Apprenticeships
Debate between Viscount Younger of Leckie and Lord Young of Norwood Green
Viscount Younger of Leckie (Con)
My Lords, I am very pleased to be the Minister responding to this debate and I congratulate the noble Lord, Lord Young of Norwood Green, on initiating it. He is not only well informed on the subject, he has devoted much time over many years to improving opportunities for young people. We are all grateful for his work as an apprenticeship ambassador. I notice that he is not wearing the T-shirt today, but he certainly wears the badge. I should have one on too. At the Communication Workers Union and in this Chamber, he has been tenacious in ensuring that the Government’s commitments on vocational education are not lost in the mail.
I applaud the endurance of the noble Lords, Lord Aberdare and Lord Layard, the noble Baroness, Lady Garden, and my noble friend Lord Norton of Louth, who, perhaps gluttons for punishment, are sitting for a second substantial debate in three days, having spoken on the order on Tuesday. Happily, this debate allows me to address today the issues on apprenticeships raised by them to which I was then unable to respond, although I have a lot of questions to cover. Talking of Augar and relevant to apprenticeships, it is important for the Government to reflect on the lessons of his review of post-18 education and funding. I reassure the noble Lord, Lord McNicol, that they are very much being considered.
Apprenticeships have a long and illustrious history, dating back to the craft guilds of the Middle Ages and underpinning Britain’s status as the powerhouse of the Industrial Revolution. The guilds survive to this day, and their members do great work supporting charities up and down the country. Two apprentice stonemasons are currently working on the restoration of the Elizabeth Tower high above us, and others are no doubt working on our great cathedrals. How good to hear the positive feedback of Georgie Yates from the noble Baroness, Lady Nye. Apprentices are keeping our ancient skills alive with the help of our modernising apprenticeship programme.
For too long, however, young people and those changing careers have not had access to a choice of vocational education options; nor could they always be confident in the quality of training that they received. This Government’s reforms are changing all that, and it is good to have acknowledgement from noble Lords, including the noble Baronesses, Lady Nye and Lady Osamor, that the Government are revitalising apprenticeships to raise productivity, to give employers the skills they need and to create fresh opportunities. We are creating a programme fit for the future, but all transformative change comes with challenges. We know that we need to maintain our focus on bringing new apprenticeship standards on stream, reflecting the needs of employers as the world of work evolves. As the noble Baroness, Lady Osamor, and the noble Lord, Lord McNicol, said, people from underrepresented groups need to be encouraged and supported to start apprenticeships to share in the benefits they offer. I will say more about that later.
As the noble Lord, Lord Layard, and others said, young people need good careers advice from a young age so that they are aware that apprenticeships are a genuine alternative to university. The noble Baronesses, Lady Nye and Lady Osamor, and particularly the noble Lord, Lord Monks, made the point that apprentices should not be treated as second-class citizens. They must be paid properly. I should like to hear from noble Lords of any examples where they are not. In answer to the noble Lord, Lord Monks, on whether we could confirm that there are plans to update the scheme so that it is in line with the real living wage, the current apprentice national minimum wage rate rose by 5.4% in April 2019 and is now at a record high in nominal and real terms. The apprentice national minimum wage is set at a rate that acknowledges the particular costs for employers and benefits for young people involved in the provision of apprenticeships. However, we know that most apprentices receive more than that—it is the legal minimum pay per hour—but no doubt it will be kept under review.
We must continue to spread the message among parents, teachers and employers of young people that our new high-quality apprenticeships can offer life-changing opportunities—a point made by the noble Lord, Lord Aberdare, and my noble friend Lady Pidding. In addressing the challenges, we are learning from the best international systems and listening to feedback from employers large and small.
There are successes. More than 450 apprenticeship standards are now available from levels 2 to 7 and covering occupations in all sectors. The standards approved this month underline that diversity and include broadcast and media systems engineer at level 3, to mention the creative arts, and ecologist at level 7. Apprenticeship starts were up by 10% in the first half of 2018-19 compared to the same period a year before, and high-quality standards now account for almost 60% of those starts. Over the course of next year, we will be giving all employers, not just the larger companies, control over how they pay for their apprenticeship training and assess and recruit their apprentices.
