16-to-18 Mathematics Education

Justin Tomlinson Excerpts
Tuesday 27th March 2012

(12 years, 1 month ago)

Westminster Hall
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Elizabeth Truss Portrait Elizabeth Truss
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My hon. Friend makes a good point. It is a huge shame when businesses have to look overseas to recruit quantitative staff, engineers or people to carry out numerical analysis, when this country has so many students who could fulfil those roles if they received appropriate training and qualifications.

Even for those who do not go on to study maths and science at university, a good background in maths is vital. The next generation of primary school teachers, journalists and politicians must ensure that they know the basics of that subject, because if their maths is not up to scratch, we will have a damaged ecosystem. The next generation of children will not get a proper maths education at school, and that will lead to poor quality numerical analysis in our press and media and poor quality statistics in public life.

Justin Tomlinson Portrait Justin Tomlinson (North Swindon) (Con)
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I am a former A-level maths student and my hon. Friend has my full support. I am determined to see more young people start up their own businesses, and strong mental arithmetic and mathematical skills are an essential component of that. I hope that my hon. Friend will add new businesses to her list.

Elizabeth Truss Portrait Elizabeth Truss
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I thank my hon. Friend for that contribution. Our massive problem with maths causes a lack of social mobility and problems with university access. Students who attend comprehensive schools are half as likely to study maths as their private school counterparts and one third as likely to study further maths, but they are equally likely to study history or English. The problems of social mobility in mathematics and science do not exist in arts subjects, and the Government should consider that when looking at how to improve social mobility and access to university. Many students do not have the choice to study further maths, because only 50% of comprehensive schools offer that option. Given that further maths is needed to study maths or physics at top universities, many people are therefore put out of contention for the opportunities that we would wish them to have.

I am pleased that the Government are taking action. In the autumn statement, the Chancellor recognised the existing problems with maths education for 16 to 18-year-olds and announced that new free maths schools would be set up across the country. I am pleased to be backing one of those schools, the proposed Sir Isaac Newton school in Norfolk, which will take those students who are most talented in maths and science and educate them not only in A-level maths and further maths, but beyond that to pre-U level. Academics will support that school and ensure that students learn the cutting-edge mathematic and scientific techniques that will help them get to the top universities.

My county of Norfolk has a particular problem with maths. Nationwide, 33% of students who obtain a grade of A* to B at GCSE maths go on to study the subject at A-level. In Norfolk, that figure is 25%—a massive gap. We want to improve that situation and get more people studying A-level maths.

The development of the new maths schools is positive, and I applaud the Government for that innovation, which has already been seen in many other countries. However, we need further reform in two key areas. First, we must overhaul the sixth-form funding regime, and secondly—one of my hon. Friends alluded to this—we need more varied maths qualifications post-16.

Unbelievably, for post-16-year-olds, the Young People’s Learning Agency currently awards more money per capita for students studying psychology and media studies than to those studying mathematics. It also awards more money to science subjects—there is a 12% funding premium for all those subjects on top of the amount that is given to the school for maths. The justification for that 12% funding premium is that those other subjects need additional equipment. However, as anyone who has been involved with schools will know, the greatest cost is in teaching resources, rather than equipment.

At the moment, our funding formula is based purely on the amount of equipment needed, rather than the cost of recruiting teachers. Maths is the most difficult subject for which to recruit teachers; there are more vacancies for high-school maths teachers than for any other subject, and schools often end up paying a premium. One school in my constituency advertised for a newly qualified maths teacher. It offered £44,000, but received just one application.

Another school has flown in maths teachers from Canada to fill the shortfall in available teachers. Fewer than half of secondary maths teachers in this country hold a maths degree. We have a massive problem with the recruitment of maths teachers, yet the funding formula means that maths is disadvantaged when compared with science subjects and courses such as media studies, psychology and film studies. Furthermore, because the funding system is weighted towards deprived students, there is an even greater funding differential for deprived students doing media studies, as opposed to deprived students doing maths.

We have a completely topsy-turvy system in which the underlying financial incentives are asking schools to get lower-income students to do subjects such as psychology and media studies, rather than subjects such as maths, which has the highest earnings premiums and is known to result in greater lifetime earnings. We need to turn that system upside down. We need a subject premium based on the value of mathematics. I have illustrated why mathematics is a particular case and why reform is needed urgently. We are seriously suffering in terms of international competitiveness because we are not delivering enough mathematics capability.

I suggest that through the YPLA mechanism that I mentioned, mathematics should be given a 30% uplift. That would deal with some of the teacher recruitment issues. I would like further mathematics to receive a 50% premium, so that we can increase the number of state schools that offer further maths from the currently very low 50% and so that all sixth forms eventually offer that important option. That will ensure that every child in this country has the chance to go on to study maths or physics at a top university or, indeed, subjects such as computer science—we also need more people in those areas. What I have suggested would give schools a strong incentive to offer those subjects, and I do not think that it would cost anything additional from the education budget.

