Skills and Post-16 Education Bill [HL]

Lord Watson of Invergowrie Excerpts

Consideration of Commons amendments
Thursday 24th March 2022 Lords Chamber

We have listened to the views expressed in this House and have acted on them. The Secretary of State’s policy announcements are significant changes that acknowledge and satisfy the aims of these amendments. To push these amendments would risk the whole reform programme and potentially let down a generation of learners. I therefore urge your Lordships to accept these Commons amendments. I beg to move.

[Lord Watson of Invergowrie (Lab)]

My Lords, I thank the Minister for her introductory remarks. I begin by speaking to Amendments 3A and 4A in my name. We fully support the principle of employers playing a central role in driving the development of identified local skills needs. We also recognise the more specialised role of FE colleges in delivering higher-level technical skills, although that should take place within the context of a holistic and more objective overview of the whole education, skills and employment support system.

If local skills improvement plans are to be successful, they must draw on the expertise and knowledge of all important players. That must certainly include mayoral combined authorities where they exist, and local authorities where they do not, in shaping the development of LSIPs, reflecting their unique understanding of their communities and job markets. We believe they merit a formal role and that that role should be clearly set out in the Bill.

We also believe it is appropriate to acknowledge the role played by contributors to the skills delivery equation, which is often overlooked; namely, independent training providers. ITPs are distinct from other types of FE providers, in that they are not run or directly influenced by the public sector, yet they form an intrinsic part of the country’s skills landscape. It appears that the breadth of provision that ITPs offer, and the impact they have, is not as understood as it could be among DfE officials and perhaps the public at large.

In Committee, I highlighted that there was no provision or requirement within the Bill for the Secretary of State or the designated employers’ representative body to engage with mayoral combined authorities or local authorities, or indeed any other stakeholder, in relation to the development of LSIPs. The same argument was advanced by the Opposition in another place and, credit where it is due, as the noble Baroness has outlined, the Government have listened. Commons Amendment 2 provides for such input, albeit it on a limited scale. It refers to “due consideration” being given to the views of the relevant authority. At least it is clear what, in the Government’s eyes, the relevant authority means, although noble Lords could still be here at this time tomorrow were we to attempt to define what “due consideration” might mean.

The definition of relevant authority has been kept very narrow: just mayoral combined authorities, of which I think there are currently nine, and the Greater London Authority. Why are local authorities not included in places in the country where there is no mayoral authority? What is to happen there? I suspect the Minister will say that, for the past two years, the adult education budget has been devolved to mayoral authorities and the GLA, which of course is the case, but LSIPs are not just about the contribution of adult education funding to the skills agenda; it surely goes much wider than that.

Here we come up against a right-hand/left-hand dilemma as far as the Government are concerned. The nine mayoral combined authorities and the Greater London Authority are to be given arm’s-length input to the development of LSIPs but other local authorities are to be given none at all, as things stand, and yet, in the levelling-up White Paper, launched last month amid great fanfare, the Government say:

“We want to usher in a devolution revolution … we will support local leaders to make a difference in their communities by … bringing local leaders into the heart of government decision-making with a new role for mayors and strong local leaders in the shaping of local growth strategy.”


I think those of us on these Benches would be happy to sign up to that, but what is it to be for government? Are democratically elected local leaders being brought into the heart of government decision-making or are they being marginalised, with merely “due consideration” being given to their views? There is certainly a disconnect; the Government cannot have it both ways.

I would say that, as they have got it right in the levelling-up White Paper, it would be consistent—perhaps not an adjective often applied to this Government—to give the same importance to mayoral combined authorities and local authorities in the development of LSIPs. Reflecting the status and expertise of FE colleges and independent training providers would enhance such a role for the mayoral combined authorities and would benefit the local skills strategy of their area. This is all the more important as the levelling-up White Paper gives the green light for fully devolved budgets at county level in the near future.

Perhaps in passing, might the Minister clarify the situation with Cornwall? It is not a mayoral authority, but I understand it has devolved responsibilities for skills and adult education.

It will become increasingly important for LSIPs to involve local and regional government, as well as providers and other community representatives. These amendments give the opportunity to get ahead of the curve and, in that respect, I hope the Minister will understand that argument and accept it.

