Skills Devolution (England)

Karin Smyth Excerpts

Tuesday 23rd January 2018 Westminster Hall

[Catherine West (Hornsey and Wood Green) (Lab)]

I beg to move,

That this House has considered skills devolution in England.

What a pleasure it is to serve under your chairmanship, Mr Bailey. I hope to have the pleasure of hearing your speech later. I am grateful to the Backbench Business Committee for granting this debate on skills devolution in England. I am especially grateful to the Members here from outside London, as I am keen to hear about the reality in their constituency regarding how we can tackle the national skills gap as flexibly as possible.

Across our country, we face an enormous challenge in ensuring that we have the skills that we need to operate the economy, and that we are doing all we can to enable people to secure such skills, and support them in doing so. The issue is particularly acute in London, where my constituency is, but it also exists in the larger cities throughout the country and, indeed, in the regions, and the situation has worsened since 2010, when further education colleges faced cuts—they now receive 50% less funding. The centralised skills system needs to be looked at again, in London and in all parts of England. I will set out the problems seen by us on the all-party parliamentary group for London—and by the all-party group for Greater Manchester, with which we have done work on this—and the recommendations outlined in our report, “Bridging the Skills Gap”, which I recommend colleagues read.

Significant steps have been taken since the devolution project started in 2000, but there is a pressing case for specific devolution in this area, and a need to explore ways in which such devolution can be achieved in regions that do not have devolved Assemblies or metro mayors. Although recent economic growth has led to substantial reductions in the numbers of people on jobseeker’s allowance, an estimated 628,000 Londoners are not in work but would like to be—enough people to fill the city of Nottingham twice over—and youth unemployment is high. In 2016, 9.4% of 16 to 24-year-olds in London were unemployed, compared with 3.6% of 25 to 64-year-olds. For both adults and young people, that represents a huge waste of human potential.

The problem is very unevenly spread across London, a city of 8 million people; there are constituencies where very high numbers of young people face larger problems from unemployment and a lack of skills. Almost a quarter of all vacancies in London—23%—are due to a lack of applicants with the right skills. In addition, almost half of firms—42%—are not confident they will be able to recruit people with the higher-level skills that their organisation needs over the next five years. In the London borough of Haringey, where my constituency is located, 35% of 19-year-olds do not have a level 3 qualification, yet London is an increasingly highly skilled economy. There is a clear skills mismatch.

My local college, the College of Haringey, Enfield and North East London, now merged with City and Islington College and with Westminster Kingsway—mergers that took a lot of energy and money out of the sector when we could least afford it—tells me that many students were held back following the sharp reduction in funding. That has led to too many Londoners being in low-paid and often insecure employment, and there has been an increase in the number of low-paid jobs in the capital.

[Karin Smyth (Bristol South) (Lab)]

To highlight my hon. Friend’s point, in my constituency we send the lowest number of young people on to higher education in the country, despite having two universities in the city, and Bath and Exeter nearby. It is critical that the further education sector pick up such youngsters and support them in their skills and education, not just in London but in places like Bristol.

[Catherine West]

This needs to be looked at specifically in Bristol, where we have seen such a sharp increase in the population of under-30s.

Many people, once in work, fail to get salary and career progression, and 700,000 Londoners are paid less than the London living wage; that has a real impact on families. Recent research by Trust for London shows that people are more likely to be in insecure employment in the capital or in other large cities than elsewhere in the UK.

The population of London continues to grow rapidly—by 1.3 million since 2005—and the demand for basic skills provision grows alongside it. That population growth has increased demand for specific areas of skills provision, such as English for speakers of other languages, or ESOL; the Workers Educational Association has done excellent work in that area. Founded in 1903 and working for a

“A better world—equal, democratic and just”,

the WEA serves people within a two-mile radius and we can see the importance of that local provision throughout the country, not just in cities. However, our cities need to grow their own talent and get businesses to invest more in skills. Levels of business investment are unfortunately at an all-time low and we need a flexible and responsive skills system to respond effectively to the challenges the capital faces. They are urgent challenges and, if ignored, could significantly hamper economic growth, not just in the capital but elsewhere.

There has been criticism from business. Mr Quinn, chief executive of Balfour Beatty, has said that the apprenticeship levy system is very “Yes Minister”, which says something about where we are in thinking through how to enhance the human potential in our economy.

The skills system does not provide the flexibility and responsiveness needed, because providers are often incentivised and rewarded solely on the basis of the quantity of learners achieving a qualification, not according to the quality of the outcomes from getting that qualification, such as higher earnings. The system is market-based and is built on learner choice, but careers advice in London is patchy and inconsistent, which limits learners’ ability to make informed choices and understand the opportunities in the London economy. When I speak to headteachers, they talk about teachers often not being able to put aside valuable time to perform the crucial role of helping students decide which subjects to choose—say, whether to take a foreign language—not just at A-level or when they go on from school, but right back in year 8 or 9, so that they can have ready the skills that we so desperately need in workplaces.

Employers do not engage enough with the skills system to ensure that vocational courses are relevant to their needs. The creation of a Greater Manchester employment and skills board has resulted in the co-designing of apprenticeship courses that can be delivered locally, improving local responsiveness to skills shortages. That was replicated in Sheffield’s city deal and in several other cities, increasing the engagement of small and medium enterprises and delivering on local skills priorities.

It might be too early to tell what impact the apprenticeship levy has had, as it was introduced only in April 2017. I am sure that the Minister has a bit of time to get across that brief—her predecessors had not quite caught up with it. I am sure she will tell us her plans for the levy’s review. April 2017 is not that far back, but I am sure that the Department has plans to review its introduction and effect. Initial statistics from the Department for Education indicate a sharp drop in the number of apprenticeship starts across the UK. Between May and July 2017, they had decreased by 59.3% from the same period in the previous year—in numbers, from 117,800 to just 48,000. I am sure we would all agree, across this Chamber, that that is a crucial area that needs the Government’s attention.

