Aelp National Conference 2018

AELP NATIONAL CONFERENCE 2018

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Monday 25 & Tuesday 26 June 2018 | Novotel London West, Hammersmith

Book Your Place! The themes to be discussed at this year’s AELP National Conference offer up a variety of essential topics for all those working in the skills and employability sector.

For further information,Only please a week visit the National Conference website www.aelpnationalconference.org.uk to go! The conference will deliver a packed programme over two days. Including a stellar line-up of high- level and knowledgeable speakers Within the programme of speakers in from across the sector, whether attendance, we are delighted to have on the main platform or within the 28 workshops; the AELP National invited a number of employers on day Conference offers something for all. two of the conference to hear how they Visit aelpnationalconference.org.uk are tackling the skills challenge. to view full agendas. Employers Grant Thornton, Aktrion, British Airways and IBM will be discussing the ‘Opportunities and challenges for employers under the reforms’; a must-see session for all delegates.

Do not miss out on your opportunity to attend the AELP National Conference, one of the key strategic events within the skills and employability sector calendar! Open to both AELP members and non-members.

 0117 947 2097  [email protected]  www.aelpnationalconference.org.uk  @AELP  #aelpnc18 2 www.ncfe.org.uk AELP NATIONAL CONFERENCE 2018

No change… and that’s good!

FE Week is the only newspaper dedicated to the further education and to her by officials, adding reference “against advice from officials” – that lack of potential assessors. skills sector in England. to careers advice near the end (take she didn’t expect pick-up on starts At the AELP conference next year note, speechwriter!) until September. I’m willing to bet the employer fees Editor: Nick Linford The lengthy ministerial Q&A was So even if Mark Dawe, AELP’s U-turn debate will feel a distant Head designer: Nicky Phillips NICK LINFORD welcome, with delegates keen to chief executive, follows through on memory, and the new barrier will be Designer: Matthew Willsone [email protected] probe on the usual range of issues his threat to “almost daily” remind to capacity in the new assessment Features editor: Cath Murray and concerns relating to apprentices. the minister of the need for change, system. Deputy editor: Paul Offord Overall it felt very much like she there is no sign of it any time soon. Oh, and problems with Reporters: Alix Robertson Excitement has been building ahead is still in listening mode, but doesn’t As regular FE Week readers implementing AEB devolution… Billy Camden of the speech from the skills minister, will know, I think it is far too soon See you in 2019! Jude Burke Anne Milton, at AELP’s annual to panic about apprenticeships Pippa Allen-Kinross conference. “Any hope of numbers, and even Jason Holt, Photographer: Ellis O’Brien There was a chance the speech representing small employers, is Sponsored by Financials: Helen Neilly would be used to announce a change came warning that a change in direction Sales executive: Bridget Stockdale dramatic policy U-turn: scrapping on fees would be premature. Administration: Georgina Heath non-levy employer contributions for to nothing” Another highlight that I suspect PA to MD: Victoria Boyle at least some apprenticeships. we shall return to were the warnings And it has been many years believe the evidence is clear yet that from Sally Collier, the chief executive Managing director: Shane Mann since I can remember an FE any policy change is needed. from Ofqual. minister making a genuinely new She talked about being “able to Coming onto the main stage after announcement in a conference demonstrate causality” – so I expect Sir Gerry Berragan had claimed A supplement produced by speech. a bunch more AELP surveys in the that within a few years hundreds But any hope of announcements coming weeks. of thousands of apprentices came to nothing. Ms Milton appeared And several months ago the will be going through end-point to mostly stick to the script given minister said in a webinar with me – assessments, Ms Collier warned of a

Esme Navigating the changing Winch landscape of technical education Managing Director, NCFE

