Employers focus of apprenticeships overhaul call

London -- Employers should be at the centre of all apprenticeship provision, according to a new House of Lords Committee on Economic Affairs report, which has called for urgent action in thid area to address the UK’s skills gap and low productivity levels.

The Committee identified a consistent failure by government to build connections between key partners in apprenticeship -- schools, young people and employers. The current reliance on ‘intermediaries’ in this chain, it said, has discouraged employers from taking responsibility for apprentice training and from developing the structures and capacity to train young employees.

The report called for the current average yearly spend per apprentice (£3,250) to be re-routed directly to employers within five years. Employers would then sub-contract any off-the-job training or other services, which they did not themselves provide. This direct financing, it said, "would act as a powerful incentive for employers to provide more places."

Apprenticeship places in Germany and Switzerland are highly sought after by young people, the report noted. Employers in both countries provide three-year apprenticeships for more than half the cohort, but recently the supply of young people seeking apprenticeship has exceeded demand from employers.

At least 75% of German apprentices complete their three-year training successfully, compared to around half in the UK, where apprenticeship lasts only one year on average. Meanwhile, the quality of young people applying for apprenticeship is improved by good progression prospects within the firm or sector, the report added.

According to the Lords Committee, apprenticeships should satisfy basic minimum requirements, including at least a day-a-week equivalent of off-the-job training, certificated through a separate certificate, and the further development of functional skills.

“Apprenticeships should last long enough to provide adequate scope for learning. Young people who already have a Level 2 qualification should normally take a Level 3 rather than marking time at Level 2. There should be more progression from one apprenticeship level to another, and more progression from apprenticeship to higher education,” the report continued.