The noble Lord, Lord Young, asked about training providers. Employers will also have access to a larger pool of training providers to deliver relevant training for them. Crucially, the apprenticeship levy supports businesses large and small to access the training they need. Alongside employers’ levy funds, we will spend over £2.5 billion this year—double what was spent in 2010.
The noble Lord, Lord Layard, asked if the Government will reassess their approach to funding, providing 70% to levels 2 and 3 and 30% to levels 4 and 5, with the level band above that self-funded. Co-investment is a central principle of our apprenticeship performance, and we continue to monitor the impact of our recent changes to funding policy to reduce the burden on smaller employers. We continue to make this co-investment available for apprenticeships at all levels to give employers a choice of apprenticeships to meet their particular skills needs.
The noble Lord, Lord Young, asked whether I will comment on the struggle to meet targets for nursing apprenticeships—an important subject that I know was raised on Tuesday. Nursing apprenticeships offer a high-quality work-based route into the profession, giving more choice for career changes or for those who want to earn while they learn. Importantly, we are working closely with Health Education England to support the NHS to recruit the apprentices it needs to deliver high-quality care.
Almost half of apprenticeship starts were directly supported by levy funds in employers’ apprenticeship service accounts last year. Smaller employers benefit from a generous co-investment from government of 95% of the costs of training. The rollout of the apprenticeship service will give these employers access to new online tools to manage their funds and make informed decisions for the long-term needs of their business.
In response to a question asked by the noble Lord, Lord Young, to support this, we have extended non-levy contracts with providers. This means providing £225 million to support new starts and £395 million to fund existing apprentices at non-levy employers. We have already made additional flexibilities available for levy-paying employers; flexibilities were quite a theme during this debate. This year, we increased the cap on transfers of their funds to other businesses, charities or apprenticeship training agencies to 25% of the value of funds entering their account each year—the noble Lord, Lord Young, mentioned 20%, but it is actually 25%—enabling them to support apprenticeship starts in their supply chain or to meet local skills needs. This is investment on an unprecedented scale, and the levy is central to it. While we recognise that the move towards longer, higher-level apprenticeships presents financial challenges, we are determined to ensure the future sustainability of the programme.
The noble Lords, Lord Young and Lord Pendry, the right reverend Prelate the Bishop of Carlisle and the noble Baronesses, Lady Cohen and Lady Osamor, asked important questions about the need to promote level 2 and 3 apprenticeships, but it is important to remember that apprenticeships are jobs first and foremost. We have empowered employers to choose the apprenticeships that best suit their needs. Starts at levels 2 and 3 still make up the vast majority of the programme—82% of starts in the first half of 2018-19, which is quite interesting—creating the opportunities for progression to higher-level training.
The completion rate was another theme. The noble Lord, Lord Young, and the noble Baroness, Lady Nye, raised the Sutton Trust report showing that 32% of apprenticeships were not completed. It is important to recognise that the move to higher-quality apprenticeship standards is making apprenticeships longer. Current completion data reflects the fact that we are moving rapidly from frameworks to standards. It is a transitional phase, and we expect to see this picture improve as our reforms continue to bed in.
Several noble Lords raised important points about productivity. I turn to the reasons behind our reform programme: why are apprenticeships important and who are they for? This was asked by the noble Lord, Lord Aberdare. The labour market will change beyond recognition in the coming decades, not least with more automation—a point I raised on Tuesday. We need to meet that challenge by delivering high-quality vocational education for today’s and tomorrow’s workforce—and, yes, to satisfy employer demand—but apprenticeships are not only for young people but for people at different stages of their career.
The Government agree with Sir Philip Augar’s finding that apprenticeships have a vital contribution to make to delivering our industrial strategy priorities helping young people to develop the skills that they need for progression to the high-skilled jobs of the future. We know from other leading apprenticeship systems worldwide that high-quality training drives productivity and increases earnings. We know that a young person completing a level 3 apprenticeship in England can expect a 16% earnings boost, and a joint AAT and CEBR study found that an apprenticeship at level 5 or above can be worth an additional £150,000 over a working life. So clearly it boosts the economy and the well-being of the individual as well.
