Skills and Post-16 Education Bill [HL] Debate

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Department: Department for Education
I am concerned that by legislating now on the regulation of flexible provision but holding back on funding and other details, the law is being changed without adequate scrutiny of what the new system will look like. Why have the Government brought these amendments back now? Why not hold off until we have that new primary legislation and Parliament can have a full, informed and coherent debate about how this will work?
Baroness Wilcox of Newport Portrait Baroness Wilcox of Newport (Lab)
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My Lords, as the Bill before us today is about education, I hope that noble Lords will not mind me veering slightly off topic for a moment. Today marks the 55th anniversary of the Aberfan disaster, the catastrophic collapse of a colliery spoil tip on 21 October 1966 that killed 116 children and 28 adults as it engulfed Pantglas Junior School. I was a pupil at Pontygwaith Junior School in the Rhondda at that time, another valleys primary school built on the side of a mountain, and as we returned to school after lunch we were sent into the yard and told to put our hands together, close our eyes and pray for the children of Aberfan. I had never heard of Aberfan at that time, but I have never forgotten it since.

I speak to Amendments 40, 41, 45A and 61 in the name of my noble friend Lord Watson, who unfortunately, because of the change to the timetable, is unable to be here today. The Government originally promised to table LLE amendments ahead of Committee, but unfortunately very few of substance materialised. We were told that they would be tabled for Report, but we have now been advised by the Minister and her Bill team that this was not possible and that they intend to consult and pilot the lifelong loan entitlement before returning with new primary legislation. This is disappointing given that the LLE is supposed to be the Government’s flagship policy and is urgently needed, but it is not surprising, because the sheer complexity of what they are trying to build was immediately apparent to all—apart from, it seems, the Bill team.

Perhaps the delay will give the Minister time to reflect on the length of the LLE. At present, it will offer up to four years of equivalent funding for levels 4 to 6, and while for some people this may be enough, for others it simply will not be. Undertaking a foundation or access year plus a three-year bachelor’s degree, which is a common route, would use it all up in one go. Therefore Amendment 41, requiring the Secretary of State to consult on extending eligibility to six years to give greater flexibility, is important. It will be especially important to those studying part-time and help to encourage adult learners to take up an offer to study and upskill. It is supported by the Association of Colleges, training providers and other stakeholders that we have engaged with in preparation for this debate.

I am very grateful to the noble Lord, Lord Storey, for tabling Amendment 43, which allows the Secretary of State to make provision for the LLE to include maintenance provisions to include living costs to help disadvantaged students. We tabled this amendment in Committee and, as my noble friend Lord Watson highlighted then, one of the main barriers for adult learners, highlighted in the DfE’s own impact assessment, is the cost of study, including living costs. Yet, as drafted, the LLE covers only tuition costs. The Welsh Government recently introduced reforms to tackle this issue by extending maintenance support, including means-tested grants to all students regardless of mode of study, while maintaining low tuition fees for part-time study. Unsurprisingly, this has had a huge impact on participation.

Amendment 40 removes the equivalent or lower qualification—ELQ—exemption rule for the LLE to ensure eligibility for student loan funding for another qualification at that or a lower level, to facilitate career changes. It also ensures LLE eligibility regardless of subject, intensity of study, institution or learning style. We are concerned that, unless reformed, the ELQ rule could pose a significant barrier to further education providers working with local employers to deliver training in priority sectors that support communities.

I will not repeat in full the arguments my noble friend Lord Watson gave on this issue in Committee, nor will I repeat the searching and directly targeted questions from my noble friend Lady Sherlock. The ELQ rule means that anyone qualified to level 4 cannot access government loans or grants to study a qualification at an equivalent or lower level. I suggest this must be urgently reconsidered if the LLE is to succeed in providing opportunities for people to reskill for a new career where such skills are in demand. According to the Office for Students, there are exemptions to the ELQ rule if it is a qualification in a public sector profession, such as medicine, nursing, social work or teaching, or if the student is studying for a foundation degree or receiving a disability student allowance.

Mayoral combined authorities with devolved powers have begun to move away from the ELQ rule. Indeed, the Conservative-controlled West Midlands Combined Authority is running a pilot offering fully funded care management qualifications at level 3 and 4 to black, Asian and minority-ethnic women regardless of their prior attainment. The Augar review also proposed scrapping the complex ELQ rule. The need has been recognised, and there are precedents for the Government to follow.

