Girls (Educational Development)

John Hayes Excerpts
Tuesday 29th November 2011

(14 years, 2 months ago)

Westminster Hall
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John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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As the shadow Minister, the hon. Member for Cardiff West (Kevin Brennan), has said, this has been an interesting and important debate, and I congratulate my hon. Friend the Member for Wirral West (Esther McVey) on securing it.

I do not have daughters; I have two young sons. However, women have been very important to me throughout my life. My mother was a woman and, curiously, my wife is, too. Therefore, what I learned literally from the cradle is that women—mothers—shape our character and form our ambitions. We gain the confidence that has been described by so many of the speakers in this debate—it was highlighted by my hon. Friends the Members for Hastings and Rye (Amber Rudd), for Chatham and Aylesford (Tracey Crouch), for Gosport (Caroline Dinenage) and, indeed, by the hon. Member for Vale of Clwyd (Chris Ruane)—very early in our lives. Governments, schools and others can do much—I will talk a bit about what we are trying to do—but, in the end, the familiar influences, particularly maternal influences, are critical to subsequent progress.

I learned from my mother and my father, who were both wonderfully archetypically male and female. I think of my mother and I think of her softness and the smell of talcum powder; I think of my father and I think of how bristly he was and how he smelled of tobacco and work. They were certainly both archetypically male and female and were both wonderfully demonstrative and loving. They gave me the feeling that I was the most special little boy in the world—a feeling that has never left me, by the way. I feel that now, at this very moment, so my ambitions were reinforced by not only their direct support but the sentiments that they instilled in me.

I entirely appreciate the points that have been repeatedly made in this debate. As the shadow Minister has said, they have been made on the basis of good information and a shared determination across the Chamber. I entirely recognise that the challenges people face as they turn their own ambitions into reality are affected by many influences. In the short time left, I will try to deal with some of those influences, some of which are benevolent and some of which are malevolent, as the hon. Member for Vale of Clwyd said.

The hon. Gentleman made a wonderful contribution that underpinned the fact that this debate is as much about values and attitudes as it is about education. I reassure the shadow Minister that we understand—at least, I understand—that education is more than utilitarian. It is about values and attitudes, and ethos and sentiments. Although the work done by parents in instilling both ambition and the capacity to realise ambition in children is critical, the work done by our schools matters so much, too. Indeed, it matters more for those children who are not as fortunate as I was in having a stable, loving and supportive family.

In respect of girls and women, we need to go the extra mile. We need to take further steps to ensure that they are able to fulfil their potential. In the brief time available, I will talk about some of the steps that the Government are taking, but before I do so I will just say a word about Plato because I know that hon. Members would be disappointed if I did not. Some 2,500 years ago, Plato said:

“Nothing could be more absurd than the practice that prevails in our country of men and women not following the same pursuits with all their strengths and with one mind, for thus, the state instead of being whole is reduced to half.”

How interesting that the classical world understood what so often in the modern world we forget.

My hon. Friend the Member for Wirral West, who initiated the debate, has not forgotten because she has dedicated a great deal of her considerable skill and energy to the promotion of the interests of young women. I pay tribute to the work she has done. I was pleased to be able to support it in a room close to here, when she was able to launch her magazine, Chloe Can, which is aimed at young women. She was able to articulate some of the points that she has made today at greater length then. The work we do to establish role models in these terms is important, and my hon. Friend is indeed a role model for young women whose interests she has championed with such vehemence and to such effect.

We have learned much—I defer to the two former teachers who have spoken—about what characterises good schools in this respect. Schools with little or no gender gap in achievement tend to be characterised by a positive learning ethos—we have heard about that today, have we not?—high expectations of all pupils, high quality teaching and learning, good management and close tracking of individual pupil’s achievement. Teachers know all their pupils well and plan their resources and teaching accordingly, rather than conforming to preconceived views about what those pupils might achieve, whether that relates to gender or any other particular characteristic.

We can do three things in particular to support teachers in their efforts to fuel social mobility and achievement. The first concerns advice and guidance. It is very important that young people get the right quality advice and guidance. In truth, one of the principal inhibitors to social mobility is this: I suspect that our children will become socially mobile because of us. Our children will benefit from the fact that we, in the Chamber, are reasonably well informed about the opportunities that might exist, be they boys or girls, and will impart an understanding of how to turn those ambitions into opportunity. That is not true for all young people, however. The advice and guidance that we can provide through the new national careers service will, to some extent, ameliorate the disadvantages of many young people who do not have either advice from a family or social networks.

Lord Brennan of Canton Portrait Kevin Brennan
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Is the Minister concerned, in the light of the debate, that the lack of face-to-face guidance in the careers service will be a hindrance to girls gaining confidence and being able to make the right choices?

John Hayes Portrait Mr Hayes
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It is important to appreciate the value of face-to-face guidance. The hon. Gentleman will know that the Education Bill establishes the new statutory duty on schools to secure independent, impartial advice and guidance. When it was debated in the House, we agreed, in the statutory guidance accompanying the Bill, to ensure that face-to-face guidance was available in particular to people with the greatest disadvantage, those special needs and learning difficulties. We also said that schools should make the most appropriate provision for their pupils. I emphasise that it is vital that that should include a range of provision, and that that provision should be linked to the quality standards that are being developed by the profession itself.

As well as changing the law, we have worked with the careers profession to establish a new set of qualifications, with appropriate training and accreditation. That means that we will re-professionalise the careers service after the disappointing years—I put that as mildly as I can—of Connexions. We are on the cusp of a new dawn for careers advice and guidance, with a professionalised service, a new set of standards, a new statutory duty and the launch of the national service co-located in Jobcentre Plus, colleges, community organisations, charities and voluntary organisations. I do not say that the task will be straightforward, but it is a worthwhile journey. The destination to which we are heading will be altogether better than the place we have been for the past several years. That advice and guidance will assist young women, in particular, to fulfil their potential in the way I have described and, as a result of this debate, will re-emphasise the significance of opportunities for girls and young women in the establishment of the national careers service this spring.

The second issue I wanted to speak about was apprenticeships. I made a point—the hon. Member for Cardiff West knows this subject well too—when I became the Minister of challenging the National Apprenticeship Service on the under-representation of particular groups. The obvious example in relation to this debate is women in some of what might be called the traditional apprenticeship frameworks: engineering, construction and so on.

Esther McVey Portrait Esther McVey
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I conducted some surveys and analysis on that, which was very interesting. For young girls who took science apprenticeships, it fitted in far better with their family life because they could achieve a job and status far more quickly than the slow process of going through university. It fitted in much better with the cycle of a woman’s life and child-bearing age.

John Hayes Portrait Mr Hayes
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How interesting. I defer to the greater expertise of my hon. Friend, but what I have done is ask the National Apprenticeship Service to run a series of pilots, building competencies and understanding on how we can make the apprenticeship system more accessible to those who are currently poorly represented. That is not to say that women are poorly represented in apprenticeships per se. More than half of all apprenticeships are taken up by women, but they tend to be in areas such as care and retail. The effect of that, because of the wage rates in those sectors, is to exaggerate the difference in wage-earning potential among successful apprenticeships between men and women. I have asked the NAS to work on a series of pilots. Bradford college is prioritising action to increase female representation in the energy sector. Essex county council is focused on women in engineering and on acting as the prime contractor for a regional provider network. West Notts college, whose representatives I met recently, is also looking at increasing female representation in engineering. There are a number of others, but I want to give the Chamber merely a flavour of what we are trying to do.

The third issue I wanted to speak about is women and science, technology, engineering and maths. Basically, not enough girls study STEM after the age of 16, as has been mentioned a number of times, including by my hon. Friend the Member for Gosport. There are several things that we can do. The Department for Education has worked closely with the Institute of Physics. Its stimulating physics network incorporates many of the recommendations of the Girls into Physics report, which the hon. Lady will know about. The STEM ambassador scheme, co-ordinated by STEMNET, is arranging for working scientists and engineers to visit schools to support teachers, and engage and enthuse pupils to continue studying science. The hon. Lady will know that a large proportion of the STEM ambassadors are women. We want to focus that energy on what we can do to encourage more girls to study STEM subjects. By making different choices early, they cut off some of the routes that might be available to them later. So much of this is about early intervention and changing perceptions about what choices can be taken to facilitate subsequent progress. I will happily give way before I come on to my exciting conclusion.

Esther McVey Portrait Esther McVey
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Will the Minister congratulate the new president of the Royal Society of Chemistry? For the first time in 300 years, it has a female president. In the next year, she will try to increase the number of female teachers becoming ambassadors and the number of girls taking chemistry.

John Hayes Portrait Mr Hayes
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I not only add my voice to that congratulation, I suggest that we invite her here to a tea party with the hon. Lady and myself, which, needless to say, she will be funding.

This debate has brought to the attention of the House the important subject of opportunities for girls and women. I do not take the orthodox view, by the way, that men and women are more alike than is often supposed. I think that they are rather less alike—my life has taught me that. However, that does not mean that the opportunities available to them should not be just as demanding, just as exciting and just as exhilarating. We should work tirelessly to create those opportunities in the way that my hon. Friend the Member for Wirral West has done for so long, beyond old frontiers to new horizons.

I learned at my mother’s knee first, and I learn from my wife every day, as Yeats said:

“That Solomon grew wise

While talking with his queens”.

In that spirit, I assure the Chamber, and all those who have contributed to this important debate, that the Government will go the further mile that I described at the outset to achieve the ambitions of my hon. Friend, which reflect the ambitions of so many girls and young women.

Economic Growth and Employment

John Hayes Excerpts
Wednesday 23rd November 2011

(14 years, 2 months ago)

Commons Chamber
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John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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First, the previous Government inherited a boom, and then they bequeathed a bust and a massive deficit, so our top priority must be to deal with the consequences of that and keep out of the downward spiral into which countries such as Greece and Italy have fallen.

As my hon. Friends the Members for Bedford (Richard Fuller), for Solihull (Lorely Burt), for South Basildon and East Thurrock (Stephen Metcalfe), and for Aberconwy (Guto Bebb) have argued, more than ever we need a plan to give confidence to markets, businesses and our people. This debate was introduced by the shadow Secretary of State, the hon. Member for Streatham (Mr Umunna). It was his first major outing, and I thought that his speech was fair. It was better on structure than on presentation—but then again, I suppose the 11 advisers write the speeches; they do not deliver them. [Interruption.] No, I am a fan of the hon. Gentleman. It has become orthodox to say that he has been over-promoted, but I think that that is a welcome change from the self-promotion that has characterised his career so far. We can therefore be grateful that he is at the Dispatch Box, as he predicted he would be for so long.

The problem with the hon. Gentleman and other Opposition Members—in fairness, we heard some good speeches from them—is that they still refuse to acknowledge that reducing the deficit is central to any credible plan. We only have to look at the continuing crisis on the continent to see what would happen if we do not do so. To be analytical about it, the hon. Gentleman made a speech about cyclical problems in a structural context. The issues around debt and deficit in this country are structural, and they will not be solved by cyclical solutions.

Chuka Umunna Portrait Mr Umunna
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The Minister seeks to give me a lecture on reducing the deficit. Can he explain why, as I asked the Secretary of State earlier, in the average of the independent forecasts, his Government are forecast to borrow more in every remaining year of this Parliament than we were under our more responsible deficit reduction strategy?

John Hayes Portrait Mr Hayes
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That was the ponderous exaltation of a basic economic fact: when tax yields fall because there is less growth than expected, and welfare payments go up, of course that is a result, but it is not a reason not to have a credible fiscal policy. The hon. Gentleman remains in denial, just as the shadow Chancellor remains in denial, but the OECD—

John Hayes Portrait Mr Hayes
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I am sorry, I will not give way. I usually do but I do not have time.

The OECD says that we have a £37 billion structural deficit and that it is the largest in the G7. It is not just about the Government debt. The hon. Member for Streatham must know that if we look at debt as a whole, we have the largest debt as a proportion of GDP in the developed world, with the exception of Japan.

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John Hayes Portrait Mr Hayes
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No, I will not give way again. Time does not allow.

So, the first thing we have to do is deal with the deficit. The second thing, as the Secretary of State said in his penetrating analysis of this weak motion, is to rebalance our economy in favour of making things, selling them and exporting them. That means an investment in human capital as well as in infrastructure. That is why we have put so much emphasis on apprenticeships.

I noticed that, sensibly, neither the proposer of the motion, the hon. Member for Streatham, nor the hon. Member for Blackpool South (Mr Marsden), who summed up and who has rather sensible views about these things for the most part, attacked our apprenticeships policy. They know that we have delivered the biggest growth in apprenticeships in modern history. They know that across regions and across sectors, we have shown growth in apprenticeship numbers. There is a great deal of discussion about this so let us get the facts on the record.

Apprenticeships among 19 to 24-year-olds have grown by 64% in two years, and among 16 to 18-year-olds by 29% in two years. They have grown even more among over-25-year-olds, but the biggest proportion of growth has been at level 3. It has been across sectors and across regions. The biggest regional growth—I say this to the hon. Member for City of Durham (Roberta Blackman-Woods)—has been in the north-east.

The third element of the strategy must be to deal with tax, cut red tape and bureaucracy, and support businesses to create jobs and fuel growth. Much has been said about what the Government have done in that respect. It is true that we have launched the growth and innovation fund, which is supporting life sciences, the creative industries, the hospitality industry and others. It is also true that the regional growth fund is doing that job as well. In the first phase the regional growth fund will support 50 projects and ultimately more than 150 projects. That will leverage more than £8 billion of private sector investment to create or safeguard more than 300,000 jobs. That is the simple fact of the matter.

Labour does not have a credible alternative. The Opposition’s five-point plan is rooted in a denial about deficit which would undermine confidence in business and in the markets, push up interest rates and do lasting damage to Britain. The Labour party inherited a boom. Its legacy was a bust.