At the moment, under the YPLA funding regime, we have a huge range of weightings. Some subjects are rated up to 1.7. Those are not A-level subjects but some of the vocational subjects. We are talking about rebalancing the incentives in the system, so that those subjects that will deliver most for our economy and for the students and in which teacher recruitment is hardest get a premium. At the moment, we have the opposite situation.

I would also like to see a greater number of maths options post-16. Current participation in A-level maths and further maths is heavily weighted towards those gaining an A* at GCSE: 73% of students who get an A* in maths take an A-level in it, but only 6% of those who get a B do so. The number is much lower than for other subjects. One quarter of those who get a B in English and one fifth of those who get a B in history go on to do those subjects at A-level. The reason is that we have a one-size-fits-all maths and further maths course, rather than having different options for young people who will go on to study different subjects.

Oral Answers to Questions

Justin Tomlinson Excerpts
Monday 27th February 2012

(12 years, 2 months ago)

Commons Chamber
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Michael Gove Portrait Michael Gove
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The hon. Gentleman makes a valid point. One of the problems that we have had in the past is that some awarding bodies have offered qualifications that were deemed to be technical or vocational but in fact were not. We need to ensure that those qualifications, which are robust and respected, are increasingly popular and are used in our schools and colleges.

Justin Tomlinson Portrait Justin Tomlinson (North Swindon) (Con)
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3. What steps his Department is taking to promote the teaching of emergency life support skills in schools.

Tim Loughton Portrait The Parliamentary Under-Secretary of State for Education (Tim Loughton)
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Through non-statutory personal, social, health and economic education, at primary school pupils are taught about basic emergency procedures and where to get help; and at secondary school, about how to develop the skills to cope with emergency situations that require basic first aid procedures, including, at key stage 4, resuscitation techniques. As my hon. Friend knows, we are reviewing PSHE education to consider the core knowledge that young people should have, and we will publish proposals for public consultation later this year.

Justin Tomlinson Portrait Justin Tomlinson
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There has been significant support for the British Heart Foundation’s campaign for emergency life support skills to be included in the curriculum. Many people have called for it to be included in physical education, but what consideration has the Minister given to the merits of teaching it in biology?

Tim Loughton Portrait Tim Loughton
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My hon. Friend raises a good point. This is something of a personal interest for him, and I pay tribute to him for raising it in this House and in his constituency, where only this week he launched a “Save a Life by Volunteers in Emergencies” scheme for pupils. Our aim, through the review of the national curriculum, is to ensure that the school science curriculum, including biology, is focused on teaching pupils core essential scientific knowledge and about scientific processes, so I do not think that it would necessarily be most appropriate in that context, but it is sensible and helpful for schools to want to teach it to their pupils, and Ofsted will pick up on it as well.

Self-Employment

Justin Tomlinson Excerpts
Tuesday 24th January 2012

(12 years, 3 months ago)

Westminster Hall
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Toby Perkins Portrait Toby Perkins (Chesterfield) (Lab)
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It is a great pleasure to speak under your chairmanship, Mr Streeter, even if only for 10 minutes. It has been an excellent debate and I congratulate the hon. Member for Watford (Richard Harrington) on obtaining it and on his speech.

Like some other hon. Members, I have run my own business—twice: the first time was at the back end of the last century, when I set up an IT recruitment firm; subsequently in 2005 I launched a rugby product business, Club Rugby, which I continued to run until I was elected. As someone who has been on that journey twice, I know very well the different motivations for heading towards self-employment. In my case, it was inspiration on one occasion and desperation on another. In fact, many great businesses have been created from fledgling inspirations caused by the desperation of those trying to feed a family and keep a roof over their heads in tough times. Certainly, some will still thrive in these most desperate of times. However, the fact that some will still come through, and that the strongest may still thrive and survive, is not a reason for the Government not to do everything in their power to support people in all walks of life and all parts of the country to take that first brave step and put their name above the door.

One of the lessons of the recent past is that we must create an environment that gives the greatest number of new business people an opportunity to be a successful business owner. Why would any Government not want to do that? Therefore I particularly welcome a debate in which the hon. Member for Watford expressed his frustration at what he sees as the unglamorous image of running a business in Britain today. Of course, he is right to say that we all—politicians, school teachers, careers advisers, business leaders, media figures and trade union leaders—have a responsibility to promote the vital importance of new start-ups and small businesses in creating the growth we need to get the economy moving again. For that reason I welcome television programmes such as “The Apprentice” and “Dragons’ Den”, which for all their flaws at least tend to get young people to see business in a sexier light.

Justin Tomlinson Portrait Justin Tomlinson (North Swindon) (Con)
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Will the hon. Gentleman give way?

Toby Perkins Portrait Toby Perkins
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I am afraid that there is not time, if I am going to leave time for the Minister.

“The Apprentice” in particular also has a welcome focus on the importance of sales techniques and ability, which is a vital and intrinsic part of business success, which the nation has neglected for too long, and which I want to promote through the Labour party’s policy review. I started my first job in sales at the age of 17. The old adage that until someone sells something in a business nothing happens has never been truer than it is today. As part of the Labour policy review programme Nigel Doughty, a tremendously successful business investor, is chairing our small business task force. Within that policy review process, he hosted a session on high-growth businesses. There were many contributors to that session from across the business spectrum, but one of the key defining facts revealed during it was that about 7% of all businesses will go on to become high-growth firms, irrespective of market sector or geographical location. The key to getting more high-growth firms coming out of the bottom of the funnel is to get more going into the top.

