Creative Industries: Apprenticeship Levy
Debate between Viscount Younger of Leckie and Lord Fox
Viscount Younger of Leckie
We absolutely want to take account of roles such as masons, so there are different flexibilities in the apprenticeship programme. There are the one-year and three-year schemes and 20% off-the-job training, so they get to a really good standard of apprenticeship when they come out.
Lord Fox (LD)
My Lords, the Minister will recall that last year Peter Bazalgette led a review on how best to frame the apprentice levy to drive the creative sector. In an Answer to my noble friend Lord Foster, the Minister undertook to read that report and perhaps take some lessons from it. Now, nearly a year on, will the Minister tell us what lessons were learned by his department from the Bazalgette report and what it is doing differently now from what it was doing nearly a year ago?
Viscount Younger of Leckie
There is a lot more that we are doing for the creative industries regarding the apprenticeship scheme. For example, we are working very closely with industry bodies such as the Creative Industries Council, Creative & Cultural Skills and ScreenSkills, so on the back of the Bazalgette report we are looking in greater detail at what more we can do in this important sector for the UK.
Trade Bill
Debate between Viscount Younger of Leckie and Lord FoxWednesday 13th March 2019
(5 years, 8 months ago)
Lords ChamberRead Full debate Trade Bill 2017-19 View all Trade Bill 2017-19 Debates Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: HL Bill 127-R-II Second marshalled list for Report (PDF) - (11 Mar 2019)
Viscount Younger of Leckie
My Lords, the Government welcome international students, who make a valuable contribution to the UK economically and culturally. They bring greater diversity to university and college campuses and an international dimension to the experience of all students. They also stimulate demand for courses and add to the UK’s impressive research capacity. In the longer term, they offer the prospect of productive business, political, cultural and research links. Of course, they also bring welcome income to UK universities and our wider economy.
We are pleased that the UK remains a highly attractive destination for international students. UK higher education institutions hosted almost 460,000 EU and non-EU students in 2017-18, the highest number on record. There remains no limit on the number of students who can study here, and there are no plans to introduce one.
In the Higher Education and Research Act, there is provision for a faster and simpler route for high-quality new providers to enter the sector and gain degree-awarding powers. This allows the sector to diversify and strengthen its international offer, providing even better opportunities to students from all over the world.
The Department for Education currently publishes data on the value of UK education exports annually. These statistics cover education exports and transnational activity relating to higher education, further education, schools, English language training and products and services. I am grateful for the comments made by the noble Lord, Lord Fox, the noble Earl, Lord Kinnoull, and the noble Baroness, Lady O’Neill. It is important to look at the statistics, and I will start by giving a view of the ones that we already publish. The latest education exports data publication was dated January 2019. It set out that total education exports and transnational education activity were estimated to be worth almost £20 billion in 2016. International students at higher education institutions contributed £11.9 billion in exports through living expenditure and tuition fees alone that year. This accounts for around 60% of the total value of education exports and activity.
Trade Bill
Debate between Viscount Younger of Leckie and Lord FoxWednesday 30th January 2019
(5 years, 9 months ago)
Lords ChamberRead Full debate Trade Bill 2017-19 View all Trade Bill 2017-19 Debates Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: HL Bill 127-III Third marshalled list for Committee (PDF) - (28 Jan 2019)
Lord Fox (LD)
The noble Lord, Lord Lilley, before he had to hurry off, spoke of transparency as if it were a threat to negotiation. Speaking to another amendment earlier, the noble Baroness, Lady Neville-Rolfe, who has more contemporary experience than the noble Lord, spoke of her regrets about the TTIP negotiation, and the fact that the NHS brouhaha that blew up around it scuppered, or terminally injured, that negotiation. Transparency is not a prerequisite just because it is a good thing; in the modern world it is needed to get consent for such things to happen. In the world we live in today, such negotiations can be stopped—and if we think the TTIP negotiation was an example of that, we have not seen anything until we have seen a US treaty being negotiated. Transparency is not just a good thing; it is an enabler, which allows us to have such treaties.
Viscount Younger of Leckie (Con)
My Lords, forgive me for stretching the definition of repetition, but before I address the amendments in detail I would like to underline the fact that the Bill concerns continuity for our existing EU free trade agreements as we leave the European Union. I mention that without wishing to revisit the emphasis that we placed on the word “continuity” on Monday last week. Scrutiny of new free trade agreements is not part of the Bill, nor is scrutiny of our future relationship with the EU.