The much-awaited T Level consultation. After initially giving Change is the name of the game in until 2020. This is welcome news and started reviewing the funding bands consultation response arrived over everyone a week to respond (over half education at the moment and as well it’s encouraging to see that the DfE for 31 standards which are already the May bank holiday weekend, and term), the deadline for responses has as the introduction of T Levels, we are willing to hit the pause button and approved for delivery. The IfA will after months of silence on the issue, been extended twice and is now 29 also have the ongoing apprenticeship allow providers to choose what they pass its recommendations to the DfE, we now have a clearer idea of the June 2018. reforms with the gradual migration of see fit for their learners. who takes the final decision on all policy and how and when it will be The DfE has also started engaging frameworks to standards. From 1 August this year, we’ll also funding bands. There’s no date given implemented. Awarding Organisations (AO) in At NCFE, we understand the have an amended apprenticeship for the close of the review, but as it The development of T Level policy came hot on the heels of the release has been an unusual process, and a of the new funding bands, it’s our ministerial direction to stick to a 2020 “We’ll be working with government, the IfA, expectation for these new bands to implementation of the first routes be in place for 1 August and the new was the latest extraordinary twist. our partners and centres to give T Levels the academic year. Jonathan Slater, the Department for As always, we believe in being open Education (DfE) Permanent Secretary, best chance to succeed, despite the unusual and honest with our customers and wrote to Damian Green to request ensure we communicate changes and a delay to T Level implementation. and turbulent nature of the policy” developments as soon as possible. To The fact that the Education Secretary make sure that we can support our insisted on sticking to the timeline for relation to the tender process, as a importance of clarity and support funding regime for new starts on customers with the ongoing reforms, implementation is now a matter of single AO will deliver T Levels for when it comes to navigating reform apprenticeship frameworks and we are part of various trailblazer public record, and the pressure for the each route (or part of a route). and accommodating change. We’re standards, increasing the number groups in which we share knowledge, first three routes to succeed is greater Timescales are challenging, and uniquely set to support the most of funding bands from 15 to 30. The advice and support to centres, than ever. there is a lot of detail still to be recent announcements from the DfE continues to expect employers to employers and training providers. The consultation response itself worked out and we owe it to the first T DfE, with a range of qualifications negotiate a price for their apprentice’s We’re here to support and guide was a long document, and whilst level learners, currently coming to the for apprenticeship frameworks, training and assessment, in the our customers through the changing we did learn some new details, it end of year 9, to get things right. We’ll and a growing range of end-point knowledge that the funding bands landscape of technical education seems the DfE will largely proceed as be working with government, the assessment (EPA) solutions for set the maximum amount that the and have a range of solutions so proposed. IfA, our partners and centres to give apprenticeship standards. The DfE government is prepared to contribute that learners are getting the very The Institute for Apprenticeships T Levels the best chance to succeed, has halted turning off apprenticeship towards off-the-job training and best training to prepare them for, (IfA) released outline content for the despite the unusual and turbulent frameworks, saying that they won’t assessment for each apprenticeship. and support them in, their chosen first T Levels, alongside yet another nature of the policy. withdraw any further frameworks However, alongside this, the IfA has industry and profession. @NCFE @FEWEEK WWW.FEWEEK.CO.UK 3 Now is the time to reform the levy

“AELP remains a staunch supporter of the levy itself”

BILLY CAMDEN which was less than two months after the continuous falls and there are no “If this were to happen, we think it closely at the best practice guidance [email protected] the levy funding system had been surprises”. would make a huge difference because on subcontracting which AELP, introduced – ‘AELP is already receiving “But what does surprise us is why the 10-per-cent financial contribution Collab Group and Holex published reports that non-levy start numbers after so many months of woeful is proving to be too much of a barrier at the beginning of this year and in The AELP is a “staunch supporter” are plummeting’. numbers, the government has so far for thousands of small businesses particular our recommended cap on of the apprenticeship levy, but it “Now when I used the word chosen not to act,” he added. already facing other additional costs management fees which should be believes reform is urgently needed to ‘plummeting’, I’m not sure I had Mr Dunford said AELP is not only such as the increases in business rates,” no greater than 20 per cent unless turnaround the drastically low starts in mind a fall of over 50 per cent, interested in total starts. Mr Dunford told delegates. justified in a transparent way and numbers. which is of course what the latest Instead, “it is about getting the He also offered a word on how in exceptional circumstances,” he Martin Dunford, its chair, told his monthly statistics are reporting for all balance of apprenticeship provision integral independent training continued. members at conference that they apprenticeships. right within a finite budget from level providers are to the apprenticeship AELP is aware of one mayoral will continue to back the policy and “But these terrible figures have two to level seven and a programme market. combined authority which is “seriously it is “far too soon” to consider using been part of a consistent pattern of that really supports the career For the third successive year, considering adopting the cap” for its its proceeds to fund other forms of decline over many months, and AELP aspirations of people of all ages and independent training providers are devolved AEB programme, and “we training – as some in the sector want. is estimating that 206,000 starts per employers of all sizes who wish to offer delivering three out of every four believe that the ESFA should now However, after months of “terrible quarter are now needed until the end apprenticeships”. apprenticeships in England, he said. actually incorporate it into its funding figures”, it is now “time for action”. of March 2020 for the government AELP has been advocating for some It is “noteworthy” that there rules for all skills programmes”. “AELP remains a staunch supporter to achieve its three million manifesto time for an immediate suspension has been “little change” in the Without “firm rules in place”, those of the levy itself,” Mr Dunford said in target instead of the 77,000 achieved in of employer contributions for 16- to proportion of starts which are being opposed to subcontracting altogether his opening address. the last recorded quarter.” 24-year-old apprentices at levels two subcontracted out, he claimed. “might win their argument which “But let me give you a direct quote The AELP member survey 2018 and three by non-levy payers or those “Therefore the MPs on the education in our view would be disastrous for from my speech here 12 months ago (see page 14) shows the “reasons for employers that exceed their levy. select committee would do well to look employers and learners”. 4 www.ncfe.org.uk AELP NATIONAL CONFERENCE 2018 Milton offers no concessions on employer fees