Employers in the public and private sectors report issues with the system’s inflexibility, and it appears that many organisations will fail to spend significant amounts of their levy contributions. It seems highly unlikely that the Government’s aim of 3 million apprenticeship starts by 2020 will be achieved. That is another example of the skills system failing to respond adequately to the current and future needs of our economy.

The skills system in the UK is very centralised, leaving London with few tools at its disposal to cope with London-specific issues, such as the higher demand for English as a second language, historically low levels of apprenticeships and the reliance on incoming labour in key sectors. The picture is potentially worse in other fast-growing cities, such as Coventry and Exeter, which my hon. Friend the Member for Bristol South (Karin Smyth) mentioned; they do not have the same system of devolution that we have in the capital. I am hoping to hear more about those regions of the UK later in the debate.

The system simply does not respond well enough to our growing cities’ needs and priorities. Coventry, for example, is in part of the country that is seeing greater economic growth, although that is coming from a lower base. Our skills system is not matching that growth and is falling behind. The OECD predicts that without significant improvement, the UK will fall to 28th out of 33 OECD countries for intermediate skills by 2020. That would see the UK overtaken by Ireland, Israel and Belgium.

London faces myriad challenges: a rapidly rising population; an over-reliance on migrant labour; skills gaps in many key sectors; low numbers of apprenticeships and an inflexible apprenticeship system; patchy careers guidance; and poor match-up between skills spending and outcomes. The forthcoming devolution of the adult education budget represents an important first step in creating a more efficient skills system, but the Government must be bolder and go further and faster on skills devolution to have the impact needed. Devolving greater powers on skills to London and the metro mayors would enable cities to create a system that meets employer need, not just learner demand.

What about the impact of Brexit? Businesses have met an increasingly large share of their labour needs through immigration. Nearly one in three of London’s workforce is non-UK born, and 90% of London’s businesses recruit EU citizens. Workers from the EU play a vital role in many of the capital’s key sectors, including construction, financial services, hospitality and health and social care. In London, in construction, hospitality and the tech sector, just under a third of all workers are EU nationals. Any fall in EU immigration following Brexit or during the uncertainty that Brexit is producing has a significant impact on not only London, but the UK. We know that London’s economy is a driver of things and has knock-on effects on other regions. Many agricultural areas are over-dependent on the supply of EU labour. The outcome of the discussions and negotiations over Brexit could have a knock-on effect.

The capital attracts highly skilled graduates from across the UK. A significant drop in EU labour could increase that trend, undermining the Government’s industrial strategy and attempts to rebalance the national economy. There is a genuine desire across the House of Commons for every region to grow and for London not to attract all the high-achieving graduates. That could happen for a period, perhaps, but there is a real need to rebalance our economy.

The drop in EU labour could also have a knock-on effect on other key policy areas, such as the need to build more affordable homes in London. A chronic shortage of skills in construction, for example, will create higher project costs and diminish the ability of the sector to deliver the new homes required to tackle the chronic housing shortage facing the capital and the rest of the country. We can think of best practice in public procurement: in many boroughs and city regions, the local authorities are getting much better at using public procurement to ensure that for every £1 million that is spent, say, we get one or two apprentices back from the providers of that crucial capital work. That is mainly in construction and the renovation and refurbishment of social homes, but also in other areas.

All the factors I have outlined suggest that London government and the metro mayoralties need the ability to take a strategic, all-age, whole systems approach to skills. There should be greater engagement with employers and better access to and use of data. The system should allow a more localised approach that works at two levels. In the capital, for example, we should tackle pan-London issues while also having more targeted activity at a sub-regional level to take into account the variations of skills, needs and demand across cities.

The all-party parliamentary group’s report set out eight key principles that should underpin a future skills system. They were:

“1. It must be labour-market led, and include high quality labour market intelligence that captures the needs of individuals, employers and local economies informing learner choice and the provider offer.

2. It must have strong employer engagement in order to identify skills needs and sector priorities.

3. It must have strong local accountability, with joint governance agreed between the GLA and London boroughs via sub-regional partnerships.”

In that regard, we know that other sub-regional areas function much better than London. With a population of 8 million, it is very hard to match the economic partnerships with the various areas. In other sub-regions, we should be able to do much better on local accountability and buy-in from local authorities. The report continued:

“4. It must be outcome-focused, with strategic coordination across all aspects of post-16 professional and technical education to drive better outcomes. The system should focus on and reward delivery of positive outcomes covering jobs, earnings, progression”—

I emphasise that point; too many people are sitting in entry-level jobs way into their 40s and 50s, unable to get that progression that is so crucial—

“personal development and wellbeing outcomes.

5. It must include stronger incentives to encourage provision that meets London’s economic needs and supports progression.

6. It must be flexible to enable London government to have the ability to commission provision based on analysis of need.

7. It must include effective, impartial information and advice to ensure learners can make informed choices that will lead to future employment opportunities.

8. It must take a whole systems approach to ensure that skills policy and commissioning are effectively aligned.”

What would that mean in practice? The Government need to go further, faster, to give local government and metro mayors the levers to address the considerable skills challenges I have set out. They should consider devolving all 16-to-18 provision to combined authorities in other parts of England. The Government should provide commissioning freedom and the ability to set outcomes and incentives for the whole skills system. That would better serve the progression and economic priorities of different areas in England. The Government should give London government control over all vocational capital investments, such as 14-to-19 capital provision and institutes of technology, alongside existing further education capital responsibilities. That would capitalise on local ambition, expertise and intelligence, and align adult education and 14-to-19 capital investment.