It was disappointing that the noble Lord, Lord Johnson, withdrew last week what was then Amendment 42, requiring the Secretary of State to publish an annual report on the impact on reskilling of funding restrictions on people requiring a qualification at a level equivalent to or below the one they already hold. We were supportive of that amendment, so it has been resubmitted in the name of my noble friend Lord Watson and appears as Amendment 45A. I do not propose to elaborate, as it is self-explanatory.

Another complex area concerns credit transfer arrangements to allow students to move between education providers. Amendment 61 is a probing amendment designed to elicit more information on this. A universal credit transfer system would have significant benefits to many students, not least in terms of widening participation. The Open University’s OpenPlus programme, where students initially study at one institution before completing their studies at another, is an example of what can be achieved. I would be very grateful if, ahead of consultation, the Minister can outline how the Government intend to address and overcome the lack of commonality which my noble friend Lord Watson raised in Committee. Can she say what discussions the DfE has had since then with the devolved Governments and what those discussions have produced? Any scheme for allowing students to use credit flexibly must enable transferability across the UK—many people living in Newport study in Bristol, and vice versa—and internationally. It also needs to support credit transfer not just in HE but between FE and HE. I hope the Minister can say how she anticipates that will be facilitated.

Baroness Barran Portrait The Parliamentary Under-Secretary of State, Department for Education (Baroness Barran) (Con)
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My Lords, I thank the noble Baroness, Lady Wilcox of Newport, for reminding us of the tragedy of Aberfan and the terrible loss of life on that day. I will speak first to the amendments in my name on the lifelong loan entitlement and then respond to your Lordships’ amendments.

The amendments being laid today primarily address the technical underpinnings of the LLE and make other minor corrections to enable a strong legislative framework. We are laying them now to introduce the enabling powers for the Secretary of State that are necessary to the delivery of the LLE from 2025. The Government previously set out that we would table additional amendments, as your Lordships have noted, outlining further detail on the modular fee limit policy of the LLE. Following further policy development and engagement with stakeholders, including debate in Committee in this House, the Government have decided not to lay these before we consult. As noble Lords have noted, these are complex issues and it is essential that our final policy approach is informed by the needs of students, providers and all key stakeholders. This complexity was demonstrated in Committee by some of the questions on the detail and implementation of the lifelong loan entitlement. Given the intricate nature of such legislation, we must not pre-empt further policy design or decisions based on the consultation.

The noble Baroness, Lady Sherlock, asked what the consultation will contain. We intend to seek views on our ambition, objectives and coverage. This will include aspects such as but not limited to: the level of modularity —this will cover the minimum number of credits a course will need to bear to be eligible for funding; maintenance support; how to support quality provision and flexible learning; how to incentivise and enable effective credit transfer; and whether restrictions on previous study should be amended to facilitate retraining and stimulate high-quality provision. We intend to bring further primary legislation following consultation. This will allow us to meet the rollout timetable of the LLE from 2025, as originally planned.

The noble Baroness, Lady Sherlock, describes herself as nerdy; in my world, that is a great compliment. I thank her for her kind remarks about my getting to grips with the role, but I also commend my noble friend Lady Chisholm, who has found herself on an equally steep learning curve. To be clear on the timing of the LLE consultation, we commit to delivering the LLE from 2025. We cannot give the noble Baroness a firm date today, but it will be lined up so that we can deliver on that commitment. She also asked whether fee limits would require primary legislation; I can confirm that they would.

The noble Baroness also asked why the Government are laying amendments on the LLE now rather than waiting for future primary legislation—I have an instinctive feeling that, if we had not laid these amendments, she might have challenged the Government on our commitment to really delivering on this. Part of the reason is to be absolutely clear that there should be no doubt about that level of commitment.

In terms of the definitions of a module in the Bill, from both a funding and a regulatory perspective, I know that the noble Baroness has been in correspondence with colleagues in the department and I am happy to put a full, detailed response in a letter in the interests of time. The THEA and HERA legislation have two very different purposes. The former makes provision for loan funding via a broad set of regulation-making powers for the Secretary of State; the latter is principally about the regulatory regime—the powers of the Office for Students—and specifically enables the setting of fee limits for higher education courses by the Secretary of State. In Clause 14, new Section 28A(1)(e) modifies Section 22 of THEA by inserting new subsection (2ZA). That enables the Secretary of State to define what “module” means in relation to a higher or further education course for the purposes of making loan regulations.

