Skills and Post-16 Education Bill [HL]

Debate between Lord Curry of Kirkharle and Lord Aberdare

Committee stage
Tuesday 6th July 2021 Lords Chamber

[Lord Curry of Kirkharle (CB) [V]]

My Lords, it is a great honour to follow the noble Lord, Lord Inglewood, whose experience of chairing a LEP is extremely valuable; I believe that he has a lot to offer to the consideration of the Bill.

I will comment briefly on Amendments 13, 16, 32 and 35 in this grouping. Much has been said already during this debate that overlaps with other amendments, so I want to reinforce some of the messages that have already been made very strongly by other Peers. To reinforce what I said at Second Reading, I still think that there is a risk of confusion between the various bodies involved and a potential overlap between the agencies. Clarity is essential, and I hope that the Minister will take that on board.

I have two overriding concerns, one of which has been stressed a number of times already this afternoon; that is, in devolving responsibility at a local level to local groups, there is consistency with the national skills strategy and regional priorities. It seems obvious that there should be a very strong conduit between the regional bodies, the LEPs, the combined authorities and the mayoral authorities. I hope that the Minister has recognised the strength of feeling there is on this now. As reinforced by the noble Lord, Lord Inglewood, to leave out the mayoral authorities and not work with the LEPs, with the experience they have and the networks they have established—to throw that away and not build on it—would seem foolish. So I hope that the Government will take those messages into account.

I am also slightly concerned that if this does not happen, we will see a patchwork of disconnected skills groups paddling their own independent canoes. Co-ordination is vital for skills providers to develop appropriate courses to meet regional and local demand. The Minister was reassuring on that point earlier this afternoon, so I hope that is the case.

The critical balance is to achieve local ownership within a framework of national and regional priorities. I restate that regional involvement is essential. My second concern with this grouping is highlighted in Amendment 32, and in Amendment 35 from the noble Lord, Lord Patel. Too often, SMEs and, in particular, rural interests are ignored in designing skills strategies. The SME sector has a weak voice.

Large industrial employers have the resources to engage in consultation exercises. They can devote personnel to sit on boards and, in doing so, influence outcomes. It is a good thing that they do. However, SMEs have difficulty in devoting the time to engage in what, to them, seems like numerous consultations and time-consuming exercises. They do not have the time to sit on boards but their voice is essential. Too often, one has a willing volunteer within an area or region; they get overloaded and do not necessarily represent the SME sector. I am really concerned about the influence of the SME sector in helping to design policies that will work for all.

I conclude by highlighting the importance of the rural sector, which has been mentioned once or twice. There is clear evidence that economic success in rural areas has been hampered, held back and constrained by skills gaps. This will be perpetuated if it is not addressed. The gap between rural and urban will continue to grow. Skills provision is critical, if levelling up is to be achieved even in a modest way, to reduce this rural/urban divide. Too often, government policy has been focused on cities. The large industrial areas are the ones that influence skills strategies. The SME sector, and particularly the rural sector, are the ones that get neglected. As was said by the noble Lord, Lord Baker, the Government are going to have to work really hard to engage with this sector and make sure that the local skills bodies embrace this challenge, and do not once more neglect the rural sector.

[Lord Aberdare (CB)]

My Lords, my name was initially omitted from the list for this group. My reaction when I found I had been reinserted at number 17 was, “be careful what you wish for”. I am not sure I have a lot to add to what has been said. I very much welcome the amendments that seek to ensure that the voices of independent training providers, SMEs and the self-employed are heard in the LSIP process. I particularly await the Minister’s response to Amendment 40 from the noble Lord, Lord Watson, which would require the Secretary of State to report annually

“on the performance of employer representative bodies.”

This seems to raise important questions of the accountability of ERBs, and indeed LSIPs. I hope the Minister might tell us what sort of reporting will be required for LSIPs and how their performance will be measured—against what criteria and by whom. What will happen if they are seen not to deliver the results expected? Much more fundamentally, I strongly echo the points made by the noble Baroness, Lady Neville-Rolfe, and the noble Lord, Lord Baker, about how the system will actually work in the real world, as described by both those noble Lords.

I also notice that the Bill includes quite a few duties and requirements for colleges and other education providers to meet—there are all sorts of things that they have to do—but these seem somewhat less prominent when it comes to LSIPs and employer representative bodies. I also welcome the paragraph (b) proposed in the Amendment 36 of the noble Lord, Lord Watson, which goes a little way to redressing the balance by enabling colleges and other providers to challenge LSIPs if they are not happy with them.