Government's changes threaten to compromise the trustworthiness and scope of apprenticeship programs, according to the CIPD
In an effort to rebalance the apprenticeship system towards young people, the government has announced several measures aimed at addressing youth unemployment, economic inactivity, and technical skills shortages.
One of the key proposals is the introduction of an apprenticeship guarantee for individuals aged 16 to 24, supported by enhanced financial incentives for Small and Medium Enterprises (SMEs). This guarantee is intended to significantly increase apprenticeship opportunities for young people, who are currently facing a growing gap in work readiness and employment opportunities.
The decision to restrict government funding for Level 7 apprenticeships to those aged 16 to 21 is also in place. However, a more nuanced approach to managing the cost of delivering higher-level apprenticeships is proposed, with reduced subsidies for older apprentices being one suggestion. This approach aims to ensure that higher-level apprenticeships are better funded and more accessible to young people who need greater support to achieve the required skills, such as English and maths qualifications, which are mandatory for successful apprenticeship completion.
The proposed apprenticeship guarantee is not without its critics, but employer research suggests overwhelming support for the model. According to a survey, 89% of employers support the proposed apprenticeship guarantee for the 16- to 24-year-old age group, and 60% of employers state they could offer an additional apprenticeship for someone in this age group under the proposed guarantee model.
The government has also announced 120,000 new training opportunities for young people, and new foundation apprenticeships are to be introduced for individuals aged 16 to 21, with a planned launch in August. These foundation apprenticeships are designed to provide young people with a taste of various industries and help them make informed decisions about their future careers.
The argument for this more nuanced approach to managing apprenticeship costs and the introduction of an apprenticeship guarantee for 16-24-year-olds in England is grounded in several key points.
Firstly, nearly one million young people aged 16-24 are Not in Education, Employment, or Training (NEET), an 11-year high, indicating a widening opportunity gap influenced by socioeconomic background.
Secondly, only about half of 18-24-year-olds feel ready for work at school leaving age, reflecting insufficient preparation and support to transition smoothly into employment.
Thirdly, there are calls for expanding the apprenticeship guarantee to cover 21 to 24-year-olds, alongside introducing wage subsidy programs for short-term, high-quality work placements to increase work experience and apprenticeship starts.
Finally, local authorities have duties to monitor young people's participation in education and training and to ensure that all year 11s get suitable offers (the “September Guarantee”), which includes apprenticeships, supporting the need for structured guarantees.
In conclusion, managing apprenticeship costs with careful differentiation by level and learner needs, coupled with introducing or expanding apprenticeship guarantees for 16-24-year-olds, can help close the opportunity gap, improve work preparedness, and reduce youth unemployment by ensuring all young people have access to meaningful training and employment pathways.
- The government's policy and legislation, including the introduction of an apprenticeship guarantee and new training opportunities, are focused on education-and-self-development and aim to address youth unemployment and the skills shortage, particularly among young people aged 16 to 24.
- The ongoing debate in politics surrounding apprenticeship costs and the scope of the apprenticeship guarantee has led to proposals for expanded guarantees for 21 to 24-year-olds and wage subsidy programs, further emphasizing the importance of policy-and-legislation and general-news in advancing education-and-self-development opportunities for young people.