Clause 15, which is to be amended by the government amendments, takes a slightly different approach due to the different regime that it covers. It clarifies that a module of a “full course”—an HE course, for example, mentioned in Schedule 6 to the Education Reform Act 1988—is itself a category of higher education course for the purposes of Part 1 of HERA 2017 when it is taken separately from the course from which it is derived.

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Lord Storey Portrait Lord Storey (LD)
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My Lords, these are really important amendments from my noble friend Lord Addington, and I hope that the Minister will take note. Again, I would ask her, “Why not?” It is hugely important that in our education system, whether it be in nursery or in university, we are able to identify where there are special needs requirements. Teachers and support staff need that training, because when they are able to identify, they can provide the support that is needed.

I remember as a young teacher going on a very simple course—dare I say it, it was like a couple-of-hours course—on being able to identify children who suffer from dyslexia, but it taught me that if you could identify children who were dyslexic you could then give them all sorts of support. For example, if you handed out worksheets that were in a certain colour—and please correct me if I am wrong—those children could prepare, understand and read in a better way. That is why the amendment is important.

One would hope that children with educational needs would be picked up at an early stage in our education system, but that is not to say that it always happens. It is a very simple amendment. It says that all teachers should have that simple, basic training, and let us hear why not, and that the support needs to be there.

The other amendment also says something that we have been saying for a long time; certainly, my noble friend Lord Addington has been doing so. Why not have this as a definite component in our teacher training that all teachers should be exposed to—that they should learn about identifying special educational needs? Whether they are trained on the intensive Teach First programme, doing a SCITT programme or doing a postgraduate education course, everybody should have a component involving being able to identify individual children who may have special educational needs and understanding their requirements.

I hope the Minister will respond positively.

Baroness Wilcox of Newport Portrait Baroness Wilcox of Newport (Lab)
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These amendments would place a duty on the Secretary of State to ensure that there is sufficient SEN training for teachers in further education so that there is support for students with special educational needs or disabilities that is of an equivalent standard to that for those with similar needs in higher education. The amendments would also ensure that there is sufficient SEN training for those involved in initial teacher training.

FE colleges, sixth-form colleges, 16-19 academies and independent specialist colleges approved under Section 41 of the Children and Families Act 2014 have specific statutory duties which include the duty to co-operate with the local authority on arrangements for children and young people with SEN, the duty to admit a young person if the institution is named in an education, health and care plan, and the duty to use their best endeavours to secure the special educational provision that the young person needs. These duties require extra training and support, which is key to their successful implementation. We fully support the amendments in the name of the noble Lord, Lord Addington. His specialist knowledge and understanding of this subject have identified clear gaps in the current provision that need to be plugged by these amendments to the Bill.

Baroness Chisholm of Owlpen Portrait Baroness Chisholm of Owlpen (Con)
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My Lords, I start by thanking the noble Lord, Lord Addington, for his advocacy for learners with special educational needs and disabilities. I thank the right reverend Prelate for his words as well. I feel that, across the board, we come from a very similar position, even if the Government’s methods are slightly different.

Turning first to Amendment 46, I agree with the noble Lord that it is vital for our teachers to be trained to identify and respond to the needs of all their learners, including those identified as having special educational needs and disabilities. Where the Government differ is on the best way to achieve this aim. Let me explain our position. The new occupational standard for FE teaching, published in September, has been developed by sector experts who employ teachers. The standard sets out key knowledge, skills and behaviour, including a specific duty that focuses on the importance of inclusion, which—I hope that this vital point will ease the noble Lord’s concerns—will support the early identification of learners’ needs and enable teachers to respond to them effectively.

The occupational standard is the right place to set the expectations of our teachers. We have been clear that we intend to make public funding available only to training programmes that meet the new standard. For the reasons I have just set out, I believe that it would be inappropriate to specify particular course requirements in the Bill when a standard newly developed by sector experts already achieves this. I can assure the noble Lord that our intention is to drive up the quality of FE teacher training so that it can meet the varied and often complex needs of learners in the sector.

