Oral Answers to Questions
Debate between Nicholas Dakin and Nick Boles(8 years, 2 months ago)
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Nick Boles
My right hon. Friend is absolutely right. One of the great opportunities in the apprenticeships programme is that apprenticeships are all age. For women who have perhaps taken a career break, or just want to change their profession, an apprenticeship is an opportunity to gain new skills while also earning an income so that they can forge a great career.
Nic Dakin (Scunthorpe) (Lab)
When will the Government be publishing guidelines on how skills budgets might be devolved in those areas where that devolution is being looked at?
Nick Boles
That will depend on when exactly the devolution deal is done. As the hon. Gentleman will be aware, in our own area of Greater Lincolnshire that deal is reasonably well advanced; in other parts of the country, the deals are less well advanced. Fundamentally, it is pretty simple: we want authorities to be commissioning from their local colleges the adult skills provision that they believe their area can benefit from.
Oral Answers to Questions
Debate between Nicholas Dakin and Nick Boles(9 years ago)
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Nic Dakin (Scunthorpe) (Lab)
Surely a review of provision in an area ought to include all provision in that area, so why, in their publication “Reviewing post-16 Education and Training Institutions”, are the Government not including all provision, such as schools, UTCs and so on?
Nick Boles
I welcome the chance to clarify that regional schools commissioners—they are of course responsible for all schools, sixth forms and UTCs—will be involved with and invited to area reviews of post-16 education provision.
Vocational Qualifications Day
Debate between Nicholas Dakin and Nick Boles(9 years, 1 month ago)
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The Minister for Skills (Nick Boles)
Sir Roger, it is a pleasure to serve under your chairmanship during my first outing in Westminster Hall since the election and my reappointment as Skills Minister.
I congratulate my hon. Friend the Member for Stroud (Neil Carmichael) on securing this important debate. He congratulated the Edge Foundation on setting up this day of celebration of all that is good in technical and professional education, and all those people, young and not so young, who take advantage of those opportunities to secure qualifications that enrich their lives and promote their careers. This is an excellent debate with which to kick off the deliberations in this five-year Parliament. Technical and professional education has an important role to play in making our economy more productive and providing opportunities for all people in all parts of the country.
Before getting into the meat of my argument, I want to deal with a few issues raised by hon. Members. First, it is important to say that the 24% cut in the adult skills budget—in the allocations offered to colleges and providers —is obviously an average figure and, more importantly, relates to the non-apprenticeship portion of the adult skills budget. It does not take a genius to work out that if the overall scale of a budget is reduced and the size of an important element in it is doubled, there will be larger reductions in what is left. Even I could work it out. That is what has happened to the non-apprenticeship portion of the adult skills budget. We have reduced the overall budget and doubled the spending on adult apprenticeships funded out of that budget. That has necessitated rather larger cuts in that particular area.
Nick Boles
I fear that cuts often require difficult choices to be made. Colleges are all trying to ensure that they make economies chiefly through efficiencies and in areas of lower value. Following on from that, I should like to correct something said by the hon. Member for Huddersfield (Mr Sheerman), who is no longer in the Chamber, about the relative value of full-time FE courses and apprenticeships. I am not for a minute suggesting that full-time FE courses do not have a positive impact—they do—but their positive impact on people’s earnings between five and seven years later is not nearly as high as the positive impact of apprenticeships. We have just done one of the biggest data studies undertaken by Government, matching people’s education performance and their earnings as recorded by Her Majesty’s Revenue and Customs. Almost 500,000 individuals were covered by this study, which found that a level 2 apprenticeship leads to approximately a 16% improvement in the individual’s earnings five to seven years later, whereas the impact for a full-time level 2 is roughly 6%. At level 3 it is 16% for those on an apprenticeship, against 4% on a full-time course. There are positive impacts from full-time courses and some of those courses—not least the BTEC mentioned by my hon. Friend—may well have a higher value, but the averages suggest that it is sensible to do what the Government have been doing and shift resources out of full-time FE courses into apprenticeships, while continuing to invest in full-time FE.
My neighbour, the hon. Member for Scunthorpe (Nic Dakin), mentioned the in-year cuts to both the DFE and BIS budgets. Although I cannot go into detail, because it would be way above my pay grade to do so, he should not assume that the only way of cutting the unprotected part of the DFE budget is by cutting funding for 16 to 19 education, including funding for FE colleges. He should also not assume that the only way of cutting the part of the BIS budget that has been subject to in-year cuts is by cutting funding for FE colleges. No doubt everybody will have to make a contribution, but he should not assume that those cuts involving large figures will fall entirely on the sectors that he so admirably represents in the House and in this debate.