While we are focused on driving forward our reforms and increasing starts to bring about these benefits, we will not sacrifice quality for quantity—a point made strongly by the noble Lord, Lord Young of Norwood Green. Apprenticeship standards are at the centre of our drive for high-quality training. Another theme raised in this debate was the question of quality versus quantity. The noble Lord, Lord Fox, asked if we agreed that we should scrap the 3 million start target and focus on quality. We are focusing on quality. The right reverend Prelate the Bishop of Carlisle focused on the importance of quality. We remain committed to reaching 3 million apprenticeship starts, but are not worried that it may take some time to get there. What is more important is that we maintain our focus on quality to ensure that we meet the skills needs of employers and create the opportunities for young people to progress in their careers.
Before we began our apprenticeship reforms, employers told us that the quality of training was often inconsistent. We listened to their concerns and acted by putting the independent Institute for Apprenticeships and Technical Education at the service of employers to help them develop the standards they need and to act as a guarantor for the quality of training. We recognise that there have been some teething problems. Such problems were raised by the noble Lord, Lord Young, and the right reverend Prelate the Bishop of Carlisle, but I hope that I can reassure the House because we have overseen a significant acceleration in the process for the approval of standards, particularly using our so-called Faster and Better programme. As I have already mentioned, more than 450 standards are now available for employers to choose from, with more in the pipeline; they cover traditional skills, the professions and emerging industries.
We are proud of what these changes have achieved—two-thirds of apprentices were receiving good or outstanding training provision in 2017-18—but we know there is more to do. The noble Lords, Lord Aberdare and Lord Pendry, asked about Ofsted, saying that it is perhaps not best placed to regulate apprenticeships. We take Ofsted’s judgments on the quality of the training and teaching offered by apprenticeship providers seriously and we have raised the bar for entry to the register of apprenticeship training providers. We now require all providers, new and existing, to demonstrate that they have a satisfactory inspection record. We are acting in cases where training providers fall below the high standards that employers expect, and recently announced a new framework to monitor the quality of provision at higher levels, to be led by the Office for Students.
The right reverend Prelate the Bishop of Carlisle said he had heard that some standards still did not have an endpoint assessment in place, which was another theme. ESFA recently confirmed that we will require an endpoint assessment organisation to be in place for all standards. That will give employers and apprentices the confidence that endpoint assessments are ready when they need them and of the quality that is required.
Off-the-job training is also vital for apprentices to develop the knowledge, skills and behaviours they need to succeed at work, which was a point raised by my noble friend Lord Norton and the noble Lord, Lord Young. We understand that some employers find meeting the 20% minimum off-the-job training requirement challenging. We have listened to their concerns. But as a perspective, the requirement in the UK has a smaller impact on employers compared with other OECD countries; for example, in Germany around a third of an apprentice’s time is spent in off-the-job training. We recently launched new guidance to make these flexibilities clear and transparent for employers, and many are already using block release, successfully balancing their apprentices’ training with business needs.
The noble Lords, Lord Aberdare and Lord McNicol, asked whether we would introduce further flexibilities to meet employer needs. I reassure the House that we continue to keep all aspects of apprenticeship funding policy under review to make sure that we continue to deliver high-quality apprenticeship starts. Spending on apprenticeships is demand-led. We do not anticipate that all levy payers will use all the funds in their accounts. Income from the levy is also used to fund apprenticeship training in non levy-paying employers.
The enormous potential of apprenticeships to address this country’s productivity challenge cannot be realised if young people are not aware of all the options available to them. Our careers provision recognises that parity of esteem between academic and vocational routes also means giving those considering their options the best advice we can. We are working with schools and FE colleges through our apprenticeships support and knowledge programme, giving teachers the training to allow them to promote apprenticeships to their students.
My noble friends Lady Pidding and Lord Norton asked about numbers in terms of promoting apprenticeships. During National Apprenticeship Week in March there were more than 1,200 visits and events, including more than 300 events taking place to promote apprenticeships in schools. National Apprenticeship Week generated more than 25,000 visits, so it was an important push. That is an important point to make.
