global quality we deserve?

[Robert Halfon]

The important thing is that we have equalised the funding and that the money now follows the student, not the qualification, to ensure a fair balance between sixth-form colleges and further education.

[Yvonne Fovargue]

Winstanley College is one of the highest-performing sixth-form colleges in the country and won The Daily Telegraph’s Educate North college of the year award, but it estimates that by 2019 it will have seen a real-terms cut of 20% to its funding, which will fall to a level last seen in 2004. What measures is the Minister taking to ensure fair and equal funding for sixth-formers in England?

[Robert Halfon]

It is good news about the performance of the hon. Lady’s college—I thank her for expressing it—but it is worth mentioning that we are investing £7 billion in 2016-17 to ensure that every 16 to 19-year-old has a place in education or training and that we have protected the funding base rate of £4,000 per student. It is also worth remembering that we have the lowest level of youth unemployment on record and the lowest number of those not in education, employment or training. This shows that our investment in further education is working.[Official Report, 20 December 2016, Vol. 618, c. 12MC.]

[Huw Merriman (Bexhill and Battle) (Con)]

Funding forms a chapter in an excellent report by the Headteachers Roundtable. Is the Minister willing to meet me and this group of heads to discuss their report in Parliament?

[Robert Halfon]

Either I or the Minister for School Standards would be pleased to meet my hon. Friend.

[Ms Angela Eagle (Wallasey) (Lab)]

Over the next four years, funding for education is due to fall by 8% per head, although I note that Ministers have been describing this as “protecting” core funding, which is a funny use of language. So low is funding for sixth forms that schools that have formed academies are increasingly getting rid of their sixth forms because they are not profitable, thereby cutting off large numbers of opportunities for people, often in poorer areas.

[Robert Halfon]

As I said, by 2020 we will be giving more funding to further education than at any time in our island’s history. It will have increased by 40%, which we should be proud of. Our investment is working. As I said, we have the lowest youth unemployment and the lowest number of NEETs on record. The hon. Lady should be celebrating that.[Official Report, 20 December 2016, Vol. 618, c. 12MC.]

[James Cartlidge (South Suffolk) (Con)]

13. What progress her Department is making on the provision of 30 hours of childcare to working parents.

--- Later in debate ---

[Mims Davies (Eastleigh) (Con)]

Last week I visited the excellent Eastleigh College, which is delivering 5,000 apprenticeships and would love the new Minister to come to Eastleigh. It was noted that apprentices gained the maths qualification but were struggling to get through the English qualification. Will the apprenticeships Minister help in this area?

[The Minister for Apprenticeships and Skills (Robert Halfon)]

I congratulate my hon. Friend on the work she does. I will be very pleased to meet her to discuss these matters and to come to see her college.

--- Later in debate ---

[Stuart Andrew (Pudsey) (Con)]

On Friday I met Futureworks Yorkshire, which has been successful in supporting apprentices through shared apprenticeships, particularly in small and medium-sized enterprises in the construction industry. It seeks assurances about what provision has been made for that in the levy. Will my right hon. Friend meet me and Futureworks to make sure that this successful scheme continues?

[Robert Halfon]

Of course I will be pleased to meet my hon. Friend and the organisation he mentions. We are investing heavily in skills and construction and doing everything we can to improve the quality and quantity of apprenticeships.

[Nic Dakin (Scunthorpe) (Lab)]

T8. Nursery providers have been contacting me because they are very anxious about the changes that are likely to result in reduced funding per child. The Minister has been very clear today that that will not happen. Will she meet my local providers so that we can have an exchange of information?

Technical and Further Education Bill

Robert Halfon Excerpts

Money resolution: House of Commons & 2nd reading: House of Commons & Programme motion: House of Commons & Ways and Means resolution: House of Commons
Monday 14th November 2016 Commons Chamber

[Lucy Powell]

I apologise, Madam Deputy Speaker. I want to put it on the record that it was I who was speaking from a sedentary position. The Minister is indeed at the vanguard, but the only other discernible member of the Government is the Minister for the Armed Forces, who is standing behind the Speaker’s Chair.

[The Minister for Apprenticeships and Skills (Robert Halfon)]

May I make a quick point? As the debate has highlighted today, it is quality, not quantity, that counts.

[David Rutley]

Indeed.