The way in which the amendments have been grouped means that I also have to speak to Amendment 15A in the name of my noble friend Lord Blunkett. I would have preferred to have spoken separately. Before I begin on that subject, I need to point out further evidence of a lack of consistency in the Government’s position on technical skills and training.

In yesterday’s Spring Statement, the Chancellor said that

“we lag behind international peers on adult technical skills.”

He then gave some figures:

“a third lower than the OECD average, and UK employers spend just half the European average on training their employees.”

Perhaps we should ask: who has been in government for the past 12 years? The Chancellor went on to say:

“We will consider whether the current tax system, including … the apprenticeship levy, is doing enough to incentivise businesses to invest in the right kinds of training.”—[Official Report, Commons, 23/3/22; col. 341.]


In the skills Bill in another place, the Opposition pressed an amendment calling for a review of the apprenticeship levy, with particular regard to those at level 3 and below. The Government voted against that amendment, so there again it is a left-hand/right-hand dilemma. What are the Government doing?

I want to signify our support for Amendment 15A in the name of my noble friend Lord Blunkett. I have said on many occasions that I welcome the introduction of T-levels and genuinely want to see them establish parity of esteem with A-levels as a path into post-school education or employment. However, we do not accept that BTECs and other applied general qualifications need to be sacrificed to ensure the success of T-levels because we do not believe that they are mutually exclusive. Let it be understood that T-levels are as yet unproven. The first of them will reach completion only this summer. Until they are fully embedded and acceptable to students, parents—they are important in this regard—employers and universities, it is important that other options are available to young people for whom neither T-levels nor A-levels are appropriate.

In his letter to Peers last week, the Secretary of State claimed of this Bill that its measures will change people’s lives across the country. He is right, although, in too many cases, it will not do so in a positive way; he seems unable to grasp that for some reason. Defunding most BTECs would seriously affect the future life chances of many young people. These qualifications are well established and are often a springboard for young people from disadvantaged backgrounds into well-paid, skilled employment or university. Studying a BTEC empowers a young person to shape their own pathway, whether it is going to university or pursuing a technical qualification. Restricting a young person’s choice at 16 seems to make no sense. Withdrawing BTECs without an alternative pathway that still meets the needs of people, employers and the labour market is not responsible policy-making.

Last month, Ofqual launched a consultation on the reform of level 3 qualifications. Perhaps the Minister can tell noble Lords where that will fit with the proposals in the Bill. As engines of social mobility—and, indeed, of social justice—BTECs play a significant role in the skills agenda. I know that the Minister gets out and about a lot. She must have heard the overwhelming opposition from FE colleges, universities, independent training providers and many employers to these proposals relating to BTECs. That is because BTECs are qualifications that are understood and respected by employers. They have a long-standing track record; they are respected by learners and understood by institutions. These are real strengths that should not be cast aside lightly.

Almost unbelievably, the DfE’s own equalities impact assessment stated that scrapping BTECs would disproportionately impact those from SEND backgrounds, Asian ethnic groups and disadvantaged families. Yet the department decided to ignore that warning and press ahead regardless. This could mean years of progress in increasing the numbers of students entering higher education from the lowest-participation neighbourhoods being lost by the defunding of BTECs.

I have heard it said that those refusing to abandon BTECs in favour of T-levels are looking backwards rather than forwards. Well, BTECs date only to 1984. A-levels were introduced in 1951. Is advocating the continuation of A-levels backward-looking? Of course it is not. That is why we reject the false dichotomy between BTECs and T-levels. A block in the development of T-levels is the requirement of employers to provide 45 days of workplace training. In the current climate, that is difficult but, ultimately, that issue will be overcome. For now, the need is to defend, not defund, BTECs.

[Lord Blunkett (Lab)]

My Lords, I have a historic declaration of interest; I refer to it today to ensure entire transparency.

I will speak to Amendment 15A and respond to the Minister. I have no doubt whatever of this Bill’s significance and the importance of getting it right. I also have no doubt about the significance of the vote that I will ask the House to divide on today. I am not in any way opposed to the general thrust of the legislation, nor to the introduction of T-levels; I have made this clear over and again.