BILLY CAMDEN [email protected]

Issues with the 10-per-cent fee that small businesses must pay when they “I’m sorry I’ve take on apprentices have been “noted”, but there will be no announcement on a rule change anytime soon, the skills not made any big minister has said. There was a lot of anticipation over whether Anne Milton would scrap the announcement” fee altogether during her speech at the AELP national conference, after she told FE Week she was “keeping an open mind” on the policy last week. She did not rule out binning it, but told delegates she is not sure the co-investment is the real reason for the sluggish apprenticeship starts numbers. “I’m sorry I’ve not made any big announcement but I see this conference as an important opportunity to gather your thoughts and feedback,” Ms Milton said. “Co- investment for 16- to 24-year-olds, noted.” Addressing the policy again in a Q&A session following her speech, she said: “What one battles with and all governments do is to demonstrate causality. “I think that is a hard thing here. If you took away the 10-per-cent co- investment there would be less money in the pot to do apprenticeships. You get less apprentices for your money. “But it is about demonstrating causality and that us the key for me. When you have a lot of other factors out there it is quite hard to demonstrate.” AELP boss Mark Dawe hit back at Ms Milton’s claim. “Providers take the 10-per-cent hit so there would be no impact on numbers,” he said. she isn’t “offering any solutions”. Smaller employers can also access Since last May, only 16- to 18-year- starts have fallen so much since the “Numbers are a concern but at the “It’s been a year, numbers are down, the funds generated through the levy, olds at employers with fewer than 50 introduction of the levy. moment it is from lack of demand and we need some action,” he said. although they must pay 10-per-cent staff are fully funded and therefore free Latest figures show that starts we need to change that. The apprenticeship levy is paid by towards the cost of the training. to train. for March were down 52-per-cent “We will be in almost daily employers with an annual payroll of £3 There was no mandatory charge The AELP has been heavily compared with the same period in 2017. communication on this matter.” million or more, who can then spend before May last year, simply an campaigning to remove the 10-per- Jason Holt, the chief executive of He added that it is good that the their contributions on apprenticeship assumed contribution for apprentices cent rule as it believes it puts SMEs off levy-payer HoltsGroup and the chair minister was “here and listening” but training. aged 19 and over. apprenticeships, and is the reason why of the Apprenticeship Ambassador @NCFE @FEWEEK WWW.FEWEEK.CO.UK 5 Shadow minister Milton offers no concessions on employer fees ‘disappointed’

JUDE BURKE “It’s not a question of percentages, [email protected] it’s a question of clarity for employers as to what that means,” he said. Other topics Mr Marsden will The skills minister should have the touch on during his speech tomorrow “courage of her convictions” and say include traineeships, and reiterating whether she actually plans to change his support for the programme, and the 10 per cent apprenticeship co- T-levels. investment rule for small employers, “We will be asking strong questions her shadow counterpart is set to say about where T-levels are fitting into tomorrow. the whole family of what FE providers Gordon Marsden is due to address are being asked to engage with, and delegates on day two of the AELP where they fit in the post-18 review,” national conference. he said. Speaking to FE Week ahead of his This will include the need for slot, he said it was “very disappointing” greater clarity around “how easy it is that the skills minister “didn’t at least for young people to move across from say that she would look seriously at them and other qualifications, whether proposals” to change the requirement, we’re talking about BTECs or whether despite mounting evidence that it is we’re talking about A-levels”. holding back apprenticeship starts. He will stress the importance of “To say that it’s been “noted” is service sector skills and the need for classic civil service language for saying “proper programmes for progression they’re not going to proceed on the from level two”. matter,” he told FE Week. Mr Marsden will also touch on “If that was the coded message Labour’s plans for a national education maybe she should have the courage of service and “how it might work and her convictions and say it straight out.” the implications of that for issues On the matter of the 20 per cent like devolution and also in terms of off-the-job training rule – another T-levels”. contentious issue for providers – Mr The service will “make it easier Marsden will stress the need for more for us to engage with some of the clarity over what does and doesn’t devolution options for skills,” Mr count. Marsden said.

Network, recognises that the 10-per- and the apprenticeship programme,” costs them nearly £3,000 could be cent “can be a turn off” but he believes he told FE Week. prohibitive. The contribution can be a it should stay put. “I completely sympaphise with turn off. “I have apprentices in junior it being a barrier and there is a lot “But I think we change the rules manufacturing and programming of supporting evidence to say that far too quickly so let’s stick with what and I am happy to pay the 10-per-cent charging the 10-per-cent is prohibitive. we have, give it a go, and then take a because it is worthwhile for all the “I understand that for SMEs view over time rather than a knee jerk Gordon Marsden benefits I get from those apprentices a £27,000 apprenticeship which reaction.” 6 www.ncfe.org.uk AELP NATIONAL CONFERENCE 2018 New ESFA boss chooses conference speech to raise issue of role in compliance