The shadow Chancellor is not present, but his fingerprints are on the motion once again. He said recently that he cries at “The Sound of Music” and “Antiques Roadshow”. We all wondered why “Antiques Roadshow”. I will tell the House: he is wedded to the idea of an over-valued, tired out, worn out old Cabinet, and it is the one that he was in. The previous Government and current Opposition would be better taking advice from a singing nun than from the shadow Chancellor or the hon. Member for Streatham.

I urge the House to choose between the past and the future, between despair and hope, between fantasy and reality, and vote for hopeful reality by opposing the motion.

Question put.

Oral Answers to Questions

John Hayes Excerpts
Monday 21st November 2011

(14 years, 2 months ago)

Commons Chamber
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Gordon Henderson Portrait Gordon Henderson (Sittingbourne and Sheppey) (Con)
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6. If he will bring forward proposals to place schools under a statutory duty to provide high-quality and impartial careers guidance.

John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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The Education Act 2011 places a duty on schools to secure access to independent and impartial careers guidance for pupils in years 9 to 11. This provision will commence from September 2012 and will be underpinned by statutory guidance.

Gordon Henderson Portrait Gordon Henderson
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I am grateful to my hon. Friend for his answer and I very much welcome the Government’s progress on launching the national careers service. Does he agree that it is vital that we use the service effectively to promote vocational training?

John Hayes Portrait Mr Hayes
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My hon. Friend will know that I visited his constituency to look at the excellent work that has been done on vocational training. The purpose of the independent advice and guidance is to ensure that people get advice appropriate to their needs. For too long, we have assumed that the only route to prowess came through academic accomplishment. The Government believe that the work of people’s hands matters too, and that those with practical tastes and talents deserve their place in the sun.

Barry Sheerman Portrait Mr Barry Sheerman (Huddersfield) (Lab/Co-op)
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The Minister knows that face-to-face contact and advice on careers is essential. Is it not the case that up and down this country schools are giving up on having a highly trained careers person in them and there is no access to an external schools careers service? Is that not sad for the kids in this country who do not have good, well-connected parents to give them the advice that they crave?

John Hayes Portrait Mr Hayes
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What preceded the position the Government have adopted was the Connexions service. I am not saying that Connexions did no good, but it certainly was not up to scratch. The skills commission inquiry said that it did not ensure that young people had good advice, Ofsted identified inconsistencies in provision and, as you know, Mr Speaker, Alan Milburn specifically called in his report for a national careers service. Of course face-to-face guidance matters, but it is not all that matters.

Marcus Jones Portrait Mr Marcus Jones (Nuneaton) (Con)
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New apprenticeships have grown by 56% in my constituency over the past year and are vital to our future. Will my hon. Friend confirm that he will ensure that under any future arrangements for careers guidance in schools opportunities for apprenticeships are fully promoted?

John Hayes Portrait Mr Hayes
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Absolutely. My hon. Friend knows that the work the Government have done on apprenticeships has been outstanding and it is due to the support, encouragement and advice of hon. Members like him that that work is cutting through in the constituencies in the way that he describes. It is not just our constituencies: the shadow Secretary of State’s constituency has seen a 69% increase in the number of apprenticeships and I know that he will want to take the first opportunity to rise to the Dispatch Box and congratulate the Government on that.

Karen Buck Portrait Ms Karen Buck (Westminster North) (Lab)
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During the passage of the Education Bill, the Minister spoke movingly of the scope for the careers guidance service to be a driver of social mobility and quoted a survey that found that 27% of state school pupils have received bad careers guidance, set against 6% of private pupils. The model he has developed for careers guidance leaves 16 to 19-year-old school leavers with only a web or helpline service and does not transfer any of the money from careers guidance to schools for face-to-face services: how many private schools is he aware of in which teenagers receive only a web-based or telephone advice service?

John Hayes Portrait Mr Hayes
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I welcome the hon. Lady’s question on this subject, because she, too, will want to know that in her constituency, apprenticeship numbers are also up by 69%. To answer her question directly, it is absolutely right that schools make a judgment about the mix of provision that suits their pupils. She is right, too, that private schools typically buy independent, impartial advice and that is the kind of advice that all children deserve, which is why we are changing the situation.

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Dennis Skinner Portrait Mr Dennis Skinner (Bolsover) (Lab)
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A few minutes ago, the Minister for Further Education, Skills and Lifelong Learning talked about the increase in the number of apprentices in various parts of Britain. In Bolsover, that started three years ago when the working neighbourhoods fund was used to increase the number of apprentices in our area. Now, with the 28% cut for the local authority and the working neighbourhoods fund due to finish next spring, there will be a loss of apprenticeships in that part of Britain. Will he have a word with his colleagues to sort that out?

John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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As the hon. Gentleman knows, this Government have produced the largest number of apprenticeships in modern history. I am very happy to look at his constituency, but I have to tell him that according the latest statistics—not my statistics, but the official figures—apprenticeship numbers in Bolsover are up by 65%.

Philip Hollobone Portrait Mr Philip Hollobone (Kettering) (Con)
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Will the Secretary of State take this opportunity to praise those teachers and head teachers who are going to put their pupils first and refuse to go on strike a week on Wednesday?

Education Bill

John Hayes Excerpts
Monday 14th November 2011

(14 years, 2 months ago)

Commons Chamber
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Inspection of further education institutions: exempt institutions
John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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I beg to move, That this House agrees with Lords amendment 28.

Baroness Primarolo Portrait Madam Deputy Speaker (Dawn Primarolo)
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With this it will be convenient—

John Hayes Portrait Mr Hayes
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rose—

Baroness Primarolo Portrait Madam Deputy Speaker (Dawn Primarolo)
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If the Minister could just hold himself back for a second, with this it will be convenient to discuss the following:

Lords amendment 29, and amendment (a) thereto.

Lords amendment 36, and amendment (a) thereto.

Lords amendments 39, 43, 47 to 71, 99 and 100.

John Hayes Portrait Mr Hayes
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My enthusiasm to rise to speak to the amendments is indicative of the thorough scrutiny that the Bill has enjoyed here and in the other place, and of the spirit in which that scrutiny has taken place.

If I may, I shall speak first to Lords amendments 47 to 71, which make important changes to schedule 12 and further strengthen the provisions that strip away unnecessary central controls over the governance and dissolution arrangements of further education colleges and sixth-form colleges.

You, Madam Deputy Speaker, with your usual assiduity, will have seen those provisions in the context of the Education Act 1944. In bringing that legislation to the House, the then President of the Board of Education as he was known, Rab Butler, said that it is not possible

“to start colleges ‘out of the blue,’… It is essential that the House should realise that direction by the State from the top is not the right way to administer this vast matter. What is wanted is to encourage the desires, appetites and feelings of those who wish for different forms of adult education and then to try to meet them as far as possible. As long as we follow that line, I can tell the House that it is our desire to reform and bring up to date the adult education system and to make a great stride forward in this regard.”—[Official Report, 12 May 1944; Vol. 399, c. 2261.]

Just as a stride forward was made then, so a stride forward is being made now, although I would not claim to be as great as that very noble and distinguished gentleman, Mr Butler.

In speaking to these amendments, however, the important thing to make clear is the Government’s absolute unwavering and unabridged commitment to the creation of a freer, more responsive further education and skills system—one that is based upon the principles of fairness, shared responsibility and freedom from central Government controls.

I say that not for any doctrinaire reason, but simply because of this enduring truth: unless we make the system sufficiently nimble to respond to dynamic demand, it will not be fit for purpose. Through the Bill, and in that spirit, we propose to remove a raft of unnecessary and prescriptive duties and to reduce the control of the Government and their agencies over the affairs of colleges.

Steve Rotheram Portrait Steve Rotheram (Liverpool, Walton) (Lab)
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I have written a letter to the Minister on what he has been saying about apprenticeships and supply and demand for apprenticeship places. I am not talking about funding because we have had the debate about the Government providing funding; I am talking about employment opportunities. Is he aware that a training provider called the Liverpool Construction Academy in my constituency is due to close its doors on 25 November, with the loss of hundreds of apprenticeship opportunities and the jobs that go with them?

John Hayes Portrait Mr Hayes
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The hon. Gentleman is a great champion of apprenticeships, having been an apprentice himself. He understands the value of apprenticeships in providing people with the skills not only to get a job, but to lead more fulfilled lives. I hear what he says about his particular constituency interest and he will expect me to respond in a similar spirit by saying that I am more than happy to meet him to discuss that matter in some detail. However, I am sure he understands that you will not allow me to go into great detail about that tonight, Madam Deputy Speaker.

Greg Knight Portrait Mr Greg Knight (East Yorkshire) (Con)
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I applaud what my hon. Friend has said so far. Does he appreciate that there is an ongoing demand for apprenticeships, particularly in the historic vehicle restoration movement, where expertise is needed? Any burning of red tape in that industry that would lead people to take on more apprenticeships would be most welcome.

John Hayes Portrait Mr Hayes
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As ever, my right hon. Friend makes a valued, wise and richly-coloured contribution to our affairs. His expertise in that field is unparalleled in this House and, of course, I take his recommendation seriously; indeed, he has raised the issue with me already. As he knows, I can tell the House that I am taking up the matter with an assiduity that is a mere token compared with his diligence, which has brought him such prowess in this place and elsewhere.

Greg Knight Portrait Mr Knight
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Although I am delighted at what the Minister has said about me, I suppose he and I ought to declare an interest because we both may need the services of future apprentices in maintaining our historic vehicles.

John Hayes Portrait Mr Hayes
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My hon. Friend is right. We ought to declare that we share an interest in that topic and that we might have some personal interest in ensuring that there are sufficient craft skills to maintain our historic vehicles—although his demands in those terms are considerably more numerous than mine.

The sector has welcomed the proposals to offer colleges more freedom. Colleges have long called for such an approach. In the long years that I spent in the shadows before the electorate elevated me to the light, I remember hearing from colleges across the country that they hoped, wished and longed for a Government who would recognise that power is best vested in the hands of those closest to where it is exercised. Colleges should be able to respond to their learners and employers in the way the Bill facilitates. It is therefore unsurprising that, in the public evidence sessions of the Bill, the Association of Colleges said in written evidence that the legislative requirements removed by the Bill,

“will strengthen rather than diminish the historic community role of Colleges and strengthen the importance of strong governance”.

I wholeheartedly agree.

Lords amendments 47 to 71, changes which I recognise were made late in the Bill’s passage through the other place, have been made in the context of a changed further education landscape. In October 2010, the Office for National Statistics announced its decision to reclassify FE colleges to the public sector for the purposes of the national accounts. That decision exposes colleges to the full rigours of the Government expenditure regime and means that they will lose the flexibility to phase expenditure between different financial years and that they will need to work within a financial year that does not line up with their academic year. Such a decision also makes it likely that the very freedoms that were introduced to enable them to borrow without seeking permission will need to be taken away from them, and that even tighter constraints will need to be introduced.

I would like to thank Baroness Sharp for raising those issues in the context of the sterling work she is doing as chair of the inquiry into colleges in their communities. In debating these important amendments, it is vital for me to emphasise the significance of the ONS decision. We were already well on the way to freeing the sector from some of the diktats, bureaucracy and unnecessary regulation that had so hampered and inhibited people from exercising their long-cherished desire to respond proactively to the interests of learners in the way I have described. Nevertheless, the ONS’s reclassification has turned our desire into an imperative and we are working closely to try to persuade it to rethink that classification, because it will have profound effects on the FE sector. The late changes made in the other place, which we are debating for the first time in this House today, were made because of that ONS classification. Those and other controls would all act as significant barriers to college growth and would stifle innovation and creativity in our further education sector. As I said, it is our intention to make the necessary legislative and administrative changes to encourage the ONS to reclassify colleges back to the private sector which, as my noble friend Lord Hill said in the other place, is where successive Governments have wished them to be.

I want to mention the ability that Lords amendments 49, 58 and 69 will give colleges to modify or replace their instruments and articles of governance. In the world I have described—the picture I have painted—the additional freedoms that colleges will enjoy necessitate a new approach to governance. We need colleges to rise to the occasion. I am confident that they will, but it is partly a case of rethinking how colleges are governed. Colleges will continue to be required to comply with a statutory governance framework, but that has been significantly simplified to allow colleges the freedom to decide how best to shape their governance arrangements to meet the needs of their learners, employers and the local community.

May I say a word about the work that the Association of Colleges is doing in that regard? The association is working on a set of model instruments and articles that are framed in the new environment of greater discretion and freedom. There is immense human capital in colleges but, too often, it has been locked up because of the approach taken by previous Governments. There was a view that it was best to dictate, predict and provide from the centre. That is not this Government’s view. For example, as a result of the amendments, colleges will no longer have to seek the Government’s permission to add more members to their governing body or to determine whether a job vacancy should be advertised nationally.

Those are important aspects of a college’s governance, but they are not things in which the state should be involved. The use of that power will not be compulsory. If colleges are content that their existing arrangements support them to meet the needs of local learners and employers, they will not have to change them. The benefit of the changes is that the decision over when and how colleges exercise those powers sits firmly with them. I mentioned that such measures have been welcomed by colleges themselves. They were, for the most part, also warmly welcomed in the other place.

Andrew Percy Portrait Andrew Percy (Brigg and Goole) (Con)
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The Minister is making an excellent speech on the amendments. Will he tell us whether the Lords amendments will make it easier for colleges to work in partnership with schools or to offer and perhaps enrol pupils themselves at secondary level? He may know about a college in my area that wanted to enrol pupils but could not do so unless it went through the pupil referral unit route and they were classed as excluded. Will these changes make it easier for a college to work in partnership with schools in the local area?