Turning to Amendment 44, the Government are committed to driving up the quality of teaching in further education and strengthening the professional development of the FE workforce. To that end, we are already providing significant funding for programmes to help spread good, evidence-based practice in professional development, including provision currently being delivered by the Education and Training Foundation to support the professional development of teachers working with SEND learners. It is also important to note that, under the SEND code of practice, colleges

“should ensure that there is a named person in the college with oversight of SEN provision to ensure co-ordination of support … This person should contribute to the strategic and operational management of the college. Curriculum and support staff in a college should know who to go to if they need help in identifying a student’s SEN, are concerned about their progress or need further advice.”

Ultimately, decisions must be made by providers themselves about what training is relevant and necessary in response to the specific needs of their learners and those who teach them. Of course, students with SEND must get the support they need to benefit from the lifelong loan entitlement. Students with SEND are an important part of our vision for and motivation behind a flexible skills system. We believe that this kind of flexible provision will be of particular benefit to these students. We plan to use the LLE consultation to build our evidence base on how to support all people to access or benefit from the LLE offer.

The noble Lord, Lord Storey, mentioned the importance of primary schools and nurseries in picking up pupils who may have problems. The number of primary school-age pupils identified with SEND has increased over the past five years. In 2021, pupils with SEND represented 17.2% of primary school-age pupils. The most common SEND support needs are usually in speech, language and communication. Among pupils with an EHC plan, autistic spectrum disorder is the most common type of SEN. This shows that children with SEND are being picked up earlier, which is so important and means that they can get support from the age of five onwards. I know this from personal experience, because I have a grandson who has mild autism. His support in his state primary school has been second to none, and I know that that will carry on right through for the rest of his education.

There would also be a further issue if this was mentioned on the face of the Bill. The Secretary of State would then have to specify requirements relating to one particular element of the training programme, SEN awareness, even if others were not identified.

I thank the noble Lord again for submitting these amendments and hope he is satisfied with the work being done in these areas. I hope he will feel comfortable to withdraw this amendment and not move his other amendment.

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Moved by
45A: After Clause 15, insert the following new Clause—
“Lifelong learning: review
(1) Within one year of the commencement of either section 14 or section 15, and each year thereafter, the Secretary of State must prepare and publish a report on the impact on the overall levels of skills in England and Wales of the rules regarding eligibility for funding for those undertaking further or higher education courses.(2) The report under subsection (1) must in particular examine the impact of restricting funding for those who wish to pursue a qualification at a level equivalent to or lower than one they already hold.(3) The report under subsection (1) must be laid before both Houses of Parliament.”Member’s explanatory statement
This amendment would require the Secretary of State to publish an annual report on the impact on re-skilling of funding restrictions on those who wish to pursue a qualification at a level equivalent to or lower than one they already hold.
Baroness Wilcox of Newport Portrait Baroness Wilcox of Newport (Lab)
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My Lords, I would like to test the opinion of the House.

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In conclusion, it is very good that we have this amendment. We have a new, impressive and energetic Secretary of State in Nadim Zahawi, and we have my noble friend the Minister. I hope that they will review the apprenticeship arrangements and that this amendment will spur them to action.
Baroness Wilcox of Newport Portrait Baroness Wilcox of Newport (Lab)
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My Lords, the Queen’s Speech promised that legislation would support a lifetime skills guarantee to enable flexible access to high-quality education and training throughout people’s lives. It therefore beggars belief that there is no mention of this flagship policy in this skeleton Bill; indeed, the Bill is silent on the value of qualifications below level 3 altogether.

At present, 13 million adults in the UK currently do not have a level 2 qualification—that is equivalent to GCSE—and 9 million adults lack functional literacy and numeracy skills, leaving them vulnerable to job loss and making it harder for them to secure work. DfE data has shown that the return on investment for qualifications below level 2 is higher than for level 3. Furthermore, lower level qualifications offer many adult learners a key progression route. Without adequate support through the adult education budget for these lower level qualifications in future years, many students will not be ready for and able to progress to levels 4, 5, 6 and up to degree level, which this Bill—or indeed, in the absence of the LLE amendments, its successor—is intended to support.