We are at the start of a five-year Parliament, so we have a bit of time to think and plan and be strategic, and to try to build something that addresses some of the problems that have afflicted us as a country for decades. There has been a huge amount of agreement across the House about the nature of the productivity challenge that we face as a country. We have lower productivity—all that means is how much value people are producing for every hour that they work—in part, I am glad to say, because we manage to find jobs for people with very low skills who are less productive. Of course, a large number of the least productive workers in countries not too far from here are not employed, and by necessity that means that their average productivity per hour of employment is higher. I prefer to live on this side of the channel rather than on the other side, where that is so, but that does not in any sense diminish the challenge to us of ensuring that the productivity of everybody, whether relatively low-skilled or high-skilled, is improving so that they can command higher wages, pay higher taxes and have better lives for themselves and their families. That is, of course, a fundamental challenge for this Parliament.
The Opposition spokesman was right to say that Members of all parties have long bemoaned our inability to create a system of technical and professional education that commands the same level of understanding in the country, and in families and schools, and in this House—not to mention the level of respect—as the academic education system, which is admired around the world. He is absolutely right to challenge the Government in these early weeks to grapple with the problem systematically, rather than in a piecemeal way, and I hope and intend to rise to the challenge.
I will resist the temptation, long though my legs are, to show too much of them in my response to the debate. That is not because I am coy, because I am not naturally that coy, as you may have noticed, Sir Roger, but because it is a little premature for me as a Minister, although I was in this post for 10 months before the election, to start rushing to judgment. I would like to hear from others, and it has been tremendously useful to hear the contributions of my hon. and right hon. Friends and Opposition Members on the elements of the system that they see as needing to be reformed, changed or improved.
I also want to learn from other countries. The Opposition spokesman referred to the example that we always beat ourselves over the head about: the German system of technical education. He is right to say that we honourably and admirably had some part to play in creating that system, but it is also right to observe that it is the product of a deep economic, educational and social culture that is somewhat different from ours. We need to ensure that we are looking to learn from relevant examples that are, in a sense, transferable and applicable to our system. I am keen to look at—I encourage Members to come forward if they have better example—the Dutch example. The Dutch economy is more similar to our own in culture and approach than the German one. It is smaller, but it has what we would see as—I am not sure that the Dutch would accept this—Anglo-Saxon features. As the Opposition spokesman said, they seem to have a better system of clear routes through education to high, degree-level qualifications.
Oral Answers to Questions
Debate between Nicholas Dakin and Nick Boles(9 years, 4 months ago)
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Nick Boles
We absolutely recognise this “anomaly”, as my hon. Friend calls it, which also applies to further education colleges. It goes along with other freedoms that schools and academies do not have—sixth-form colleges have the freedom to borrow in a way that academies do not—but we nevertheless recognise that this issue is of concern to a lot of sixth-form colleges, and we are actively discussing ways in which we might ameliorate it. However, to get rid of the problem entirely would cost many tens of millions of pounds, which would require us to identify savings that we cannot find at the moment.
Nic Dakin (Scunthorpe) (Lab)
I understand that the Minister, who recognises this “anomaly”, has in his rather amiable way when visiting sixth-form colleges been encouraging some of them to consider going for academy status. When that happens, however, his noble friend Lord Nash says, “This isn’t on mate”. Which is right? Can colleges go for academy status or not?
Nick Boles
Lord Nash and I are not only great friends but we agree entirely on this issue. It is legally possible under existing provisions for a college to convert to academy status, but there are issues around how the VAT will be dealt with, and how any debt that it has already amassed will be dealt with on its balance sheet. Those issues are tricky, but we are looking at them.
Oral Answers to Questions
Debate between Nicholas Dakin and Nick Boles
Nick Boles
I will be happy to meet my hon. Friend to discuss the matter, with any other representatives he would like to bring.
Nic Dakin (Scunthorpe) (Lab)
Does the Secretary of State share my disappointment that, despite North Lincolnshire Homes urging it to change its policy better to support tenants in difficulty, Conservative North Lincolnshire council has spent only 17% of its discretionary housing payments? Consequently, local people who have been hit by the Government’s bedroom tax and are unable to move continue to suffer.