The Bill is timely. After strenuous efforts to stabilise the economy following the financial crisis, the UK faces a new opportunity—and some challenges—in Brexit. If we are to make a success of leaving the EU, it is increasingly urgent that we tackle our long-standing productivity gap compared with other leading economies. The challenge is to upskill the existing and future British workforce. It is interesting that the Chartered Management Institute says that one in four jobs was left vacant in 2015, owing to skills shortages.

--- Later in debate ---

[The Minister for Apprenticeships and Skills (Robert Halfon)]

I welcome the thoughtful contributions to the debate from Members on both sides of the House.

This important Bill has two purposes: to provide high-quality technical education to students; and, when colleges are suffering extreme financial difficulties, to provide clarity in the unlikely event of insolvency while protecting students as part of the process. The Bill has the protection and best interests of students at its heart, which is why David Hughes, the chief executive of the Association of Colleges, has stated that he is

“pleased that the Government is continuing to take forward the measures outlined in the Post-16 Skills Plan”.

The Bill is vital because we face serious challenges: a chronic shortage of high-skilled technicians; acute skills shortages in science, technology, engineering and maths; and low levels of literacy and numeracy compared with other OECD countries. A number of Members have raised an important issue about maths. We do not yet require all 17-year-olds who have not achieved an A to C in maths and English to resit the qualifications. Students who achieve lower than a D grade at 16 may take other qualifications. We are looking at functional skills. I want functional skills to be better and for them to be as prestigious to employers as other skills.

[Kelvin Hopkins]

rose—

[Robert Halfon]

I ask the hon. Gentleman to hold on one second, because he said that he wanted resources for maths, and we have invested £67 million to recruit up to 2,500 additional maths and physics teachers, and to upskill up to 15,000 non-specialists. We are investing the resources.

[Kelvin Hopkins]

rose—

[Robert Halfon]

I will not give way because of the shortage of time.

A number of hon. Members mentioned the Maynard reforms. We will implement those as soon as we possibly can, particularly with regard to the issue of maths for those with disabilities. We will inform the House as progress is made.

The hon. Member for Hove (Peter Kyle) talked about the levy and technology. The thing is that if companies have apprentices, they do not pay the levy, and they get 10% on top. This is about changing behaviour and raising money to fund millions of apprenticeships in our country.

We have substantially grown apprenticeships, with 619,000 starts, which is why we have the levy. It will have an impact on employers with a pay bill of £3 million or more and help to fund the quantity and quality of apprenticeship training. We are dramatically reducing the number of technical qualifications available, ensuring even better quality for students.

A lot has been said about FE funding, but by 2020 more will be spent on FE and skills participation than at any time in our island’s history—£3.4 billion in the year 2019-20. My hon. Friend the Member for Dover (Charlie Elphicke) correctly described FE as a ladder of opportunity for young people.[Official Report, 20 December 2016, Vol. 618, c. 11MC.]

We are adopting the Sainsbury report, as has been suggested, and will put in place 15 high-quality technical routes to skilled employment. Those will be implemented by the Institute for Apprenticeships and Technical Education, which will oversee the employer-led reforms.

We are proud of the university technical colleges. There is clearly a debate here, as some Members want those for pupils at 14 and some for education at 16. That debate will no doubt continue, but we allow flexible entry to UTCs in certain circumstances.

My hon. Friend the Member for Macclesfield (David Rutley) asked about the role of business. We have created the Careers & Enterprise Company to boost businesses’ linking up with students in schools.

The hon. Member for Wolverhampton South West (Rob Marris) talked about representation. I am very keen for all kinds of organisations to be represented. I am a trade union member myself, and I am very proud that this Government give Unionlearn £12 million. It has an incredible fund that supports thousands of learners and apprentices. I very much hope that trade unions will be involved in the Institute for Apprenticeships and Technical Education. The institute will ensure that all technical provision, across both apprenticeships and college-based courses, matches the very best in the world.

[Rob Marris]

Will the Minister give way?

[Robert Halfon]

I am sorry, but we have very little time.

[Rob Marris]

On a point of order, Madam Deputy Speaker. The Order Paper I have says that this debate can continue until 10 pm. Am I misreading it?

--- Later in debate ---

[Madam Deputy Speaker]

Mr Hunt is excited at the prospect of another three hours from the Minister, but it is incumbent on every Member of this House to judge the mood of the House, the pace of the debate and the necessity of taking up the time of the House. From my observation and experience, a speech of between 10 and 15 minutes from a Minister winding up is usually appropriate and welcomed by most Members of the House.

[Robert Halfon]

The hon. Gentleman and other Opposition Members talked about quality, not quantity. They should practise what they preach.

