Mr Toby Perkins (Chesterfield) (Lab)

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It is a great pleasure to serve under your chairmanship, Mrs Miller. I would like to take a moment at the start of these proceedings to talk about the importance of the Bill and the approach that the Labour party will be taking to it, alongside Government amendments 4 and 5.

The skills Bill is of tremendous importance. We recognise that there has been, for a significant time, too little investment in skills and in the next generation. In particular, the drastic funding cuts during the past 11 years have had a dramatic impact on our further education sector and on the skills of the nation. It is recognised by many businesses, employers and players in the further education sector that we have fallen behind.

The Bill represents the Government’s approach to addressing the backlog, and they tell us that this approach places employers at the heart of the skills strategy and skills agenda. When I first heard that, it sounded familiar to me, having been a Member of Parliament for the past 11 years. I thought, “Where have I heard it said before that employers will be at the heart of the skills strategy?” I believed that I had heard that from a previous skills Minister, so we did a bit of research in my office, and it turns out that we have heard it from almost all of them.

Back in January 2011, the then skills Minister, the right hon. Member for South Holland and The Deepings (Sir John Hayes), said of the Government’s approach to skills and apprenticeships:

“The entire focus of our Skills Strategy is in building a training system that is employer led…Indeed helping meet those skills needs, in businesses across the country, will make a major contribution to economic growth.”

In 2015, the apprenticeship levy was introduced, and the former Chancellor of the Exchequer, George Osborne, told us that we now had a system in the hands of an employer-led institute for apprenticeships, and that his levy would be a

“radical, long overdue” new approach to apprenticeship funding. He said in this place that it was

“to raise the skills of the nation and address one of the enduring weaknesses of the British economy.”—[Official Report, 25 November 2015; Vol. 602, c. 1370.]

His skills Minister at the time, former Tory MP Nick Boles, said:

“At the heart of the apprenticeship drive is the principle that no one better understands the skills employers need than employers themselves.”

By 2017, the Government were telling us this:

“The Apprenticeship Levy is a cornerstone of the government’s skills agenda, creating a system which puts employers at the heart of designing and funding apprenticeships to support productivity and growth.”

In 2018, the then Education Secretary, now the Minister for Security and Borders, told us that local enterprise partnerships were

“business-led partnerships…at the heart of responding to skills needs and building local industrial strategies that will help individuals and businesses gain the skills they need to grow.”

The rhetoric behind this Bill is exactly the rhetoric that we have been listening to for the past 11 years. Indeed, if the approaches of the past 11 years, which we were told placed employers at the heart of skills policy, had worked, we would not need this Bill. The Government are once again returning with the same prescription for the same ailment. They are once again failing to meet the size of the challenge, and in some cases are heading in the wrong direction altogether.

We have a new Secretary of State in post, of course. He is at great pains to tell people that there will be a change of tone and approach. The Bill was the brainchild of the right hon. Member for South Staffordshire (Gavin Williamson), if that is not an oxymoron, who was his predecessor—a man who believed in seizing as much power for himself as possible. Since the appointment of the new Secretary of State, we have been told there will be a change of tone and approach, but the Government’s approach to the cross-party amendments brought by their Lordships is not promising.

We entirely support the amendments in this group, which are about the mayoral combined authorities, but it is remarkable that the Government needed to introduce them; that demonstrates that the Government produced the skills Bill without any recognition of the issue.

Mr Perkins

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I am glad that the hon. Gentleman raised that question. That has long been the lament. I speak to my colleagues who were involved in skills policy under the Labour Government, and their retort is that the investment in skills under the Labour Government was far greater than what we have seen in the 11 years that followed. There is nothing contradictory in wanting a strategy that allows as many people who want a university education and who are capable of it to have one, and that also has a real commitment to investment in skills.

Over the 11 years of this Government, we have seen the trashing of the idea that universities should be an aspiration for everyone. Alongside that rhetoric—an example of which we have just heard from the hon. Gentleman—we have seen a massive reduction in the investment in skills, and we have seen policies that do not work. The apprenticeship levy led to a massive reduction in the number of apprenticeships. What is said is one thing; what is done is quite another.