Our apprenticeships support and knowledge programme also provides access to a network of inspiring young apprenticeship ambassadors and apprenticeship live broadcasts to let young people speak directly to employers about the latest vacancies. The programme has reached more than three-quarters of a million young people since its launch in 2016. In addition, we have expanded the role of the Careers & Enterprise Company to give all young people access to inspiring encounters with the world of work.
I noted the comments made by the noble Lords, Lord Aberdare and Lord Monks, and my noble friend Lady Pidding. It is very important that the evidence for getting into schools has to be there. It is clear that sustained and varied contacts with mentors, coaches, employer networks, FE colleges and training providers can motivate pupils to consider a broader and more ambitious range of future education and career options.
The noble Lord, Lord Aberdare, asked what we are planning to do to meet the demand resulting from the careers strategy and the planned introduction of T-levels. A key element of T-levels is a high-quality, structured industry placement of 45 days. There is an extensive programme of support in place for their delivery, including a capacity and delivery fund for providers and the investment of £5 million in the National Apprenticeship Service.
The noble Lord, Lord Aberdare, also asked whether the Government should make funding available for work placements as they do for apprenticeships. Under the Government’s careers strategy we have targeted a £2.5 million investment fund to support employer encounters. This is in addition to the £5 million investment already mentioned.
Last year, we acted to introduce a legal requirement for schools and colleges to allow technical education and apprenticeship providers into their schools to talk to pupils about their offer, commonly known as the Baker clause. I notice that my noble friend is no longer in his place. This important matter was raised by the noble Lords, Lord Young and Lord Aberdare, the noble Baroness, Lady Nye, and my noble friends Lord Norton and Lady Pidding. This is important because we expect all schools to comply with its requirements and are intervening directly to enforce this where necessary. I have here a letter that I have written to reassure my noble friend Lord Baker that the department is doing a great deal to increase the level of compliance among schools with their duty under the Baker clause. Certain direct intervention measures have been taken; for example, Minister Milton wrote to the five largest multi-academy trusts which were found not to be complying with the duty. Local authorities, regional schools commissioners and MPs have also been written to, to remind them of the important role that they play in encouraging schools to comply with the Baker clause. The department has also delivered key messages on the aims of the Baker clause and its enforcement over the past year, including delivering a webinar for 500 schools during National Careers Week. I assure noble Lords that we will remain on the case.
As the noble Lord, Lord Monks, said, changing the perceptions of parents and employers is just as important if we are to embed a culture of apprenticeships in this country. We are taking on the outdated perception that university is the only desirable option for ambitious, motivated young people. This message is at the centre of our new marketing campaign, Fire It Up, demonstrating that apprenticeships are an aspirational choice for anyone with passion and energy. We have also launched Opportunities Through Apprenticeships, a pilot project working with four local authorities to raise the value of apprenticeships in the most disadvantaged areas.
We are committed to ensuring that no young person’s background stands in the way of starting an apprenticeship. To reassure the noble Baroness, Lady Osamor, in the first half of 2018-19, 11.1% of starts—that is, 23,700—were by people of black, Asian or minority-ethnic backgrounds. In the first half of 2018-19, 11.9% of starts were by those with a learning difficulty or disability. She raised an important point.
Various questions have arisen but I am running slightly out of time. If I am allowed, I shall spend—
Lord Young of Norwood Green
I hesitate to intervene because the Minister has given a very comprehensive response. However, one important question is whether the levy funds have run out. It was raised by one or two speakers and there is quite a bit of confusion out there. If he could clarify that now, it would be appreciated. If not, there is the other route.
Viscount Younger of Leckie
Yes, that is absolutely right. I reassure the noble Lord and the House that the levy funds have not run out, although they are now being spent at a higher rate. I also reassure the House that this is certainly being looked at in the context of the spending review. I can give no guarantees whatever but an eye is being kept on it, given the importance of the apprenticeship programme.
The noble Lords, Lord Layard and Lord Aberdare, who deserve answers to all the questions they raised on Tuesday, asked whether the Government would consider broadening the levy so that it funded not only apprenticeships. The levy was introduced to support the apprenticeships that we expect employers to generate, and it is important that we maintain our focus on funding high-quality training.