BILLY CAMDEN Just as you know we knock at your The team is expected to providers. way that has the least impact on your [email protected] door the NAO and Public Accounts review “financial statements and “We want a preemptive approach operation. Committee quite rightly knock on management reports to ensure funds ensure sustainability that seeks to “There are always going to be ours. are used for the proper purposes avoid future risks,” Ms Milner told instances where we have to come The Education and Skills Funding “We seek to prevent problems from and potential areas of irregular AELP delegates. in and investigate and provide Agency is strengthening its audit and the outset by working with you.” expenditure is identified”. “I am a realist and know there intervention.” intervention team to ensure its cash is The ESFA’s audit and intervention It comes in response to are always going to be issues and She added that it is the ESFA’s used “appropriately” – as the National team will operate directly under considerable numbers of untried and concerns. “responsibility” to “ensure the money Audit Office is likely to come knocking. the leadership of Matt Atkinson, the untested providers that have hit the “The earlier that we can detect that we disperse is used properly to Eileen Milner, the agency’s chief agency’s director of provider market market recently, for example through these the greater chance we have to provide high-quality education and executive, used her speech at today’s oversight. the register of apprenticeship training resolve them in a straightforward training”. AELP conference to warn providers that they will be investigated and removed from the sector if any misuse of government funds is found. She said its newly created “market oversight unit”, which FE Week revealed was being beefed up last “We seek to prevent month amid mounting concerns about new providers entering the sector, would be critical to this. problems from the outset She then interestingly admitted that the team and this crackdown on oversight is being launched as by working with you” a preemptive measure in case of possible investigations into the agency by the National Audit Office and Public Accounts Committee. “It is my duty as the accounting officer to make sure that we assess and address any risks that may have adverse impact on sustainability and quality in education and skills,” Ms Milner said. “We do this through our provider market oversight function which has at its heart an assurance programme. “As ESFA-funded providers it is critical that we are able to provide assurance that the funds provided by us are spent and governed appropriately. “We carry out funding audits and look at a considerable amount of data all year round because we need to be alert to any issues at the earliest possible opportunity. We are prioritising this as an activity that the ESFA undertakes. “We appreciate the cooperation that you show with these activities. @NCFE @FEWEEK WWW.FEWEEK.CO.UK 7

Paul Joyce: Ofsted is not happy New ESFA boss chooses conference with its early monitoring visits

BILLY CAMDEN speech to raise issue of role in compliance [email protected]

It is in “all of our interests that what information they will need to The results of the early monitoring where there are instances where monitor key behavioural risks and visits to new apprenticeship we see this being compromised that spot signals that these risks may be providers are “concerning”, Ofsted’s we should be able to act quickly and maturing,” its report said. deputy director for FE has said, after remove providers from the sector who “While they might reasonably a quarter were given ‘insufficient are bringing it into disrepute”. expect the vast majority of employers, progress’ verdicts. The National Audit Office expressed training providers and assessment Paul Joyce hit out at the newcomers concern at the potential for abuse of bodies to act properly in response in his speech at the AELP conference the apprenticeship system back in to apprenticeship reforms, a small today, asserting that apprentices 2016. minority may behave in unintended “deserve better than that”. “DfE and the SFA are yet to establish ways.” “Our monitoring visits to new directly funded providers are designed to give an early assessment of the quality of provision,” he told delegates. “I have to say that the outcomes to date are concerning. Around a “We seek to prevent quarter of the judgements inspectors have awarded have been ‘insufficient progress’ – meaning that providers problems from the outset are making slow progress and the demonstrable impact on learners has been negligible. behaviours that are beneficial to them failing providers. by working with you” “Apprentices deserve better than and their employers,” he said. “We continue to talk with the DfE that. “In the best examples, apprentices and ESFA about how best to monitor “This is a concern to me and Ofsted and employers are extremely the new apprenticeship providers,” continues to work closely with the complimentary about the high-quality he said. Department for Education and the training, excellent resources and the “That is in terms of our resources Education and Skills Funding Agency support and guidance provided by and conversations in terms of their to discuss and agree arrangements for experienced training provider staff.” intervention policy as a result of our the quality monitoring of these new However, it is “less pleasing to see judgements. directly funded providers.” existing employees with almost all “Those negotiations are Numerous new providers have the knowledge, skills and behaviours continuing, progressing well, and failed to come up to scratch over the required for the apprenticeship being I am expecting the DfE to make a last few months – including Mears recruited as apprentices and a train- policy announcement imminently in Learning, Watertrain Limited, Key6 to-gain, assessment-only programme relation to their intervention policy, Group, Mooreskills, and Apprentice delivered”. and I do hope to hear very soon about Team. “Or where the quality of training the additional resources we are likely Perhaps the most damning report provided is simply not good enough, to get to carry out more monitoring was for Key6, whose training Ofsted where training is not well planned or visits.” described as “not fit for purpose”. coordinated and where apprentices FE Week revealed last month that The ESFA banned it from delivery, and employers feel let down,” he the watchdog will soon be given as but this only lasted for two months. continued. much as £7 million to visit every new Mr Joyce pointed out that the “Wherever inspectors come across apprenticeship provider. monitoring visits show a “really mixed this substandard provision, they Critically, it will also have the picture in relation to quality”. will have no hesitation in reporting final say over quality, after the skills “It has been pleasing to see some insufficient progress.” minister Anne Milton admitted new providers making significant Speaking to FE Week after his in May to the education select progress and apprentices receiving speech, Mr Joyce said he is expecting committee that it wasn’t clear who high-quality training that develops a policy announcement “imminently” was accountable for quality at these substantial new knowledge, skills and in relation to intervention at these new providers. End-point assessment • We’re on the Skills Funding Agency’s Register of “ Our new apprenticeship programmes are providing Apprentice Assessment Organisations (RoAAO) for 16 standards. new opportunities for our people and we’re • There’s no charge to the provider until learners go pleased to be working in partnership with NCFE to through Gateway. offer these nationally recognised qualifications.” • We offer a clear and transparent pricing structure. Richard Turner, Talent Delivery • We have dedicated experts on hand to answer Manager at Virgin Trains your questions. • A large range of EPA support materials are available if you contract with us.

