Skills and Post-16 Education Bill [HL] Debate

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Department: Department for International Trade
Moved by
1: Clause 1, page 1, line 11, at end insert “potential students resident in and”
Member’s explanatory statement
This amendment seeks to ensure that the interests of students whose needs are not encompassed by local employers are included.
Lord Lucas Portrait Lord Lucas (Con) [V]
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My Lords, I declare an interest as editor of The Good Schools Guide and a member of City & Guilds Council.

I welcome the local skills improvement plans. A strong link between local business and local skills provision for local people is a very good idea; it will build a set of relationships which will be long-lasting and much valued. However, how exactly do the Government think this process is going to work? I hope that the Minister will be able to give us an outline of how the Government now see the local skills improvement plans actually working. Are they intended to be comprehensive, covering the entire needs of an area, or are they sector-specific, as I understand some of the bids for the pilots are? Are they intended to be inclusive of independent training providers? Will the local FE college be the dominant force or just a part? Is it intended that funds will be channelled through the local skills improvement plans? If they will, at what sort of level and with what sort of scope? How do the Government see this working in terms of local relationships? How exactly will the local skills improvement plans be held to account for their results? Will the decisions they reach be easily open to challenge, and if so, how? What is the interface locally with careers information advice and guidance and the Careers & Enterprise Company? There are a lot of things I would like to understand better about the direction in which the Government are intending to take us.

Whatever those answers, there is one big thing missing from the Bill: the interests of potential students, and that is what my amendment addresses. I want to see a reference to what local people need, from their point of view. The young people in Eastbourne, where I live, are pretty average—they are not in any way lacking compared to the national average. Business in Eastbourne, however, which is a coastal community, is typically very skewed. There are some areas in which we are very strong—hospitality, obviously, building and allied trades, education—but when it comes to cyber-security, IT generally, engineering, writing, creative careers, and management and science-based careers, all of which go on in London, there is really not much around. This is not surprising or unusual, but many of these are the growth areas of the economy. It is absolutely in the best interests of our people here—not only the young people, but career-changers and others—that they have good access to the skills necessary to those parts of the economy, not least because it will encourage such businesses to move down here or, in the new fashion of remote working, employ people here. That way, we as a community will have access to the more prosperous, higher growth, higher wage parts of the economy that we do not currently have.

The interests of individual people, potential students, are not congruent with those of employers and providers. In the interests of our people, we must offer training locally in the main growth areas of the economy. I do not mind whether it is through independent training providers or remote training, but it must be substantially good.

I will not speak at length to the other amendments in this group, many of which I have a lot of sympathy for, except to mention that in the name of the noble Baroness, Lady Whitaker, on getting people a base level of skills in maths and English. That is absolutely key to raising the level of the economy locally. Somebody locally must have responsibility for that. We need something better than GCSEs here. GCSEs are aimed at the requirements of an academic curriculum; what we need is a test aimed at the base skills needed by employers. Those are two different things. We test English competence extremely well when students come to this country or want to be employed as doctors, for example. We have skills-centred tests aimed at establishing competence. We need something like that for our own people in English and maths, so that everybody has a chance of getting through and we do not continue to suffer the comparable outcomes system, which condemns 40% of our young people to having substandard English and maths qualifications. I beg to move.

Baroness Bennett of Manor Castle Portrait Baroness Bennett of Manor Castle (GP) [V]
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My Lords, it is a pleasure to follow the very clear introduction to this group from the noble Lord, Lord Lucas. Having listened to his explanation, I rather regret not having attached my name to his amendment, as the noble Baroness, Lady Garden of Frognal, did. He really has nailed the key problem with this Bill and the reason for many of these amendments: the Government’s focus on employers, presumably existing employers, fails to explain how a local skills improvement plan can actually help an area to improve. By focusing on potential students, Amendment 1 really helps us to think about how people might also want to get the skills to be part of communities, to run community groups, to be involved in cultural activities or to be voters or parents. All of these are areas in which people might want to improve their skills. It would also help communities that are subject to the Government’s levelling-up agenda, which are often lacking in social capital. We are talking about skills that pretty well every community is short of. Any community group that any noble Lord has ever known has had to find a treasurer—someone who is prepared to take on doing the books, even if there is not much money in those books. These are skills that every community needs, but they might not actually be a business need.

However, I shall speak chiefly to Amendment 2, which is in my name. It tries to get at another aspect of the Bill addressing the so-called economy by adding in to consult in the skills improvement plans

“potential employers, start-up businesses and the self-employed.”

Looking at recent figures from the pre-Covid time, there were 5 million self-employed in the UK, up from 3.2 million in 2000. They are a very major part of our workforce and, if they are running a business, what they may need to help them find work, and improve the work that they find, is not necessarily going to be reflected by the employers in a town. I think here of a very old-fashioned term, perhaps—the “company town”.