John Hayes Portrait Mr Hayes
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I am grateful to my hon. Friend. I think that these changes will enable colleges to form new kinds of partnerships and collaborations with other institutions in the sector and beyond, with businesses, and with a whole range of community-based organisations. I see this as an opportunity for a more eclectic system that is as different as the needs of each locality. I do not want to see a vanilla-flavoured product dictated from the centre; I do not want that kind of ugly ubiquity to characterise our further education system.

Bob Stewart Portrait Bob Stewart (Beckenham) (Con)
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Will the Minister give way on that point?

John Hayes Portrait Mr Hayes
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On the point of ugly ubiquity, I happily give way to my hon. Friend.

Bob Stewart Portrait Bob Stewart
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In my constituency we have Bromley college, and I have been speaking to people there. Will these changes allow Bromley college to control more properly the fees that it has to charge? At the moment, it is affiliated to Greenwich university and is being forced to charge fees that it does not want to charge, which is very much against the spirit of what we are trying to do. Can it have the freedom to seek other partnerships in the way that we have been discussing—for ordinary degrees, for example? There must be some way in which colleges, which we all want to charge the minimum fees, can actually charge those minimum fees rather than be forced to raise them.

John Hayes Portrait Mr Hayes
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My hon. Friend is the very antithesis of both ugliness and ubiquity; indeed, he is known for his integrity and truthfulness. As Keats understood, and Shaftesbury in the other place later, truth and beauty are intrinsically linked, and so my hon. Friend’s truthfulness has an aesthetic all of its own. On the specific point that he raises, the way in which colleges have, over time, been dictated to and controlled from the centre has largely been about funding mechanisms. Colleges have danced to a tune set around funding. He is absolutely right to say that greater freedom means being more flexible about funding. It means allowing colleges to devise the kind of offer that is right for their locality in the kinds of partnerships that my hon. Friend the Member for Brigg and Goole (Andrew Percy) described, and funding needs to reflect that.

We are on a journey, and not all of it can be done overnight. When I came into the job, I was able to put in place a number of important changes that stripped away some of the central control. Since that time, we have done more, and these amendments go a step further. But this is not the end of the journey. The destination we seek is what I began to describe a moment ago—a more eclectic, more responsive and more dynamic system. I am not, as you know, Madam Deputy Speaker, one to overstate my virtues, but I would go so far as to say that what we are doing in further education is a model of public service reform: a deregulated system that is free to respond to local circumstances; dynamic and innovative; flexible and, in my judgment, imaginative—I make no apology for using that word—about exactly what it does and how it does it; and uses funding to feed that kind of new beginning. As I said, though, I do not want to overstate the case.

Graham Stuart Portrait Mr Graham Stuart
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Will my hon. Friend give way?

John Hayes Portrait Mr Hayes
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Once more, and then I must return to my notes.

Graham Stuart Portrait Mr Stuart
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My hon. Friend could see one of the reasons for the need for flexibility if he came to visit Beverley, as I have frequently invited him to do, where our excitement grows with each delay until he does so. He would see the area where the new East Riding college was to have been built but, because of the mess that was made of FE capital funding under the previous Administration, it looks like a bomb site in the middle of Beverley. As we move forward with these freedoms and with the excellent leadership that we have at East Riding college, I hope that we will see the college on that site in the near future.

John Hayes Portrait Mr Hayes
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Every day a new invitation for me to visit a different part of the country arrives, each one more seductive than the last, but none more attractive than the overtures of my hon. Friend the Chairman of the Select Committee. Tonight I will do what I rarely do in the House: I commit, from the Dispatch Box, to visit his college, because he has made this case so frequently and persuasively that I feel that I have been less than generous in my response thus far. I will certainly come to look at the specific circumstances that he described in his—as usual—pithy and well-informed intervention.

--- Later in debate ---
John Hayes Portrait Mr Hayes
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I will give way once more to my hon. Friend the Member for Brigg and Goole and then I must return to my text.

Andrew Percy Portrait Andrew Percy
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Now that my hon. Friend the Member for Beverley and Holderness (Mr Stuart) has seduced the Minister into visiting East Riding, can he, while he is there, show us a bit of ankle and come to visit Goole as well?

John Hayes Portrait Mr Hayes
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rose—

Baroness Primarolo Portrait Madam Deputy Speaker (Dawn Primarolo)
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Order. Perhaps I may help the Minister by saying that if he returns to his notes, his diary might not get so full.

John Hayes Portrait Mr Hayes
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That is wise advice, Madam Deputy Speaker, and it is taken in the spirit in which it is given.

Greg Knight Portrait Mr Knight
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Will the Minister give way?

John Hayes Portrait Mr Hayes
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No, I will make a little progress, if I may, and then I will give way again.

John Hayes Portrait Mr Hayes
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I have made it clear that I am not going to give way at this juncture, because I fear that my right hon. Friend is trying to encourage me to stray, but I will give way to him in a few moments when I have made a little more progress.

There was a debate in the other place on the importance of staff and student governors in colleges. Ensuring strong staff and student representation on a governing body is of importance to me. During the passage of the Bill, I have had positive discussions with the National Union of Students and the University and College Union on this subject, as has my noble Friend Lord Hill. We were anxious to ensure that staff and student involvement helped not only to inform good practice in colleges but to shape the offer in those colleges. As a result of those discussions, we continue to require colleges to have such governors on their boards. The House will want to be reminded that this requirement was warmly supported by Baroness Jones of Whitchurch, who was

“pleased…that this commitment”

was

“honoured in both spirit and practice in the amendment”

that was brought before the Lords and that we are discussing this evening. In fact, Baroness Jones went further and acknowledged that our amendment

“is indeed better than that tabled by those on our own Benches on this issue”.—[Official Report, House of Lords, 9 November 2011; Vol. 732, c. 332.]

How often does one receive a tribute as generous, but as deserved, as that?

I now happily give way to my right hon. Friend the Member for East Yorkshire (Mr Knight).

Greg Knight Portrait Mr Knight
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I am most grateful to the Minister, who is being very generous in giving way. He spoke earlier about taking us on a journey, and even earlier he quoted Rab Butler. May I remind him of what Rab Butler said about journeys—that it is best to get off the train before it hits the buffers? With the light-touch approach that the Minister is suggesting, is there not a danger that some colleges may move assets overseas, to the detriment of the British taxpayer?

John Hayes Portrait Mr Hayes
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It is true, of course, that as we free up the system, some of the controls that have previously been in place—some of the levers that the Government could pull—will no longer be there. Frankly, however, I have to say to my right hon. Friend, to whose assiduity, eloquence and wisdom I have previously paid tribute, that if the price of freedom is that loss of control, it is a price worth paying for the benefit it brings in the kind of innovation, exercise of imagination, responsiveness and dynamism to which I drew the House’s attention earlier. That was certainly the view of the other place and, in general terms, the view of the Committee as we went through the Bill. There is growing cross-party acknowledgement that we can no longer predict and provide—that we do indeed need to create a more responsive system. I say that because the character of our economy is changing. Economic need is increasingly dynamic, and a system that is controlled from the centre would never be sufficiently nimble to respond to that commercial need. That is now widely acknowledged. The difference is that we are going about this with purpose, energy and enthusiasm.

Let me return to staff and student representation. It is important that we see the statutory requirement that I have described merely as a baseline. There are all kinds of other good things that we can do in terms of staff and student representation, but representation on governing bodies, it was argued persuasively, should be a baseline. Lords amendment 51 extends those changes to institutions that are not college corporations, but that have been designated by legislation to receive public money for the provision of further education. It would come into effect should they decide to change their existing instruments and articles.

Lords amendments 50 and 58 give colleges the power to close themselves, which is known as dissolution. Currently, only the Secretary of State can dissolve a college. The amendments remove that power from the Secretary of State and give colleges control over their own dissolution. Colleges will also have the ability to transfer their property, rights and liabilities to another person or body for the purposes of education. These amendments and the regulations that will be laid in support of them include a number of safeguards to ensure that any dissolution decision is taken only when all those affected—staff, students and the local community —have been properly consulted, and that the process will be transparent, recognising that colleges are providers of an important public service.

In Committee, the hon. Member for Hartlepool (Mr Wright), who is not in his place, but who was a diligent member of the Committee, raised questions about the likelihood that colleges would fail with these new freedoms. There is no evidence to suggest that the extra freedoms will increase the risk of failure. Notwithstanding what I said about the growing understanding of the need to allow colleges to be more locally responsive, it is worrying that there are those who believe that colleges will not rise to the challenge of the new freedoms and who believe that only through central Government control can we give the necessary protection to the common interest, which I have no doubt was in the heart of the hon. Gentleman. I do not think that he is right. Colleges have shown time and again that when they are given the opportunity to be their best, unrestricted, they can be so.

I am keen to address that point in more detail in relation to the amendments. Further education is a high-performing sector, with more than 95% of colleges judged satisfactory or better. Sometimes further education has been treated as what Sir Andrew Foster described as the “neglected middle child” of education, somewhere between schools and higher education. I see it more as the prodigal son, and not just that, but the prodigal son grown up. I want further education to be a favoured part of our education system because of the difference it makes to so many lives. The important thing is to ensure that where problems occur, there are robust monitoring and support systems so that colleges are given the opportunity and help to recover. It is right that we have in place the proper protections from failure because, as I have described, public interest is involved. A great deal of taxpayers’ money is involved too. However, we should not get to the point of creating an immense infrastructure to manage the college sector.

I think that it is correct to say, albeit with the benefit of hindsight, that after incorporation and the freedoms that colleges enjoyed as a result, we responded in a heavy handed way to the occasional, rare incidents of failure. It is reasonable to conclude that the advent and actuality of the Learning and Skills Council was an overreaction to the challenges associated with the new freedoms.

Andrew Percy Portrait Andrew Percy
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Will the Minister explain in more detail the process for consulting the local community, if a college fails or chooses to dissolve itself? I know he has said that that will be set out in regulations, but will he give us some idea of the robustness of the consultation that he has in mind?

John Hayes Portrait Mr Hayes
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In those exceptional circumstances, I would expect the consultation to be as full as possible. By that I mean that the views of all parties with a direct interest in the college’s affairs, including the local businesses engaged with the college, local learners and the wider community—the family associated with the college—should be sought fully over a proper timetable. Whatever means are necessary should be used to access those opinions.

--- Later in debate ---
Graham Stuart Portrait Mr Graham Stuart
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I would like to take the Minister back to the intervention from my right hon. Friend the Member for East Yorkshire (Mr Knight). In East Yorkshire, the Harrier was developed with a lot of taxpayers’ money and then shipped abroad to become an American aeroplane. We rather fear that the Hawk will follow. Will the Minister reassure us, in more specific terms than he used in response to my right hon. Friend, that a college will not be so free that it can leave the country with its assets, if it suits the organisation rather than the needs of the taxpayers?

John Hayes Portrait Mr Hayes
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As I have said, where public interest is in jeopardy, the Secretary of State will retain powers under the Bill to intervene as necessary. I paid tribute to my hon. Friend a few moments ago for his patient endurance in respect of my forthcoming visit to Beverley. It was Ruskin who said,

“Endurance is nobler than strength, and patience than beauty.”

We can therefore take it that my hon. Friend is a patient endurer, more noble than strength and beauty. It is likely that the circumstance he describes would happen only rarely, but it is important that when a college wishes to transfer its property, rights and liabilities to another provider, the Secretary of State retains the kind of powers that he requested.

Lords amendments 53, 56 and 62 reinstate statutory safeguards relating to the specific governance and constitutional arrangements of voluntary sixth-form colleges that were inadvertently removed by the Apprenticeships, Skills, Children and Learning Act. It was the previous Government’s view that legislation should reflect the distinct constitutional position of voluntary sixth-form colleges, and they confirmed that they would look to reinstate those protections through legislation. We agree with that view, and it is what the amendments do. The new provisions cover what was afforded by previous legislation or Secretary of State directions.

As Members know, I am a keen advocate of freeing colleges from central prescription, direction and control. Such things inhibit a college’s ability to become the master of its own destiny and stifle innovation and growth in our further education sector. The changes in the Bill will enable the Government to present the best case possible to encourage the Office for National Statistics to review its decision to reclassify colleges into the public sector. However, we are not merely responding to the ONS; we began this programme of reform long before we knew about the ONS reclassification. Indeed, it was one of the first things that I set out when I became a Minister. The changes that we have made in the Bill, including the ones that we have introduced at a later stage, are entirely in the spirit of the policy direction set out in the skills strategy which I published, following extensive consultation, last autumn. Indeed, they are in the spirit of the further consultation in which we were involved over the summer, which will lead to the publication of “New Challenges, New Chances”.

The truth is that the ONS reclassification has been a further spur to us, but has not caused us to change direction. If anything, it has cemented our determination to consider every aspect of college management and every means by which we could free colleges from bureaucracy and direction. That fresh thinking has inspired the changes that have been made to the Bill.

As I have said, the changes, and our efforts to secure the private sector reclassification of colleges, have been welcomed, not least by the Association of Colleges. It considers that they will provide colleges with additional flexibility, allowing them to respond effectively to their local community and economy. I should like to place on record my gratitude to the Association of Colleges for its guidance and support, and indeed for how it has challenged us, in helping the Government develop this impressive legislation.

Lords amendments 28, 29 and 39 concern the business of colleges and inspection. You will remember, Madam Deputy Speaker, the report that the previous Government commissioned from Sir Andrew Foster. I have a copy of the summary here. They asked him to examine the potential of further education, and he concluded that the landscape that it faced was

“crowded with organisations charged with inspection, improvement or regulatory functions. There is unnecessary complexity and duplication of effort and further rationalisation is required.”

He also recognised, I think, that we needed to rethink how colleges were gauged, inspected and monitored. Knowing that we had some outstanding further education colleges in this country, we decided that the time was right to look afresh at inspection and regulation.