The Government should devolve careers funding streams to London government, so that it can build a seamless, single, integrated careers service. The concept of a careers service is something that many people in local government would love to see return, so that they can match aspirations and assist parents, who are so key to helping young people decide what to do next. It would also allow older people to get back into the workplace—or change what they do, now that we are all meant to be working until we are 70. [Interruption.] You have loads of time, Minister. Through those things, we can have a proper system that we can be proud of.

We would like the devolution of careers funding streams to a local level, to build a seamless, single, integrated careers service. The Government should devolve the capital’s future share of the UK’s shared prosperity fund to London government, and ensure that future skills funding settlements take into account each area’s unique needs. We also need short-term flexibilities around the apprenticeship levy. In the longer term, we need to devolve the levy to London. That will be quite a difficult trick to master for a new system, but we need it to be as flexible as possible, so that we can use the resource quickly and build in the ability to develop that longer-term devolution. We could get longer-term value by getting together with local areas to work out the best way forward.

The other voice that needs to be listened to is that of small and medium-sized enterprises. They provide many of the job starts for young people, and older people entering the labour market who need their skills updated. It is difficult for SMEs to communicate with Government, Members of Parliament and the wider system, so that relationship with SMEs must be developed in a special way. We want more flexibility in the levy; for example, it could allow an increase in the amount of levy funding that employers can pass on to their suppliers. That is currently capped at 10%. Local authority areas increasingly use their contracts to have suppliers generate apprenticeship opportunities, but capping that at 10%, particularly in the short term, might mean we are not getting as much value as we could in our timeframe. In 2016-17, for example, London boroughs created 60% of their apprenticeships through contracts and suppliers, as I mentioned earlier.

The Greater London Authority and the Institute for Public Policy Research, a think-tank, have developed a proposal for a skills and progression pilot project, which I recommend the Department look at. A strand of the proposed pilot is to work with employers to pool the 10% that can be passed on to non-levy-paying employers, and support them in developing good-quality apprenticeships through that. The pilot wants to test out increasing the 10% cap as well. There is a strong push for that proposal. In the longer term, the Government should consider full devolution of the apprenticeship levy, as has happened in Scotland and Wales. Obviously, London and other key areas would need to bid and make the case for that, but the Government should not rule that out.

A recent Chartered Institute of Personnel and Development survey found that 53% of employers who pay the apprenticeship levy would prefer a training levy; just 17% support the apprenticeship levy in its current form. I am keen to hear the Minister’s feedback on that proposal.

In conclusion, the proposals might seem radical and far-reaching, but London, Manchester, Birmingham and other major UK cities are experiencing severe skills challenges that could be exacerbated significantly by Brexit. The Government need to act now and allow the skills system to deliver in flexible, responsive ways that the current centralised system does not. The Mayor of London has already indicated that London government is keen to work with central Government to deliver on this agenda, and there is a clear appetite from many of the elected mayors to do the same, as there is from leaders of local areas. I hope we can all work together to improve skills outcomes for all learners and businesses across England.

[Ian Paisley in the Chair]

--- Later in debate ---

[Karin Smyth (Bristol South) (Lab)]

It is pleasure to serve under your chairmanship, Mr Paisley. I thank my hon. Friend the Member for Hornsey and Wood Green (Catherine West) for bringing this debate forward. There has been a great deal of agreement on this important issue.

I was a member of the Public Accounts Committee in the last Session. Colleagues will be aware that the Committee has done a lot of work on the interplay between devolution in cities, skills growth and the further education sector, and the need for more accountability regarding those decisions. It had a discussion about LEPs yesterday. That whole agenda needs to be much more cohesive, and people need to understand about local accountability for the way that taxpayers’ money is spent.

Further education colleges, such as City of Bristol College, which I visited again on Friday, remain part school, part training provider, part higher education college and part community college. That last function is really important to us in south Bristol. As my hon. Friend the Member for Hornsey and Wood Green said, there is competition between schools. In south Bristol alone, there are more than 500 surplus school places, plus the college. The schools are all in competition with private schools, a university technical college and a sixth-form college. That dilutes not only the pool of youngsters going into those establishments, but the money and the opportunity to link up skills. Ultimately, it must dilute the quality. We need a strategic delivery function that does that much better.

The system is complex for youngsters, and for parents. I have spoken to the Minister about that and her Department is working on it. Parents are crucial—as partners, in supporting young people through a complicated system, in giving them opportunities, and in ensuring quality of provision, so that when we support our youngsters into their very different pathways, we are sure about the quality and the reliability of the courses.

I want to mention the collapse of Carillion last week. City of Bristol College stepped in, via the training board, to provide last-minute places. That highlights the importance of sustainability in further education, so that institutions can pick up that work. I will write to the Minister to make sure that the college gets the money to follow those young people, whom the college has done great work in supporting. We cannot allow that quality to be diluted any further.

Sexual Harassment and Violence in Schools

Karin Smyth Excerpts

Thursday 2nd November 2017 Commons Chamber

[Karin Smyth (Bristol South) (Lab)]

This is my first opportunity to talk in a Backbench Business Committee debate because I usually rush home on a Thursday to look after my children. It has been a pleasure to be here, and I say to the right hon. Member for Basingstoke (Mrs Miller) and my hon. Friend the Member for Birmingham, Yardley (Jess Phillips) that, although some of us cannot be part of the work done by the Women and Equalities Committee, we very much support it and it is a pleasure to take part in this debate.