I have not had the opportunity to speak to the noble Baroness, Lady Wolf, who spends time in Downing Street, but I did have a productive and constructive meeting with Lord Sainsbury just a few weeks ago. The only thing that divides he and I—I refer to both because the noble Baroness did—is the belief that you have to have a scorched earth policy to make T-levels work. I do not believe that for a minute. I believe that T-levels will succeed on their own merits and in their own right, meeting a specific, focused, technical need—and a wider vocational need, in some cases—where employers and those involved in shaping these qualifications get it right for the future. Picking up on my noble friend Lord Watson’s point, so much of what we have done in education over many years—I include my time in government—has involved catching up on the past and putting in place measures that reflect a bygone era. I do not want us to be in danger of doing that with T-levels—in other words, catching up on a German or Finnish model that is already changing—I want T-levels to succeed in their own right and on their own merits because they are relevant to and appropriate for the future.

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[Baroness Barran (Con)]

I thank all noble Lords for the contributions they have made to this important debate and particularly the noble Lord, Lord Storey, for acknowledging the importance of the Government’s work in this area. I also thank my noble friend Lady Wolf for her descriptions of how local skills improvement plans should work in practice. I attempted to write something down but she put it very well.

We are trying to balance having a clear focus on the needs of employers, for all the reasons that your Lordships are well aware of—given the feedback we have from employers that students do not come to them with all the skills and experience that they need—with drawing on the valuable local insight and intelligence to which the noble Lord, Lord Storey, and others of your Lordships referred. We are trying to strike a balance between those two things.

In relation to the role of local authorities in this, particularly those which have a devolved adult education budget, the Secretary of State will have the ability through regulations to add local authorities in England to those relevant providers already subject to the duties in the legislation. These regulations will be subject to annulment in pursuance of a resolution in Parliament.

Those independent training providers that deliver English post-16 education or training will also have duties on them where that training is material to a specified area. There is already a duty on them to co-operate and engage in the development of the local skills improvement plans.

Turning to the vexed issue of defunding BTECs, I am concerned about my communication skills. I am not sure how many times I have stood at the Dispatch Box—I know colleagues at the other end have done the same—trying to reassure the House that we are not defunding most BTECs, as the noble Lord, Lordusb Watson, said, deploying a scorched earth policy, which the noble Lord, Lord Blunkett, suggested, or leaving them as a niche qualification, as the noble Baroness, Lady Blackstone, suggested. We see them as an absolutely core part of the offer in giving young people choice, diversity and quality, as the noble Lord, Lord Blunkett, described. We agree absolutely and think that the suite of qualifications we will have in future will do those three things.

To my noble friend Lord Johnson’s point about blighting and—these were not my noble friend’s words—besmirching the quality of BTECs, it is absolutely the reverse. Once we get through this and we are clear which BTECs are remaining, they will have absolute endorsement from the Government that they meet the standards of quality and future employability which are so critical for our young people, particularly those from the most disadvantaged backgrounds. All will be on a level playing field and have that endorsement.

[Lord Watson of Invergowrie (Lab)]

On that last point, once we get through this, as the Minister says, we can make judgments, but as things stand we are talking about 2024. As the noble Lord, Lord Baker, and others have said, by 2024 we will not have a clear view of how well T-levels have proceeded, so that is not the time to make the judgment. It surely has to be further down the line.

[Baroness Barran (Con)]

If I may, I will respond to that very valid point about the scale-up of T-levels when I come to it in just a second.

I am tempted to expand on the Crossrail/Central line analogy, but I think time does not permit.

On timing, and my noble friend Lord Willett’s question about giving a greater sense of which technical qualifications will be recommended for defunding, I am not in a position to be able to say that today. We intend to publish a provisional list of overlaps with waves 1 and 2 of T-levels shortly. We want to provide as much notice as possible about the qualifications that will have public funding approval withdrawn from 2024.

On the definition of “overlap”, which a number of noble Lords raised—

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Moved by

[Lord Watson of Invergowrie]

Leave out “agree” and insert “disagree”

[Lord Watson of Invergowrie (Lab)]

My Lords, I beg leave to test the opinion of the House.