Of course, we have been here before. Starting in 1997, Labour’s new deal programme was the most successful back-to-work programme in British history. The self-employment programme was the most successful part of it. Some 70% of the people who started on it went into business, and 81% of those businesses were still trading three years later. Moreover, they were employing, on average, an extra 1.6 people each, meaning that for every 100 people who started on the programme, 112 were employed three years later as a result. That may be the first and only back-to-work programme ever to have a greater than 100% success rate.

The key features of the success of that programme that are not being duplicated by the current Government’s back-to-work programme are the special provision with a ring-fenced pot of new deal money specifically for the self-employment option and the financial cushion in the early stages of self-employment, which was so important in giving new business people an opportunity to test trading as a viable career option. In that context, the void in face-to-face business advice left in the absence of Business Link is deeply worrying.

It is a key aim of the Government to encourage the unemployed to look towards self-employment as a viable career option, and we entirely support them in that general aspiration. However, we must also be aware of the dangers of false self-employment. Bogus self-employment has rocketed in the past decade, particularly in the construction industry. Workers are often told that they will be taken on only if they agree to declare themselves self-employed, thus giving up hard-won employee entitlements such as national insurance contributions, and sick and holiday pay. Recognition of the unique challenges that the unemployed face in setting up new firms or becoming sole traders must lead to specific actions to support them into self-employment. The unemployed are less likely to have the cash to enable them to set up in business, and less likely to be able to borrow money towards start-up costs. They are likely to be less able to cope with the early cash flow shortages that are often inevitable for fledgling businesses.

As a Member of Parliament, I am a publicly employed representative of the people, who earns about £64,000 a year. Yet if I decide to write an article, provide advice or even take on a directorship to provide me with extra income, I am legally entitled to do so. However, if an unemployed person on £65 a week wants to see whether they can make a go of a business as a painter or hairdresser and does a few jobs before coming off benefits, they are committing a criminal offence. In the new deal, there was an opportunity to recognise the fact that the informal economy plays an important part in helping people to move from unemployment to self-employment.

On the new deal programme, the test trading aspect entitled people who were unemployed to enter the world of self-employment with a six-month financial cushion between leaving benefits and setting up. Subsequently the tax credit system replaced that financial cushion. Originally there was hope that the universal credit would also be an effective tool. However, as it is currently structured it works on the narrow basis of a set number of hours and set earnings, which does not fit easily with the self-employment model. Under Labour’s policy review, we are investigating an enterprise credit that would recognise the flexibility of income derived from self-employment and replace that all-important cushion to give new start-ups the security that they need.

I want to touch on a couple of speeches by other hon. Members. The hon. Member for Watford talked about the sleepless nights that often come with running one’s own business—and, indeed, we are led to believe, with being a Conservative Member of Parliament. He expanded on his wife’s role and the lack of help that she provides him with on those occasions, which she may wish to discuss with him at a future date. He also talked about children who want to go into fields such as advertising or marketing, but who do not see setting up their own business as a viable or exciting option. He rightly mentioned the huge social value in setting up a business and going on to provide employment to other members of the community.

The hon. Member for Wyre Forest (Mark Garnier) supported Labour’s policy on a national insurance holiday for micro-businesses that take on a new member of staff. He was also right behind us on pushing the Government to take forward the late payments directive. We thank him for that support. I hope that he will be successful in persuading other hon. Members to be equally enlightened.

The hon. Member for Newton Abbot (Anne Marie Morris) shared my concern that the “mentors me” website may not provide enough support for new businesses, and she expressed the importance of that. The hon. Member for Selby and Ainsty (Nigel Adams) said how important it is to celebrate entrepreneurship and highlight people’s success. The hon. Members for Nuneaton (Mr Jones) and for Meon Valley (George Hollingbery) warned us not to give a sugar-coated view of the ease of running a business. In doing that, however, I feel that the hon. Member for Nuneaton added to the myth that Britain has a particularly difficult regulatory system. The reality discovered by the World Bank is that Britain is the easiest place to set up a new business anywhere in the EU and the fourth easiest place in the world. It is important that hon. Members speak up for all the positive aspects of running one’s own business and do not exaggerate the difficulties.

There is a broader context to the discussion. When the Government have choked off the recovery with their anti-growth policies, they cannot seriously expect the private sector to provide the growth that we so desperately need. That is why we have put growth at the heart of our five-point plan and why we called for a temporary cut in VAT; it is why we supported the call by the Federation of Small Businesses for a cut to a rate of 5% for VAT on home improvements; and it is why we are calling for a national insurance holiday for micro-businesses to boost employment at small firms.

People want more than gimmicks from Government. They want a genuine programme for growth. Where the Government deliver that, they will have our support. We recognise the vital role that self-employment can play in delivering growth, creating jobs, reducing unemployment and, most of all, giving people back their pride and their sense of belief. They need have no doubt whatever about Labour’s commitment. After all, we got Britain working for itself before.