The noble Lords, Lord Young and Lord Fox, said that there seemed to be no transparency in the levy review and that it was perhaps rather secretive—a point also made by others. The levy review is not a formal published consultation, but the evidence that we garner from employers will help the Government to understand the issues facing employers and build our evidence base as we make decisions on the spending review.
I conclude by saying that the most recent OBR analysis suggests that the picture for productivity growth, which has been an important theme today, is increasingly positive, and apprenticeships will have a vital role to play as this trend continues. There will still be challenges along the way, but we are determined to continue our work with employers, respond to their concerns and build a programme ready for the challenges ahead.
Schools: Careers Advice
Debate between Viscount Younger of Leckie and Lord Young of Norwood Green
Viscount Younger of Leckie
Activities involving employers such as careers insights, mentoring, work tasters and work experience are crucial to give young people from all backgrounds the skills they need to succeed. The Careers & Enterprise Company was established to work with schools, colleges and employers to link them together and to make sure that every young person has access to inspiring encounters with the world of work, including work experience and other employer-based activities. The career hubs that I mentioned focus on supporting schools and colleges in areas most in need of targeted support.
Lord Young of Norwood Green (Lab)
My Lords, I declare an interest as an apprenticeship ambassador. I welcome what the Minister said, but we are still not where we should be. Is he aware that employers still complain about some schools denying access to pupils to talk about apprenticeships and other career opportunities, despite the Baker amendment and previous legislation? Those schools see populating their sixth forms as their priority. Is he aware of the number of schools still not meeting their obligations in providing full career-path explanations to their pupils?
Review of Post-18 Education and Funding
Debate between Viscount Younger of Leckie and Lord Young of Norwood Green
Viscount Younger of Leckie
I take note of the question from the noble Baroness but, as she predicted, I will not be drawn on giving a commitment on that. I have no doubt that the panel will want to look at it, as I indicated earlier.
Lord Young of Norwood Green (Lab)
My Lords, I welcome the review. I have a couple of questions. The Minister said that there would be an interim report. When is that likely to be? He gave us the final date.
The Statement refers to participation to drive social mobility, the teaching outcomes and excellence framework and,
“the facilitation of further diversity with new providers and shorter degrees delivered at a lower cost to students”.
That is something for which I have been arguing for quite a while. However, alongside that greater flexibility and, I hope, the use of new technology, we need to ensure that we get the quality as well. There have been some worrying developments in apprenticeships recently where we have warned about focusing not on the quantity but on ensuring the quality.
The Statement also talks about,
“identifying ways to help people make more effective choices between the different options available at and after 18”.
I still think that the current drive in secondary schools is to push most young people towards university and not look at the alternative vocational route. Given that schools rely on ensuring that their sixth-form colleges are full, what steps are the Government taking to ensure that they really are made aware of alternative routes?
Viscount Younger of Leckie
The noble Lord asked a number of questions. First, I am not able to give an interim date for the review. I made it quite clear that the full results of the review will come out early in 2019. Obviously, I would want to keep the House updated as to when that would be—that would of course come from the review panel.
The noble Lord also made an important point about shorter degrees. I would like to add to that part-time courses. As we know, there has been a fall-off in part-time courses, which is a concern and one of the issues that the panel will definitely want to address. We want to be sure that the courses are right, that they are at the right price and that take-up is much better than it has been. That is within scope. Again, beyond that, I do not want to prejudge what the panel will come up with.
Lord Young of Norwood Green
I stressed the importance of quality; it is not just about the price.
Viscount Younger of Leckie
I was about to come to quality. Of course, the noble Lord is right that it is extremely important that the quality of the courses in higher education is outstanding. He mentioned apprenticeships. He will know that the Institute for Apprenticeships is focused solely on making sure that the quality of apprenticeships is as high as it can be. We want to replicate that in university courses as well. One of the main remits of the Office for Students is to monitor the quality of courses.