This debate is important for two reasons. I am the mother of three almost-teenage boys at secondary school. My house is full of banter, non-stop football and male sport. It is often full of teenage boys who come round to watch said sport and banter with said boys, along with my partner. One good thing about being a Member of Parliament is that I have total autonomy over my own remote control because I get my own television in my own house.

I have felt the responsibility of being a mother to those boys particularly strongly in the last couple of weeks, and I have been horrified and deeply incapable of explaining to them the behaviour of some of my colleagues across the House. It is not a position that I ever expected to be in; I am singularly unequipped to deal with it, but we do our best.

People have spoken about role models, and in the past two weeks I have been pleased that among our colleagues there are some magnificent role models. In the past few weeks, I have talked with many male colleagues who are also parents of teenage boys about how they continue to be good role models for their sons. I am not sure whether I am an inbetweener feminist—I am slightly older than my hon. Friend the Member for Walthamstow (Stella Creasy). I started my life as a feminist, but we must equip ourselves to talk with young boys about these matters, and that is why the report is so important.

My second reason for feeling passionately about this issue is that, like that of many hon. Members, my surgery continues to be full of young women who are dealing with the consequences of sexual harassment and domestic violence—that is a huge issue in my constituency. My hon. Friend the Member for Bristol West (Thangam Debbonaire) is an expert in that area and has 26 years’ experience of such work. She has always been very supportive to me, as I am not an expert in this area. She kindly lent me some of her notes for today, and she has written about the work in which she has been involved. The numbers are horrific—I had absolutely no idea that that level of sexual harassment was prevalent in our schools, despite being actively involved in my children’s school and education at all ages.

My hon. Friend the Member for Bristol West has said that while young people need to know the basics of sex education, they also need to know how they can leave an abusive relationship, how they can seek help, or what the consequences are when their classmates are suffering abuse or harassment. We have heard some horrific examples today.

People are not equipped to support young people in schools. The hon. Member for Oxford West and Abingdon (Layla Moran) talked about her experience as an educator. It is critical to help the people in our schools so they can talk about these issues and guide our young people. I was educated at a Catholic primary school. If my parents had had the opportunity when we were talking about such things, would they have opted me out of such education? That is a difficult one. I think my mother probably would have done so and that would have been wrong. I feel very passionately about secular education because of my own experiences. It is not acceptable—as a parent, I feel very strongly about this—to opt children out of this education. The rise in academies and their choosing not to teach these matters is also not acceptable. The events of the past two weeks in this place heighten the need for us to set an example to the country about educating and equipping all our young people in the future.

Higher Education (England) Regulations

Karin Smyth Excerpts

Wednesday 13th September 2017 Commons Chamber

[Robert Halfon (Harlow) (Con)]

I am grateful for the opportunity to speak in this debate. The Labour party bears a responsibility. There is no doubt in my mind that, in my constituency of Harlow, young people thought Labour was going to scrap student debt. [Hon. Members: “No, they didn’t.”] They did. The leader of the Labour party said it was going to “deal with” student debt. Whatever the small print said, the impression was given. We have problems enough with trust in politics in our country. I urge Labour Members not to repeat that exercise.

On the general subject, I am not against student fees because, as the Secretary of State said, we have a clear duty of fairness to the taxpayer and to those who do not go to university. The taxpayer should not shoulder the burden alone. A number of principles need to be clear when it comes to tuition fees, the most important of which is value for money.

What does value for money mean in terms of a university education? Why can universities charge the same high fees when there is such variation in both the quality of education and the jobs secured on graduation? Surely the time has come to consider the level of fees compared with graduate destinations. People go to university to climb the ladder of opportunity to prosperity and to improve the productivity of our nation. I was amazed when one vice-chancellor said that I am wrong to say universities are about people getting jobs at the end of it, and also that universities are really more about the experience. If people want an experience, they can go to Alton Towers. Between a fifth and a third of graduates end up in non-graduate jobs. If they are paying £9,250 a year and coming out with a good, well-paid job, the university has done the right thing. If they are not, what is the £50,000 debt for?

I welcome the new longitudinal education outcomes data that the Government have introduced and the opportunity they provide to look at graduate outcomes and earnings after one, three and five years. Closer monitoring of graduate outcomes is essential to this debate and to the conversation on value for money. It is encouraging to hear that the Government are considering linking tuition fees to graduate outcomes, one of which should be a university’s success with degree apprenticeships. The Minister with responsibility for apprenticeships, my right hon. Friend the Member for Guildford (Anne Milton), who is on the Front Bench, has done a huge amount of work on that issue.

Yesterday, the Chancellor said there is a significant difference between leaving university with debt but with a good degree and employment prospects, and leaving with the same debt but with a poorer qualification and no job. I strongly support those words, and I am aware that the Minister for Universities, Science, Research and Innovation, my hon. Friend the hon. Member for Orpington (Joseph Johnson) is actively working to support these measures.

[Karin Smyth (Bristol South) (Lab)]

The right hon. Gentleman talks about the need to use both university access and degree-level apprenticeships, and we worked together on this when he was in his former post. The issue of accessing degree-level apprenticeships is fundamental. Does he agree that some sort of UCAS system to help people move between those two things, to advance opportunities for young people, is a good policy to pursue?

[Robert Halfon]

The hon. Lady is absolutely right on that, and I was pleased to visit her excellent local college when I was in my previous role. Of course she is right to say that we need a UCAS for apprenticeships and the skills system. That was in the Conservative manifesto and I believe the Government are working hard to achieve it.