Amendment 60 in the name of my noble friend Lord Watson would seek to rectify this by placing the LSG on a statutory footing. It is also intended to address concerns that, at present, the LSG does not offer support for subjects outside a narrow band of technical disciplines. Consultation and regular review of eligible courses are therefore key. Our amendment also addresses concerns that the LSG appears to omit reskilling and second level 3 qualifications by retaining the equivalent or lower qualification rule. I will not repeat earlier speeches on the need for ELQ reform, but I urge the Minister to reconsider including flexibility for subsequent level 3 courses in the LSG to unlock retraining for even more people in an area where there is a demand for skills.

I also support Amendment 50, in the name of the noble and learned Lord, Lord Clarke, and my noble friend Lord Layard, which would ensure that the LSG and support for courses below level 3 are placed on a statutory footing. Amendment 50 also encompasses apprenticeships, which provide an alternative for able young people to the traditional academic route. It would ensure that two-thirds of the funding is spent on under 25s; this is key to ensure they are properly targeted.

Moreover, as noted by many noble Lords, the sharp decline in apprenticeships is deeply concerning, with 2020 seeing the lowest number of 16 and 17 year-olds starting an apprenticeship since the 1980s. We have seen 189,000 apprenticeship opportunities disappear since 2017, which is why Labour has called on the Government to use unspent funds from the apprenticeship levy to fund 85,000 new apprenticeships for 16 to 24 year-olds, creating opportunities for young people to rebuild from the ravages of the pandemic. More than £1 billion in apprenticeship levy funding paid by employers expired unused between May 2020 and February 2021 alone. It is absurd that businesses are allowing hundreds of millions of pounds of levy funds to expire, when so many young people are unable to access a high-quality apprenticeship. Vast sums of money going unspent is a sign of a system in need of fundamental reform to make it work for learners and business.

Skills and retraining must be a vital part of our economic recovery. I hope the Minister is persuaded of the merits of placing the LSG on a statutory footing, especially given it has cross-party and sector-wide support. After all, it reflects the Government’s policy to try to address the skills gap in this country and to enable individuals to develop skills relevant to today’s and tomorrow’s labour market, in their area. This is an opportunity for the Government to show that levelling up is more than just a slogan or an addition to the name of a ministry.

Baroness Barran Portrait Baroness Barran (Con)
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My Lords, I thank my noble and learned friend Lord Clarke and the noble Lord, Lord Watson, for their amendments, and all noble Lords who spoke in the debate. I concur with all noble Lords’ ambitions around lifelong learning. This is an important issue with which the Government agree; however, we do not believe it is necessary to specify such a requirement in the Bill.

In April, we launched the free courses for jobs offer as part of the lifetime skills guarantee. This gives all adults in England the opportunity to take their first level 3 qualification for free, regardless of their age. We have ensured that our funding arrangements will allow relevant providers to access further funding if there is higher-than-expected learner demand. Over 400 level 3 qualifications are available, which have been specifically identified for their strong wage outcomes and ability to address key skills needs. Adults in all regions of England have been enrolling since April.

The free courses for jobs offer builds on the pre-existing legal entitlement for 19 to 23 year-olds to access their first full level 2 and/or level 3 qualification—a point raised by the noble Baronesses, Lady Wilcox of Newport and Lady Garden of Frognal—which the free courses for jobs offer complements. Through the adult education budget, full funding is also available, through legal entitlements, for adults aged 19 and over to access English and maths to improve their literacy and numeracy, and for adults with no or low skills to access fully funded digital skills qualifications, as we discussed in an earlier group of amendments.

The adult education budget also supports colleges and training organisations to work with adults at lower levels who want to re-engage with learning and/or their local labour market. This includes around 2,000 regulated qualifications and their components, and non-regulated learning, from entry level to level 2.

In areas where adult education is not devolved, the adult education budget can fully fund eligible learners studying up to level 2 where they are unemployed or earning below around £17,300 per year. In areas where the adult education budget has been devolved to mayoral combined authorities or the Greater London Authority, they are responsible for determining the provision to support outside of the legal entitlements.

The noble Baroness, Lady Wilcox, asked why the Government will not put the offer of free courses for jobs on a statutory footing. As she will be aware, this policy has been in delivery since April and is already benefiting adults aged 19 and above without a prior level 3 qualification in all regions of England. We do not believe that it is necessary to legislate in order to deliver this important investment in the nation’s skills.