Apprenticeship reform ‘failing on every level’
The number of apprenticeships in the county has dropped to the lowest level since the Government carried out a shake-up of the system, figures show.
HR body the Chartered Institute of Personnel and Development says a national drop in new starts shows the apprenticeship levy, introduced in 2017, has “failed on all key measures”.
Department for Education data shows people living in Shropshire started 2,680 apprenticeships in the 2019-20 academic year.
That was down 21 per cent from 3,400 in the previous year, and a 33 per cent fall from the 4,000 in 2016-17, when the levy came into effect.
People living in Telford and Wrekin started 1,360 apprenticeships in the 2019-20 academic year. That was down 20 per cent from 1,690 in the previous year, and a 36 per cent fall from the 2,110 in 2016-17.
Across England, 322,500 apprenticeships started last year – dropping by 18 per cent from 393,400 in 2018-19, and more than a third from 494,900 in 2016-17.
The DfE cautioned the latest figures – which cover the academic year from August to July – were impacted by the coronavirus pandemic.
But it said the number of apprenticeships started across England in the academic year, up to March 22, 2020, was still seven per cent lower compared to the same period in 2018-19.
Critics say the apprenticeship levy – a tax larger businesses pay towards a national fund for the training of apprentices – has caused confusion for employers.
Peter Cheese, chief executive of the CIPD, said: “On all key measures the apprenticeship levy has failed and is even acting to constrain firms’ investment in apprenticeships and skills more broadly.
“It appears to have achieved the opposite of its objectives.”
The DfE said it will make improvements to the apprenticeship levy in response to employers’ feedback.