Let me give an example of the technical education reforms in practice. For someone aspiring to be an engineer, rather than choosing from the 500 qualifications that are currently on offer, many of which hold very little value for employers, there will be one clear route: the new engineering and manufacturing route. That individual will choose an apprenticeship or college-based technical education course by choosing an occupation. They will initially learn a broad base of knowledge based on one approved standard per occupation, and then they will specialise, for example towards electrical engineering. The awarded certificate will be universally recognised and have real value for employers. That is an example of the nature of our technical reforms.

There is no doubt that FE and sixth-form colleges play a vital role in our education system, as the hon. Member for Scunthorpe (Nic Dakin) noted so brilliantly. That is why I have visited my own FE college more than 50 times since becoming an MP. FE colleges act as genuine centres of expertise. We know that, because 80% of colleges are either good or outstanding, and 79% of adult FE students get jobs, move to apprenticeships or progress to university afterwards. It is worth noting that 59% of institutions are in good financial health and 52% are operating with a surplus.

A minority of colleges, however, are in serious financial difficulties—about 40 colleges face these problems. In supporting these colleges, we forecast by March 2017 a total spend of £140 million on exceptional financial support. That £140 million could have been invested in students. We have to deal with the roots of these problems and ensure that we protect students, which was why we started the area reviews, about which there has been much discussion. They will be completed by March 2017 and will ensure financial resilience, strong leadership and well-governed institutions. We have a moral duty to students that money is spent on learning, and a duty to deliver value for money for the taxpayer. Money that would otherwise be spent servicing debt will be freed up to invest in high-quality education and learning.

[Jo Churchill]

Will the Minister give way for a brief intervention?

[Robert Halfon]

I am very sorry, but I cannot because of time, even to my hon. Friend. I apologise.

Let me be clear: no FE or sixth-form college will close as a direct result of the Bill. The Bill will help to ensure prudent borrowing and lending, and to safeguard the protection of students.

The insolvency regime under the Bill will clarify what will happen should a college become insolvent. The special administrative regime we are introducing will allow Ministers to take action to ensure that learners are protected. There will be duties on the Secretary of State to promote education, and to provide suitable apprenticeship training and basic skills training for certain people. All existing statutory requirements will stay in place. Local authorities are also legally responsible for promoting effective participation and making clear how transport arrangements support young people of sixth-form age to access opportunities. That is not to say, however, that creditors are not important. Colleges and banks have long worked together to grow and develop the FE sector. The Bill will introduce a clear process for all involved should a college become insolvent, and will reassure creditors about how their debt will be treated.

The reforms in the Bill are fundamental to the Government’s vision for a country that works for everyone. It will ensure that we improve the skills base in our country, that we increase our economic productivity, that we protect students, and that those from the most disadvantaged backgrounds have a chance to climb up the ladder of opportunity. I commend the Bill to the House.

Question put and agreed to.

Bill accordingly read a Second time.

Technical and Further Education Bill (Programme)

Motion made, and Question put forthwith (Standing Order No. 83A(7)),

That the following provisions shall apply to the Technical and Further Education Bill:

Committal

1. The Bill shall be committed to a Public Bill Committee.

Proceedings in Public Bill Committee

2. Proceedings in the Public Bill Committee shall (so far as not previously concluded) be brought to a conclusion on Tuesday 6 December 2016.

3. The Public Bill Committee shall have leave to sit twice on the first day on which it meets.

Proceedings on Consideration and up to and including Third Reading

4. Proceedings on Consideration and the proceedings in legislative grand committee shall (so far as not previously concluded) be brought to a conclusion one hour before the moment of interruption on the day on which those proceedings are commenced.

5. Proceedings on Third Reading shall (so far as not previously concluded) be brought to a conclusion at the moment of interruption on that day.

6. Standing Order No. 83B (Programming committees) shall not apply to proceedings on Consideration and up to and including Third Reading.

Other proceedings

7. Any other proceedings on the Bill (including any proceedings on consideration of Lords Amendments or on any further messages from the Lords) may be programmed.—(Heather Wheeler.)

Question agreed to.

Technical and Further Education Bill (Money)

Queen’s recommendation signified.

Motion made, and Question put forthwith (Standing Order No. 52(1)(a)),

That, for the purposes of any Act resulting from the Technical and Further Education Bill, it is expedient to authorise the payment out of money provided by Parliament of—

(1) any expenditure incurred under or by virtue of the Act by the Secretary of State, and

(2) any increase attributable to the Act in the sums payable under any other Act out of money so provided.—(Heather Wheeler.)