Over the summer, the issue of vice-chancellors’ pay has consistently been in the headlines, and we need to examine the salaries of the senior management of universities. It cannot be right that 55 universities are paying their vice-chancellors more than £300,000 and yet a recent survey found that just 35% of students believe their higher education experience represented “good” or “very good” value for money. I am worried about the seemingly Marie Antoinette approach taken by some vice-chancellors, who are living in their gilded palaces and saying, “Let the students eat cake”, as they receive almost obscene amounts of pay.

Free Childcare Entitlement

Karin Smyth Excerpts

Wednesday 6th September 2017 Commons Chamber

[Mr Goodwill]

We did hear what the sector said, which is why we have increased the funding. Indeed, there will be an additional £300 million a year by 2020 as a direct response to those concerns about the funding levels. We have done a lot of work working out what it costs to deliver, and we are confident that the funding is adequate.

[Karin Smyth (Bristol South) (Lab)]

In July 2016 I asked about progress, as a member of the Public Accounts Committee, given the Committee’s concerns. I asked in particular about work to ensure that local authorities were managing childcare markets effectively and whether there would be intervention if necessary. The then Minister told me that I had asked an important question and then announced the amount of capital. I was grateful for his kind words. It would be a cheap political point to say, “I told you so,” so I am not going to do that. I will simply ask the question again: what work is the Department doing to ensure that local authorities are managing childcare markets effectively, and will the Minister intervene if necessary?

[Mr Goodwill]

We are working very closely with local authorities, particularly on the administration. Indeed, we have given very clear messaging to local authorities: if there are parents who have not yet got their codes because of technical or other reasons, they have to show latitude. Of course, it is not the job of the local authority to manage the market; it is the job of the parents to choose the best provision for their child and for the market to respond to that. That is what we are seeing up and down the country, with increased places being provided in existing nurseries, and new nurseries, I hope, being opened, particularly given the grant funding we have made available for another 180,000 places.

Oral Answers to Questions

Karin Smyth Excerpts

Monday 20th March 2017 Commons Chamber

[Edward Timpson]

I am sure that the Secretary of State has heard my hon. Friend’s plea, and I am sure that he heard what she said in relation to that matter. However, another change the Government have brought in that will help disadvantaged children, and which should not be forgotten, is around progression measures and making sure the progress of every child counts towards a school’s measured performance. I am sure that will help all pupils in my hon. Friend’s area, as well as across the country.

[Karin Smyth (Bristol South) (Lab)]

24. My constituency sends the least children to university. Bristol University’s Bristol scholars scheme, which is aimed at widening access, has taken a third of its pupils from private schools. Does the Minister agree that that makes an entire mockery of the scheme?

[Mr Speaker]

I fought the hon. Lady’s constituency, but, unfortunately for me, and probably beneficially for her, the constituency fought back.

Apprentices: Financial Support

Karin Smyth Excerpts

Wednesday 8th March 2017 Westminster Hall

[Gordon Marsden]

My hon. Friend makes an excellent point. It is about the process involved, and I will talk later about the barriers to doing that sort of thing that young people experience in schools, for instance. It is important that various sectors act.

I have talked about the importance of the motor industry, but there is also the service industry. That raises questions not only about support but about the many opportunities available. I mentioned Apprenticeships 4 England and Lindsay McCurdy. Last year she brought a great bunch of apprentices, including a talented group of young apprentice hairdressers from Michaeljohn Training in Manchester, to a meeting that I sponsored in one of the Select Committee rooms. As an apprenticeship week present, they presented me with a very lifelike model head—I still have it on my office shelf—to demonstrate their skills in colouring and styling. One of these days, if I am feeling mischievous, I suppose I might ginger up the occasional official or other policy maker who seems to think that the route to successful jobs and apprenticeships is simply through higher-level manufacturing, digital or technical areas. The truth is that if we are to achieve the 3 million target, which the Minister and his colleagues are so keen to hit, and really expand the opportunities for young people, we will need the service sectors just as much as we need manufacturing and other sectors.

Oppositions do not get much opportunity to blow their own trumpet about success stories, so I shall. I am very proud of the fact that the last Labour Government introduced the National Apprenticeship Service and, indeed, National Apprenticeship Week in 2008. They also revived apprenticeships, taking them from 65,000 starts in 1996-97 to 279,700 by 2009-10. Those increases have continued under successive Governments.

The last Labour Government also linked the creation of apprenticeship placements to public sector contracts across a range of Departments and projects, including Crossrail. Such infrastructure projects will remain a crucial conduit for apprenticeship expansion, as I have said. As well as financial support, informal encouragement is extremely important for widening the diversity of the apprentices who take part in those great projects. I was fortunate enough to see that two years ago when I went down the construction tunnel at Farringdon and saw some of the people working on it. They were young Londoners, including a couple of young women and a young man from a BME community who had started off selling ad space and was now proud of his tunnelling qualifications. It is worth remembering that 60% of the construction work on Crossrail is outside London, so there is a lot of scope in the supply chain for many more opportunities for young people. Projects such as Crossrail and its commitment need to become a vital part of our regeneration and productivity across the UK.

[Karin Smyth (Bristol South) (Lab)]

My hon. Friend makes an excellent point. Closer to home, I was able to visit the cellars of this very place to see the amount of work that is needed on the restoration and renewal project for Parliament. A great range of people across the country contributed to building this great building. There are immense opportunities for apprentices to be involved in the restoration project across the country and learn new skills that we have lost. That needs to be a key part of the project.

[Gordon Marsden]

My hon. Friend makes an excellent and highly relevant comment. I remember having the same experience many years ago when I served on the Advisory Committee on Works of Art, looking into the repair of stuff in this place. The project is important because a lot of bespoke skills will be needed, not least those relating to architecture. There are some very challenging issues—logistics, wiring and God knows what else—that will potentially engage a whole gamut of people.

