Businesses from across the north and south have called for urgent action to boost the numbers of young people taking up apprenticeships.
Leaders from the North West Business Leadership Team (NWBLT) and London First have joined forces to call for changes to the current apprenticeship levy after a new report revealed millions of pounds of funds remain unused.
The report, called Delivering the Workforce of Tomorrow - Boosting England’s Business-led apprenticeship system, also revealed new starts for 16 to 18-year-olds have fallen since the current levy was introduced.
It said that while all regions have experienced a decline in apprenticeship starts, the North has experienced more substantial decreases in apprenticeship starts than London and the South, with the North West experiencing the largest single net decline at 15,400.
It comes after recent research found that almost a fifth of businesses have not used all of their Apprenticeship Levy funds, with Government figures revealing that around £96m of unused funds expired last summer.
The report was launched at the start of Apprenticeship Week, aiming to make clear that while business is deeply committed to apprenticeships, the current system is inadvertently acting as a significant drag on uptake.
Sandy Lindsay MBE, skills lead and vice chair of the NWBLT, a group of business leaders working to promote the long-term wellbeing of the region, said: “Having a skilled workforce is fundamental to the future success of our economy and, thus, businesses are keen to continue their support for the apprenticeship system but want to ensure it is working for large and small employers.
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“The NWBLT partnered with London First to analyse this vital topic and the report we are launching today puts forward ideas for pragmatic, practical changes that the new Government can implement. These changes, both short and long term, will have a positive effect on the recruitment and retention of apprentices across, not just the North West and London, but the whole of England.
“We hope that the Government will act on these ideas quickly to ensure that young people get the best start to their working life through an apprenticeship. And we hope that they see this report as the start of an open, positive dialogue between them, us and our members.”
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Among the measures the business groups are calling for are enhancing the Institute for Apprenticeships and Technical Education to act as a one-stop shop for information, giving businesses greater flexibility in how they use their funds, ensuring effective quality assurance, and streamlining the standards process.
The two groups say the report sets out a “comprehensive action plan”, backed by training providers, local government bodies and businesses across England, to reform the system.
Jasmine Whitbread, chief executive of London First, said: “Many firms want to take on more apprentices but are hamstrung by a needlessly complex and inflexible system.
“With skills shortages already biting, and likely to be worsened by changes to the immigration system, it’s vital the Government urgently takes action to reboot the system.
“Businesses – north and south – are calling for simple changes to make the system more flexible and responsive to boost the numbers of young people able to access high-quality training across the 海角视频.”