On choices for students, I know that the noble Lord has quite a lot of experience in this field. I think I am right in saying that he was instrumental in introducing the concept of employers going into schools and giving careers advice. That is important and valuable. On students being informed, it is a mix of parents being better informed and being able to talk to their children—who probably become less child-like as they move into the higher education system. Schools and employers certainly have a role. One of the things we most want to do—I hope it will extend into the review—is to look at the vocational and technical routes as opposed to the academic route. It is important that they are marketed and sold appropriately. I said earlier in the Chamber today that I was driving into town last night and heard on the radio an advertisement for apprenticeships. We want to hear more of that and more promotion for these areas.
Work: Lifelong Learning
Debate between Viscount Younger of Leckie and Lord Young of Norwood Green
Viscount Younger of Leckie (Con)
My Lords, I am grateful to the noble Lord, Lord Watson of Invergowrie, for securing this timely and wide-ranging debate. It is not dissimilar to a recent debate, on which I wound up, led by the noble Lord, Lord Knight of Weymouth. As the House may know, that focused on the future of work in the context of new technologies. I declare an interest as my background is in human resources in industry and the City, so I understand very well the importance to people of opportunities for learning and retraining throughout their working lives. The quality of the debate and contributions today reflects the deep importance that this House sees in lifelong learning and I am grateful to all Peers for their contributions.
I will start by providing a backdrop to give some context for our policies. The UK is the fifth biggest economy in the world. In 2016, the World Economic Forum placed the UK third in the world for technological readiness. There are record numbers in employment. The employment rate is 75.3%, the highest since comparable records began in 1971. However, we know that one of our greatest challenges is productivity. I was in the Chamber earlier today for an interesting debate on the link between employment levels and productivity when my noble friend Lord Henley read the Statement on the industrial strategy. The noble Lord, Lord Watson, and the noble Baroness, Lady Wolf, raised the important question of productivity. The Government are implementing policies that will help to tackle our low productivity levels and optimise the opportunity automation provides. As announced in the industrial strategy White Paper, this includes our commitment to spending 2.4% of GDP on research and development, which could increase public and private investment by as much as £80 billion over the next 10 years. We are effecting changes to our labour market to enable new ways of working. We are improving our skills systems, including the development of a new national retraining scheme to encourage lifelong learning.
What do we mean by lifelong learning? First, it means providing opportunities for progression by upskilling and reskilling to adapt to a changing labour market. I was grateful to the noble Lord, Lord Bhattacharyya, who gave a realistic view from—if I may put it this way—the front line of the Warwick Manufacturing Group. He said that the scale of reskilling is enormous. I am always interested to hear about the progress of that group and I do not forget my most interesting visit to it several years ago. Secondly, as the right reverend Prelate the Bishop of Worcester said, lifelong learning ensures that those who have underachieved academically, for whatever reason, have the chance to update their skills and increase their earnings. He also highlighted the link with self-esteem and well-being. The noble Lord, Lord Bichard, spoke about the increased enrichment of people’s lives through upskilling; he is absolutely right. Thirdly, lifelong learning enables those who have been out of work to update their skills and re-enter employment. The noble Lord, Lord Young, made an interesting and important point about prisoners and the importance of their having opportunities to maximise their skills. Hopefully, this keeps them out of prison, but if they are in there it enables them to take on a meaningful role when they get out.
However, our approach must be flexible, relevant and appropriate to benefit all in society. There are two examples. One, which has not been mentioned today, is women returning to work. The female employment rate is now 70.8%, up 18 percentage points since 1971. Another is the increasing number of older workers who will be contributing to the economy. The number of people aged 50 and over is expected to reach 30 million by 2035. Thus we have set out an ambitious programme that includes a new national retraining scheme, informed by a series of career-learning pilots; a refreshed role for apprenticeships for adults in work; a review of higher-level technical qualifications; and £5 million to support people returning to work following a break caring for children or relatives.
