Careers Advice (14 to 19-Year-Olds)

Andrew Stephenson Excerpts

Wednesday 25th February 2015 Westminster Hall

[Stephen Lloyd]

Yes, I agree, with one caveat. The principle of UTCs is good, but I would like them to be clear about working closely with further education in their area. For decades, one of this country’s challenges with the issue has been that changes and improvements have often been fragmented. UTCs are a good example of that. I admire Lord Baker’s good work on them, but some of them already appear to be acting in silos without the local FE colleges and other training groups, and that is a mistake. I take on board my hon. Friend’s intervention, but, because he has good links with the UTCs, I ask to him to remind them to work closely in partnership with others.

Partnership was mentioned, which is crucial in careers. When partnership works, we can get young people into the right jobs and give them the right opportunities to understand what is available out there across the piece with FEs, UTCs, business and schools. That gets a successful outcome, but with fragmentation in silos we do not get that.

As MPs we are often told, and we recognise, that there is a growing skills gap in the workplace. A recent piece, I think in the Financial Times, highlighted that again and we know that is a problem and a challenge. When it comes to universities, everyone holds the same qualifications after graduating and a high proportion of young people compete furiously for the same jobs, while other sectors such as engineering, which my hon. Friend the Member for Stroud (Neil Carmichael) talked about earlier, struggle desperately to entice and recruit people into their profession.

My whole background was in business before I entered politics and I am convinced that, nine times out of 10, the problem is ignorance: young people simply do not know about the wide range of different opportunities and jobs. There are many ways to deal with that, but they come back to why I am holding this debate: clearly, the most important professional in that regard is the careers adviser.

Young people are often misled—that is a tough word, but it is true—to believe that the only, or superior, way into a job is to take A-levels and go on to university. After the general election, I was the first MP to launch “100 apprenticeships in 100 days,” because I had a plan. It was terribly successful in Eastbourne and we have had more than 3,500 apprenticeships since, but more importantly, that galvanised the whole town around apprenticeships. Businesses large and small all got involved and the success rate has been tremendous.

I was at Dominic Hill accountancy only last week, a small company of 10 or 11 people that has three apprentices. One started four years ago and she now has the Association of Consulting Actuaries qualification. Another is two years into his Association of Chartered Certified Accountants qualification, and the brand-new one started on his ACA apprenticeship three weeks ago. When those individuals qualify as accountants—one already has—they will not be loaded with tuition fee debt. They all have jobs and I am pretty darn sure that, after they have qualified, they will stay at Dominic Hill because it is a good company, but, because their accountancy qualifications are portable, they can go anywhere. Therefore, the conversion rate is not 90% or 80%, but 100%.

I had a meeting the other day with the chief executive of AIG, the big insurance company, which is now providing apprenticeships in insurance broking and underwriting, but the vast majority of people still do not know that. The key individuals who would have that information and be able to feed that on to young people in schools and colleges are the careers advisers. Therefore, they are an absolute game changer.

I appreciate that the coalition Government have tried to address these problems, and that is laudable. The Education Act 2011 put schools under a statutory duty to provide independent careers guidance to pupils since its implementation in 2012. I also welcomed the announcement in last year’s autumn statement about the £20 million to be given to improve careers advice, and I applauded the Department for Education’s announcement in December that a careers and enterprise company is to be created to work with employers to inspire and educate pupils. That highlights the Government’s recognition that more needs to be done to improve careers guidance. We are heading in a positive direction.

[Andrew Stephenson (Pendle) (Con)]

I congratulate my hon. Friend on securing the debate. One school in Pendle that has really embraced providing impartial careers advice is Marsden Heights community college. It set up a job junction that opens on Monday and Thursday lunchtimes every week, and students employed in the dream team deliver careers advice, including discussions of the current apprenticeship vacancies in Pendle, with their fellow students. Will he congratulate schools such as Marsden Heights that have listened to what the Government have asked them to do and used their initiative to go much further in providing impartial careers advice to students?

[Stephen Lloyd]

I do applaud that; that is a really good example of partnership working locally and of a school being proactive. The colleges play a key role—I am the chair of the all-party group for further education, skills and lifelong learning—but schools are crucial. I work closely with schools in Eastbourne and Willingdon in my constituency, so I would be interested in getting some more detail from my hon. Friend to downstream that locally.

I still retain some concerns about the Government’s announcements. Will the Minister shed any further light on what the £20 million will be spent on specifically? What will the remit be for informing young people about the range of apprenticeships in the programme? Will the company work with the FE sector as well? I wait to hear from him on that.

I also note that the Secretary of State for Education took part in a session run by the Select Committee on Education that looked into the state of careers advice. We await the Committee’s report and I look forward to seeing that. More still needs to be done to highlight pathways into vocational or academic education and training.