In that context, some of the comments that the Minister of State, my hon. Friend the Member for Bognor Regis and Littlehampton (Mr Gibb), made about schools pertain to colleges too. He dealt with the issue of the inspection of schools earlier this evening, and some of the same principles apply to colleges. In my visits to colleges across the country, I have continually been impressed by the quality of teaching, the standard of learning and the innovative systems that colleges put in place to maximise learners’ potential.

Lords amendments 28 to 30 provide for greater parliamentary scrutiny of regulations exempting further education colleges from inspections, by requiring that all regulations except the first set be subject to the affirmative procedure, so that both Houses can be assured that a full debate will happen before further colleges are exempted. We decided very early on that we wanted to limit the inspection of further education colleges, as we did in the case of schools. However, it is important that that exemption is qualified in the way that I have described. The Prime Minister spoke today of coasting schools, and nor do we want to see any coasting colleges. Although there is little evidence of them, it is important that the House can debate the matter as further exemptions take root.

I turn to Lords amendments 36, 43 and 100, which put the legal framework for apprenticeships on a more sustainable and realistic footing. I need not regale the House at length with how passionately I support apprenticeships—at least, not for more than a few minutes. As you know, Madam Deputy Speaker, I have championed apprenticeships both in opposition and in government, and the Government have turned our rhetoric into action by delivering the biggest growth in apprenticeships in modern times. I have said before, and I am happy to say now, that there is more work to be done. As we make that growth sustainable, we will need to consider bureaucracy and the quality and age spread of apprenticeships. It is absolutely right that we should do that, but let us not understate the growth that we have seen—29% growth in under-19 apprenticeships and 64% growth in 19-to-24 apprenticeships over two years, and a big jump in post-25 apprenticeships.

It is important to say that the previous Government had the same aims. Many times, previous Ministers, including the previous Prime Minister, estimated the likely jump in the number of apprenticeships and the number that would be necessary to fill skills gaps. However, this Government are actually delivering. We are making more opportunities available to more people to add to their skills, which will increase their chances of getting, keeping and progressing in jobs. We know from independent research that someone who has a level 2 apprenticeship is likely to earn £70,000 more over their earning lifetime than somebody who has not, and that somebody with a level 3 apprenticeship is likely to earn more than £100,000 more. That is roughly equivalent to a degree.

Margot James Portrait Margot James (Stourbridge) (Con)
- Hansard - - - Excerpts

I congratulate my hon. Friend on the amazing increase in apprenticeships that he has outlined. I met my local college, Stourbridge college, and other colleges last week, and they reported a huge increase in apprenticeships over the past six months. Is he aware of another route into apprenticeships, which emerged during a meeting that I had the previous week with Stourbridge jobcentre? It reported that among 18 to 24-year-olds a route in was via two-week work experience placements. In many cases, they were being converted into apprenticeships.

Baroness Primarolo Portrait Madam Deputy Speaker (Dawn Primarolo)
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Order. It is very interesting to hear of the extensive commitment that the Minister has personally to apprenticeships, and indeed to hear the point that the hon. Member for Stourbridge (Margot James) has made, but we are discussing Lords amendments. Although Lords amendment 36 is about securing the provision of apprenticeships in certain regulations, the debate is going a little wide of that. Perhaps the Minister could relate his comments to the amendments.

John Hayes Portrait Mr Hayes
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I was not going to be encouraged to speak lyrically about work experience, although I could, but I hear and value what my hon. Friend the Member for Stourbridge (Margot James) says.

Amendments 36, 43 and 100 deal specifically with the so-called apprenticeship offer. As I said, apprenticeships play a key role in promoting growth and prosperity in British business and give renewed hope and purpose to our young people, who are so affected by the present climate. Through the Bill, we are redefining the apprenticeship offer. We are moving away from what I regard as an unrealistic guarantee that sought to require the Government to tell employers whom they should and should not employ. The previous Government took the view that the House could place a duty on the chief executive of skills funding to fund apprenticeships for anyone who wanted them. [Interruption.] The hon. Member for Cardiff West (Kevin Brennan) intervenes from a sedentary position, but he knows that in practice, the previous offer was undeliverable. There was much discussion of this matter in the other place. I pay tribute in particular to Lord Layard, who made this case forcefully and with whom I have enjoyed many discussions. He also writes persuasively about happiness —I read a recent essay from him on that subject. Happiness is all of our aims, is it not, individually and communally?

Graham Stuart Portrait Mr Graham Stuart
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Will my hon. Friend give way?

John Hayes Portrait Mr Hayes
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Is this about happiness?

Graham Stuart Portrait Mr Stuart
- Hansard - - - Excerpts

I am always focused on happiness. I thought I could increase the Minister’s sense of contentment if I attempted to correct him. Under the previous situation, there was an obligation not to fund an apprenticeship for anyone who wanted it but to provide one, outwith any ability necessarily to ensure that an employer came forward. That is why the Minister and the Government were right to make that alteration, not withstanding the complaints of Opposition Members.

Baroness Primarolo Portrait Madam Deputy Speaker (Dawn Primarolo)
- Hansard - - - Excerpts

Order. I am very glad that the hon. Gentleman got his point on the record, but we are not debating the previous Government’s record or apprenticeships generally; we are debating amendments on quite narrow points in the Bill. I know the Minister is really eager to come back to that.

John Hayes Portrait Mr Hayes
- Hansard - -

As you say, Madam Deputy Speaker, we are debating the character of the apprenticeship offer. This Government take the view that we need further to refine the legal framework for apprenticeships. The debate on this subject in the other place was on the character of that duty. Lords amendment 36 places a new duty on the chief executive of the Skills Funding Agency to make reasonable efforts to secure employer involvement in apprenticeships. That is so important because we have changed assumptions of the nature of apprenticeships. We take the view that apprenticeships should intrinsically involve employment—making an offer separate from employment seemed nonsensical.

I make that point because until relatively recently, some apprenticeships—programme-led apprenticeships, for example—were not tied to employment in quite the same way. Lords amendment 36 was the outcome of a great deal of hard work and good will, as I have described. The overtures made to me by Lords Layard, Wakeham, Willis and Sutherland persuaded the Government and my noble Friends to devise an amendment that satisfies the wishes of those who want to place a clear duty in the Bill, but not one that the Government think is undeliverable.

Although I know some feel that I have summarised the Lords amendments all too briefly, those amendments put apprenticeships, the freedoms about which I have spoken, the changed inspection regime, the different role for the Government, the new emphasis on skills, and the mantra—I decidedly and deliberately put it that clearly—of freedom, flexibility, innovation and dynamism, at the very heart of this legislation. I think they improve the Bill significantly and I look forward to hearing whether the Opposition think so too.

Stephen Twigg Portrait Stephen Twigg
- Hansard - - - Excerpts

It is always a great pleasure to speak opposite the Minister in such important debates. This is my first opportunity to do so from the Opposition Front Bench. The Minister reminded us that my noble Friend Lord Layard has written about happiness, about which he is an international expert, alongside my constituent Ken Dodd, who has been writing and singing about such matters for a very long time.

The Opposition have serious wider concerns about the Bill, some of which, including on schools, were addressed in the debate on the previous group of amendments. Other concerns, including those on information, advice, guidance and the careers service, are outside the scope of today’s debate. I should like to focus on inspection, governance and apprenticeships. I echo many of the things the Minister said, and in particular his positive comments on the role of the Association of Colleges, and I look forward to attending its conference in Birmingham later this week.

I also echo what the hon. Member for Brigg and Goole (Andrew Percy) said about the importance of partnerships between further education colleges and the wider education system, including schools. In the debate on the previous group, we discussed the importance of co-operation and collaboration alongside autonomy and competition. We often discuss school-to-school and college-to-college co-operation and collaboration, but there is great scope for further co-operation and collaboration between schools and the further education sector.

Let me address the inspection of further education institutions. All hon. Members are seeking to strike a balance between autonomy and inspection—this is a similar debate to the one on schools, as the Minister said. Lords amendments 28 and 29 have much the same effect as Lords amendments 26 and 27. The former relate to further education institutions and the latter to schools.

The Opposition have a number of concerns that echo those we raised about schools, although they are not exactly the same. I should like briefly to put some of them on the record; they have been raised in previous stages both in this House and in the other place. We are concerned that exempting certain further education colleges from inspection will undermine the campaign for high standards in those institutions, and in particular we fear that the Government’s approach is simply to rely on a market effect, which could let down, for example, students who are currently studying. Their institution could struggle and yet nothing will be done, and there is no trigger for them to make an inspection happen. It is possible—we debated this with respect to schools—for a further education institution that at one time was high performing to slip for some reason. The lack of an inspection regime in such a situation could be a major challenge.

The new Ofsted chief inspector, Sir Michael Wilshaw, was quoted in the previous debate by my hon. Friend the Member for Cardiff West (Kevin Brennan). The chief executive’s point was about schools, but it applies to further education colleges as well—the principle is much the same. The conditions that would render a further education institution exempt from inspection are not clear. If the Minister has the opportunity, with the leave of the House later, I should like him to clarify the Government’s thinking on when a further education college will be deemed exempt.

I understand that that thinking will be set out in regulations, but Lords amendments 28 and 29 mean that all regulations apart from the first set made under section (5) of the Education Act 2005 must be subject to the affirmative procedure. There is no requirement for an affirmative resolution the very first time the exemption criteria are outlined. I invite the Minister to explain his reasoning for that and to assure us that the measure is not simply being rushed through because of Ofsted’s budget situation. Given the seriousness of the step that is being taken, and the lack of public consultation on it, the Opposition believe that there should be an affirmative resolution the first time as well as on subsequent occasions, and have tabled an amendment to that effect.

The Minister referred to issues of governance. As Lord Hill acknowledged on Report in the Lords, Labour peers, led by my noble Friend from the Labour Front Bench, Baroness Jones, made important arguments on this issue. Labour Front Benchers in the other place tabled an amendment to reinstate the rights of students and staff to be represented on further education colleges’ governing bodies. As the Minister outlined, the Government brought forward an amendment on Third Reading in the other place to guarantee governing body places for staff and students. Lord Hill said:

“It may help if I inform noble Lords of discussions between the noble Baroness, Lady Jones of Whitchurch, and my honourable friend, the Minister for Further Education, Skills and Lifelong Learning”—

the Minister—on her amendment to

“retain requirements for staff and student governors…The Government have brought forward these changes to support our case for the private sector classification for colleges, in accordance with the policy of successive Governments. It was not our intention to encourage colleges to remove staff or student governors from college governance arrangements. I know that colleges greatly value the contribution that those governors make.

Having listened to the arguments that were put to him by the noble Baroness, Lady Jones…my honourable friend”—

the Minister—

“and I have spoken further. We have decided that the Government will return at Third Reading with their own amendment, which will give effect to what the noble Baroness's amendment seeks to achieve.”—[Official Report, House of Lords, 1 November 2011; Vol. 731, c. 1135.]

Let me thank the Minister for his generous tribute to my noble Friend and also echo her thanks and appreciation to him and his colleagues in the Department for this important change to the legislation. Participation in the governance of FE colleges is an important part of student citizenship, as well as contributing to good governance. I would like also to put on the record our appreciation to the National Union of Students for its excellent work on ensuring that the relevant amendments were agreed.

Nobody in this House could doubt the Minister’s personal commitment to apprenticeships. We welcome the amendments that impose a duty on the chief executive of the Skills Funding Agency to make reasonable efforts to secure employers’ participation in apprenticeship training for all young people in the specified groups covered by the redefined offer—that is, 16 to 18-year-olds and 19 to 24-year-olds with a disability or learning difficulty assessment, as well as young care leavers. Without those amendments, the Bill would have simply taken opportunities away from our young people. The Minister mentioned the assiduity of my hon. Friend the Member for Hartlepool (Mr Wright) in Committee, where he said that the clause in question represented a wholesale degrading in the value the Government place on apprenticeships; that it is a retrospective step, stopping the duty to create apprenticeships for suitably qualified people; and that instead of creating jobs, transferring skills to young people, and boosting the economy, this clause does the exact opposite.

Lords amendment 36 is a significant improvement, but we believe that there is scope to go further. As the Minister has set out, under the legislation introduced by the previous Labour Government, the chief executive of the Skills Funding Agency had a duty to secure an apprenticeship place for every suitably qualified person within certain specified categories. The previous Labour Government’s policy was that the agency was under a duty to find an apprenticeship for every qualified young person who wanted one. They had to be given two choices about the sector that they wished to enter. That was removed in the original draft of the Bill, but as the Minister has said, a cross-party group of peers, led my noble Friend Lord Layard, achieved an important Government concession that required the agency to make reasonable efforts to involve employers in apprenticeship training, which has led to Lords amendment 36, which we welcome.

The amendment was a cross-party amendment, tabled in the names of Lord Layard, Lord Wakeham, Lord Willis of Knaresborough and Lord Sutherland. Lord Layard said in the other place:

“If you look at the situation in our country, it is clear that academic young people are offered a clear route to a skill and a useful role in society. They can see where they are going. That is not the case for less academic young people. There is no clear route that they can see they are entitled to go down. The result is low levels of skills and a degree of alienation…If you look at this from a young person’s point of view, we are raising the education participation age. It is quite difficult to see how we are going to be able to do that in a way that is acceptable to young people unless these apprenticeship places are available to them. We need legislation that states the main aims of our education system. For that 16 to 19 year-old group, we have a lacuna. We cannot fill it by ministerial statements and assurances, as Ministers come and go. We expect the basic structure of our educational system to be reflected in the laws of the country.”—[Official Report, House of Lords, 14 September 2011; Vol. 731, c. GC274.]

