An overwhelming majority of UK universities see higher and degree apprenticeships as crucial for economic growth and addressing the skills gap.
- 88% of universities surveyed by the UVAC believe apprenticeships are key to Labour’s economic strategy.
- There is strong support for Labour to continue past progress on higher and degree apprenticeships.
- Concerns exist over the Growth and Skills Levy replacing the previous Apprenticeship Levy.
- The UVAC survey highlights the critical role of apprenticeships in promoting social inclusion and economic development.
An extensive survey conducted by the University Vocational Awards Council (UVAC) reveals that 88% of UK universities perceive higher and degree apprenticeships as pivotal in driving the nation’s economic growth and bridging the skills gap. This study underscores the significant expectations placed on the newly elected Labour government to support these initiatives.
Universities have expressed a firm belief that the current government should maintain and advance the levels of support for higher and degree apprenticeships established by its predecessors. A substantial 84% of respondents emphasised the importance of this continuity.
From a financial standpoint, 64% of universities argue that the government needs to address the financial challenges associated with delivering these apprenticeships in collaboration with employers. Additionally, they advocate for diversification to meet the needs of various business sectors.
The survey probed the potential impacts of Labour’s proposed Growth and Skills Levy, which is set to replace the Conservative’s Apprenticeship Levy—a move financed by a 0.5% compulsory contribution from employers with payroll costs exceeding £3 million. The findings indicate a mixed response, with 60% of universities acknowledging the current levy’s effectiveness in facilitating the delivery of apprenticeships across diverse levels and occupations.
However, apprehensions are evident, with 77% of respondents fearing that the new Growth and Skills Levy could permit employers to allocate up to half of their contributions towards non-apprenticeship training, potentially diminishing the influx of qualified talent into the workforce.
Despite some support for the Growth and Skills Levy’s potential to enhance business operations, particularly among smaller enterprises, concerns linger regarding its ability to match the previous government’s funding scope for higher apprenticeships. A minority view supports financing apprenticeships for 16–18-year-olds through general taxation, akin to the funding of A levels and other qualifications.
Dr. Mandy Crawford-Lee, UVAC’s chief executive, stressed the critical need for Labour to safeguard apprenticeship initiatives to ensure their widespread availability across all age groups and skill levels. “Our survey is a real eye-opener into what the higher and degree apprenticeship landscape could look like under the newly elected government,” she stated.
The survey by UVAC starkly illustrates the essential nature of higher and degree apprenticeships in the UK’s economic and social landscape.