John Hayes Portrait The Minister for Further Education, Skills and Lifelong Learning (Mr John Hayes)
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It is a pleasure to serve under your chairmanship, Mr Streeter, and to speak in this important debate, to which there have been many valuable contributions. I do not want to be excessively partisan—as you know, I regard it as vulgar—but it is noticeable that this debate has been dominated by my party, the party of business. It must be slightly disappointing for the shadow Minister that he has been so poorly served by his own Back Benches. There is almost no one here to support his—I was going to say oratory, but I do not want to overstate the case.

Ezra Pound, the great poet, said that genius is the capacity to see 10 things where an ordinary man sees only one, so I shall try to make 10 points in response to what has been said in this debate. Education was mentioned in the introductory remarks of my hon. Friend the Member for Watford (Richard Harrington), whom I congratulate on securing this debate. He led it with style and acumen, making a strong point about the importance of education, of ensuring that young people are imbued with a sense of enterprise, which permeated several Members’ contributions, and of countering the prevailing prejudice against business.

Justin Tomlinson Portrait Justin Tomlinson
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Will the Minister give way?

John Hayes Portrait Mr Hayes
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No, will not, because of time. Forgive me. Chesterton said that those who were impatient enough to interrupt the words of others seldom have the patience to think of good words themselves. I put on record that that is not true of my hon. Friend, but just in case, I will not give way.

My hon. Friend the Member for Selby and Ainsty (Nigel Adams) spoke about the importance of finance. My hon. Friend the Member for Nuneaton (Mr Jones) discussed enterprise and small business, and what a champion he is for the small businesses of Britain. My hon. Friend the Member for Wyre Forest (Mark Garnier) spoke about tax and the importance of having the right tax regime. My hon. Friend the Member for Maidstone and The Weald (Mrs Grant), who is no longer in her place, made a useful contribution on information about careers. My hon. Friend the Member for Montgomeryshire (Glyn Davies) made a point about the disproportionate effect of regulation on very small businesses. My hon. Friend the Member for Selby and Ainsty also mentioned skills, my hon. Friend the Member for Newton Abbot (Anne Marie Morris) mentioned mentoring and my hon. Friend the Member for Meon Valley (George Hollingbery) discussed the communal value of business. I think that I have covered most of hon. Members’ contributions. If I have not, I apologise. They were all immensely valuable, and are valued by the Government.

It is important to recognise the critical role that small business in particular plays in our economy. As an expert on these matters, Mr Streeter, you will know that small and medium-size enterprises are a crucial engine for growth and are critical to our national economic success in every sector. Together, they are responsible for almost half the private sector’s £900 billion output and 60% of private sector jobs. Since 2000, the 31% increase in businesses has been driven entirely by SMEs. Small business is the backbone of our nation and the driver of innovation. It is the embodiment of enterprise, because it is in start-up businesses that ideas have their genesis and subsequently germinate. Every business starts as a small business.

Politely—almost flatteringly—several Members referred to my own business career. I was lucky in business. All success in business is a combination of good luck and good judgment. I entered the IT industry when it was growing; what a great place it was to be in the 1980s. I learned there that politicians must be sensitive to the needs of business. They particularly need to understand that by and large, businesses want politicians to get off their back and on their side. The Government play their part through regulation, the tax system, information, support and pump-priming, but they must step back to let business thrive.

Having said that, I will mention the 10 things that Government can do, in the six minutes available to me. First, we are focusing on education. We are establishing an enterprise village website, which we will develop further, enabling teachers to access free online resources to assist them in developing school businesses. Secondly, on the “inspiring the future” website, we have made more information available about business and business education to at least 2,500 local enterprise champions and role models.

Thirdly, the National Association of College and University Entrepreneurs, which was mentioned in the debate, is building sustainable national infrastructure to develop and drive forward student enterprise societies across higher education institutions and further education colleges. I expect about 90 universities and 160 FE colleges to be involved in that initiative. Fourthly, reducing the small profits rate from 21% to 20% from April 2011 and reversing the previous Administration’s plans to raise the rate to 22% will undoubtedly help business.

Fifthly, we have increased the national insurance contributions threshold for all employers by £21 a week above indexation from April 2011, reversing the previous Government’s plan, which I think the hon. Member for Chesterfield (Toby Perkins) failed to mention because he is embarrassed about it. He is a decent and honest man, so I can understand his embarrassment, and I will not dwell on it further.

Apprenticeships

Justin Tomlinson Excerpts
Monday 19th December 2011

(12 years, 4 months ago)

Commons Chamber
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Neil Parish Portrait Neil Parish (Tiverton and Honiton) (Con)
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I am glad to follow my hon. Friend the Member for Burton (Andrew Griffiths), who rightly pointed out that although we are all supposed to be on holiday, attendance among hon. Members has been very good this evening because we realise how important this issue is. I thank the Minister very much for his earlier statement about apprenticeships and the fact that we are nearly doubling them. I shall give some figures from my constituency, although I cannot quite beat the percentage increase that my hon. Friend has seen in Burton. We had 580 apprenticeships last year, which is going up this year to 780—nearly 800—so we are going in completely the right direction.