That is what it is all about; it is about economic impact, but it is also about improving the careers and life chances of hundreds of thousands of young people—and, indeed, older people. We talk a lot about apprenticeships, but we have not always talked enough about apprentices and their individual issues and challenges. The need to increase the focus on improving access and social mobility, which I know the Minister feels strongly about, as I do, is a crucial part of the equation.

My hon. Friend the Member for Luton North has already referred to the Government’s continuing failure to address or understand apprenticeships. The fact that the Department for Work and Pensions does not class apprenticeships as approved education or training is leaving many individuals and families thousands of pounds worse off. I pay tribute to a survey that appeared in The Times Educational Supplement on 10 February under the headline “Apprentices ‘treated like second-class citizens’”. It was carried out by the National Union of Students, via the National Society of Apprenticeships, which it sponsors.

My hon. Friend read an important but slightly dispiriting list of the ways in which apprentices are financially disadvantaged in comparison with students. If the Government hope to reduce the growing skills gap in this country with a push to create 3 million apprenticeships, why are apprentices and apprenticeships not included as approved education or training? There has been spirited discussion about that in the House of Lords recently, which I will come on to shortly. The Government need to make progress on this.

The Times Educational Supplement article states:

“Research by the NUS and TES has revealed that…some apprentices earn as little as £3.40 an hour”.

That figure will rise to £3.50 in April. There is a separate issue, which we probably do not have time to discuss in detail today, about how many more employers could go the extra mile, over and above the existing rate. That rate can sometimes be particularly difficult for younger apprentices to exist on, given their personal family circumstances.

Oral Answers to Questions

Karin Smyth Excerpts

Monday 6th February 2017 Commons Chamber

[Mr Gibb]

I share my hon. Friend’s view about the primacy of reading and writing, which are fundamental to education and to social justice. That is why ensuring that children are taught to read using the method of systematic synthetic phonics—evidence from this country and around the world shows that it works—has been at the heart of our education reforms. As a result, the proportion of six-year-olds reaching the expected standard in the phonics check has risen from 58% in 2012 to 81% in 2016.

[Karin Smyth (Bristol South) (Lab)]

What does the Secretary of State say to my constituent Catherine Foster, who received funding in April 2015 for a health and social care diploma with a provider that has now gone into administration? She has no access to her portfolio and no qualification, but a mountain of debt. Will the Secretary of State look into this case and meet me to help Catherine and thousands of other students in this situation?

[Robert Halfon]

I thank the hon. Lady for her question. I am very happy to meet her. I know that the Skills Funding Agency is doing everything possible to make sure that anyone affected by such issues has alternative education provision. I have asked the SFA to offer every possible assistance as well.

Technical and Further Education Bill

Karin Smyth Excerpts

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

[Justin Tomlinson (North Swindon) (Con)]

It is a pleasure to contribute to this debate. I very much welcome the Bill and pay tribute to the ministerial team who are rightly focusing on providing opportunity for all. I speak as somebody who went to a school that was bottom of the league table in Worcestershire and who employed many young people in the 10 years that I ran a business. I recognise the absolute importance of equipping all young people, regardless of background, with the necessary skills to fulfil their potential in their working lives.

I wish to focus on a very narrow part of the Bill, which is to do with the opportunities for young disabled students, particularly on the apprenticeship programme. Typically in this country, non-disabled people have an 80% chance of being employed. If a person has a disability, that figure drops to 48%, which is still up 4% on 2010—an extra half a million more disabled people in work. If a person has a learning disability, they would typically have only a 6% chance of having meaningful and sustainable careers. All Governments of all political persuasions have tried their very best to look at different initiatives and different programmes to try to boost that figure, but, by and large, it has stuck rigidly at 6%, and we all desperately want to see huge improvements in that area.

I had the pleasure of visiting Foxes Academy near Bridgwater. It has taken over a former working hotel and takes on young adults with learning disabilities in a three-year programme. For those first two years, their time is split between learning about independent living, slowly progressing up the floors of the hotel as they become more independent, and more skilled and confident. They learn real-life tangible skills within the hotel, which can be transferred to local employers in the restaurant trade, the care homes and other local hotels. On this visit, I was absolutely staggered to see that, at the end of that three-year course, 80% of those students—not 6%—remain in work. That was because of that three-year, constructive and patient approach to learning to give them those skills. They spent the final third year in supported training with local employers, patiently being taught the skills that are needed. It was no surprise that those employers, having invested in training and support, were then keen to keep on those young adults.

I was so impressed that I invited people from the academy to come to see me in Parliament when I was Minister for Disabled People. I asked them why we could not have one of those projects in every town. They said that in the first two years they could take on as many students as they could fit in the hotel, but the challenge was the cost of the supported training in the third year. I said, “Well, surely this is just an apprenticeship by another name. Why can’t we call it an apprenticeship? You can access the funding for the Government’s commendable pledge to have 3 million more apprentices by the end of this Parliament.” They said, “We can’t, because most of our students wouldn’t get the grade C in maths and English that is the typical entry requirement to access an apprenticeship.”

We agreed that we would look into this as a matter of urgency and I met my hon. Friend the Member for Grantham and Stamford (Nick Boles), who was the skills Minister at the time. He shared with me that he thought this was both a frustrating situation and a real opportunity to make a difference. We commissioned my hon. Friend the Member for Blackpool North and Cleveleys (Paul Maynard), alongside my hon. Friend the Member for Daventry (Chris Heaton-Harris), my right hon. Friend the Member for Chesham and Amersham (Mrs Gillan), Scope, Mencap and many other experienced colleagues, to look at what we could do. As part of this Maynard review—we only gave him three and a half weeks, as we had a suspicion that my hon. Friend the Member for Grantham and Stamford and I might no longer be in a position to sign things off after that, and it is a credit to him that he rushed it through—they identified that if we made an exemption for those with a learning disability, we could offer real, tangible opportunities for those young people through the apprenticeship programme. I am delighted that the Government have been so positive in welcoming that. In the Minister’s closing remarks, I would be keen to hear what steps need to be taken for this to happen, how quickly we can do this and how we can advertise it to local employers.