Apprenticeship Levy: Creative Industries
Debate between Viscount Younger of Leckie and Lord Fox
Viscount Younger of Leckie
We continue to work with the creative industries sector to be sure that it has the apprenticeships that it needs. I remind the noble Baroness that this is employer-driven. Three hundred apprenticeships have been approved so far under the new standards system, while 41 standards are in the process of being created in this sector, of which 27 are in development and 14 have already been approved. There is more work to be done and I take note of what she says.
Lord Fox (LD)
My Lords, the Minister said in his Answer that the Government’s plan was to introduce a step change in apprenticeships, and indeed they have—they have stepped down by 50% so far. The reason is that SMEs in the creative and media industry and throughout other industries are struggling to make this work. In order for the Government to get the step up rather than down, will the Minister first admit that there is a problem and then undertake to try to solve it, rather than lumping it on to the industries?
Viscount Younger of Leckie
The noble Lord will know that I have acknowledged in this Chamber that there is a drop in apprenticeships, but the main reason for it is that we have moved from the old frameworks system of apprenticeships to the standards one. That is why there is a drop if one looks at it year on year. We have acknowledged that and are doing something about it.
Apprenticeships: Levy
Debate between Viscount Younger of Leckie and Lord Fox
Viscount Younger of Leckie (Con)
My Lords, the apprenticeship levy is an important part of our reforms to raise the quality of apprenticeships. We are seeing real improvement in the quality of apprenticeships as a result of our wider changes. The number of people starting on new employer-designed standards is almost 10 times higher than last year, but there is still more to do and we continue to engage closely and regularly with businesses as they plan their future apprenticeship programmes.
Lord Fox (LD)
My Lords, I thank the Minister for his Answer but, if he will excuse me, it is papering over the cracks. Last autumn we saw a big fall in the number of apprenticeship registrations, in February they were down 40% and in March—the latest numbers we have—they are down 58%. This is not a blip; this is a trend. When will the Government abandon their completely unreachable and unworkable 3 million target and really focus on quality?
Viscount Younger of Leckie
We are certainly not going to abandon this: we believe that it is working well. We have explained already that it takes time to bed in. Yes, I acknowledge that starts have dropped, but we make a comparison year on year to last March when there was a considerable spike in the old apprenticeships. At the moment, 37% of people doing an apprenticeship are now starting on standards, compared to 3% last year.
Bombardier
Debate between Viscount Younger of Leckie and Lord Fox
Lord Fox (LD)
My Lords, I draw your Lordships’ attention to my declared interests. I thank the Minister for repeating the comprehensive Statement, which I think has support right across the House. There is a danger that this is a bellwether moment for Bombardier, Northern Ireland’s industry and, perhaps, Britain’s future trading relationships. It is an important example and possibly a glimpse of what life outside the European Union might look like.
As the Statement rightly says, this unilateral and disproportionate response by the US Department of Commerce is over a variety of plane that Boeing itself does not manufacture. Does the Minister agree that this is perhaps a more symbolic gesture, with an eye on other manufacturers in other places—a warning shot, perhaps—with Bombardier as the innocent victim of a larger global power play in plane manufacturing? It also demonstrates in style how the US is going to administer multilateral organisations. It sets out in stark contrast what life could be like after Brexit as we adopt WTO rules, just as the Trump Administration step up their attack on that institution, not least through the vetoing of appointments to the WTO’s appellate body, denying it the ability to deal with such trade disputes.
Canada has long demonstrated through its actions that it views Bombardier as a strategic Canadian resource. In Northern Ireland, as the noble Lord, Lord Mendelsohn, stated, it has a very important economic as well as symbolic position within the community. I will not repeat what he has just said, except to reaffirm that its loss would be a savage blow to the drive for economic development that is absolutely essential to support the Good Friday agreement and everything that has gone before. But it is also strategic to the UK aerospace industry. We have to remember that wings are a very important part of what we do in this country, and that is what Bombardier does, so there is a very strong need to defend that technology as well.
Of course, the US action is at an early stage. In due course, as it progresses through the courts and winds its way towards the WTO, I dare say—largely because it has no merit—that Bombardier may have success in overturning the ruling. But these things take years—years and years. What kind of shape would this business be in after going through this process? No company Bombardier’s size could withstand a process of that length. Can the Minister tell us the status of the Delta sales? Are they on hold or do they go ahead as normal until the appeals process is complete? The Minister set out the co-operation that is coming from Canada but we should remember that the parent company is Canadian and if it starts to seek to preserve the overall concern, where will it cut first—in Canada or in Northern Ireland? It is very important that the Government seek assurances from Bombardier that it will continue to support the Belfast operation.
