The Future of Apprenticeships in
England
Natasha Chopra
Apprenticeship Unit
4 April 2014
What is an Apprenticeship?
• Apprenticeships are real jobs with training
• An apprenticeship is a way for young people to earn while
they learn in a real job, gaining a real qualification and a real
future
• Apprenticeships are available at Intermediate, Advanced and
Higher level, covering more than 170 industries and 1500 job
roles in sectors from Nursing to Graphic Design, Horticulture,
Electric Vehicle Engineering, Banking and Law
Apprenticeships are already highly successful…
• Apprenticeships are central to Government’s drive to give
people the skills employers need to grow and compete
• Government’s planned investment in 2013-14 is over £1.5bn
• Over 850,000 Apprenticeship participants in 2012/13
• Over 220,000 workplaces employ an apprentice
…providing strong returns for all parties
• Learners: Advanced Level apprentices earn between £77,000
and £117,000 more over their lifetime than those with lower
level qualifications; this rises to £150,000 for those doing
Higher Apprenticeships
• Employers: 70% report higher productivity and improved
quality of product/service
• Economy: National Audit Office Report estimates that adult
Apprenticeships deliver £18 of economic benefits for each £1
of Government investment
Higher Apprenticeships…
• 13,000 Higher Apprenticeship publicly funded participants in 2012/13 double the volume in 2011/12
• Since April 2013 can have degree and master’s level apprenticeships.
Degree-level Apprenticeships available in Broadcast Technology and
Airline Pilot Practice
• £25m Higher Apprenticeships Fund for around 30 projects, expected to
deliver over 22,000 new Higher Apprenticeships by 2015 in areas such as
renewable energy, advanced engineering, insurance and space
• £40m announced in 2013 Autumn Statement to deliver additional 20,000
Higher Apprenticeship starts over the academic years 2013/14 and
2014/15
• £20m announced in 2014 Budget announced in 2014-15 and 2015-16 for
support for employer investment in Apprenticeships up to postgraduate
level
Higher Apprenticeship funding…
• Current funding is complicated:
FE Qualifications
Levels 4-6
Levels 7
HE Qualifications
Levels 4-6
Levels 7
Professional
Qualifications
16-18
19+
Fully funded
No Government
funding
Co-funded
No Government
funding
HE tuition fee loan
No Government
funding,
HE tuition fee loan
No Government
funding
No Government
funding
No Government
funding
* doesn’t reflect Budget announcement
Higher Apprenticeships funding
But …
• The Budget announcement of support for employer
investment in Apprenticeships at degree and postgraduate
level will mean a move from HE fee loans to direct funding to
employers or HEIs
• We are working on what this means in practice so watch this
space
Why are we reforming Apprenticeships?
• To meet the needs of the future economy for years to come
• To ensure Apprenticeships are more rigorous and responsive
to the needs of employers following Richard Review
• Apprenticeships viewed with the same esteem as University.
We want it to become the norm for young people to go into
an Apprenticeship or go to University – or do both in the case
of some Higher Apprenticeships
• The changes will build on existing strengths
What are the main aims of the reforms?
High quality
Higher expectations of
English and Maths, more
assessment at end of
Apprenticeship and
introducing grading.
Simple
Complex frameworks to
be replaced by standards
of around one page
written by employers.
Employer driven
Ensuring rigorous
training that will
support economic
growth
What changes are we making to Apprenticeships?
• Standards designed by employers will replace existing
Frameworks
• New standards will be clear and concise, written by
employers and no more than a few pages long
• All Apprenticeships will have an end-point assessment
• Apprenticeships will be graded for the first time
• All Apprenticeships will last a minimum of 12 months
What are we doing on English and maths?
• English and maths are crucial skills for successful careers
• All new apprentices will have to study and take the test for
Level 2 English and maths (if not already achieved). If they are
doing Level 3 and above they will need to achieve Level 2
• Apprentices can meet the English and maths requirements
through Functional Skills or GCSE qualifications
• It is our ambition that once the reformed GCSEs are
implemented, Apprenticeships will use GCSEs rather than
Functional Skills to meet the English and maths requirements
What are we doing on assessment?
• Employer concerns that apprentices are able to pass
Apprenticeships but they do not judge them to be competent
• All new apprenticeships will have an end-point assessment apprentice will be required to demonstrate competency across the
whole standard
• End-point assessment will be synoptic – assessing skills and
knowledge in an integrated way – and will be graded
• Trailblazers will set out their high level approach to the end-point
assessment –what, how and who should assess
• Successful completion of an apprenticeship will require passing
pre-requisite qualifications, as stated on the standard, and passing
the end-point assessment
What changes are we making to the funding system?