I want to make a plea to the Minister. It is good that larger businesses are taking on apprentices, but some 50% of the private sector economy comprises small companies and micro-businesses, and they take on only about 2% of the apprentices throughout the country. It is important that we get that figure up. We must ensure that apprenticeship schemes are worth while, but we must also ensure that they are not so burdensome or beset by red tape and bureaucracy that small companies will not use them. Small companies and micro-businesses are personal concerns that someone has built up, and if a young person can work every day with the person running the company, that will be important not only for building the business but for building up a relationship that could lead to the business taking on an extra employee. It would therefore help tremendously if more small businesses could be persuaded to take on apprentices.

Justin Tomlinson Portrait Justin Tomlinson (North Swindon) (Con)
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One of the biggest challenges that micro-businesses face is that of accessing information on providing an apprenticeship. In previous debates, I have called on the Minister to provide such information in the annual business rates mail-out, setting out just how easy it is to offer those opportunities, which are good for the business and good for the apprentice.

Neil Parish Portrait Neil Parish
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My hon. Friend makes a good point. Individuals in small and micro-businesses usually work very hard and do not have much time to look through such information, and they certainly do not have anyone else to deal with that side of the administration. I am sure that the Minister will take that point on board, to ensure that such businesses have greater access to apprenticeship schemes.

In my constituency of Tiverton and Honiton, both those towns contain many little manufacturing and engineering businesses that are taking on apprentices, as do Axminster, Seaton and Cullompton. I was an unofficial apprentice; I was milking cows at 13. My father—God rest his soul—did not believe in paying anybody, and certainly not his own son. Seriously, though, agriculture nowadays has changed. Anyone who drives tractors will know that they light up like a Christmas tree. They are full of computers, and probably cost between £50,000 and £60,000. People need really good skills to be able to drive them. Similarly, the machinery used in engineering businesses is all computerised. Apprentices need greater skills now than ever before, and this is linked to education and to colleges. Petroc college in Tiverton, for example, is creating more and more links to apprenticeships. That needs to be done; colleges need to link into businesses in that way. Constituencies such as mine have a lot of agriculture and a lot of tourism. They also contain many eating establishments and other businesses that can build in apprenticeships to provide real skills and meaningful jobs.

I want to echo the comment from other Members. Bringing young people and older people—especially those who are not used to working—into apprenticeships and retraining can give them valuable experience of work. That is where small companies and micro-businesses can be useful, because one-to-one interaction between the employer and the apprentice will give the apprentice the confidence to carry on and build a career. It is a matter of giving people confidence and the ability to work.

My final point is on the youth schemes designed to help young people. There are 40,000 places on those schemes, and I hope that we will be able to find a bit more money, even in these difficult times, to fund a few more places. I think we all agree that we want to see all our young people in jobs. It is rather rich of the Labour party to knock what we are doing when we have doubled the number of apprenticeship schemes, and are now adding the youth schemes to help young people. We saw a rise in youth unemployment during Labour’s time in office. The Labour Government created a huge boom in the economy, only to create a huge bust afterwards. Youth unemployment rose during that time, and we are going to have to fight hard to get those people back into work and to get the apprenticeship schemes running so that we can give young people a great future.

Financial Education

Justin Tomlinson Excerpts
Thursday 15th December 2011

(12 years, 5 months ago)

Commons Chamber
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Justin Tomlinson Portrait Justin Tomlinson (North Swindon) (Con)
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I beg to move,

That this House notes that young people today grow up in an increasingly complex financial world requiring them to make difficult decisions for the future, often without the necessary level of financial literacy; believes that financial education will help address the national problem of irresponsible borrowing and personal insolvency and that teaching people about budgeting and personal finance will help equip the workforce with the necessary skills to succeed in business and drive forward economic growth; further believes that the country has a duty to equip its young people properly through education to make informed financial decisions; and calls on the Government to consider the provision of financial education as part of the current curriculum review.

First, I would like to thank the Backbench Business Committee for allowing us to have this excellent opportunity to raise the profile of our ongoing campaign calling for greater provision of financial education and to make it compulsory in the national curriculum. I also extend my thanks to Martin Lewis of MoneySavingExpert.com, whose e-petition secured the magic trigger of 100,000 signatories. It is only the fourth to have done so.

A number of people have asked me why this subject caught the public’s imagination. A couple of recent studies perhaps explain that. It was found that 94% of people agree that financial education is important; that 69% of parents feel that their children will get into debt; that fewer than a quarter of parents feel confident in educating their own children in money matters; and that 72% of parents do not believe that enough has been done to educate young children.