In last week’s Budget, my right honourable friend the Chancellor made an announcement in the other place on the national retraining scheme. This will be an ambitious, far-reaching programme to address adult learning and retraining. As the noble Lord, Lord Watson, alluded to, it will be driven by a new national retraining partnership—the coming together of Government, the CBI and the TUC to set a broad strategic direction for the scheme, and to oversee its implementation. I was pleased to have this endorsed by the noble Lord, Lord Young. The scheme includes a set of sector-focused and employer-driven initiatives. Starting next year, it will target immediate skills shortages in key sectors and will be fully implemented by the end of the Parliament. There will be £64 million for schemes in the digital and construction sectors. We will give individuals the best chance to gain the skills they need to progress in work, redirect their careers and secure the higher-paid, high-skilled jobs of the future.
The noble Lord, Lord Bichard, asked whether we had in mind a national career-learning action plan. The Budget set out a clear direction for our ambitious career-learning agenda through the announcement of the national retraining scheme, as I mentioned earlier. Our initial focus on construction and digital also demonstrates commitment to supporting adults to acquire the skills which are valuable to our economy now and in the future. The historic national retraining partnership will be essential in building a lifelong learning programme that really works for businesses and employees and it will be key in guiding our approach.
Underpinning the scheme, we made a commitment in the spring Budget of up to £40 million for pilots to robustly test both supply and demand-side interventions. The pilots are exploring the most efficient and effective ways to reduce the barriers for all adult learners. The first of the career-learning pilots—the Flexible Learning Fund—was launched on 31 October. Through this fund, the Government are making available up to £10 million to support projects which design and test flexible and accessible ways of delivering learning to working adults with low or intermediate skills. I look forward to returning to the House with further details of more of our pilot schemes in due course.
Alongside the national retraining scheme, we aim to ensure that technical qualifications—the new T-levels—are accessible to adults. I am pleased that there was, generally, a warm welcome for this in the House today. The right reverend Prelate the Bishop of Worcester mentioned it in his speech. We have worked through the Sainsbury review recommendations on technical education. I thank in particular the noble Baroness, Lady Wolf, for her significant and insightful contributions to the review panel. Her work on parity of esteem has been of considerable value in forming our policy in this area. Accordingly, we will develop the T-level programme offer for adults, so that they have access to the same high-quality content as 16 to 19 year-olds, while recognising that many adult learners face different barriers to learning and addressing that as part of the programme development. We will shortly launch a public consultation about the implementation of T-levels, which will include issues around how best to adapt them for adult learners.
Age and experience should not be barriers to higher academic achievement either. The CBI reports that more than 75% of businesses expect to have more job openings for people with higher-level skills over the coming years. We are committed to extending the reform of technical education up to higher levels and are undertaking a review at levels 4 and 5—above A-level but below a degree.
The review was launched on 31 October. It will focus on how technical qualifications can better address the needs of learners and employers. The Government will consult widely with employers, education providers, learners and others with expertise in this area. The review forms part of the Government’s commitment to supporting routes to higher-earning technical roles and addressing the skills needs of the economy, as outlined in the Post-16 Skills Plan.
I would now like to touch on apprenticeships. There remains among some people the view that an apprentice is a teenager with a desire to learn a career for life, but I am sure noble Lords would agree that that view is out of date. Apprenticeships can be a means for everyone seeking work-based and career-enhancing learning. The noble Lord, Lord Young, asked about flexibility in the apprenticeship levy. We want to see the levy and reformed funding system bed in before considering any substantial changes, and are clear that stability in the market is key. We will continue to monitor the impact of the levy and remain open to feedback from employers and providers on how the system is working for them, but I note very strongly the points the noble Lord made.
We are committed to making sure that apprenticeships are as accessible as possible to people of all ages and backgrounds. It is now well known that we are working on achieving the 3 million apprenticeship starts in England by 2020. We have achieved over 1.1 million new starts since 2015. This includes over 500,000 starts by adults over the age of 25. The noble Baroness, Lady Wolf, spoke passionately about the need to ensure that adults have the best possible opportunities to undertake apprenticeships. The noble Lord, Lord Watson, spoke about the importance of ensuring that all apprenticeships are high quality and he raised a concern about the recent numbers of apprenticeship starts. I completely agree with him about the importance of high-quality apprenticeships. We are clear that apprenticeships must be real jobs with 12 months’ training and with 20% of training being off the job, as he will know. All providers delivering training must be on the ESFA register. This ensures that high-quality apprenticeship training is provided for all apprentices. The apprenticeship levy is new, as I said earlier, and employers are using the 24 months available to them to take a considered and strategic approach to hiring apprentices. However, as I said earlier, we remain committed to delivering the 3 million starts by 2020, and up to the necessary quality.