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is worth reassuring us that EQA is heading in the right direction.” EQA is the process that ensures apprenticeship assessments are IfA boss comes out fighting consistent and reliable, and that they deliver the right outcomes. There are currently 10 organisations cleared to do this, PAUL OFFORD “streamline the approvals process”, 400 by the end of the financial year. “quite frustrated”, and 24 per cent and “probably” “around 30” looking [email protected] after employers and providers “The often heard complaints complained it had a “significant ahead. complained that the process was too that there aren’t enough standards negative impact on our business”. The IfA has proved to be the slow. available are beginning to look Skills minister Anne Milton most popular EQA option. Sir Gerry The Institute for Apprenticeships is “In the final six months of 2017, decidedly shaky – people will have has told FE Week that the IfA had explained how his organisation will actually on track to achieve the rapid 37 standards were approved for to find other reasons as to why they “definitely got faster and better”, but start charging for the service. improvement in apprenticeship delivery, but in the first six months think the reforms aren’t working.” “probably not” fast enough. “Legislation passed last December standards approval it had promised, of this year, there have 72 approved Sir Gerry spoke after the results “I have been in there with a big allows us to charge up to £56 per its boss Sir Gerry Berragan has so far – over a 95 per cent increase,” of a live vote with delegates were stick,” she added (See cartoon). apprentice [for EQA], but this is a claimed. said Sir Gerry. shown on stage. Standards, which are developed maximum,” he said. “We will try to He told delegates at the “My suspicion is that figure will They were asked if the pace by trailblazer groups of employers, get our cost well under that” and Association for Employment end up around 90 before the end of of standards roll-out had contain the skills, knowledge and ensure “adequate notice” is given to and Learning Providers’ national this month. negatively affected the amount of behaviours an apprentice will need those who will have to pay. conference that there had been good “290 standards were approved for apprenticeship provision they could to have learned by the end of their As for the apprenticeship funding progress in 2018. delivery today and I think it will be deliver. apprenticeship. bands, “over the coming weeks, we He launched a “faster and over 300 by the end of this month. Only 21 per cent said “no”, while 38 Sir Gerry also spoke positively will look at improving feedback to better” campaign in December to I’m confident that figure will be over per cent agreed it had left employers about external quality-assurance: “It trailblazers on how we have reached

“People will have to find other reasons as to why they think the reforms aren’t working” @NCFE @FEWEEK WWW.FEWEEK.CO.UK 11

our funding recommendations”, he including when the provider quotes said. “for ineligible costs”. “We want to provide greater The government has asked the IfA transparency, while still allowing our to review funding bands for some panels and the approvals committee existing standards, he confirmed. to have free and frank discussions.” “This will help ensure He conceded that “employers are employers can access high quality sometimes frustrated when our final apprenticeships that offer best value funding band recommendation is for money. We are working with lower than the quotes the training trailblazers to carry out this review provider has given”. in an open and balanced and fair This happens for various reasons, way.”