A few years ago, I visited Barrow-in-Furness where the top employer, by a scale of many thousands, is of course the shipyards. The next two biggest employers, of around 1,000 each, are the largest supermarket and the local hospital. Barrow-in-Furness, as I said when I was there, clearly needs to diversify its economy and develop things such as local food-growing and tourism businesses, through all kinds of objectives. How are those three top employers going to provide advice on the skills needed for that?

At the moment, the Bill feels really half baked. I am in a difficult position in speaking before many of these amendments have been explained, but I support the sentiments behind them all. I shall pick out a couple briefly. As the noble Lord, Lord Lucas, said about the two amendments in the name of the noble Baroness, Lady Whitaker—particularly, perhaps, Amendment 81, which has broad support—the focus on the attainment gap is crucial. There are many people whom schooling has failed in the past; they need support with the right kind of courses, the right way to improve and lift their skills, not just for their jobs but for their lives.

I also particularly support Amendments 20 and 21, both of which address, in different ways, distance learning. We are not going to be able to put into every village and town every course that might be of use to everyone. It is crucial that we have, in the Open University, a very successful and important structure; something that people can use to advance their knowledge, as well as their skills, and get into the practice of lifelong learning. That is such a crucial skill that we are going to need for the coming decades. The number of amendments tabled to this clause really shows that the Government need to go away, having listened to today’s debate, and think about how they can improve not just the Bill, but their thinking about how we provide the skills needed for a very different age.

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Baroness Berridge Portrait Baroness Berridge (Con)
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My Lords, the point I was making was that the Bill does not mention being only at level 3, level 4 or level 2; it does not mention those levels. The only definition in the Bill in terms of the LSIP and relevant providers is around technical education. I will just get the definition; I might as well read from it. It refers to

“post-16 technical education or training that is material”.

For instance, in a sixth-form college, the entirety of its provision might not be relevant under its duty to co-operate with employer representative bodies. That is not linked to saying, “Technical education at level 4, 3, 2 or 1”. The Bill does not talk about that; it is just talking about technical education as defined in Clause 1.

Lord Lucas Portrait Lord Lucas (Con) [V]
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My Lords, I am very grateful to the Minister for her encyclopaedic reply to this long debate. In general, I am encouraged, and I did not notice any point I raised that she did not address. I am particularly grateful to her for filling out the picture generally.

I will pick up a few points from the debate. I thought the noble Baroness, Lady Morris of Yardley, had it right when she referred to place. Place is very important. That importance seems to be becoming recognised within various areas of government. I was very pleased, for instance, by the structure of the levelling-up fund and the way it required a place to get together to decide what it wanted the money for, rather than the former system that applied down the coast, where a pier was imposed on Hastings by the National Lottery Heritage Fund and not tied into what the place wanted to do. That developing sense of place needs to find a way to be tied into local skills improvement plans. These organisations want to be talking to each other and moving in the same direction, by and large. I think that is what I mean by accountability. This should not be an organisation which just wanders off on its own and does not feel that it needs to have any relationship with the way that the place it is embedded in wants to go.

The noble Baroness, Lady Bennett, raised the question of towns adding new areas of business. It is really difficult to see how that works in the structure which has been proposed. I will devote some time to thinking that through when I get a chance to read Hansard. I am conscious that in my own home town of Eastbourne, a conurbation of about 130,000 people has 50 places per annum for A-levels. That is ridiculous, but it seems really hard to change, to move and to draw attention to. I suspect that a town which needed to add a new area of business would find it similarly difficult to shift some of the structures that are being proposed here—but, as I say, I will look at that more carefully.

There is a question of how existing businesses realise they need new skills, which is a function that historically has been provided by the good awarding bodies. How that is going to flourish in the new system is going to be worth looking at.

Several noble Lords were looking at the structures of employers that the Government are proposing to work with. As the noble Lord, Lord Liddle, said, it is not easy to build good employer groups. That is why I very much support the call of the noble Lord, Lord Adonis, to include the mayors. They have a convening capability which will mean that the local businesses produce good people to be on the LSIPs. It will not be third-rate or fourth-rate people; it will be people who are at board level taking part in them. That will make an enormous difference to how well they perform.

Perhaps the noble Lord remembers the old sector skills partnerships, many of which did not work well because they were just too low level. The one that I liked, e-skills, which was a top-level one, the Government killed— but there we are. The nice thing about the structures proposed in this Bill is that they are—I hope, by and large—existing employer structures, which will mean that they have a resilience against falling out of favour with the Government and an ability to retain the relationships and ways of working they build up under this structure.

So, as I say, I am grateful to my noble friend for her answers. I will look at them in detail and I am so pleased to have the noble Lord, Lord Adonis, back on home turf and out of the dark world he has been inhabiting for these last few years. I beg leave to withdraw the amendment.

Amendment 1 withdrawn.