Question agreed to.

Technical and Further Education Bill (Ways and Means)

Motion made, and Question put forthwith (Standing Order No. 52(1)(a)),

That, for the purposes of any Act resulting from the Technical and Further Education Bill, it is expedient to authorise—

(1) the charging of fees, and

(2) the payment of sums into the Consolidated Fund.—(Heather Wheeler.)

Question agreed to.

Homelessness Reduction Bill (Money)

Queen’s recommendation signified.

Resolved,

That, for the purposes of any Act resulting from the Homelessness Reduction Bill, it is expedient to authorise the payment out of money provided by Parliament of any increase attributable to the Act in the sums payable under any other Act out of money so provided.—(Mr Marcus Jones.)

National College for Wind Energy

Robert Halfon Excerpts

Tuesday 1st November 2016 Westminster Hall

[The Minister for Apprenticeships and Skills (Robert Halfon)]

It is a pleasure to serve under your chairmanship, Mr Bailey. I genuinely congratulate the hon. Member for Great Grimsby (Melanie Onn) on securing this debate; she is a brilliant advocate for her constituency. I also pay tribute to my genuine hon. Friend the Member for Cleethorpes (Martin Vickers) and thank him for his remarks.

It is clear from the hon. Lady’s interest in this subject that she rightly wants to ensure that people of all ages in Grimsby have access to high-quality further and higher education to acquire the technical skills that employers are increasingly demanding. The Grimsby Institute is already helping to meet those needs as one of England’s largest providers of higher education, providing a wide range of training at a variety of levels. The hon. Lady spoke movingly about the apprentice she met. She will know that there were 840 apprentice starts in her constituency last year, and there were more than 5,210 between 2010 and the end of 2015. I know she would like to see more; hopefully, the impact of our commitment to deliver 3 million apprenticeships by 2020 will be felt in her constituency.

The hon. Lady raised important issues about the skill needs of the energy industry, which is timely because it allows me to set out what the Government are doing to address the skills needs across all sectors of the economy in England. It is a key priority of the Government to ensure that we have the skilled workforce required to support development and growth in all areas of the UK economy. The country has all the ingredients required to compete with other skilled nations, but we have to create an education system that can harness and develop that talent, starting at school and going right through to the highest levels of education and training.

We are making progress. Many more of our young people are now taking up high-quality apprenticeships and training, leading to good jobs and careers in their chosen profession. Our post-16 skills plan will build on that, creating a more streamlined system of high-quality technical education that truly delivers the skills that industry need, but the Government cannot do the job by ourselves. We want to work with employers and colleges to unlock the potential in this country. There are already good examples of colleges and employers working in close partnership to create world-class facilities and teaching, but there is more to do.

I am not afraid to acknowledge that our education system does not always deliver the high-level technical skills in the volumes that our economy demands, especially at levels 4 to 5—the bit between A-level and graduate level. The fact that only 10% of people in England hold higher-level technical qualifications has contributed to a chronic shortage of highly skilled technicians. The OECD estimates that we will need around 300,000 trained technicians entering the labour market by 2020. Every year, the UK produces only around a third of the number of people trained at technician level that Germany produces. Higher apprenticeships are beginning to address that, but we are growing from a low base. Things are not going to get any better in a system in which only 4% of students are studying further education at level 4. Although there is good higher-level technical provision in some areas, it is spread too thinly across the country overall.

National colleges, which we have heard about this afternoon, will play an important role in helping to meet the gaps, within the context of the wider reforms set out in our 16-plus skills plan, which outlines the most radical shake-up of post-16 education since the introduction of A-levels almost 70 years ago. It will transform technical education for most young people and adults into an education that is world class, with clear pathways to skilled employment. It will build on the success we have already had by investing in apprenticeships, with the aim of creating a skilled workforce that is the envy of every other nation and that meets the needs of our growing and rapidly changing economy.

National colleges will have an important place in the new technical skills landscape, helping to define and deliver the routes required. They provide specialist facilities and training and lead the way in the design and delivery of higher level technical skills in industries or sectors that are critical to economic growth—industries that currently rely heavily on imported skills to meet the skills gaps at higher levels.

