The Edge Foundation’s report, ‘Flex Without Compromise’, raises concerns and solutions about the Growth and Skills Levy’s impact on apprenticeships.
- The report emphasises the need for a well-designed policy to prevent reduced funding for apprenticeships in England.
- Potential conflicts are identified with Government missions like the Youth Guarantee and Growth Mission.
- The Edge Foundation outlines alternative measures to maintain and enhance apprenticeship opportunities.
- Learnings from the Apprenticeship Levy are crucial for the successful implementation of the new system.
Today marks the launch of the Edge Foundation’s latest report, ‘Flex Without Compromise’. This report provides a comprehensive analysis of how a flexible apprenticeship and skills levy might be designed. It seeks to explore solutions that minimise the potential negative impacts on the apprenticeship landscape in England.
Research highlights that if not carefully structured, the new Growth and Skills Levy could significantly decrease funding available for apprenticeship opportunities, exacerbating the already troubling trend of declining participation among young individuals, particularly at entry levels. This decline poses risks to Government objectives such as the Youth Guarantee and the broader Growth Mission.
The Edge Foundation stresses the necessity of implementing ‘levers’ within the apprenticeship system that would empower employers. Such measures could facilitate the operation of their levy funds efficiently, thus creating more entry-level opportunities for the youth. This approach should be considered alongside any adjustments to the levy itself.
Drawing from past experiences with the Apprenticeship Levy, the report insists on the importance of a clearly defined purpose and transparency concerning financial aspects like the ‘Treasury margin’. Such clarity is vital for mitigating unforeseen repercussions that could impede efforts to cultivate high-quality vocational opportunities.
Other recommendations focus on how Government and Skills England can consider the portion of the levy allocated for non-apprenticeship skills training, potentially broadening the scope of qualifying funded training. By addressing these broader systemic changes, the Edge Foundation aims to ensure that the transition toward the Growth and Skills Levy remains seamless and uncompromised.
As we move forward, it is imperative to integrate these insights to ensure the apprenticeship system serves both young people and employers effectively.