Multiple-choice poll

Has the pace of the roll-out of 1 2 4 apprenticeship standards negatively impacted on the amount of apprenticeship provision you can deliver:

No, it hasn’t at all 21 %

Yes, a little bit 17 %

Yes, to the extent that some employers who are quite frustrated 38 %

Yes, it has had a significant negative impact on our business 24 % Sally Collier: Ofqual needs help assessing good EQA

PAUL OFFORD look at this over the coming months,” “As I’ve said many times – we are [email protected] said Ms Collier. not lowering the quality bar, but we FE Week has repeatedly reported are looking at that process from the on complaints about apprenticeship organisation’s point of view,” said The chief exams regulator wants standards being approved for the chief regulator. “Can it be slicker, help keeping tabs on apprenticeship use before EPAs and assessor can it be quicker, can it be easier to end-point assessment and has fresh organisations were in place to carry navigate? concerns about capacity. them out. “And how to support organisation Ofqual boss Sally Collier extended The DfE claimed in April that the in deciding whether an EQA provided Cartoon from FE Week edition 249 an invitation at the AELP national situation had improved markedly, and by us is right for them?” conference for delegates to join an that 99.1 per cent of all apprentices She also discussed the efficiency of expert panel that looks into technical were on standards with at least one the qualifications market. issues surrounding EPA. end-point assessment organisation, “In our statutory objectives, we “A plea from me today: if you would rising to 99.7 per cent for those due to have one about the efficient running like to join our panel of experts in finish within the next 12 months. of the qualifications market, and we assessing those technical materials Delegates also heard from Ms are going to be taking some proactive from a functional point of view, not Collier about external quality- steps in this space,” she said. from an assessment point of view, we assurance for EPAs. “We are going to be launching a call would love to hear from you and we EQA providers oversee EPA for evidence and we are interested would love to work with you,” she said. assessment procedures and to know from those of you who buy She admitted harbouring doubts employer groups who develop new qualifications – whether you can about how well the system is apprenticeships can choose the body find and compare prices easily and currently working. that regulates their standards. whether you know what you are “In terms of the ongoing regulation They can opt for one of four getting for your money. of EPAs, one of the things that we are different EQA options: Ofqual, the “We also want to know from concerned about at the moment is Institute for Apprenticeships, a awarding organisations what you assessor capability and capacity, and professional body, or an employer- think of our current rules on price we will have a programme of work to designed option. transparency.” 12 www.ncfe.org.uk AELP NATIONAL CONFERENCE 2018

AEB devolution: It’s all about managing your risks

“If you lose all that AEB centrally, what are we going to replace it with?”

JUDE BURKE funding to colleges in their areas, [email protected] while others will move to a full and open competitive tender. “Whether you come in from Providers will need to “manage their outside or whether you come in risks” ahead of the devolution of the from inside, you’re going to have to adult education budget as there are demonstrate whatever they ask – and “so many unknowns”, a skills expert that’s the big unknown,” he added. has warned. Some areas, such as London, have But, according to Gareth Thomas, said they want to focus on outcomes the managing director of Skills and such as progression into work – Employment Support Limited, there so “if I was a provider hoping to are also opportunities for providers deliver in London, what data would to “shape what’s happening”. I be collecting now? Employment “I think there’re so many outcome data”. unknowns across the policy area But other areas are less open about at the moment,” Mr Thomas told what they’re looking for, in which delegates during a workshop on the case it’s up to providers “to decide first day of the AELP conference. for yourselves what data you think “The best thing to do is to manage they’re going to want”. your risk at the moment. You can To further complicate matters, calculate what your potential impact some providers could find is,” he said. themselves “holding contracts “If you lose all that AEB centrally, with maybe four or five devolved what are we going to replace it with? places, without even being a massive What proportion are we going to provider”, depending on where get? What outcomes are we going they’re based. to get?” “The big national providers, you’re Seven mayoral areas will get going to have to have a team of control of their AEB budget from people to manage your relationships, 2019/20, and they will need to go out your bidding, and it’s starting to think to tender by September in order to about the timing of that, because have contracts in place for then, he they won’t all happen at the same But, he said, if the authorities still happening in your locality”. “Crudely, get off your backsides said. time,” he continued. “Get as close to “don’t know what funding model “If you’re confident in your and go and engage with them if you He warned there’s likely to be a everybody as you can at the moment. they want, they don’t know what they delivery, and you understand the haven’t already, because it’s not too “bun fight” in the next few months “You’re going to have manage want to buy and they’ve got to have combined authorities, you could be in late,” he said. “about how the different localities go multiple relationships, which is a it all nailed down by September” a really good place.” Once devolution has kicked in, to market with that money”. pain. Make sure you’ve got the right this means “there is a really good He urged providers to influence providers’ allocations for non- Some will continue to offer block people managing them.” opportunity to shape what’s procurement and budget setting. devolved areas will be based on the @NCFE @FEWEEK WWW.FEWEEK.CO.UK 13

AEB devolution: It’s all about managing your risks Jason Holt: Let’s refocus apprenticeships on SMEs