I am personally passionate about this subject because I believe society is changing. Here are some examples. This year was the first in which debit card usage exceeded cash usage. Only a few generations ago, people were paid weekly in cash. They often ran out of money, so were effectively forced to try to manage money in a controlled manner. Nowadays it is easy for the money to come in and flow out very quickly. We are seeing a greater prevalence of direct debits and standing orders, so if people get themselves into financial difficulty—the majority because of an unforeseen change of circumstances, such as the loss of a job, a bereavement or a family breakdown—they think that they will apply the financial brakes and not go out that weekend for a meal or to the cinema and that they will not spend any money, but the direct debits and standing orders are still flowing out of the account. People quickly become overwhelmed.

We are seeing ever more complicated marketing messages from different sectors, which are often misleading.

Andrew Smith Portrait Mr Andrew Smith (Oxford East) (Lab)
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I am very grateful to the hon. Gentleman for giving way and I congratulate him on tabling this motion, which I strongly support. Does he agree that one of the big problems is that a lot of people, faced with the marketing to which he refers, simply do not understand the rate of interest they are being charged? That underlines the importance of basic mathematics in the curriculum alongside the financial education that he is rightly advocating.

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Justin Tomlinson Portrait Justin Tomlinson
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The right hon. Gentleman is absolutely spot on with that point and I am just about to come on to it.

We have already had a number of debates in this Chamber on debt management companies, doorstep lending and payday loans. In fact, on annual percentage rates, we have already seen worrying evidence that consumers often think the higher the APR, the better. When people take out loans, they are not necessarily taking them out for a simple 12-month period. Most people could probably calculate 10% on a £100 loan, but it becomes complicated. Sometimes, the high-interest rate loans can be better than what people think is a safe bet. A good example of that is someone who wishes to borrow £100 for two days. They can borrow it from one of those well-known payday lenders who charge 4,635% plus £5.50 for the product fee, or they can go into their unauthorised overdraft facility at their local bank, which will charge them an understandable flat fee of £10 a day and a £2.50 fee for the privilege of using their debit card. Nearly everybody would accept the bank’s offer, because it is understandable.

Baroness Chapman of Darlington Portrait Mrs Jenny Chapman (Darlington) (Lab)
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I feel obliged to intervene, given that my hon. Friend the Member for Walthamstow (Stella Creasy) is not here, but how many people does the hon. Gentleman believe sit and make the calculation when they are working out whether to take a loan from Wonga? How many of them does he think roll over their loans at the end of the borrowing term?

Justin Tomlinson Portrait Justin Tomlinson
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I thank the hon. Lady for that intervention and that is exactly the point. It is so complicated. In my example, the bank was not the right option, but on many other occasions, it would be the other way around. The majority of consumers cannot calculate the interest rates to make those informed decisions. The market benefits from that and targets its marketing to take advantage of the situation.

Andrew Murrison Portrait Dr Andrew Murrison (South West Wiltshire) (Con)
- Hansard - - - Excerpts

I have a great deal of sympathy with my hon. Friend’s motion and I congratulate him on tabling it. Does he agree that the fundamental problem is not so much financial literacy and numeracy skills, although they are important, but that basic literacy and numeracy need to be improved, as evidenced by the unsatisfactory key stage 2 results that we saw in May?

Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

I thank my hon. Friend for that intervention and I agree with him 100%. My speech and that of my hon. Friend the Member for Brigg and Goole (Andrew Percy) will cover those exact points.

To conclude this part of my speech, consumers too often take advantage of what they see as instant pain-free solutions without understanding the implications of what they are taking on.

Jim Dowd Portrait Jim Dowd (Lewisham West and Penge) (Lab)
- Hansard - - - Excerpts

Before the hon. Gentleman moves away from payday loans, does he not agree that anybody who finds themselves even contemplating taking one out—I accept his point that there are different ways of calculating the best way out of a situation—needs to address their whole financial position? It tends to be indicative of a problem, although I would not necessarily say that it was systemic. Once someone starts robbing from next week, they will be short then and it will go on and on. They need at that very moment to get the most careful and wise advice on their personal finances.

Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

I thank the hon. Gentleman for his contribution. Let me be clear. Everyone has individual circumstances, priorities and challenges, and what one member of the public thinks is the right thing to do might be different to what the next person thinks. For me, the driving force is the idea that we have a duty to equip people to make informed decisions so that they can understand the implications of what they are doing and therefore do the very best according to their own priorities and circumstances. As we find in our debates, however, all too often people are not in a position to do that. MPs often end up referring to our casework because time and again we see people who have made wrong decisions not necessarily through any fault of their own, but because they did not have the skills to make the right decisions. Indeed, Citizens Advice has highlighted that 60% of its work is finance-related.

We have a competitive market and the Government have been encouraging people to take advantage of competition within the energy market. We say to people, “Go and shop around and look at energy tariffs,” but the market is incredibly complex and people need to be clued up if they are to be savvy consumers. I recently attempted to look at energy tariffs, but they are not all like for like, so consumers need a good level of skills to unravel that complicated market and seek out the best deal.

Another reason why I am passionate about this subject is that my generation could be pretty rubbish at handling money. We could go to university, drum up huge amounts of debt, including expensive debt on credit cards, and then secure our first graduate jobs—in my time that was relatively easy to do—get on to the housing ladder with a 100% or 100%-plus mortgage and watch house prices increase. When we had learned the error of our ways, we could reconsolidate our mortgage, pay off all our expensive debts and carry on, but that option will not be available to the next generation. As things stand, it is very difficult to get into the housing market and there is no guarantee that house prices will rise so that one could take advantage of that should one get on to the housing ladder. It is harder for young people to get credit and harder for people to correct any mistakes they may have made.