[Gordon Marsden]

The Minister is setting out some of the Government’s new proposals in this policy area, on which we will no doubt touch again as part of our discussions of the new Further Education and Technology Bill, which was announced last week. Regarding the hopes of my hon. Friend the Member for Great Grimsby (Melanie Onn) for the college at Grimsby, does the Minister accept that there needs to be a recalibration in Government to ensure that older people who have experience and skills participate in the new set of national colleges as well as younger people? It seems that too often the Government’s rhetoric has excluded them.

[Robert Halfon]

I would like all people to participate if they need the skills. I do not agree with the hon. Gentleman: our apprenticeships, skills offerings and national colleges are all open to all ages.

The Government are investing £80 million to support the development of five national colleges, and we expect that money to be matched by investment from industry in the respective sectors. The ambition is for the colleges to train up to 20,000 learners by 2020. I recently visited the new Hackney-based National College for Digital Skills. The facilities, the enthusiasm of the staff, the passion of the students and the strong support from employers such as Google will make it the success that I know it will be. Employers in other industries are crying out for higher-level skills, and particularly for technicians who combine deep knowledge of technology with up-to-date experience in industry.

National colleges will be set up only in those sectors where there is a clear gap in skills and where employers have clearly demonstrated their support and willingness to contribute to the operation of the colleges. Those that have been successful so far have had a clearly defined scope and sector focus, with evidence of strong employer support—High Speed 2, nuclear and the creative and digital industries—and wind energy is no exception. An industry-focused skills solution would need to demonstrate strong employer commitment and willingness to contribute capital, equipment, senior management time and access to facilities.

I am encouraged by the considerable work done to date by key partners to develop a proposal that meets the existing and future needs of the energy sector. Officials from my Department have been in discussion with the local enterprise partnership and others to provide advice on what we would want to see from a national college for wind energy. I understand that the LEP and RenewableUK are working with industry to identify skills gaps and to build a case for a viable national college model. The latest proposal has changed, but it is still very much consistent with the original vision of a national college. I am encouraged by the work that is going on, and look forward to further progress on the national college proposal. It will follow, as it must do, the same robust assessment process as for every other national college that has been agreed. Widespread employer buy-in and engagement will be a critical factor.

[Melanie Onn]

Might this be an opportune moment for the Minister to throw his full and forceful weight behind accelerating the programme as much as possible and encouraging all the agencies in the area to provide a blueprint so that we can all receive some assurance? My original concern was about the problem of the timing, in advance of the autumn statement; perhaps he can comment on that as well.

[Robert Halfon]

As I have said, as long as the same propositions that others who have set up national colleges are followed—it looks as if a lot of work is being done to do that—I will of course support and work with the relevant bodies, such as the LEP, as well as with the hon. Lady and others. Nevertheless, the detailed plan must be produced, and it has to meet the conditions that the plans for other national colleges had to meet. There is no doubt that, as I have said, this industry is vital to the economy and that, as I have also said, we need a skills training system that can deliver the skills needed to fill these jobs.

During the Commons debate on the Humber energy estuary in February, the Government set out our ambition to have a strong industrialised UK supply chain with the capability and capacity to win even more orders. We are working with developers to see how we can attract further investment and promote rejuvenation in areas such as Hull. We want UK companies to be able to benefit from offshore wind development, by ensuring that they are in the best possible position to compete for business.

I am grateful to the hon. Member for Great Grimsby for raising this important issue today and I know that she will work hard to try to help establish the national college in her area.

Apprenticeships Funding

Robert Halfon Excerpts

Tuesday 1st November 2016 Westminster Hall

[The Minister for Apprenticeships and Skills (Robert Halfon)]

It is a pleasure to serve under your chairmanship, Mr Streeter.

I congratulate the right hon. Member for Tottenham (Mr Lammy) on securing this important debate and on the work he has done, but I was disappointed that he did not feel that it was right to mention the £13.4 million spent by the Government in his constituency on the new digital college, which I was proud to open with him only a couple of weeks ago; the 920 apprentice starts in his constituency over the past year; the Government’s doubling of apprenticeship spending to £2.5 billion by 2020; the 619,000 apprentice starts that we have had since May 2015; or even—dare I say it?—the record on people not in education, employment or training. The previous Government left us with 1 million unemployed young people. Between 2014 and 2015, the proportion of 16 to 18-year-olds in education or work-based learning increased to 90%, which is the highest figure on record, and the proportion of 16 to 18-year-old NEETs fell to 6.5%, which is the lowest rate since records began. I was also disappointed that the right hon. Gentleman did not mention the 500% increase in higher apprenticeships since 2010, the £7 billion to be spent on further education and training, and the extra incentives given to the frameworks. His speech was partial and disappointing given his record in standing up for apprenticeships and skills.