The other key lesson was that there were many local employers who were willing to engage and offer that opportunity. They were not doing that to tick a box, or as a favour because they wanted to feel good. They did it because these young adults, after patient training, proved to be excellent employees who would stay with their organisation year after year. I was sent photographs of many of these young adults on their first steps into a career, and every one of them had a huge beaming smile because of their pride in having the opportunity to work. They were not always full time—some were part time—but they felt proud, as did their parents.

I have one other slight request, to do with university technical colleges. I am very proud that Swindon has its own UTC; I am a huge fan. In fact, our party launched its election manifesto from the Swindon UTC, which mixes modern technology and Swindon’s proud railway heritage in one wonderful, fantastic building.

UTCs could go much further if entry was at the beginning of secondary school, not at 14. I have talked to many of those students and they chose to go there not always because it was the right route for them but because they were unhappy in their secondary school. I have also talked to people who should have gone to the UTC and have a natural aptitude for the courses it offers—in higher engineering or computer programming; in the sorts of roles in which we have desperate skills shortages in this country—but who were already settled in their secondary schools with lots of friends. They did not want to break away from that, so they missed out on taking advantage of the opportunity of going to a UTC. If we could change the entry age to the traditional entry age for secondary school, UTCs would compete on an even footing and those who would most benefit from this opportunity would be more likely to take it.

[Karin Smyth (Bristol South) (Lab)]

Does the hon. Gentleman agree that as well as talking to young people about the time at which they can enter the UTC, parental knowledge is important in influencing that choice? The lack of information for parents, particularly from many local authorities, stops the progress of the UTCs.

[Justin Tomlinson]

I thank the hon. Lady for making that important point. When we talk to the heads of UTCs, they say that one of the biggest challenges is that secondary schools, when seeking to recruit students, go into neighbouring primary schools and get involved in assemblies, have displays and make contact with parents. The primary schools work with those secondary schools to advertise those opportunities, but, obviously, UTCs are seeking to take students away from secondary schools—and with those pupils comes the funding—so the secondary schools are not always receptive to opening their doors and saying, “Look, there’s an alternative. Why not take the funding that follows you to another organisation?” If we put it back on an even footing by having the same entry point as secondary schools, primary schools will be able to engage with those parents and provide those opportunities.

UTCs are training those young adults with the skills we very much need, and we need to do far more to get businesses to support UTCs by providing mentoring, work experience and expertise. Too many local businesses are not yet up to speed with the great links they can get with UTCs. If they invest early in those students, they will be their next generation of staff. We can use things like the business rates mailer—all businesses, whether they like it or not, will get one every year—to send out information about apprenticeships and UTCs. Local businesses will then know that by investing a little time and support they can help to fill those skills gaps in the future.

I welcome the Bill, which is a positive step in the right direction to deliver opportunity for all.

--- Later in debate ---

[Karin Smyth (Bristol South) (Lab)]

For too long, technical and vocational education has been seen as the poor relation to academic education, so I welcome the Secretary of State’s commitment, in her speech last week, to bring the “same lens and focus” to the technical education routes that most people follow. Perhaps more than many hon. Members, I know the importance of technical education because my constituency sends fewer of its young people to higher education than any other, although we have a lot of young people in further education and on apprenticeships. That is the genesis of my interest in, and passion for, this issue and the Bill.

I want the Government to succeed with their ambitious target of 3 million apprenticeships. I also want the Government to succeed with the Bill because I believe its spirit is well placed. Its basis is sound, too, and I welcome the fact that it aims to deliver the recommendations of the Independent Panel on Technical Education, chaired by Lord Sainsbury, but—it is important for an Opposition party to have a “but”—I am concerned about a number of issues. I want the Bill to work for the people of Bristol South, so I want to use this contribution to seek some clarity from the Government.

The Institute of Apprenticeships and Technical Education will have a huge remit. I support its aims and will help to support its success, but I would like more detail about how it will deliver its remit in such a short timescale, especially as the Institute for Apprenticeships is currently operating without a permanent chief executive. As a member of the Public Accounts Committee, which looked at proposals for apprenticeships, I believe that there is a danger that the reform could suffer if the new institute’s remit also includes sweeping changes to technical education. Will the Minister assure us that such fears are groundless and that the institute’s “lens and focus” will remain rigorous?

As the Secretary of State acknowledged last week, the way in which we as a country help young people to fulfil their potential and use their talents will become more important than ever in post-Brexit Britain. My hon. Friend the Member for Stoke-on-Trent Central (Tristram Hunt) considered the positives that Brexit might bring in this area, but they will be something of a challenge. We all know that in any period of change and transition there is a danger of focusing only on future beneficiaries and neglecting those already in the system, especially if the existing system is flawed. I would therefore like assurances that my constituents who are going through the system will not lose out in the transition to the new framework.

It is important to consider those who stand to gain in the future: young people who are currently in school, and their parents and carers who want to help them to navigate and plan for their futures. What are the Government doing to ensure that those who will encounter the new system receive the guidance and advice they need now so that they will not lose out when the new frameworks and assessments are introduced? My concern stems from a number of new provisions, particularly in relation to university technical colleges. Parents are not involved in these discussions. As a parent of three boys in secondary school, it has been eye-opening to find out how little information gets to parents and how little we understand about the future of our own young people. We cannot allow those who lack the necessary prior knowledge to navigate the system to flounder, so will the Government please provide proactive support and guidance? How will they do that?