Emma Hardy

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It is a pleasure to serve under your chairmanship, Mrs Miller. Looking at the room, I see that people on both sides are genuinely interested in education matters. I hope that this will be a good Committee that really scrutinises the legislation before us in a shared ambition to make the Bill the best that it can be.

I will be brief. I have already made an intervention about guidance on what constitutes due consideration and about the arbitration processes for conflict over whether someone believes they have been duly considered. Will there be a timeframe for that due consideration? Local engagement and agreement for the skills plans is absolutely crucial, so having that clearly laid out is fundamental.

I hope the Minister will clarify something. I may be misreading the Bill, but am I right in thinking that further education colleges have been removed from consultation, or is that part of a later amendment? The Lords tabled an amendment to ensure that local school improvement plans are co-developed with colleges, local government, elected Mayors, employers and so on. Am I right in thinking that colleges are no longer listed as part of the consultation process, or will that be addressed in another amendment? I may have made a mistake, in which case the Minister will correct me.

We are basing everything on employers and the jobs available now, but has the Minister thought about future-proofing the local skills development plans to include industries that will be developed in future, especially in relation to climate, green changes and so on? We might create the best possible plan for jobs that exist now, but that might not be the plan that we want in five years’ time, so will such future-proofing be included?

Mr Perkins

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What does the hon. Gentleman say to my earlier point, which was that what he is saying is exactly what has been said about every single Conservative skills reform in the last 11 years? They always claim that they are putting employers at the heart of the measures. Why does he think those previous approaches have failed?

Andrew Gwynne

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It is a pleasure to serve under your chairmanship, Mrs Miller. My comments follow neatly on from those of the hon. Member for Ipswich, because the reality is that much of what the Government want to achieve in the Bill is starting to happen anyway in devolved combined authority areas where the skills agenda has been devolved. I welcome the emphasis on skills improvement plans and, now, the involvement of the mayoral combined authorities in them. It was perhaps remiss that that was not in the Bill originally, and I am pleased that the Minister has tabled an amendment to ensure that it is clearly in the Bill.

Devolution matters. It works, and it is working. It was a Labour Government who introduced the Local Democracy, Economic Development and Construction Act 2009, which facilitates the devolution agenda. Greater Manchester, my own city region, was the first to have a combined authority in 2011. It had an interim Mayor in 2015—my hon. Friend the Member for Rochdale (Tony Lloyd)—and a Mayor in 2017: Andy Burnham. The skills agenda is at the heart of the Greater Manchester combined authority’s strategies. It has a local industrial strategy. It has the Greater Manchester work and skills strategy and priorities. In 2019, it had the adult education budget devolved to it. It has Bridge GM, which links schools and employers.

The thing that I am most proud of, and which fits neatly in the agenda of the Bill, is the Greater Manchester skills for growth strategy, which is designed to fill occupational skills gaps in the Greater Manchester city region, and provide young people and adults with the skills needed to fill the gaps.

However, we need to go beyond that, and I urge the Minister to encourage combined authorities to future-proof and devolve them the powers to do so. Technology is moving at a rapid speed. Our city region economies are changing dramatically in a short space of time, and we need to ensure that the workforce of tomorrow has the skills of tomorrow, not the skills of today. I welcome the fact that the mayoral combined authorities will be included in the Bill.

Andrew Gwynne

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It is barmy—there is no other word for it. We are here debating a Skills and Post-16 Education Bill and we are excluding the very bodies that have a direct interest in skills and post-16 education. I just do not understand the Government’s thinking. They have promised collaboration, but you cannot have collaboration if the people and bodies delivering the skills agenda on the ground are explicitly excluded from the creation of those plans.

Andrew Gwynne

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I would like to know what the avenues are and why they are not in the Bill. If we are talking about developing a genuine partnership and collaboration, and if we are saying, “This is the skills agenda for our country. These are the needs of the next generation of workers in our country. This is where our country is heading with the jobs of tomorrow. This is the inward investment we want to bring in to our country. These are the things we want to make and do and build in our country,” we cannot do that just through business. Business is the way we create jobs, but it is educational institutions, universities and colleges that give the next generation the skills to deliver the strategy on the ground.