JUDE BURKE of noise,” he said. apprenticeships on a more local [email protected] “That’s not good for small basis,” he continued. businesses. They need a more Local partnerships, such as those streamlined approach,” he said. with the Apprenticeship Ambassador It’s time to “recalibrate” Mr Holt was named chair of the Network and AELP’s regional apprenticeships so that they focus ambassador network in March, networks, are “best placed” to do this. on small employers, the chair of the replacing its disgraced former chair They can “factor in local skills Apprenticeship Ambassador Network David Meller. strategies, boosting opportunities to has said. He’s long championed apprentices increase diversity in apprenticeships, Jason Holt, who has also been in small businesses, having authored a involving local employers, local apprenticeships ambassador for 2012 government review on the issue. enterprise partnerships and training small businesses, believes that small There, he found that “ambassadors providers,” he said. companies need a “simple and and influence with employers” were Mr Holt cited research from the easy” approach from providers and vital “to getting the right message Federation of Small Businesses government. across” – just as they are now. that found 24 per cent of small Small employers “think that the “Apprenticeships are key to the employers already employ at least spotlight has focused too much on growth and success of SMEs,” he said. one apprentice, while a further 24 per levy-payers”. They have an “absolute appetite” for cent would consider taking one on in “It’s now time to recalibrate the apprenticeships, and are “investing the future. apprenticeship focal point so that significant time and money, far more “With millions of SMEs to reach out SMEs sit within the cross wires, to in proportion than a large company”. to, there a massive opportunity to get show that the reforms can work for But to boost numbers in small more of them engaged,” he said. all sizes of business,” he added. employers, it is vital to work on a local “The benefits of apprenticeships for “Stakeholders are approaching level rather than national level. SMEs are compelling. Working with businesses in lots of different ways. “We need to make sure we you we can get SMEs fired up to play There’s lots of duplication. There’s lots think about SME engagement with their part.”

proportion of their learners who live “Look at that gap that is going in those areas. to come. What are you going to do Providers should be “proactive” about that?” he asked. and work out what proportion of “Whatever you do, be proactive. their AEB they will still receive from Otherwise it’s going to happen to the ESFA and what they will have to you, and I fear for those who aren’t bid for. proactive.” 14 www.ncfe.org.uk AELP NATIONAL CONFERENCE 2018

Apprenticeship provision is changing. More Three quarters of providers than half see a shift in learner volumes and/or client bases

60% 55% 53% 50% unhappy with non-levy 42% 40% 37% 36% 31% 30%

20% apprenticeship funding 12% 10% 10%

0% There'll be a Our client We'll have a Our We'll have a Our average We'll have a Our shift in the base is higher geographic higher learner age higher geographic volumes of shifting from proportion of reach is proportion of is increasing proportion of reach is learners in non-levy/ Level 4's increasing Level 3's from pre-24 Level 2's increasing BILLY CAMDEN simply went out of business. Just 11 per cent of respondents each sector SME's to from local to to post-24 from or levy/ large more regional/ [email protected] Seventy-three per cent of the 246 said the apprenticeship reforms are occupational employers regional/ national to area that we national more local providers who responded to AELP’s generally going well. deliver survey complained the £650 million “None of these findings come as Q13. In what ways, if any, is your apprenticeship provision changing? Base: All respondents who are apprenticeship providers excl. Don’t know/ None (n=164) Almost three quarters of training fund is “insufficient”. any surprise as we’ve been feeding providers are unhappy with the There are several other serious back similar anecdotal evidence amount of non-levy apprenticeship issues to resolve in the roll-out of for months from regional meetings funding available, claiming it is the government’s apprenticeship to ministers and officials on why “insufficient” to meet demand from reforms. apprenticeship starts have been Balance of delivery between Standards small businesses. Seventy-seven per cent still believe dropping so sharply,” said AELP boss and Frameworks A new AELP survey, published that employers are struggling to Mark Dawe. on the second day of its national understand and engage with the new “But while AELP remains conference in London, reveals that apprenticeship system. supportive of the apprenticeship 50% the apprenticeship money set aside Meanwhile, 72 per cent said there policy, the levy itself and standards, 40% 40% for SMEs this year is vastly lacking. are not enough new apprenticeship the survey results do underline the The government has allocated up standards in place, and 82 per cent so sheer scale of the challenges and the 30% to £650 million for the 15 months not think there are enough end-point urgent need to make changes to the 21% 20% 14% between this January and the end assessment programmes available. way that the apprenticeship reforms 12% 13% of next March – a major fall on the The Institute for Apprenticeships have been introduced.” 10% £1 billion that was available to small introduced its “faster and better” Seeing these concerns borne out 0% businesses in the previous 12-month process for approving standards in black and white goes “a long way” All frameworks Three quarters Half and half One quarter All standards frameworks, frameworks, period. earlier this year but AELP’s survey to explain why the latest official set one quarter three quarters And in order to get their hands reveals that 60 per cent of providers of apprenticeship start numbers are standards standards on a portion of this year’s cash, are still doing the bulk of their over 50 per cent down on a year ago, Q14. Approximately what proportions of frameworks and standards are you currently offering? Base: All respondents who are apprenticeship providers excl. Don’t know/ Not applicable (n=195) providers had to endure a shambolic training under the old apprenticeship AELP believes. procurement process – which saw frameworks. Over half of providers are changing some defunct providers winning Only 27 per cent have been able to how they deliver apprenticeships in contracts while ‘outstanding’ ones move the majority of their provision response to the reforms. missed out. Several small providers to standards. Fifty-five per cent are moving their Number of employers engaged provision across to a different sector or occupational area, while 53 per Total no. of employers = 106,602 cent are seeing their delivery switch 50% 48% over more to the large levy-paying Extrapolation with weighting: AELP members work with 379,116 employers 39% employers. 40% Additionally, 42 per cent say the reforms are prompting them to run 30% more higher-level apprenticeship 14% programmes in response to employer 20% demand. 10% Mr Dawe said the switch to higher- 6% 5% 2% 1% level apprenticeships is “good for the 0% programme’s reputation, but we have ≤100 101-1000 1001-2000 2001-5000 5001-10,000 10,001-50,000