--- Later in debate ---
Stephen Twigg Portrait Stephen Twigg
- Hansard - - - Excerpts

I might be told off by Madam Deputy Speaker, but let me say that the quality of the education and training elements of the apprenticeship are vital. What we must not do, however, is allow apprenticeships to become a form of exploitation. A balance has to be struck. Clearly, an apprenticeship should be first and foremost about quality education and training, but with a decent amount of pay, too, for those who are apprentices.

I am grateful for the opportunity to contribute to the debate. These are very important issues. I do not believe that any Opposition Member doubts the personal commitment of the Minister, particularly on apprenticeships. We have concerns that we have expressed previously about the impact of other changes—the abolition of the education maintenance allowance and the trebling of tuition fees—and we would be very concerned if there was any weakening of the apprenticeship brand. Let us perhaps forge a cross-party national consensus to the effect that we want apprenticeships to increase in number, but more importantly we want to see them as a high-quality gold standard for those young people who follow a vocational route of education.

John Hayes Portrait Mr Hayes
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The hon. Member for Liverpool, West Derby (Stephen Twigg) raised a number of points, which I shall try to address in my closing remarks. I would like to speak first to amendment (a) to Lords Amendment 29, under which the first as well as any subsequent regulations exempting certain providers from Ofsted inspection in particular circumstances would be subject to the affirmative procedure. The hon. Gentleman asked me particularly to address those matters.

My hon. Friend the Minister of State, Department for Education, the hon. Member for Bognor Regis and Littlehampton (Mr Gibb), has already spoken about a related amendment to the schools inspection exemption. The same intentions lay behind the exemption for further education providers and our plan, in essence, is to exempt outstanding colleges. I will listen, however, to the points raised. I do not have a dogmatic view on this matter, and as we move to a lighter-touch inspection regime, it is important to do so with appropriate caution.

I would like to deal with one particular concern. Where students feel that an outstanding institution is not maintaining high standards, Ofsted will take very seriously any comments students might make as part of the risk assessment, which could trigger an inspection. My hon. Friend the Minister spoke about the risk assessment process, and it is important that it is tied closely to the view of students about the quality of teaching and learning in an institution.

I spoke to the National Union of Students today about representation on college governing bodies, which we discussed when we dealt with the amendments to which the hon. Member for Liverpool, West Derby also referred. As I described earlier, we view such representation as a baseline. Representation on governing bodies does not provide the whole answer for learner or staff engagement. Learners and staff should be engaged at a policy level in plotting the strategic direction of a college. As we move to a more freed-up system, so learner choice and learner judgment will play an increasingly critical role in how colleges evolve. I hear what the hon. Gentleman says about the process. We are moving ahead boldly, but cautiously. At this juncture, it is probably best for me to leave that there.

Amendment (a) to Lords amendment 36 would require the chief executive of skills funding to make “best” efforts rather than “reasonable” efforts in respect of apprenticeships. Of course I understand the intention to strengthen the focus on the delivery of this important objective. It is crucial to maintain and, indeed, improve the quality of apprenticeships while we grow their number. When something grows rapidly, it obviously creates a pressure on quality. Inevitably, the momentum will lead to more employers and more providers becoming involved and more individuals becoming apprentices—including people who might not have done so if the system was smaller. I believe that places an extra responsibility on us to ensure that the integrity of the brand is retained by an appropriate emphasis on quality, and as I said on the Floor of the House a few days ago in a different debate on a different subject, we will do that. The hon. Member for Liverpool, West Derby is right to say that this amendment, and his argument about it, draws attention to the issue of quality. The debate in the other place and the discussions to which he referred—I pay tribute once again to Lord Layard and others—helped us to concentrate our thinking on maintaining and improving the quality of the apprenticeships offered.

Graham Stuart Portrait Mr Graham Stuart
- Hansard - - - Excerpts

Does my hon. Friend agree that the number of apprenticeships going on to level 3 is a big indicator of quality and that we want more apprentices getting to level 2 to go on to level 3? Has he given any more thought to providing a more flexible level 3 offer for 16 and 17-year-olds who often find that, if they want to go on to level 3 after completing level 2, the funding gets cut in the current system?

John Hayes Portrait Mr Hayes
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The hon. Member for Liverpool, West Derby spoke a little about the age spread of apprenticeships in arguing for his amendment. Although he did not deal particularly with the point that my hon. Friend the Member for Beverley and Holderness (Mr Stuart) just raised, this is not the first time that my hon. Friend has mentioned it. It is important to devise a system that maximises the prospect of progression, in the way that he describes.

The good news is that the biggest proportion of growth in the numbers that were drawn to the House’s attention a week or so ago was in level 3 apprenticeships. I think that that rather frustrated the critics who had assumed that the biggest proportionate growth would be at level 2. In proportional terms, the number of level 3 apprenticeships has grown at the fastest rate over the last year. I can also inform my hon. Friend of a fact that has not been in the public domain until now: indications suggest that the length of apprenticeships among those aged over 25 is increasing. That is also rather counter-intuitive for those who listen to the critics from the bourgeois left, the glitterati and chatterati who look down their noses at practical learning in a way in which you and I do not, Mr Deputy Speaker.

My hon. Friend was, however, right to draw our attention to other measures that we might take in respect of progression. I know that one of his suggestions is that we should look at ways of helping people to undertake parts of a level in which they were otherwise already competent. There may be ways in which we can adopt a more modular approach to progression. I do not intend to discuss that at length now, because it is not entirely pertinent to the amendment, but it is relevant to what has been said by my hon. Friend and by the hon. Member for Liverpool, West Derby, who also made a point about the age spread of apprenticeships.

Jim Shannon Portrait Jim Shannon (Strangford) (DUP)
- Hansard - - - Excerpts

In other regions of the United Kingdom, such as Northern Ireland, education, including further education, is devolved. In Northern Ireland it is possible to obtain gold-plated apprenticeships that can accompany the education and training that are also needed. Have the Government considered similar action to help apprentices to secure better final qualifications?

John Hayes Portrait Mr Hayes
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The hon. Gentleman has made a useful comment. The way in which apprenticeships are perceived, and the experience of the apprentices themselves, are critical to whether apprentices are likely to make progress. Those who have had a good experience of the early stages of apprenticeship may well progress to a higher level, perhaps in the companies that have taken them on, which will be good for both the business and the individual.

Paragraphs 30 and 31 of Lord Leitch’s report, which was commissioned by the last Government, state:

“Improving the skills of young people, while essential, cannot be the sole solution to achieving world class skills. Improvements in attainment of young people can only deliver a small part of what is necessary because they comprise a small proportion of the overall workforce. Demographic change means that there will be smaller numbers of young people flowing into the workforce towards 2020.

More than 70 per cent of the 2020 working age population are already over the age of 16.”

Lord Leitch concluded that unless we upskill and reskill the existing work force, we will never catch up with our competitors.

The hon. Member for Liverpool, West Derby is right to say that we should not think in terms of two alternatives. This is not about providing a valued and valuable route to practical learning through apprenticeships for younger people but not doing so for people in their 20s or 30s who want to upskill or reskill, such as the level 3 apprentices whom I met recently at Jaguar Land Rover in Halewood, near Liverpool, not a million miles from the hon. Gentleman’s constituency. Both those things can be achieved through an apprenticeship offer of the right kind.

Stephen Twigg Portrait Stephen Twigg
- Hansard - - - Excerpts

I entirely agree that we are not talking about two alternatives, but does the Minister share my concern about the fact that, according to the IPPR report, there is a large growth in the number of apprenticeships for those over 25, a pretty large growth in the number for those aged 19 to 24, but a much smaller growth in the number for 16-to-18-year-olds?

John Hayes Portrait Mr Hayes
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I think that we need to calibrate the system to ensure that there is a good age spread. I probably should have emphasised to an even greater degree—you know what I am for understatement, Mr Deputy Speaker—the need to make growth sustainable. If it is to be sustainable, it will be necessary to address issues such as those that have been raised tonight. By “sustainable growth”, I mean growth that offers older learners the opportunities to upskill and progress that were mentioned by my hon. Friend the Member for Beverley and Holderness—opportunities to create a vocational pathway of the quality that we both seek, the “gold standard” for apprenticeships. I had used that term myself, and the hon. Member for Liverpool, West Derby may have read it, imbibed it subliminally and repeated it. I know that he would normally have attributed it; perhaps it was by accident that he did not.

We also need to be constantly vigilant about the quality of the offer. Let me set out some of the things we are doing in that respect. I have made it very clear to the National Apprenticeship Service that poor provision should be eliminated. We have to be very tough on any provision reported to us that we investigate and find not to be of sufficient quality.

Neil Carmichael Portrait Neil Carmichael
- Hansard - - - Excerpts

Does my hon. Friend agree that one key measure of the success of apprenticeships—this certainly applies to levels 2 and 3, and is consistent with his views about economic growth, sustainability and so on—is what happens in manufacturing and engineering? Does he agree that all the measures that we should be thinking of in terms of developing that sector should be implemented?

John Hayes Portrait Mr Hayes
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Another bit of good news when we saw the figures from the statistical release was the substantial growth in manufacturing and engineering apprenticeships; the number of starts was 47,000, which was an increase of 20% on the 2009-10 figure. So we had very strong growth in the very apprenticeships that my hon. Friend rightly identifies as crucial to our future prospects. Interestingly, the figures clearly show that there is growth across the system. Again rather counter-intuitively from the perspective of the critics, there has been growth in sectors where employment more generally has either slowed or declined. So apprenticeships seem to be bucking the trend in areas such as manufacturing and engineering. Even in construction, where there has been a very sharp decline in employment, apprenticeship numbers have held up. That suggests that businesses are investing in training and in their future, and that apprenticeships are succeeding. This is a flagship policy, devised in opposition and delivered in government.

Bob Stewart Portrait Bob Stewart
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Has the Minister considered—I am sure that he has—the thought that a great number of high-quality individuals have had considerable technical training in the armed forces? Could they come in at level 2, with this possibly leading on to level 3? Is that part of the system he envisages?

John Hayes Portrait Mr Hayes
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This weekend, I was looking at a submission that suggested that we might ask the National Apprenticeship Service to look specifically at people who have left the armed forces. I am particularly concerned about those who have left the armed forces with a disability. One of the challenges that the previous Government faced and that we face too is in ensuring that the apprenticeship system is accessible to as many people as possible, and I do not think we do well enough by disabled potential apprentices. I asked, at the very early stages of my distinguished ministerial career, for the NAS to examine that area closely, but I want it to re-examine it. I particularly want the NAS to examine what we can do for disabled ex-servicemen.

John Hayes Portrait Mr Hayes
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I happily give way to my hon. Friend, who is a great expert on these things.

Bob Stewart Portrait Bob Stewart
- Hansard - - - Excerpts

I hope that the Minister will forgive me, because he has almost made the point I was going to make, which is that we could involve disabled ex-servicemen as part of this system. That would be a superb way of helping them to get into decent employment in civilian life.

John Hayes Portrait Mr Hayes
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I am glad that I anticipated my hon. Friend’s point. Foresight is not essential for a Minister, but it is a great advantage, particularly when it can be displayed on the Floor of the House of Commons.

My hon. Friend the Member for Stroud (Neil Carmichael) mentioned growth and others have talked about progression, so in dealing with the remark made by the hon. Member for Liverpool, West Derby about happiness, I wish to draw his attention to Yeats. I know that the hon. Member for Cardiff West (Kevin Brennan), the shadow Minister sitting next to him, is a fan of Yeats. Lord Layard did such good work on this particular amendment, so I shall cite the following from Yeats:

“Happiness is neither virtue nor pleasure nor this thing nor that but simply growth, We are happy when we are growing.”

When apprenticeships are growing, I am particularly happy because it is testament to the success of our policies.

John Hayes Portrait Mr Hayes
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We are going to hear some more Yeats from the hon. Gentleman and I am happy to give way to him.

Lord Brennan of Canton Portrait Kevin Brennan
- Hansard - - - Excerpts

He also said:

“No likely end could bring them loss

Or leave them happier than before.”

We look forward to the Minister’s end this evening.

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John Hayes Portrait Mr Hayes
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Perhaps we will see the end of this speech, but not the end of my career, not the end of this Government and not the end of my time here, which I see stretching a great long distance into the future.

Let me return to the points made by the shadow Secretary of State for Education in respect of the Lords amendment and particularly the apprenticeship offer. He implored us to go further. Indeed, his amendment to the Lords amendment asks us to do so. He asks us to strengthen the offer, having acknowledged with typical generosity, the progress that we have made in this respect. I will again take seriously his remarks about how we market this. An important part of what we do with apprenticeships is selling the product. I have made it clear to the National Apprenticeship Service that its job is as a marketing and sales organisation. Its job is to get more companies to understand the value of apprenticeships, more individuals to understand the opportunities that they provide to them personally and more providers to rise to the challenge and to ensure that they are in the best place possible to deliver apprenticeships. As a result of his overtures, rather than accepting the amendment to the Lords amendment—he would hardly expect me to do that—I will look again at how we can market the renewed offer in the most effective way possible.

Neil Carmichael Portrait Neil Carmichael
- Hansard - - - Excerpts

On marketing apprenticeship schemes, does my hon. Friend agree that the key area that we should focus on is small and medium-sized enterprises, because they need to grasp the opportunities that apprenticeships can bring them and the apprentices?