I congratulate my many hon. Friends, and hon. Gentlemen and Ladies of all parties, on their thoughtful speeches. My hon. Friend the Member for North Swindon (Justin Tomlinson) was a brilliant Disabilities Minister. We are very supportive of the work done by him and my hon. Friend the Member for Blackpool North and Cleveleys (Paul Maynard) to encourage more disabled people into apprenticeships. We fully accept their recommendations and we are implementing them.

On the levy, we are increasing the incentives to employers and providers by £1,000 each for those on a healthcare plan or those from care homes; specific disabilities providers will get an extra £150 a month, and up to £19,000 will be provided for adaptation. My hon. Friend the Member for North Swindon will know about the £2 million that we put by for support for mental health apprenticeships; that money supports roughly 2,000 participants. It is worth mentioning traineeships, on which something like 19.7% of those with learning disabilities are represented. That has not been mentioned in this debate.

I am very happy to meet with the hon. Member for Liverpool, Walton (Steve Rotheram), and I am meeting him on Thursday about another issue. There are no existing plans to devolve the levy funds to specific areas. We are creating a system that simplifies funding across England, making it easier for employers to navigate. We will be reviewing how the disadvantage funding works over the next 12 months.

There were some thoughtful speeches, including from the hon. Member for Glasgow North West (Carol Monaghan). I say to her and to the hon. Member for Motherwell and Wishaw (Marion Fellows) that the devolved Administrations will get a fair share, and we hope to make the announcement shortly. The hon. Member for Glasgow North West made important points about apprentices getting real jobs. It is good that 90% of apprentices stay in work. Surveys show that the satisfaction of those apprentices is incredibly high.

I could talk about many of the issues raised today, but in the time available I want to go through those raised by the right hon. Member for Tottenham and Labour’s Front-Bench spokesman, the hon. Member for Blackpool South (Gordon Marsden). Hon. Members have to see what the Government are doing in the overall context of the £2.5 billion increase by 2020. A huge amount is going towards increasing funding rates for STEM frameworks—that too was not mentioned by Opposition Members. Just under half of 16 to 18-year-olds will attract more funding thanks to the uplift in STEM frameworks. Huge amounts of money are going into support for disadvantaged apprentices, as was acknowledged by the right hon. Gentleman and others today. A significant amount is going towards helping small employers, as those with below 50 employees will pay no training costs at all. There are all kinds of other incentives. Some 25% of frameworks will be replaced by the new apprenticeship standards by the end of the year.

[Jim Shannon]

rose—

[Robert Halfon]

I am sorry, but I cannot give way because very little time remains.

More money will be spent on standards. A huge amount of money is going into the system to ensure that 16 to 18-year-olds and those who are socially disadvantaged are properly represented. Many of the frameworks that apply to adults are the same as those applied to 16-year-olds, yet the ones for 16 to 18-year-olds can cost double the amount. The surveys and the evidence show that they do not need to cost as much, and that, often, only a few hundred pounds would make a difference.

We are moving into a new world. The apprenticeship levy is changing employer behaviour. Businesses will choose different kinds of apprenticeships because of the move to standards, and would-be apprentices will choose different kinds of apprenticeships. The way the discussion has gone among some Opposition Members, it is as if we were comparing apples with apples. However, the world is changing and we are now comparing apples with pears.

[Mr Lammy]

Will the Minister give way?

[Robert Halfon]

I will not, because I only have a few minutes left to speak, and I think that the right hon. Gentleman had a fair crack of the whip.

We are putting a huge amount of money into FE funding, guaranteeing that £7 billion will be spent on FE funding and training. We have put money into a transition year and traineeships. Of those who do traineeships, 60% are aged 16 to 18 and 50% go on to get work, apprenticeships or education. Some £50 million has been spent on traineeships thus far—again, that was not mentioned in the debate.

Of course, we are doing a lot of work on welfare reform to help with jobcentres and so on. An enormous amount of money is going towards helping 16 to 18-year-olds and people from socially disadvantaged backgrounds. To use some frameworks as a way of saying that the Government are not helping the poorest is entirely wrong. I have five priorities for apprenticeships.

[Mr Lammy]

On a point of order, Mr Streeter. The Minister is reliant on the new standards, which only just over 3,000 apprentices have taken up. More than 99% are on the current frameworks, which is the subject of the debate, and the Minister has not addressed that at all. He is trying to hoodwink the House.