Finally on this point, we can expect the Chinese to heat up their bid for Bombardier. What line do Her Majesty’s Government have into that process? What advance warning are they likely to get in the event that a bid from the Chinese or someone else comes along?
I welcome the seriousness with which the Government are taking this; it is imperative that that seriousness continue. I am sure the Government will take the time to explain to Boeing the caustic effect it is having on what has been a burgeoning relationship in this country. I am sure the Government are reminding it about the Apache and Chinook helicopters and Poseidon aircraft that are currently on order from the MoD. Will the Minister say what contingency plans are being put in place to ring-fence the skills we have in Belfast in the event that they start to leech out? We are glad to hear that the Minister is working tirelessly, but what exactly is he now doing? We have heard that he talked to a wide variety of opposite partners in Canada and the US, but what levers does he have to pull? Can the Minister assure us that while we are cosying up, trying to negotiate a trade deal with the US, we will not ease back or soften our approach to the defence of Bombardier? The Minister has a long list of people he has talked to, so far to no effect. What is the next step?
Viscount Younger of Leckie
I thank the noble Lords, Lord Mendelsohn and Lord Fox, for their contributions and for their general support for the Government’s approach in what I think the House will acknowledge is a challenging situation.
The noble Lord, Lord Mendelsohn, emphasised the importance of the operation in Northern Ireland, particularly the Bombardier—formerly Shorts—factory. It is important for Northern Ireland. I think I mentioned that 1,000 or so jobs out of a total of 4,000 are particularly focused on making the wings for the C Series. The noble Lord made a valuable point about the importance of the supply chain. It is not just the 1,000 workers in the aircraft factory itself. It goes well beyond that. We are well aware of that and are focusing on all the jobs that could be affected down the line if the issue went further.
I want to give a little more information about what the Government are doing. The noble Lord, Lord Mendelsohn, mentioned a few figures. Greg Clark and the Minister for Aerospace, Richard Harrington, have been tireless in contacting a number of people across government, particularly in the US. There have been 24 calls or meetings with US administrators, Members of Congress and other US politicians, 15 calls or meetings with Bombardier in the UK and Canada and 12 calls or meetings with Boeing—that answers one of the questions asked by the noble Lord, Lord Mendelsohn. Keeping a line in with Boeing and keeping pressure up to ask it to overturn its decision is very important. There have also been 20 calls or meetings with the Canadian Government or officials.
The noble Lord asked about the EU. I think I mentioned in the Statement that in addition to the EU Commissioner, who is being kept fully involved, other levels within the EU are also being kept involved within the same area. I think that is a good approach.
The noble Lord, Lord Mendelsohn, asked what might happen with the final decision. We want this decision to be withdrawn by Boeing. That is what we expect. It is unjustified, and I think I have made it quite clear that we are going to work very hard to ensure that that happens. The final decision will be undertaken in February, if it gets that far, and then it is subject to appeal, so there is a process to be undergone, and I should say again that the unfortunate, disappointing decision that has just been made is the first step of the process. We will continue to press Boeing. The amount of meetings that have been had up to date will continue.
The noble Lord, Lord Fox, spoke about plane manufacturing. As he will know from his role, aerospace manufacturing in the UK is incredibly important. Boeing’s strategy is most disappointing. We should point out that Boeing has a considerable interest in the UK, and we want to be sure that the long-term relationships and partnerships we have with Boeing continue. No doubt they will, with what we are currently working on, but its action does not help with potential future deals. We want that to work out.
We see this as a specific issue between the US, Canada and the UK Government, not broader than that, so I do not think there is any mileage in extending it to the EU, which the noble Lord, Lord Fox, mentioned.
I do not want to comment on Delta’s thinking; that is for Delta to comment on. I can only assume that it will continue to commit to its order for the CS100. I understand that they are due to be delivered in the spring of 2018, and as far as I know, that will continue. We will do all we can to support Bombardier and all the workers in Northern Ireland—a point raised by the noble Lord, Lord Fox. Every effort will be made, and we have some very strong lines in to those running the factory and those on the trade union side. I pay tribute to those in Northern Ireland, particularly the Northern Ireland politicians, who are working assiduously with us and with others involved in Northern Ireland.