John Hayes Portrait Mr Hayes
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Yes. In opposition, of course, it was our policy to offer a financial incentive to support SMEs, which we felt would have a real and perceived risk associated with taking on apprentices, through the means of some kind of payment. We were unable to do that because of the financial constraints that affect the whole Government, but we can make more progress in respect of bureaucracy. We need to make the system accessible, straightforward and simple. We need to get rid of the bureaucracy that has sometimes inhibited small businesses from engaging in the apprenticeship programme. Yes, we will go further, and spurred on by my hon. Friend’s enthusiasm, I will make further announcements on reductions in bureaucracy, specifically for SMEs. He is right that their engagement in apprenticeships is critical, not least because if we are to spread apprenticeships and seed them into every community, village and town, we cannot simply rely on the excellent apprenticeship schemes of major businesses, such as BT, BAM, BAE, the Royal Navy, Ford Motor Company, EDF, the Royal Air Force, Sellafield, Bentley Motors, Jaguar Land Rover, GE Aerospace, Caterpillar, Honda and others. We need to have apprenticeships in smaller businesses and micro-businesses, too, such as those in my constituency—in the small villages and towns, where if we were to ask young people in particular to get an apprenticeship, they could only do so locally, because of travel and accessibility issues.

Steve Rotheram Portrait Steve Rotheram
- Hansard - - - Excerpts

The Minister has just spoken about micro-businesses. MPs are almost micro-businesses. I would like to know how many MPs have put their money where their mouths are and taken on apprentices. I am one of them. Other Government and Opposition Members have taken on apprentices, but a vast number of MPs have not done so. If we all took on just one apprentice, we could create 650 apprentices in the House.

John Hayes Portrait Mr Hayes
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I have written to colleagues to that effect. I make that plea once again. The hon. Gentleman is right to offer that clarion call to Members of Parliament to take on apprentices. I have one in my office. I hope that the shadow Secretary of State is thinking about taking on an apprentice. I know that he will do so speedily, following the words that he has heard from the Dispatch Box today.

The National Apprenticeship Service is already actively promoting apprenticeships with employers and ensuring that apprenticeships are highly prized by businesses and apprentices. It provides an online vacancy matching service for employers and prospective apprentices. It already has a dedicated employer-facing field force to recruit new employers in the way that I have described.

Skills Funding Agency

John Hayes Excerpts
Tuesday 1st November 2011

(14 years, 3 months ago)

Written Statements
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John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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I would like to inform Parliament that the Government are today announcing a review of the status of the chief executive of skills funding and the Skills Funding Agency—the body which supports him in carrying out his statutory duties.

The review is consistent with the Cabinet Office public bodies review programme, and reflects the requirement placed on all Government Departments to undertake a regular review of their key delivery bodies, and the Government’s ongoing commitment to radically increase the transparency and accountability of all public services.

I will be writing today to the further education and skills sector and to key stakeholders more widely about the review; and can confirm that both the Skills Funding Agency and wider stakeholders will be fully engaged in the review process, while meeting the core principles set by Cabinet Office of ensuring that any wider consultation is proportionate and provides clear value for money.

It is vital that we have the right structures in place to tackle the very real challenges that lie ahead; and this review reflects the Government’s ongoing commitment to building on the strength of the further education system, while ensuring rigorous accountability structures are in place.

We will make a further announcement about the outcome of the review in due course.

Oral Answers to Questions

John Hayes Excerpts
Thursday 27th October 2011

(14 years, 3 months ago)

Commons Chamber
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Stuart Andrew Portrait Stuart Andrew (Pudsey) (Con)
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6. What steps his Department is taking to promote manufacturing skills.

John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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We are promoting manufacturing skills with success. Provisional figures show substantial growth, with 47,020 apprenticeship programme starts in engineering and manufacturing technologies in 2010 alone. That is an increase of 20%. The development of advanced and higher level apprenticeships and the roll-out of the “see inside manufacturing” initiative will build on that success.

Stuart Andrew Portrait Stuart Andrew
- Hansard - - - Excerpts

I congratulate my hon. Friend on the increase in the number of apprenticeships that was announced today, which demonstrates a real commitment on the part of the Government and employers to training the next generation. Companies such as ATB Morley, in my constituency, and Airedale International are crying out for a skilled work force. Will my hon. Friend elaborate on how apprenticeships can help to provide the training skills that such companies need?

John Hayes Portrait Mr Hayes
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Apprenticeships are, of course, jobs. They give people a chance to learn in the workplace. They provide individuals with a chance to gain the skills that they need and that fuel social mobility, they provide companies with a chance to gain the skills that they need in order to prosper, and they provide Britain with a chance to become a more cohesive, successful and prosperous nation.

Jim Sheridan Portrait Jim Sheridan (Paisley and Renfrewshire North) (Lab)
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When the Minister has a moment, will he reflect on early-day motion 2218, which seeks to expose six British construction companies that are threatening to tear up the national pay agreement for skilled electricians and thus trying to de-skill the construction industry? Perhaps in the fullness of time he will give us a written response expressing his view of those actions.

John Hayes Portrait Mr Hayes
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I should be happy to do that. The hon. Gentleman has made an interesting point, and I will certainly consider doing what he suggests. Moreover, I should be happy to meet him and anyone he wants to bring to my Department, with my officials, so that we can take the matter further.

Andrew Stephenson Portrait Andrew Stephenson (Pendle) (Con)
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7. What steps his Department is taking in response to recent job losses announced by BAE Systems.

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Graham Stuart Portrait Mr Graham Stuart (Beverley and Holderness) (Con)
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18. What assessment he has made of the difficulties faced by apprentices aged 19 and over in obtaining adequate funding for level 3 qualifications.

John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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The Government are investing significantly in adult apprenticeships, with earmarked investment of £679 million in 2011-12. We rely on employers coming forward to make places available and many more are doing so every day, week and month. There were 114,900 starts in 2010-11—nearly twice as many as in the previous year—for those aged over 19.

Graham Stuart Portrait Mr Stuart
- Hansard - - - Excerpts

The Minister not only champions apprenticeships but facilitates their delivery and I congratulate him on that. May I ask him to consider introducing a flexible three-year contract for young apprenticeships, with a break clause after year 2, so that there is an equalisation of funding for young apprenticeships on courses both before and after their 19th birthdays?

John Hayes Portrait Mr Hayes
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Knowing my hon. Friend’s expertise and commitment to this subject, when I saw his question I spoke to my officials and got an interesting response from them. I think that if we better estimate at the outset people’s prospects of progression, we may well be able to take account of what my hon. Friend says. I invite him, as I did earlier, to come to the Department to talk that through and to see what changes we can make to remove any disincentives of the kind to which he refers.

Russell Brown Portrait Mr Russell Brown (Dumfries and Galloway) (Lab)
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The construction industry, the manufacturing sector and apprenticeships all go hand in hand. Will the Minister confirm that the vast majority of the increase in apprenticeships in the past year has been in the over-25s category? Frankly, that is not doing enough to assist with the serious problem of youth unemployment.

John Hayes Portrait Mr Hayes
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The hon. Gentleman is right that there has been a growth in over-25s apprenticeships and he will know that the previous Government commissioned the Leitch report, which said that that was exactly what we needed—to upskill and reskill the work force. Notwithstanding that, however, he will also know that there has been remarkable, unprecedented growth in 16 to 18 apprenticeships and in 19 to 24 apprenticeships over two years. Contrary to the complaints of the carpers and the cringers, the whiners and the whingers, the biggest proportion of growth has been at level 3—that is A-level equivalent.

John Bercow Portrait Mr Speaker
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We always enjoy the lyricism of the Minister.

Sajid Javid Portrait Sajid Javid (Bromsgrove) (Con)
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Having recently served a one-year apprenticeship by the side of the Minister for Further Education, Skills and Lifelong Learning, I am not surprised by the excellent numbers that were released today on apprenticeships, as his dedication is second to none. May I ask him to say a word on the increase in level 3 apprenticeships, which are equivalent in qualification to A-levels?

John Hayes Portrait Mr Hayes
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My hon. Friend has gone on to other, I am tempted to say greater, things since he served that apprenticeship, and he is right to draw attention once again to the increase at level 3, because there were those, largely drawn from the bourgeois left, who looked down their noses at practical learning and who thought that the most growth would be at level 2, but actually we have facilitated very substantial growth—over 60%—at level 3 as my hon. Friend says. It is a rosy day for the Government and, much more importantly, a rosy day for Britain.

Robert Halfon Portrait Robert Halfon (Harlow) (Con)
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19. What steps he plans to take to reduce costs for small businesses.

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Jane Ellison Portrait Jane Ellison (Battersea) (Con)
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T2. The Mayor of London has had great success in growing the number of apprenticeships from the low base inherited from his Labour predecessor by requiring apprentices to be taken on as a condition of bids for public projects. Will the Minister look at whether that success could be built on and extended to national Government?

John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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My hon. Friend is absolutely right to draw attention to the remarkable figures in London. Of all the regions, London has seen the biggest proportionate growth in the number of apprenticeships, and I recently had a meeting in the Mayor’s office to discuss the subject. She is also right that there are things the Government can do to help, so we will look again at what can be done, based on the experience in London, to promote apprenticeships in the way she describes.

Nicholas Dakin Portrait Nic Dakin (Scunthorpe) (Lab)
- Hansard - - - Excerpts

T4. In June, the Office of Fair Trading upheld the Which? super-complaint about card surcharges, agreeing that they pose significant detriment to consumers. When will the Government act to stop people being exploited in this way?

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Marcus Jones Portrait Mr Marcus Jones (Nuneaton) (Con)
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The success of apprenticeships is undoubtedly vital to future prosperity in areas such as the west midlands. Will my hon. Friend update the House on the progress of the apprenticeship programme in the west midlands region?

John Hayes Portrait Mr Hayes
- Hansard - -

I described this as a rosy day for Britain, and it is a rosy day for the west midlands too. The number of apprenticeship starts in the west midlands is up by more than a half on 2009-10, which is due in part to the advocacy of excellent Members of Parliament such as my hon. Friend.

None Portrait Several hon. Members
- Hansard -

rose

Apprenticeships (Progress and Delivery)

John Hayes Excerpts
Thursday 27th October 2011

(14 years, 3 months ago)

Written Statements
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John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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As demonstrated by the statistical first release published today (http://www. thedataservice.org.uk/statistics/statisticalfirstrelease/sfr _current/) we have seen a record year for apprenticeships, both in respect of the volumes of people starting and completing their apprenticeship. Provisional data for the full 2010-11 academic year show starts increased by over 50% to 442,700 with increases at all levels. Completions also saw a strong increase to 181,700.

We have delivered increases in apprenticeship starts at all age groups. Provisional data show that numbers of apprenticeship starts increased to 128,300 for those aged under 19, 138,900 for 19 to 24-year-olds and 175,500 for those aged 25 and over in 2010-11. For young people in particular, these are positive figures in a time when they are facing particular challenges in the labour market. This is very encouraging and employers are continuing to use apprenticeships as a means of developing the skills they need for their businesses.

Apprenticeships are first and foremost sustainable jobs, which makes it a remarkable achievement to deliver growth in the programme on such a scale. We can be confident that the growth being reported today is in those apprenticeships which businesses value and are investing in. Growth is evident across sectors.

We will build upon this success and continue to improve and strengthen the programme further so even more individuals and employers can access and benefit from an apprenticeship programme that is world class. As we look to the future we will continue to improve access to apprenticeships; improve and drive up quality for all apprenticeships; reduce bureaucracy; expand advanced level and higher apprenticeships and give employers greater ownership of the programme.

Oral Answers to Questions

John Hayes Excerpts
Monday 17th October 2011

(14 years, 3 months ago)

Commons Chamber
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Duncan Hames Portrait Duncan Hames
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3. What his policy is on the inclusion of financial education in the mathematics GCSE.

John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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I should have more than a normal spring in my step today, because my son, William, passed his 11-plus, and I heard about it this weekend.

The Government are currently reviewing the national curriculum, which will go out to public consultation in the new year. We will await the outcomes of that work before making any decisions on the content of GCSE mathematics, to ensure that it aligns with the new national curriculum and reflects the core mathematical knowledge and skills that young people need.

Duncan Hames Portrait Duncan Hames
- Hansard - - - Excerpts

Only in this place could three follow one.

Having taken as many maths qualifications as I possibly could when at school, I certainly appreciate the eternal beauty of geometry, but does the Minister not accept that, for many school leavers in today’s world, it is more valuable to understand the true value of a compound annual growth rate on an investment or, more likely, the annual percentage rate on a loan?

John Hayes Portrait Mr Hayes
- Hansard - -

The hon. Gentleman is right that finance education matters. Indeed, as a governor of the George Ward school in his constituency, he will take seriously the role that core mathematical education plays in providing people with those applied mathematical skills necessary for their well-being and our collective well-being. The Government take that seriously, and we will certainly work to ensure that maths does the job that it should.

Edward Leigh Portrait Mr Edward Leigh (Gainsborough) (Con)
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4. What progress has been made towards resolving the dispute at the Cardinal Vaughan memorial school.

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Tessa Munt Portrait Tessa Munt (Wells) (LD)
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13. What his policy is on the inclusion of British sign language as a modern foreign language option at GCSE.

John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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I understand that an awarding organisation is considering whether to develop and pilot a GCSE in British sign language. It will be for the independent regulator, Ofqual, to consider whether any such qualification meets the appropriate criteria for being recognised as a foreign language GCSE.

Tessa Munt Portrait Tessa Munt
- Hansard - - - Excerpts

I thank the Minister for that answer. As he knows, I have very strong feelings about British sign language, which offers an opportunity for people of all ages to develop their vocabulary and to expand their communication skills, and particularly for young people to develop speech and language skills, including their comprehension. It breaks down barriers for everybody, including those with significant learning disabilities. Action on Hearing Loss runs a campaign called “Read my lips”, which seeks recognition for lip-reading as an essential skill, not a leisure skill, as it is classified at the moment, and proposes that classes should be free for those with hearing loss and those who have family members—

Tessa Munt Portrait Tessa Munt
- Hansard - - - Excerpts

I will indeed, Sir. Will the Minister please update me on progress on reclassifying lip-reading as an essential skill?