I take issue with the idea in the Bill that employers should be at the heart of the system. Surely it is students—young people themselves—whose interests must be at the heart of any Bill that seeks to improve their opportunities.

On social mobility, I have explained that my constituents’ interest in this matter runs deep, not least due to our low take-up of higher education, but there is more to it than that. I welcome the introduction of the 15 vocational pathways but, given that I represent a constituency in which 80% of apprentices are on schemes with the lowest wage differentials, I want to know how the Government will ensure that young people are doing vocational training, including apprenticeships, in the right areas, and that that training gives them greater earning potential and more career opportunities.

I also want to know how young people will access opportunities in areas where local providers struggle to improve quality, alongside dealing with their financial difficulties. As the Minister is aware, the Public Accounts Committee has looked closely at the sustainability of the FE sector and how apprenticeships can work when providers are struggling. Some of the 15 routes appear to be apprentice-only openings but, as we know, many employers will not countenance taking on a 16-year-old apprentice. Additionally, what careers advice will be available to young people in my constituency to ensure they are best advised on which pathway to follow? I would welcome more clarity on the process for switching between academic and the technical routes, which I raised with the Government last week.

Finally, I appeal to the Government to make the revised system as easy to navigate as possible for young people, and their parents and carers. Much work has been done in recent years to make academic pathways easy to navigate, but we need to take the chance the Bill presents to ensure parity of transparency and ease of navigation for those pursuing this all-important technical route.

--- Later in debate ---

[Kelvin Hopkins]

I thank the hon. gentleman for his intervention, but I think the majority of Members, probably on both sides of this House, have not gone through the further education sector. A small number have, and they understand this, but a high proportion are not very familiar with FE and the vast contribution it makes to our society, in all sorts of ways.

[Karin Smyth]

I agree with my hon. Friend. I went to an FE college to do my A-levels, but what he is saying applies not just to politicians, but to people in our media, our legal establishment and throughout other walks of life. They do not have experience of going through that sector, which means that it is often the forgotten sector.

[Kelvin Hopkins]

I agree with my hon. Friend about that, and of course another cultural factor is the fact that we are not aware of things. As my hon. Friend the Member for Wolverhampton South West (Rob Marris) says, there is this idea that mathematics is something we do not do; we say, “Oh, I can’t do maths”. People do not boast about how they cannot read. I want to make sure that everybody can read, and we should have adult education to make sure that everyone can. There is a problem with our mathematics, and I invite Ministers and shadow Ministers to visit the wonderful sixth-form college where I am governor to find out how to do things well, because so much that goes on in our college is brilliant.

Apprenticeships Funding

Karin Smyth Excerpts

Tuesday 1st November 2016 Westminster Hall

[Karin Smyth (Bristol South) (Lab)]

I agree with much of what the hon. Gentleman has said. Does he agree with my suggestion in the Public Accounts Committee that a UCAS-style system for young people would help them to navigate their way through the system? It could also help employers to receive young people, rather than young people having to send hundreds of applications themselves.

[Chris Green]

I am sympathetic to that idea. If someone goes down the academic route, they have the path laid out and guidance. Apprenticeships do not have that, and perhaps it would help if we had that system in place, but there is a huge range of different kinds of companies and organisations providing apprenticeships, so I can see there being significant problems with that that are perhaps not there with the more academic route.

Since 2010, my constituency of Bolton West has seen an increase of more than 4,000 apprenticeships. Hon. Members will be pleased to know that I have an apprentice in my office in Westhoughton. However, employers have raised concerns with me about the introduction of the apprenticeship levy in 2017. The additional tax is being levied for the best of reasons, but it may disrupt existing training programmes as employers that currently provide excellent training will have to reconfigure what they do in order to recoup some or all of the levy.

We must also be cautious not to force companies to rebadge existing training programmes to hit the Government’s target of 3 million apprenticeships in this Parliament. What assurances will the Minister give to companies with existing training programmes that are anxious about the introduction of the levy, and that feel as though they have to contrive their courses in such a way as to recoup some of the money they will be losing?

I want apprenticeships to become an increasingly normal route for ambitious young people, as well as for employers that are dedicated to growing their own talent and increasing the skills base of the nation.

Oral Answers to Questions

Karin Smyth Excerpts

Monday 10th October 2016 Commons Chamber

[Caroline Dinenage]

We recognise that the costs of providing childcare vary enormously across different areas of the country. That is why we have just completed an early years national funding formula consultation, which proposes an area cost adjustment to reflect cost differentials in both staff and premises. Some 88% of areas will see an increase and the hourly rate for Richmond Borough will rise significantly to £5.69 an hour. I will of course meet my hon. Friend to discuss this.

[Karin Smyth (Bristol South) (Lab)]

rose—[Interruption.]

[Mr Speaker]

Order. Shrieking from a sedentary position is very unfair on the Member who is trying to secure a hearing from the House. Let us hear Karin Smyth.

[Karin Smyth]

Thank you, Mr Speaker. Following the report by the Public Accounts Committee on entitlement to free early years education and childcare and a Westminster Hall debate on the subject that I initiated in July, the then Minister promised me that the Department was due to publish the early years workforce strategy document, addressing the shortfall in qualified staff to deliver the 30 hours of free childcare. What progress has been made?

[Caroline Dinenage]

The hon. Lady asks an important question. I am clear that we need to help employers to attract, retain and develop their staff to the very highest possible quality of early years provision. The workforce strategy will be published very shortly.