Education, Skills and Training

Debate between Stella Creasy and Andrew Gwynne

Wednesday 25th May 2016 Commons Chamber

[Stella Creasy]

If the hon. Gentleman will let me continue, I hope I will convince him to think bigger. When I was involved in the scouts, we always said that the key to understanding youth work was to recognise that although everybody has been a 15-year-old, not everybody has been a 15-year-old in today’s world. If we really want to improve the life chances of today’s young people, they do not just need our help to get them a job. They do not seek an industry or a profession. They live in a world in which, it is predicted, they will hold seven different careers, two of which are yet to be invented.

Each generation has faced change, but this generation will see it not just in their lifetime, but within a decade. The real challenge to their future prospects is not Romanian immigrants, but robots. Just as Friends Reunited was overtaken by Facebook, so technology is replacing not just manual labour but skilled labour—prescriptions filled, legal forms checked, cars driven and retail services replaced. It is a time of peril and potential: adapt or fall behind. There is little certainty to be had and little time to catch our breath. But the fact that the world moves so quickly means that people can keep learning new skills or reapplying those that they have to the new opportunities that arise. There are more second chances than ever before.

Not only are we failing the next generation by not acting to help them to navigate the world that is to come, but I fear that the measures in the Queen’s Speech could reinforce the inequalities that already define life chances for so many. The Institute for Fiscal Studies has demonstrated that graduates from richer family backgrounds earn significantly more than their less wealthy counterparts, even when they take similar degrees from similar universities.

That is not just happening at university. Research by the Institute for Public Policy Research shows that even at good and outstanding schools, there are large attainment gaps between rich and poor students. The OECD states that of all the countries it surveyed, the UK has the biggest gap in literacy and problem-solving skills between 16 to 19-year-olds who are not in education or employment and young employed people. Our failure to teach skills that can be transferred and that are relevant in the modern world means that too many of our young people are struggling not just in their home territory but against their European, Chinese and south American counterparts. That is not because we are members of the European Union, but because of their very British education.

As many of my colleagues have pointed out, we face the biggest skill shortage for 30 years. We have growing inequality and an outdated idea of what would fix these issues. The choices made in this Queen’s Speech about what to offer our young people give them little to prepare them for the world to come. At best, those choices will work for only a minority of young people unless they are independently wealthy—beneficiaries of the bank of mum and dad.

The education Bill is a case in point, with its obsession with turning every school into an academy, rather than turning every young person into an achiever. It works against partnership, isolating schools rather than linking them with local businesses and local communities. The Higher Education and Research Bill will put more resource into the “ladders” approach just when young people need more access—to apprenticeships, to further education and to paid internships—to open other doors. The Bill comes at the same time as the area-based review of further education seeks to close down those institutions.

Although the Government’s restatement of their commitment to sharia-compliant loans is welcome, if we fail to deal with the inequalities in resource that affect the poorest in our society in the early years, those people will continue to get a worse deal than their more affluent counterparts even if they make it to the same schools and universities.

[Andrew Gwynne]

My hon. Friend makes a compelling case for tackling some of the inequalities in our education system. She will know of the huge benefits that were derived from the London challenge. Does she recognise that that model ought to be replicated outside London, in places such as Greater Manchester? Indeed, a Greater Manchester challenge was created, but one of the first acts of this Government was to scrap it.

[Stella Creasy]

My hon. Friend is right to point out that there are good opportunities to create a change in results to the benefit of young people, but the Government seem to have missed them. The student loan book is bust, and university is not the only door in the maze that our young people can open to unlock their potential. We should be asking the difficult question: why, in a time of tight resources, are young people who make it through their A-levels offered a loan to go to university, but we have nothing to offer those who have a great business start-up idea? When 30% of Britain’s young people want to start a business, perhaps wanting to be the Jay-Z or the Jamal Edwards of their time, we ignore their potential—the doors they want to be opened—at our peril. This Government are focusing on the 50% of kids who do the things we see as important, not the 100% of kids who need access to the bank of mum and dad to succeed.

Money and contacts matter, as does flexibility, but none of these pieces of legislation will fundamentally tackle the inequalities that too many in our country face in accessing such skills and real-life work experience. We need to bring together not just the institutions, but the networks that can help our young people to thrive in the world to come. Ministers may tell me that the answer to the first point is their savings plan in the Queen’s Speech and all such proposals. It is certainly true to say, “Save more and you can make more choices about studying”, but lifetime ISAs will mean nothing to families who have no savings at all—those who have no spare money in the week, let alone the month.

In 2010, I stood in the Chamber and fought for the child trust fund to be saved. It was a scheme proven to help those from the poorest income backgrounds the most. In 2020, the first of them will mature, giving all 18-year-olds something—perhaps not much, but something. Instead, with the lifetime ISA, such inequalities in wealth will become even more about the difference between having money to spare and having no money at all.

Recent research shows that the bank of mum and dad bails out grown-up children an average of four times, to the value of £6,000, even after they have left home. Indeed, one in three parents have been left cash-strapped after lending money to their children. One in seven parents have had to borrow money themselves to bail out their grown-up children. This Government are reinforcing inequality, wasting potential and failing one generation while locking another into debt to try to help them. If we want to stop lagging behind our counterparts, if we really want to give our children more life chances, if we want to benefit from their potential, we have to learn to compete in the global economy, not to capsize, and that means taking a completely different approach.

Instead of what this Government are doing, we need to bring different services together. We need to link universities, businesses, schools, further education colleges and communities, not segregate them. We need to break down the old divisions between education and working life, and between conventional academic achievement and lifelong employability. We need to move away from teaching functional skills that are outdated almost as soon as they are learned. Instead, our young people need real-world learning experiences and transferable talents, such as complex problem-solving and team-working skills, much as the hon. Member for Chippenham set out. We need fundamentally to rethink how we spend resources and share them, offering loans and support not just to 50% of young people, but to 100% of them. That will end their need to have the bank of mum and dad on their side if they are going to survive the 21st century.

I therefore urge Ministers not to assume that their own life choices should define the life chances we offer all young people, but I fear that plea will fall on deaf ears. That is why this Queen’s Speech proves that, under this Government, we will always be a nation playing catch-up with our present, not shaping our own future—getting the public further into debt to keep going, not to get going, and making the bank of mum and dad the only hope to the detriment of too many and to the cost of us all.