John Hayes Portrait Mr Hayes
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The hon. Lady has a long-standing interest in this subject, as I do, given my own hearing loss and my long-standing similar interest in disability issues more generally. I see British sign language as a bridge to learning and a key aid to communication, and I entirely agree that we need to look at ways to support it and to ensure that people old and young can learn to sign. There is an issue about whether we treat it in the way that the hon. Lady suggests, but I am more than happy to meet her to discuss this and see whether we can take it further.

Toby Perkins Portrait Toby Perkins (Chesterfield) (Lab)
- Hansard - - - Excerpts

Some deaf children have been successful in learning foreign languages, but while deaf children are behind all children as an average, they do particularly poorly in languages. Given that, and with the Government wanting foreign languages to play a greater part, what plans do they have to ensure that deaf children do not fall further behind?

John Hayes Portrait Mr Hayes
- Hansard - -

I have already had meetings with the Royal National Institute for Deaf People on the subject of signing, and, as I said, I am happy to meet the hon. Member for Wells (Tessa Munt) on the subject. However, I am not absolutely sure that treating BSL as a foreign language, as the original question suggested, is the best way forward. BSL is a preferred language of many deaf people in the UK, rather than a language of a different nation or culture. Some good qualifications are already in place, but I take the point that we need to examine whether they are effective in achieving the kind of results for deaf children that they deserve so that they can fulfil their potential.

Marcus Jones Portrait Mr Marcus Jones (Nuneaton) (Con)
- Hansard - - - Excerpts

14. What steps he is taking to encourage links between schools and employers; and if he will make a statement.

John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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Increasing schools’ autonomy is central to our mission. Of course the Government take business very seriously and understand the importance of the relationship between business and education. It is therefore absolutely right that local businesses cement links with schools. It is not for me to dictate what those links should be; that will depend on local circumstances. Organisations such as the chambers of commerce and the Federation of Small Businesses, in which my hon. Friend plays a distinguished part, are best placed to make those judgments.

Marcus Jones Portrait Mr Jones
- Hansard - - - Excerpts

I thank the Minister for his response. Over the past seven years, we have seen a trend of rising youth unemployment, and we are now also starting to see a real skills gap in engineering and manufacturing. Does my hon. Friend agree that if we are truly to rebalance our economy and reduce youth unemployment, we must, in partnership with our world-class manufacturing companies, put in place a strategy to energise and promote the future of engineering and manufacturing within our schools?

John Hayes Portrait Mr Hayes
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As ever, my hon. Friend makes a point that is both salient and persuasive. The Government need no persuading, however, that STEM—science, technology, engineering and maths—matters. Indeed, my right hon. Friend the Secretary of State spoke earlier of our work with university technical colleges, which were originally devised by Rab Butler, a great Education Secretary, and driven by the noble Lord Baker, who was another. We have delivering that policy a third great Education Secretary in the making, who is sitting next to me.

Diana Johnson Portrait Diana Johnson (Kingston upon Hull North) (Lab)
- Hansard - - - Excerpts

Was any assessment undertaken of the approach taken by business education partnerships? In my area, the Humber, we had an excellent business education partnership, and most of the business leaders who sat on it are distraught that its funding was withdrawn without any notice at all.

John Hayes Portrait Mr Hayes
- Hansard - -

As I said, such things are best dealt with locally, but make no mistake: this Government regard skills as at the top of the political agenda. If we are to equip businesses with what they need and allow people to fulfil their potential, we must, once and for all, give those with practical, technical tastes and talents their place in the sun, their chance of glittering prizes.

Rob Wilson Portrait Mr Rob Wilson (Reading East) (Con)
- Hansard - - - Excerpts

I confirm for my hon. Friend that university technical colleges are providing a fantastic platform for bringing employers and schools together. Reading’s new UTC is supported by Microsoft, BT and many other leading companies. Considering that so many important companies are stepping up to these important responsibilities, is he not disappointed by the reaction of the teaching unions and some Labour Members?

John Hayes Portrait Mr Hayes
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I should declare an interest as an associate member of a teaching union.

John Hayes Portrait Mr Hayes
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The Association of Teachers and Lecturers. It is absolutely essential that teachers, businesses and learners combine to best effect to ensure that we equip our young people, and our country, with the skills that they need to prosper.

John Bercow Portrait Mr Speaker
- Hansard - - - Excerpts

We are all greatly enlightened by the Minister of State’s observations.

--- Later in debate ---
Paul Uppal Portrait Paul Uppal (Wolverhampton South West) (Con)
- Hansard - - - Excerpts

T2. Recently, at the WorldSkills competition in London, Britain came fifth out of 49 countries that were entered, above Germany, France and the USA. However, we still face a skills gap, and in some areas of the country, such as the area just north of Wolverhampton where there are new developments involving, for example, Jaguar and Land Rover, worries are high that jobs will not go to local graduates. What measures are in place to ensure that school leavers are in a position to fulfil the needs of business and manufacturing in the 21st century?

John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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My hon. Friend is absolutely right that WorldSkills was a triumph. In an event involving 1,000 competitors from 52 countries and more than 40 skills, Britain achieved its best ever result. It is our commitment to excellence and our belief in rigour that combines our approach to academic learning and vocational learning. Whether it is Pliny or plumbing, or Plutarch or plastering, we believe in excellence, excellence, excellence.

Steve Rotheram Portrait Steve Rotheram (Liverpool, Walton) (Lab)
- Hansard - - - Excerpts

T6. Labour Members believe that the E-bac might be for some, but certainly not for all. Some people are better suited to more vocational courses rather than purely academic routes. Why does the Secretary of State not believe in parity of esteem?

English for Speakers of Other Languages

John Hayes Excerpts
Monday 18th July 2011

(14 years, 6 months ago)

Written Statements
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John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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I am today publishing the equality impact assessment of provision of English for speakers of other languages (ESOL) training, which I ordered earlier this year. I did so because of my determination that necessary additional cost-effectiveness should not unduly disadvantage vulnerable individuals in vulnerable communities.

Furthermore, I have asked the Association of Colleges to advise on developing with key providers an effective methodology for targeting funds at settled communities in which language barriers inhibit individual opportunity and community cohesion. Given the respective work that Lord Boswell and Baroness Sharp are doing on adult literacy and colleges in communities I have asked that they are involved in this work.

Simultaneously, we will devise means by which the quality of ESOL can be measured more effectively with a new emphasis on familiar benefits, progression to further learning and employment. I will discuss measurements of quality with Ofsted.

By targeting public funding on those in greatest need, and setting higher standards for providers, our reforms will make ESOL provision work better for learners, employers, and taxpayers.

Between 2001 and 2005 ESOL enrolments tripled, and Government spending peaked at £271 million. Despite policy introduced in 2006-7 to limit automatic fee remission to those on income-related benefits, by 2008-9 spending had only fallen to £250 million. We are, therefore, determined to continue to regain control of spending by introducing the further measures.

From August this year, full Government funding for ESOL courses will be available only for people on jobseeker’s allowance and employment support allowance (work related activity group) to help them find work. As part of a broader move towards rebalancing the investment in skills between Government, the employer and the learner, other eligible learners will be expected to make a contribution towards their course fees.

It is unacceptable that the public purse pays for free English language training for people who have come here to take up work—companies that recruit abroad must take full responsibility for that decision.

But I know that, in particular, there are women and families who rely on community-based English language to help them communicate with their children’s schools, as well as opening the door to other public services.

I am, therefore, pleased to announce that we will work in partnership with the Department for Communities and Local Government on developing new forms of support for those who need informal, community-based learning of English.

I am placing a copy of the impact assessment in the Libraries of both Houses.

Intellectual Property (Hargreaves Report)

John Hayes Excerpts
Thursday 7th July 2011

(14 years, 7 months ago)

Westminster Hall
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Westminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.

Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.

This information is provided by Parallel Parliament and does not comprise part of the offical record

John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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I am delighted to be able to respond to this important debate, and I congratulate the hon. Member for Perth and North Perthshire (Pete Wishart) on securing it. He spoke with knowledge and commitment on a subject that I know is dear to his heart. I have, in fact, spoken on the subject on two consecutive days; I was in this Chamber debating with him just yesterday. As I shall explain later, the Minister in my Department with responsibility for intellectual property is Baroness Wilcox, so I am not here as the Minister with responsibility for the subject but am pleased to speak on it. I pray in aid my professional background in the IT industry. I had a small business, which I subsequently made bigger, and was heavily involved with many but not all of the topics that have been debated today.

The Government are acutely aware that there have been previous reviews and consultations on intellectual property, and I understand the point the hon. Gentleman made at the outset: this is a challenging area, not least because of the changing character of the industry and the technology, and consequent events. He is probably right that we will return to the matter time and again, because of that dynamic quality. The Government are equally acutely aware of the need to facilitate growth. That theme has punctuated this debate, and there is a close relationship between how far we intervene in some of these matters and how we catalyse or, conversely, inhibit growth. That has been the perhaps unspoken dynamic at the heart of today’s considerations.

I am mindful of the words of the late Sir Hugh Laddie, a distinguished commentator on such matters and a judge who presided over many intellectual property cases. He said:

“If patents had been applied from the start we would still be on very early operating systems”—

in the IT industry. He continued:

“To give a business method example, if Ford had patented the concept of the assembly line, the US’s industrial development would have been held up”

altogether. So there are, of course, tensions between how we protect intellectual property and how we facilitate the growth that we need to deliver prosperity.

The economic importance of intellectual property is clearly profound and growing, and it has been said this afternoon that the creative industries are critical in delivering the growth that we seek. I have regular interface with those industries in my role as the Minister for Further Education, Skills and Lifelong Learning and am anxious that we tie the development of skills policy to growth, by identifying the sectors, including the creative industries, high-end manufacturing and the information systems industries, in which skills gaps and shortages might limit what we can achieve. Through that dialogue, I have gained some understanding of how we protect innovation. Innovation and growth are intimately linked by nature—a point made by successive speakers—and we need to make critical decisions about how we facilitate innovation and take advantage of its effect on business activity and employment.

This is a complex environment, and it will continue to change, perhaps even more quickly than at the moment. When people think about macro-economics and economic change, they often say, as has been said today, that as economies advance they become more high tech. I do not dismiss that by saying that it is often said—perhaps it cannot be said too often. What is less frequently cited, however, is the increasingly dynamic need of economies as they advance. Increasing dynamism requires public policy makers to be ever more responsive, and nowhere is that more true than in our handling of licensing, patents and copyrights. That is particularly significant in industries that are at the cutting edge, many of which have been cited. They are not all the same of course, and part of the problem with this debate is that we are dealing with an extremely diverse range of sectors and all kinds of innovation, with different pressures and opportunities.

To support growth, we certainly need an intellectual property system that helps business and consumers realise the opportunities that technology and change create. That is why, as the hon. Member for Wrexham (Ian Lucas) said, the Prime Minister commissioned the Hargreaves review in November. Professor Hargreaves was asked to develop proposals on how the UK’s intellectual property framework can further promote entrepreneurial activity, economic growth and social and commercial innovation.

The Prime Minister asked the review to identify barriers to growth in the IP system, how to overcome them and how the IP framework could better enable new business models appropriate to the digital age. The review considered intellectual property and barriers to the growth of new internet-based business models, including information access, the cost of obtaining permissions from existing rights holders and fair use exceptions to copyright and how they might be achieved in the UK. It also considered the cost and complexity of enforcing IP rights within the UK and internationally, the interaction of the IP and competition frameworks and the cost and complexity to SMEs of accessing IP services to help them protect and exploit IP.

The review issued a call for evidence and undertook a programme of stakeholder meetings and events, to engage with a broad range of organisations. The review team also travelled internationally, visiting the USA to share experiences on managing patent systems and discuss the role of fair use in the US copyright system. There were more than 300 responses to the call for evidence, from a wide variety of sources. More than half came from representative organisations such as the Creative Coalition Campaign and the Open Rights Group that represent hundreds of firms and thousands of individual members.

My hon. Friend the Member for Northampton South (Mr Binley) will be pleased to know that 20% of responses came from small and medium-sized enterprises. He was right to point out that some of our most innovative companies are SMEs, perhaps because innovation often springs from the mindset of an individual or small group of people, as I experienced in my own career. I emphasise, as did he, that the interaction between small businesses and larger corporations can be immensely positive in protecting small businesses’ interests.

I do not want to disagree with the hon. Member for Solihull (Lorely Burt), but having worked with IBM for many years, I think that the partner networks established in that industry by organisations such as Microsoft, Oracle and IBM can be positive for SMEs, although I am not complacent about that. I think that my hon. Friend the Member for Northampton South was right to say that those interactions can be a useful means of protecting the interests of small firms, rather than limiting or damaging them. It is not the time to debate that issue, as it is tangential to the thrust of what I want to say, but it is an important matter that perhaps we can debate on another occasion, when I will be more than happy to avail the House of my insight into such matters.

As I said, 20% of the responses came from SMEs. They are usually hard to reach, which is why it is so important that we proceeded on a consultative basis. Small businesses often have fewer resources available to get involved in Government consultations and reviews. We often hear from big representative organisations, and sometimes from large corporations, but ensuring that we have a dialogue with small businesses seems critical. The high response rate from SMEs tells us how important IP issues are to them. The hon. Member for Wrexham is right that the amount of correspondence and information that Ministers, shadow Ministers and MPs have received on the subject reinforces the level of commitment and proper concern felt.

Baroness Burt of Solihull Portrait Lorely Burt
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Given all that the Minister is saying about the importance of submissions from small businesses, I am sure that he is as mystified as I am that the submission from the SME Innovation Alliance was never alluded to or listed among the submissions. Will the Minister confirm that he is prepared to meet me and the SME Innovation Alliance to rectify the Hargreaves report’s failure to take certain things into account?