[Mr Gary Streeter (in the Chair)]

That is not a point of order. The Minister may continue.

[Robert Halfon]

The right hon. Gentleman should check his statistics. There have been more than 4,000 starts on standards, and 400 standards are in development. Many frameworks are going up, and we are putting a huge amount of money into uplifting the STEM frameworks. That is what employers want, and we are designing an employer-led system.

We are raising the prestige of apprenticeships, helping the socially disadvantaged, and introducing the levy to change behaviours and so that the cost is borne evenly throughout society. We will reach the target of 3 million; as I said, we have had 619,000 since May last year. We are raising the quality of apprenticeships through the Institute for Apprenticeships and through degree and higher apprenticeships, which many thousands of people have taken up.

The Government are transforming the country into an apprenticeship nation. I am proud of the work that has been done, and of the officials who have worked hard to ensure that we listen to employers, as we said we would when we first announced the levy.

Oral Answers to Questions

Robert Halfon Excerpts

Monday 10th October 2016 Commons Chamber

[Mary Glindon (North Tyneside) (Lab)]

5. What assessment she has made of the potential effect of her Department’s proposed changes to apprenticeship funding rates on the take-up of apprenticeships.

[The Minister of State, Department for Education (Robert Halfon)]

The proposed apprenticeship funding policy is designed to support an increase in the quality and quantity of apprenticeships. Our proposals include incentives and support for employers and providers that will encourage the take-up of many more apprenticeship opportunities by people of all ages and backgrounds, giving many people their first step on the employment ladder of opportunity. We continue to engage with employers and providers, and we plan to publish the final policy shortly.

[Mary Glindon]

A recent National Audit Office report condemned the lack of contingency planning for apprenticeship funding reform. How does the Minister hope to address that?

[Robert Halfon]

We are busy with our plans to introduce the apprenticeship levy. By 2020, we will be spending more than double on apprenticeships, or £2.5 billion extra. We are well on the way towards achieving our target of 3 million apprenticeship starts by 2020, with over 500,000 starts in the past year alone.

[Andrew Bridgen (North West Leicestershire) (Con)]

Although I welcome the record number of people participating in apprenticeships in our country, will the Minister outline what steps the Government have taken to encourage more small businesses to offer apprenticeships?

[Robert Halfon]

My hon. Friend, who is a champion of apprenticeships in his area, will be pleased to know that, under the plans for the new apprenticeship levy, small businesses that hire 16 to 18-year-olds as apprentices will pay only 10% of the training costs. Furthermore, they and the providers will each receive £1,000. That will encourage small businesses to hire more apprentices.

[Gordon Marsden (Blackpool South) (Lab)]

I welcome the Minister to his place, and I welcome his commitment to social mobility, but is not the truth that he found this shambles—30% to 50% of apprenticeship funding is being cut for our most disadvantaged 16 to 18-year-olds—in the welcome pack in his in-tray? He knows that it is a shambles. Nearly a month ago, he and I spoke here to a full house of sector leaders and heard it from them. On the same day, the Prime Minister was caught on the hop when she said that she did not recognise the figures, and the chief executive of the Institute of the Motor Industry said that it was a looming car crash. With no proper impact assessment of these cuts, and with the Government’s credibility on the line, why one month later has the Minister still no solutions to these funding cuts?

[Robert Halfon]

I notice that the shadow Minister—I have great respect for him and am pleased to face him across the Dispatch Box—called his campaign “Save our apprenticeships”. We have been saving 2.5 million people on apprenticeships over the past five years. In 2014-15, in his own constituency, he had 1,040 apprenticeship starts, 218 under-19 apprenticeship starts and 10,500 people participating in further education. If that is not saving apprentices, I do not know what is. As I have said, the apprentice funding will be doubled to £2.5 billion. He is ignoring the increase in the STEM uplifts, the extra money spent on new apprenticeship standards and the £1,000 going to every employer and every provider when they hire a 16 to 18-year-old.

[Chris Davies (Brecon and Radnorshire) (Con)]

6. What assessment her Department has made of the adequacy of educational provision in rural areas.

--- Later in debate ---

[Helen Whately (Faversham and Mid Kent) (Con)]

9. What progress the Government have made on raising the quality of technical education.

[The Minister of State, Department for Education (Robert Halfon)]

We are transforming and reforming the technical qualifications available in schools and colleges, as my hon. Friend the Minister for Schools just said, to ensure that they are challenging and rigorous. We are creating clear technical education routes at the highest skill levels and will boost the capacity to deliver them through national colleges and institutes of technology in degree and higher apprenticeships. The post-16 skills plan that we published in July outlines the most radical reform of post-16 education in almost 70 years, by creating a high-quality technical track.