Q06. Approximately how many individual employers does your organisation engage with across all programmes? to get the balance of provision right Base: All respondents who are providers excl. Don’t know (n=200) from level two to levels six and seven”. “As the recent AELP policy submission showed, it’s vital for added. non-levy payers or those employers a post-Brexit economy and social “This is why AELP is calling for an that exceed their levy.” mobility that lower level provision immediate suspension of employer AELP has over 900 members who isn’t abandoned and this means contributions for 16- to 24-year-old serve 380,000 employers across the getting the way it’s funded right,” he apprentices at levels two and three by country. @NCFE @FEWEEK WWW.FEWEEK.CO.UK 15

Should Anne Milton have removed the 10% employer contribution?

The minister has refused to drop the ten per cent fee that small businesses must pay when they take on apprentices, despite vocal demands from Mark Dawe. But do AELP’s members all agree that Anne Milton should have scrapped the contribution? We went asking…

Absolutely. There’s a huge call for it. It’s a challenging I do think it’s an employer’s responsibility to pay for some and complex question for lots of sectors. For small of their training. I may be of the old school but certainly businesses, that 10 per cent represents a significant I paid for my own apprenticeship many years ago and investment. I understand the rationale, but I think for I think it sets the standard for the future. So long as 16- to 24-year-olds in particular, or for micro-businesses employers get things free, they’ll always want them free, where £100, £500 or £1,000 might represent a significant so I think the 10 per cent should stay. I’m all for people investment, that’s money off their bottom line that they paying their way. Earl Hibbert can probably ill afford at the moment. Louise Baxter Pertemps Recruitment North Lincolnshire Council Partnership

It’s a bit of a storm in a tea cup because for most I think it was a missed opportunity from the minister to employers, the actual amount that you’re talking about make a really significant announcement today. You need every month is very small. If it’s a low-value band, say to realise that businesses taking on apprentices are 10 per cent of £2,000, that is a very small amount when making as much of an investment as they can financially broken down into 12 or 18 monthly instalments. But if it’s contribute, and the quicker the government realises that, a higher-level band at £27,000, it’s spread out over three the faster that will start to reverse the decline. To do years, so in terms of a monthly commitment, it’s still something around that 10-per-cent funding rule would be very small. I think it’s very unlikely that there are many a really good start from the government. Alan Woods Simon Martin employers who could not afford to pay that. VTCT Academy Transformation Trust Further Education

From everything we’re seeing, we don’t see very much We’re a small provider working in schools and the 10 per hesitation from employers – they just want great-quality cent is a real barrier to non-levy schools. If the teaching training. As long as they’re getting that, they’re quite assistant standard goes through at £5,000, asking the happy to put their hands in their pockets for the 10 non-levy schools to pay £500 in addition to salaries for per cent. So I have to say personally, I’m not seeing the apprentices is going to be a real barrier. It might the resistance. We’re independent advisors, so we go seem not a lot, but in schools with deficit budgets, where out to employers in all sectors, of all sizes, promoting they’re looking at redundancies, it’s a tipping point, really. Jill Eaton Bally Bhogal apprenticeships and the non-levy funding that’s available. Sporting Futures Training Independent Training And Skills Services

There is a huge difference between a small employer, Absolutely. I think the 10-per-cent rule is a real which is 50 members of staff and below, and a micro hindrance to access to apprenticeships. We’re a local employer, which is five and below. Micro employers authority provider working with levy payers and SMEs cannot afford the 10 per cent. They are working with and we see this across the board. If we’re talking about pennies, not hundreds or thousands. We need to get social mobility, you’ve got to be able to make it happen for the definition right: levy-payer, small employer, micro the employer – they are critical. If the employer is looking business. We need a clear definition and a clear policy at it in pound signs, it becomes a different relationship, moving forward: small employers should be treated and that’s what we want to overcome. Rani Rathore Lynda Whitehorn differently from micro employers. Kent Community Learning VTCT and Skills Visit our stand or give us a call today to talk to our experts about: End-point assessment Functional Skills 16-19 Study Programmes 19+ qualifications Fundable solutions And more!

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