John Hayes Portrait Mr Hayes
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The hon. Lady made both those points earlier. With her usual assiduity, she has taken advantage of this opportunity to intervene on me to amplify them. I will deal with them in turn. First, that submission was indeed received and considered, and it played a part in informing the review’s recommendations, although it was not listed because, as I understand, it was received informally rather than through the formal process. Secondly, I am more than happy to commit my noble Friend Baroness Wilcox to meet her. My right hon. Friend the Minister for Universities and Science will want to be involved, too, and will be happy to join that meeting. The Under-Secretary of State for Culture, Olympics, Media and Sport, my hon. Friend the Member for Wantage (Mr Vaizey) was also mentioned, and I shall deal with him later in my remarks. Given his Department’s involvement in the digital industries, an interface with him would be desirable, too. Having committed three of my colleagues’ diaries, I had better end on that point. However, we will have the meeting. I will insist that it happens.

Professor Hargreaves delivered his report, “Digital Opportunity”, to Ministers and the Government in May. Members know that the Government are considering that report and will not expect me to anticipate our response, but—it is right that the hon. Member for Wrexham raised the issue in his role as shadow Minister—I again make a clear commitment that the Government will publish our response within a month. There is another commitment made by a Minister who is not responsible for these matters; that is one of the virtues of being in this position.

Pete Wishart Portrait Pete Wishart
- Hansard - - - Excerpts

When presented with the Hargreaves report, the Government said that the response would be published by the summer recess. What is the reason for the delay? It was a clear commitment to respond by the summer recess. Now the Minister is saying that it will take a month. Why the delay?

John Hayes Portrait Mr Hayes
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The Government need to consider such things carefully. The issues are complex. The hon. Gentleman made the point that they are challenging, and the Hargreaves review’s recommendations are wide-ranging. He knows the report well; I have it here. The volume of responses to the consultation was large, and they were wide-ranging in terms of both the ideas presented and the organisations that contributed. It requires serious and studious work. He might have wanted an early response, but better to have something satisfactory than something quick. I make the commitment that it will be published in a month, and I assure him that it will be a studious and carefully considered piece of work. I cannot go further than that. I am unable to give an account of the response’s contents before its publication, but I reassure the House that the Government recognise fully the seriousness of the matters raised in this debate and during the review and its publication, as well as the value of the industries that rely on intellectual property as their life blood.

Professor Hargreaves suggested that in some areas the UK’s intellectual property framework, especially with regard to copyright, is falling behind what is needed to meet new opportunities. That point has been made repeatedly today. The argument is that if we do not fix the framework, our economy will enjoy less innovation and lower growth. It is certainly true—I will comment this far on what we might say—that the UK needs open, contestable and effective markets in digital content and a setting in which copyright enforcement is effective. Copyright provides the legal framework to sustain and protect creative value. It needs to fit current conditions, and it should warrant, and get, the respect of consumers. In other words, while not anticipating our response, I think it is reasonable and fair to say, given that we have had such a serious debate, that we feel that changes will need to be made to bring the system in line with current conditions.

We need copyright content and technology working together, as has been said repeatedly. They should be in harmony, not in conflict. There should be a happy union between changing technology and copyright. We need an environment in which new businesses and technologies can compete fairly with existing ones. I accept the point made by the hon. Member for Solihull. Although I qualified her argument about the relationship between SMEs, partner networks and large players, it is certainly true that there is a risk unless we get the balance right. The law in that respect is important. I mentioned the late Sir Hugh Laddie earlier. The hon. Lady will remember that he made a point, following the Gowers report I think, that the legal system militates against smaller businesses and against individuals purely on the basis of cost. The hon. Lady has reinforced that, and I think that my hon. Friend the Member for Northampton South made the same point. Therefore, there are issues to be considered, and as I have said, we take them seriously.

The review recommends that the Government ensure that the IP system is based on evidence. The right hon. Member for Bath (Mr Foster) was right to insist that the Government’s response should also be evidentially based, and I assure him that it will be. Economic considerations should play a stronger role in assessing the nature and perhaps even the limits to rights, which is another point that he made. It is critical that we take an empirical view, inasmuch as one can in this dynamic and complex area. We will prioritise that kind of evidential approach.

On international priorities, the report recommends that the UK pursue international interests in emerging economies and prioritise the EU patent. We will, of course, look at that too, given some of the comments that have been made during the debate.

To improve the environment in copyright licensing, the Hargreaves review recommends the establishment of a digital copyright exchange. That has been mentioned several times, including by my hon. Friend the Member for Hove (Mike Weatherley). Although he will know that that argument has been made by many people over a considerable period, the nature of the exchange, which we are considering alongside other recommendations, must be founded on consent. The idea that we have a state-driven, compulsory system that dictates and determines from the top is probably not compatible with the arguments that have been made by almost every contributor to the debate. It must be based on a collaborative and co-operative model.

The appointment of a champion for the digital copyright exchange has also been raised. I think it was my hon. Friend who said that the champion must not be a dictator, which is of course true. The champion would have to work closely with the industries concerned. The consultative nature of how the Government have gone about getting to where we are would need to characterise the subsequent arrangements that we put in place.

The review also recommends that the Government legislate to enable licensing of orphan works. I want to say more about that in response to the comments of the right hon. Member for Bath. It is important to design a scheme that prevents reappearing rights holders from losing control of their work. Any scheme proposed will have to involve a diligent search for rights information. That must surely be essential if such a scheme is to be fair to all parties. Perhaps I can put it in these terms: if the creator of a bestseller were to come forward, the work would no longer be an orphan work.

The right hon. Gentleman should welcome and not be fearful of the emergence of a missing great creative work. Occasionally, such things happen. Not long ago, an important work by Mozart was discovered, which is surely a cause for celebration. Mozart was perhaps the greatest of the baroque composers, but let us not go down that road or we will have a longer and perhaps less relevant debate. The character of genius is very interesting, but let us not talk about it here.

Lord Foster of Bath Portrait Mr Foster
- Hansard - - - Excerpts

I am slightly confused about the response given on orphan works. I apologise if I have misunderstood, but does the Minister agree with the basic principle that, if the creator of a work is unknown and that work is licensed by a separate body for use by a third party and subsequently becomes a commercial bestseller, the creator, if found, should be entitled to fair recompense based on the success of that work—yes or no?

John Hayes Portrait Mr Hayes
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I would never, in these circumstances and on such complex matters, want to reduce my answer to a yes or no, because that would be most unsatisfactory to the right hon. Gentleman and to the Chamber. Surely, he knows that.

Lord Foster of Bath Portrait Mr Foster
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I would be happy with such an answer.

John Hayes Portrait Mr Hayes
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I think that the right hon. Gentleman is underselling himself. He wants a much more sophisticated response than that. I think that there is an absolutely reasonable case to say that, if the person who authored a work is found in the way that he describes, they should receive some recompense or reward. We will need to look at that in our response to the review. The right hon. Gentleman makes a powerful argument, and it seems to me to be not without merit. That is not bad for someone who was not going to give him a direct answer, as I am sure he will be happy to acknowledge with his typical—characteristic, one might say—generosity.

As my hon. Friend the Member for Northampton South has argued, we also need to ensure that we are influencing effectively what is happening overseas and supporting, again, positions based on evidence. We need not only to look at relationships with key partners, but to encourage other states to develop IP frameworks and enforce them appropriately, which is the point that my hon. Friend made. He will be pleased to know that we recently announced, jointly with the Chinese Government, that we will host an IP symposium. It will take place later this year with the appropriate Chinese authorities. It will seek to find a better mechanism for British businesses to raise and have addressed IP-related issues.

I will visit China next week and have no doubt that, among the many issues that I will discuss with the Chinese authorities, this may come up. I will certainly be able to refer to this debate. I give my hon. Friend my pledge that I will reflect on what he has said and, where appropriate and with all the due diligence and courtesy that is fitting to a Minister of the Crown, raise these issues with my Chinese counterparts. Ministers and officials regularly raise IP issues in that way with their counterparts in other countries. It is important that we build on the good relations that we have established to deal with these issues straightforwardly.

Brian Binley Portrait Mr Binley
- Hansard - - - Excerpts

Will my hon. Friend the Minister give way?

John Hayes Portrait Mr Hayes
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I will give way to my hon. Friend in a moment, but I want to give him one other piece of good news first. The UK recently announced that it will appoint IP attachés in countries including India and—my hon. Friend will be delighted to know—China. We expect them to be in place by the end of this financial year. They will work with host Governments on IP policies and with UK businesses to help to ensure that they can exploit and protect their IP effectively overseas.

Brian Binley Portrait Mr Binley
- Hansard - - - Excerpts

That is the quickest response for action I have every had from any Minister. I am most appreciative. I congratulate the Minister on taking on a very difficult brief that is not primarily his own. I understand that he does not want to say too much before the Government consultation has finished but, on the basis of our long friendship, will he talk to the Minister concerned about the use of search engines? The need to ensure that the creative arts get well recompensed for their product is vital and increasingly urgent.

Brian Binley Portrait Mr Binley
- Hansard - - - Excerpts

I shall sit down, Mr Chope. Your guidance is welcome, as it is based on experience.

John Hayes Portrait Mr Hayes
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My hon. Friend is right about the matter that he raises, and I will certainly do as he asks. He has some professional expertise in this field. Other hon. Members may not know that, but I have been pleased to visit Northampton with him many times, including this week. He brings some expert understanding to the subject. As I said, I share his background in the information systems world. He is right about search engines. I will draw his comments to the attention of both my noble Friend Baroness Wilcox who has responsibility in this area and, indeed, the Under-Secretary of State for Culture, Olympics, Media and Sport, my hon. Friend the Member for Wantage. If he had been asked to respond to the debate, contrary to what the hon. Member for Wrexham said, he would have been a peg below me; hon. Members are getting a Minister of State dealing with the matter, rather than an Under-Secretary. I think that that is a bonus. My hon. Friend the Member for Northampton South makes a fair point and, as I say, I will pass on his comments.

John Hayes Portrait Mr Hayes
- Hansard - -

I give way to the hon. Gentleman. I did not mean to be unkind to him.

Ian C. Lucas Portrait Ian Lucas
- Hansard - - - Excerpts

No, not at all, and I did not mean to be unkind to the Minister. I want to make that absolutely clear. This is not in any sense a personal criticism of him. As he knows, in November, the Under-Secretary of State for Culture, Olympics, Media and Sport, the hon. Member for Wantage (Mr Vaizey) was a Minister within BIS and he would have been responding to this debate if that situation had continued. He stopped being a BIS Minister because of the Secretary of State’s discussions with his constituents and he is now a Minister in the Department for Culture, Media and Sport. That has a real impact on this area. I am making a serious point about a problem that the Department needs to address.

--- Later in debate ---
John Hayes Portrait Mr Hayes
- Hansard - -

That is a point about the Government’s structure, which is a matter well above my pay grade, as the shadow Minister knows. I understand why he has made the point and it is his absolute right to put it on the record.

My hon. Friend the Member for Folkestone and Hythe (Damian Collins) spoke about orphan works in his thoughtful contribution. As he knows, a number of details need to be worked out on that, including the matter of remuneration. If that recommendation were accepted, we would need to work out a protocol and system for dealing with the matter in more detail than Hargreaves understandably gives us. I would be interested to hear my hon. Friend’s further thoughts on that. If he wants to develop his argument following this debate rather than on the hoof, I am sure that the Government would be happy to take into account that further insight.

John Hayes Portrait Mr Hayes
- Hansard - -

My hon. Friend is going to give me a further insight now.

Damian Collins Portrait Damian Collins
- Hansard - - - Excerpts

In response to the Minister’s invitation and following the comments of the right hon. Member for Bath (Mr Foster), if there were a system for recompense—a protocol, as the Minister suggested—would it include an escalator? Would that just include the lost licence fee not paid, or would it reflect the value of the use of the work to the person who used it?

John Hayes Portrait Mr Hayes
- Hansard - -

That is exactly what I was alluding to. My hon. Friend implied that in his earlier remarks; but for the reasons he has just given, the matter is complicated. The system would need to be thought through carefully to get the balance right. As I said, if he wants to give that more thought, I would be happy to receive representations on the matter. I will then pass them on to my noble Friend Baroness Wilcox and my hon. Friend the Member for Wantage.

Pete Wishart Portrait Pete Wishart
- Hansard - - - Excerpts

I simply remind the Minister that I have five minutes to sum up at the end.

John Hayes Portrait Mr Hayes
- Hansard - -

That is very generous of the hon. Gentleman.

Jim Dowd Portrait Jim Dowd
- Hansard - - - Excerpts

As there is a spare slot for an intervention, can I ask whether the protocol for orphaned works will include a description of due diligence, if the Minister follows such a path?

John Hayes Portrait Mr Hayes
- Hansard - -

That is another interesting point. Again, that will form part of what we say when we respond to the report. The review did not deal with the subject in the detail that the hon. Gentleman refers to. The review recommendations do not come to a definitive conclusion on that subject, as he will know from having read them, but the proposal seems to be a useful addition to those recommendations and is certainly something that we will cover in our response. I am more than happy to give him that assurance.

Christopher Chope Portrait Mr Christopher Chope (in the Chair)
- Hansard - - - Excerpts

Order. I remind the Minister that it is customary in these general debates to leave five minutes at the end for the hon. Member who initiated the debate to respond and that we have to finish by 5.30 pm.

--- Later in debate ---
John Hayes Portrait Mr Hayes
- Hansard - -

I am happy to allow that, Mr Chope. In fact, I was just about to conclude by saying that the debate has been helpful and shown the House at its best. It has been technical, informed and non-partisan. In part, that is because of how it was introduced by the hon. Member for Perth and North Perthshire, whom I should be delighted to hear from further.