• Giving employers the buying power by routing funding through
them via a model using HMRC systems
• Ensuring greater employer buy-in by introducing a compulsory
employer cash contribution…
….but with an additional support for the smallest employers and
in relation to employment of young (16 to 17 year old)
apprentices
• Technical consultation underway on the funding principles and
payment mechanism (closes 1 May) - would welcome your views
How will we deliver the reforms?
• Trailblazers are leading the way in implementing the reforms
• Trailblazers are led by large and small employers. They are
leading the way in developing new Apprenticeship standards
and assessment approaches for key occupations in their
sectors
• Over 400 employers are involved in the Trailblazers so far.
• They are building on what already exists to ensure that
professionalism and quality in training are the primary focus
What are your plans for Trailblazers?
• Our first Trailblazers are in the following sectors:
Aerospace
Automotive
Digital Industries
Electrotechnical
Energy & Utilities
Financial
Services
Food and Drink
Manufacturing
Life &Industrial
Sciences
• More than 80 employers are involved in the first phase of
Trailblazer projects
• They have successfully produced the first Apprenticeship
standards and can be viewed here:
www.apprenticeships.org.uk/standards
Higher Apprenticeship Standards
• Three of the new standards are Higher Apprenticeships, two
at Level 4 and one at Level 6:
Level 4
• Software Developer
http://www.apprenticeships.org.uk/~/media/Apprenticeshipstandards/Digital-Industries-SoftwareDeveloper.ashx
• Network Engineer
http://www.apprenticeships.org.uk/~/media/Apprenticeshipstandards/Digital-Industries-NetworkEngineer.ashx
Higher Apprenticeship Standards?
Level 6
• Relationship Manager (Banking)
http://www.apprenticeships.org.uk/~/media/Apprenticeshipstandards/FinancialServicesRelationshipManagerBanking.ashx
What are your plans for Trailblazers?
• As momentum grows, we have announced a second phase of
Trailblazers in 29 sectors.
Accountancy
Actuary
Adult Social
Care
Airworthiness
Automotive
Retail
Aviation
Butchery
Cinema
Civil Service
Construction
Conveyancing
Craft
Dental Health
Early Years
Emerging
Technologies
Hair and Beauty
Horticulture
Hospitality and
Tourism
Housing
Insurance
Land-based
Engineering
Law
Maritime
Media
Nursing
Property
Services
Rail Design
Retail
Travel
• If you are interested in getting involved, you can email:
apprenticeship.trailblazers@bis.gsi.gov.uk
What is the timetable for reform?
• The Trailblazers will pave the way for full implementation of
the reforms during 2015/16 and 2016/17
• The aim is that all new Apprenticeship starts from 2017/18
will be on the new programme
•
As the new standards are developed and agreed, we will
cease funding Apprenticeships under former frameworks
Where can I find out more?
• Funding consultation – deadline is Thursday 1 May.
• www.gov.uk/government/consultations/apprenticeshipfunding-reform-in-england-payment-mechanisms-andfunding-principles
• Trailblazers Guidance
• www.gov.uk/government/publications/future-ofapprenticeships-in-england-guidance-for-trailblazers
Delivering
Over
400
£117k
Extra income
earned by
someone who
completes a
Level 3
Apprenticeship
Employers
already involved
in redesigning
Apprenticeships
Return for every
pound that
Government
invests in
Apprenticeships
£1
£28
8 out of 11
Apprenticeships
Over
1.6m
Workplaces
already offering
Apprenticeships
Industrial Strategy
sectors already
covered by our
Trailblazers
Over
700
Different job
roles where you
can already do an
Apprenticeship.
By 2017/18
Over
220,000
At least 12
months
Duration for new
Apprenticeships
84%
49,000
Level of employer
satisfaction with
Apprenticeships
Apprenticeships
in smaller
businesses
supported by the
Grant for
Employers
£1.5 bn
Amount we
invested in
Apprenticeships
last year
Apprenticeship
starts this
Parliament. We
are committed to
delivering at least
2 million.
All
Apprenticeship
starts will be on
new employer-led
standards
New
Higher
Apprenticeships
In occupations like
space engineer and
pilot
£1.8bn
Added to economy
by apprentices
Over
20,000
Apprenticeships
pledged during
National
Apprenticeships
Week 2014
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Contact Details:
Natasha.Chopra@bis.gsi.gov.uk
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