As was mentioned earlier, we have been working hard on encouraging and engendering a so-called parity of esteem between further education and higher education. The Government have maintained funding for the adult education budget in cash terms at £1.5 billion for this year. The AEB funds colleges and providers to help adult learners overcome barriers which prevent them taking part in learning. This includes support for adults with a specific financial hardship and meeting the additional needs of learners with learning difficulties and disabilities. I was very interested in the speech of the noble Lord, Lord Touhig, who spoke passionately about autism and cited an example from Surrey. There are a growing number of technical and digital companies that are better set up to take on those with autism. We want to continue to encourage more companies that can better employ them with the particular skills they have. We are committed to making a difference to the lives of all disabled people. People should be able to get the support they need, whatever their health condition or disability, and that includes those with more than one condition, with fluctuating conditions and with less common or more complex conditions. As mental health conditions and musculoskeletal disorders are the most common conditions that affect participation in progress, making sure of services for people with these conditions is a key part of our programme. We will shortly publish plans to achieve our ambition of 1 million more disabled people in employment in the UK by 2027. The noble Lord, Lord Touhig, also asked questions about pilots and updates on access by disabled students. If he will forgive me, I will write to him with an update. I think there were some questions on dates and timings.
Lastly, we need to ensure that no parts of the country are left behind. That is why the first six opportunity areas are receiving a share of £72 million to implement bespoke plans, covering everything from improving early education for two year-olds, launching new maths centres to help key stage 1 pupils excel, and supporting young people during the transition into adulthood through enhanced careers support. Talking of careers, too many adult learners have lost their way because they have been offered little or irrelevant guidance. I was interested in the views of the noble Lord, Lord Kirkwood, on this subject. Much of his speech was focused on the important subject of social mobility. He spoke not necessarily just about adults but made some passionate points about those who are often seen to be left behind. I took note of everything that he said.
The Secretary of State has confirmed that we will publish a careers strategy later this year, with a clear focus on social mobility. We are reviewing the current careers offer for people of all ages, and the proposals in the strategy will build on the best international evidence to improve the quality and coverage of careers guidance. We are investing over £70 million this year to support young people and adults to get high-quality careers provision.
The noble Lord, Lord Watson, and the noble Baroness, Lady Wolf, raised a point about the decline in part-time students at university. The Office for Fair Access has asked universities to consider the different barriers mature learners may face in accessing, succeeding in and progressing from higher education, and to consider what more can be done to attract and support part-time learners across the whole student life cycle as part of their access agreements. In response to a question from the noble Lord, Lord Watson, we acknowledge that there has been a drop in the number of part-time students, including part-time disadvantaged students, but I reassure him that the number of full-time disadvantaged students has increased overall.
I thank noble Lords once again for their expertise and contributions to this short debate. The Government have put in place a comprehensive programme of work to ensure that learners have access to inclusive—
Lord Young of Norwood Green
I apologise for disrupting the flow, but I raised the issue of the importance of apprenticeships in the care industry. It is often described as low skilled, and my point was that we need to raise the skills. I am not expecting the noble Viscount to have all the answers now but I hope he will recognise the importance of that issue.
Viscount Younger of Leckie
The noble Lord is correct and makes a very important point about carers. In fact, the subject of carers is often raised in this House. I reassure him that it is very much on our agenda. It is very important that we give the right level of support to carers and give them every opportunity to get the skills they need for their roles; I totally agree that if they need particular or extra skills, they must be given that support. I will reflect on Hansard afterwards and if there is a need to write to the noble Lord to give him more details about carers, I will certainly do so.
I am pleased that on the day we published the industrial strategy White Paper, we have had the opportunity to debate this important topic, for which I again thank the noble Lord, Lord Watson. We now need to provide all adults with the opportunity for a lifetime of learning to meet the challenges and seize the opportunities before us.