Oral Answers to Questions

Debate between Catherine McKinnell and John Hayes

Thursday 2nd February 2012 Commons Chamber

[Mr Hayes]

If I were a less experienced Member of this House, the hon. Lady’s erudition and charm might encourage me to make predictions about the Queen’s Speech, but it would be quite wrong to do so and I cannot possibly answer that question. What I will say is that the determination on this side of the House to seed opportunity by providing greater access to higher education is a profound one.

[Catherine McKinnell (Newcastle upon Tyne North) (Lab)]

10. What recent progress he has made on determining the location of the green investment bank.

Education Bill

Debate between Catherine McKinnell and John Hayes

Tuesday 8th February 2011 Commons Chamber

[Catherine McKinnell (Newcastle upon Tyne North) (Lab)]

It may not surprise many right hon. and hon. Members to learn that I want to discuss part 7 of the Bill, which covers post-16 education and training. More specifically, I want to discuss clause 65 on “The apprenticeship offer”. This is particularly appropriate given that we are in national apprenticeship week, as the shadow Secretary of State said. I am pleased to see that the Minister for Further Education, Skills and Lifelong Learning and his shadow counterpart are in their places.

I have been a passionate campaigner on the importance of apprenticeships for both businesses and workers, and for the economy and for wider society. They provide a structured career path for young and old people alike, while helping to develop the skills that UK plc will need if it is going to compete effectively on the global scale. It is for that reason that I introduced my Apprenticeships and Skills (Public Procurement Contracts) Bill, which seeks to increase the number of apprenticeship places available across the country by introducing a requirement that when awarding large contracts all public authorities must ensure that successful bidders demonstrate a firm commitment to providing skills training, wherever possible and appropriate, and, crucially, apprenticeship places.

I am delighted that my Bill is to have its Second Reading debate this Friday, during national apprenticeships week, and that it has garnered widespread support from organisations such as the Federation of Small Businesses, the TUC, the North East chamber of commerce, Unison, Unite, the Union of Construction, Allied Trades and Technicians, the Association of Colleges, the Federation of Master Builders, the Electrical Contractors Association and the GMB, and indeed from the former Government enterprise champion, Lord Sugar, to name but a few. It is a simple measure that will help to increase the number of apprenticeships available. It will ensure that employers do their bit and are on an equal footing when bidding for public contracts as the Bill will reward those with good practice and encourage the others to do more. I therefore urge the Government to do all they can to secure the Bill’s passage through the House or to take on the ideas and proposals in their own policies.

I was also delighted to welcome my own 16-year-old apprentice to her first day in my Newcastle office. Charlene Curry, a business administration apprentice from Newbiggin Hall, in my constituency, has been placed in my office by the excellent North East Apprenticeship Company, which works hard on a not-for-profit basis to marry businesses with willing apprentices, with great success. I wish to take this opportunity to urge all right hon. and hon. Members to make every effort to accommodate an apprentice in their office, if they have the ability to do so.

At this stage, it is useful to take stock and acknowledge that the previous Labour Government had a clear, unwavering commitment to boosting and expanding apprenticeships. As I have said, this is national apprenticeship week, which the previous Government launched in 2008 to celebrate and promote the important role that apprenticeships play. Under Labour, the apprenticeship system was lifted from its knees by a Government who invested money, status and opportunities in apprenticeships for young and older people alike.

In 1996-97, the final year of the previous Tory Government, only 65,000 people started an apprenticeship. By 2009-10, that figure had risen to almost 280,000, a massive and highly commendable increase which comfortably exceeded Labour’s original target of 250,000 starts.

[Mr Hayes]

Will the hon. Lady give way?

[Catherine McKinnell]

I was about to pay tribute to the Minister’s efforts in that regard, but he can intervene later if I do not cover the matter sufficiently.

Labour increased the number of apprenticeship starts from the planned 200,000 to 279,000 in the final year alone, an increase which contrasts with the current Government’s ambition of funding an extra 50,000, 75,000 or 100,000 apprenticeship places over the next four years—an announcement was made yesterday, and I hope that the figure keeps rising. Either way, the target is unambitious over four years when we consider demand and the obstacles that young people now face in trying to stay on at school or carry on to higher education.

Labour’s commitment to expanding apprenticeships included the introduction of a statutory apprenticeship offer as part of the Apprenticeships, Skills, Children and Learning Act 2009, which required the Skills Funding Agency to secure an apprenticeship place for all suitably qualified 16 to 18-year-olds by 2013. Part 7 of the Bill seeks to repeal that duty and replace it with a requirement to fund apprenticeship training for those people who have already secured an apprenticeship place. I do not doubt that the Minister for Further Education, Skills and Lifelong Learning shares my passion for promoting the importance of apprenticeships, but I am concerned about the signal that that repeal will send out. Should we not be encouraging all young people to think that an apprenticeship is at least an option for them?

Yesterday, City and Guilds published the results of a study showing that employers actually find apprentices to be more valuable than graduates. What impact does the Minister believe that taking away the guarantee of an apprenticeship will have on the number of young people seeking and successfully acquiring apprenticeship places, particularly among those from disadvantaged backgrounds?

[Mr Hayes]

I am grateful to the hon. Lady for giving way, because I know that time is short. I have three points. First, we warmly welcome her attempts to link procurement and apprenticeships. Regardless of whether we can support the Apprenticeships and Skills (Public Procurement Contracts) Bill, we will take action to support the intentions behind it. Secondly, on the numbers, we will grow apprenticeships on the back of the progress that Labour made, which I acknowledge, to an unprecedented level—we have put the funding in place for at least 105,000 more apprenticeships. Thirdly, we have changed the offer because we want to ensure that everyone who secures an apprenticeship place with an employer is funded. That is my commitment to the House tonight, which is reinforced in the legislation.

[Catherine McKinnell]

I thank the Minister for his response to those queries.

At a time when we are facing the highest recorded level of youth unemployment, with one fifth of young people out of work nationally, rising to one third in the north-east, should we not be putting every measure in place to ensure that our young people have the opportunities to gain skills and qualifications? It is creditable that the Minister has managed to secure funding for an additional 30,000 apprenticeship places for 16 to 18-year-olds, but does he genuinely believe that those extra places will even come close to meeting demand?

Recently published figures show that BT received 24,000 applications for only 400 places on its apprenticeship programme this year. PricewaterhouseCoopers has reported that applications to its school leavers entry scheme doubled to 800 in the past two years, while Network Rail has said that it received 4,000 entries for around 200 apprenticeship places this year. I would be grateful if the Minister took the opportunity provided by this debate and national apprenticeship week to clarify how removing the statutory guarantee will help the Government to increase the number of young people starting apprenticeships and the further measures that his Government intend to take to guarantee the expansion of both youth and adult apprenticeships across the UK.