[Helen Whately]

I welcome the commitment of the Secretary of State and the Minister to technical education, alongside more academic routes. Employers in Faversham are keen to support young people in apprenticeships, but they have told me that apprenticeships need to be more flexible and less bureaucratic, so will the Minister involve such employers as he develops the technical education system?

[Robert Halfon]

My hon. Friend is exactly right. Technical education clearly needs to be aligned better with business needs. We are building on the apprenticeships reforms, whereby employers are designing the new apprenticeship standards to meet their needs, by giving employers a strong role in setting the standards across the 15 technical routes. They will advise on the knowledge, skills and behaviours that are needed, so that technical education has value for employers and learners alike, and is responsive to the requirements of the economy and employers.

[Nic Dakin (Scunthorpe) (Lab)]

BTECs are challenging and rigorous. It would be quite concerning if we had an over-focus on technical education, pure and simple, without maintaining a strong applied route through BTECs. Will the Minister give us a commitment about the future of BTECs?

[Robert Halfon]

Clearly, we had to reform technical education, because there were far too many qualifications. There were over 13,000 qualifications, and engineering had something like 500. We are looking to offer students a technical pathway if that is what they choose, and we will look at the best qualifications for those technical pathways.

[Nusrat Ghani (Wealden) (Con)]

10. What steps the Government are taking to improve support for adopted families.

--- Later in debate ---

[Marcus Fysh (Yeovil) (Con)]

T8. New engineering and infrastructure projects in the south-west mean that skilled workers are in great demand—a fact that I hope will help those at GKN in Yeovil who are sadly grappling with its potential closure, as announced on Friday. Will my right hon. Friend meet me to discuss ways we can boost skills development and preserve and enhance the highly valued skills base we have?

[The Minister of State, Department for Education (Robert Halfon)]

I am always pleased to meet my hon. Friend, who is a champion of skills in his constituency. He will know that people in Somerset will benefit from the increased number of apprenticeships and the 15 new high-quality technical routes, which he has heard about already this afternoon. The new National College for Nuclear, opening in 2017, will have a base in Somerset, supporting the local workforce to develop their skills and build capacity for the Hinkley Point C nuclear plant. He will also know that there have been 1,160 apprentice starts in his constituency over the past year, with 350 for the under-19s, showing the skills base in his constituency.

[Stephen Twigg (Liverpool, West Derby) (Lab/Co-op)]

The Secretary of State has spoken about social mobility. Where is the evidence, from this country or other parts of the world, that bringing back selection at 11 will increase social mobility? I think the evidence shows the opposite. May I urge her once again to think again about this plan to extend grammar schools and instead work together to raise standards for all children in all our schools?

Commission for Employment and Skills

Robert Halfon Excerpts

Thursday 21st July 2016 Written Statements

[The Minister of State, Department for Education (Robert Halfon)]

As announced in the 2015 spending review, in order to prioritise funding to allow the core adult skills participation budgets to be protected in cash terms, Whitehall Departments will be withdrawing their funding for the UK Commission for Employment and Skills (UKCES) during 2016-17.

UKCES’ work over the last Parliament has helped in setting the skills agenda for the future and their activities have created the conditions to move to the next phase of more devolution, greater employer ownership and the apprenticeship levy. It is important that we now have new structures to move onto that next phase and we have announced the establishment in England of a new Institute for Apprenticeships.

As a result of these decisions, Whitehall Departments have been working with the UK Commission to agree a way forward.

National occupational standards (NOS) will be managed by the devolved Administrations and transferred to another public sector organisation. Decisions on the detail of how NOS will be managed are the responsibility of the devolved Administrations who are currently considering next steps. The contents of the NOS database will remain publicly available and employers throughout the UK can continue to use NOS if they so choose although they are not a mandatory requirement in England for either qualifications or apprenticeships.

The management of the employer skills survey, the employer perspectives survey and the LMI (labour market information) for All Portal will be moved into the Department for Education. The Investors in People function will continue and the Government are looking at arrangements to secure its future and growth.

All operational activities of UKCES will be concluded by the end of 2016 and it is expected the organisation will be wound up in line with the end of its financial year, 2016-17.

[HCWS121]