Claire Perry Portrait Claire Perry (Devizes) (Con)
- Hansard - - - Excerpts

I commend my hon. Friend, who is a near neighbour, and all the MPs involved in this issue—this is the House of Commons working at its best. Does he agree that this is a big issue for women and girls, who are often the particular target of very expensive consumer demands, such as, “You must have this big handbag,” or “You must buy these incredible clothes”? I think we do our young women and girls a real disservice in this area. Not only do we not educate them about finance but we encourage them to borrow and spend as much as possible.

Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

I thank my hon. Friend for raising that point. This is part of the problem. We want people to be equipped to make informed choices and also to be savvy consumers who understand how to get the best for their money.

I want to say a little about how we got to today’s debate. Just over a year ago, I innocently asked a parliamentary question calling for greater financial education within our schools. I was then contacted by the national charity, the Personal Finance Education Group, which told me when we met that it had been campaigning on this subject for 10 years. Its representatives said, “That was a very good question. Would you like another 30 to ask?” for which I was very grateful. I submitted those questions, which made me look very intelligent. I was then contacted by Martin Lewis of MoneySavingExpert.com, who said, “Can I come and meet you? I’m very impressed by the 31 questions you’ve now asked on this subject. You sound very knowledgeable and I’d like to get behind you.” We decided between us that I alone could not champion this cause and that we should launch an all-party parliamentary group. Following a little gentle persuasion from the 6 million subscribers to MoneySavingExpert.com, MPs keenly queued into a very busy Jubilee room. We clocked up a staggering 225 Members from different parties, making us the largest such group.

At that point, we were tempted to go and knock on the Minister’s door, offer him a cup of tea and some biscuits and talk about how overwhelmingly we were supported by people, but we knew that the Minister is often contacted by people championing worthy causes. I have called for basic cookery and life-saving skills to be taught in schools so I have been guilty of making lots of requests of the national curriculum. We thought that instead we would be patient and launch a constructive and positive eight-month inquiry so that when we met the Minister and said, “This is our worthy cause,” we would have answers to all the questions that could be raised.

The inquiry was chaired by my hon. Friend the Member for Brigg and Goole who, despite having been called a supply teacher by the Prime Minister, has an extensive knowledge of a variety of roles within schools. We conducted a significant amount of research. More than 900 teachers responded, telling us what is happening, and what they think could and should happen. More than 50 relevant organisations met us, face to face, in oral sessions. We set ourselves up as a mini-Select Committee. We heard from organisations from the banking sector, financial institutions, teachers unions, financial education providers, the Financial Services Authority and the Money Advice Service. We heard from mathematicians so intelligent that the lights in the room started to flicker. We are extremely grateful for the support given by Carol Vorderman, who had previously been commissioned by the Conservative party when it was in opposition to look into mathematics standards. She was ably supported by Roger Porkess and Stella Dudzic, who wrote the mathematical example questions in our report.

We met representatives of the personal, social and health education sector, and we also talked to young people themselves because if we championed this cause but young people did not wish to engage, it would be a flawed campaign. We were overwhelmed by their support. In particular, I thank Katie Emms and Alex Harman, who took part in the oral sessions, but who on Monday, promoting our launch, got banned by Twitter for tweeting rather too enthusiastically about how good our 52-page report is.

Diana Johnson Portrait Diana Johnson (Kingston upon Hull North) (Lab)
- Hansard - - - Excerpts

Has the hon. Gentleman had an opportunity to look at the evidence presented to the Education Bill Committee at the end of the last Parliament? An attempt to get PSHE, including economic education, on to a statutory footing in the national curriculum was debated at length, but unfortunately his party prevented that from going through in the wash-up. A lot of very good evidence was presented to that Committee.

Justin Tomlinson Portrait Justin Tomlinson
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I thank the hon. Lady for that intervention. That was part of the evidence that we considered, but that was a rather simplistic description of what happened in the wash-up. That was not a stand-alone issue, and we referred to that in the report.

Andrew Percy Portrait Andrew Percy (Brigg and Goole) (Con)
- Hansard - - - Excerpts

We did indeed look at that issue but was it not the case that we were not convinced from the start about simply putting financial education into PSHE? We wanted to discuss examinations and mathematics and all the rest of it, which is why we have come up with a solution that I think is much better than that offered before the election.

Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

Absolutely. It was important to include that as part of the evidence, but as we are about to set out in our recommendations, it was not the conclusion that we came to.

Kevin Brennan Portrait Kevin Brennan (Cardiff West) (Lab)
- Hansard - - - Excerpts

I commend the hon. Gentleman on his work and on the report that he has produced. Does he not accept that if his Front-Bench colleagues had not taken that position, compulsory financial education would have been delivered through PSHE in secondary schools since last September?

Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

I thank the shadow Minister for his intervention. We are trying to reach consensus on the very best way to deliver that education. We considered that approach as part of our report and concluded that it was not the right way to go. I am about to set out what we feel should be done. I am aware that a number of other Members will also go into detail to explain why we came to that conclusion.

I am going to whizz over the key recommendations. My hon. Friend the Member for Brigg and Goole will explain the mechanics behind them because he chaired the inquiry. We believe that the Government should promote the provision of high-quality financial education in schools in England. They should do that by acting on, or supporting, the following recommendations. I hope that the Minister’s pen is poised.

With regard to national provision, personal financial education should be a compulsory part of every school’s curriculum. Resources produced by outside organisations and visits of providers to schools should be available and accessible if considered helpful by teachers and quality-marked by a trusted body. There are many and varied examples of volunteers and financial institutions that already go into schools to do a good job. There is also evidence that some people felt that that was sometimes a marketing exercise.

It was also clear that provision was very patchy. We saw lots of evidence that if a school governor happened to have a connection to a particular financial institution, their school was more likely to have that opportunity than others. That said, those institutions can play an important role as long as the teachers lead. For example, a PE teacher providing a wide variety of sports may be particularly competent in football and rugby, but if his students want to take part in, say, trampolining, he may invite the local trampolining club to come in and give a lesson. That should be under the control of the teacher and be quality-marked so that we can be sure that it is not a marketing exercise.

Robert Buckland Portrait Mr Robert Buckland (South Swindon) (Con)
- Hansard - - - Excerpts

My hon. Friend is absolutely right to say that such lessons should be teacher-led. I had the pleasure of seeing a teacher-led money management workshop run by the charity Credit Action at St. Joseph’s college in my constituency a week or so ago. The year 8 group were really engaged. I could see that there was strong merit in the approach that was being taken in that lesson. I am delighted to support my hon. Friend and congratulate him on all the hard work he is doing.

Justin Tomlinson Portrait Justin Tomlinson
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I thank my hon. Friend for that important intervention. A number of members of the all-party group, including several who took part in the inquiry, visited local schools to see at first hand the enjoyment and fulfilment of young children who had such an opportunity. If we ask them whether they are interested in mobile phone contracts, the cost of driving lessons or the fact that ultimately they will have access to credit cards and loans, we see that they are enthused by money and buy into financial education.

The report recommends that:

“Primary teachers should build upon their teaching of basic money and mathematics skills from an early age across the curriculum in preparation for secondary education.”

On that point, I welcome the Minister’s decision to restrict the use of calculators in primary schools, because it is clear that the ability to do mental arithmetic makes a huge difference when it come to providing the building blocks of the good mathematical skills that are essential to become an informed and savvy consumer. My hon. Friend the Member for South West Norfolk (Elizabeth Truss) championed that in a Westminster Hall debate in which I had the pleasure of offering my support. I know from my experience of learning maths in school, and being reasonably savvy when it comes to financial matters, that such skills are built on the ability to do mental arithmetic.

The report continues:

“We welcome the Government’s current proposal to increase the minimum requirement of mathematics GCSE to grade B for primary school teachers and encourage that it should be adopted. It would be advantageous to use the opportunity of training days to refresh the mathematics skills of primary school teachers, although we respect the right of the schools to provide training in a way they feel is appropriate.”

On secondary schools, the report recommends:

“Personal finance education should be taught cross-curricular in mathematics and Personal, Social, Health and Economic (PSHE) education with the financial numeracy aspect of personal finance education situated in mathematics and subjective aspects taught in PSHE education. It should be packaged in an obvious and clear way to young people.”

Elizabeth Truss Portrait Elizabeth Truss (South West Norfolk) (Con)
- Hansard - - - Excerpts

I congratulate my hon. Friend on securing the debate and on all the work he has done on this subject. Does he agree that financial education needs to be embedded in mathematics rigorously and that it should be seen as one of the forms of applied mathematics in the way that mechanics has been historically? We should see finance as another means of doing that as well. Does he agree that it is particularly concerning that girls perform worse in GCSE maths than boys, despite the fact that they do much better in other subjects?

Justin Tomlinson Portrait Justin Tomlinson
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I thank my hon. Friend for her intervention. I could not agree more. That point is right behind our findings. I will set out the split that explains that. The report states:

“Personal finance elements of maths should be clearly highlighted to emphasise how they relate to real life decisions. If viable, the Government should implement the Smith Report and Maths Review’s recommendation for the twin GCSEs: ‘Application of Mathematics’ and ‘Methods in Mathematics’ to improve financial numeracy and ensure it is examined.”

Crucially, we saw that in the evidence on the factual side, such as calculating the cost of a loan. We set out some examples in the report that covered the cost of standard loans, calculating exchange rates, credit cards, savings, taxation, compound interest rates and APR, which was referred to earlier. Those are factual questions with factual answers that are right or wrong and should be properly examined. We think that that would drive up standards.

Oliver Heald Portrait Oliver Heald (North East Hertfordshire) (Con)
- Hansard - - - Excerpts

May I say what a fantastic job my hon. Friend and the all-party parliamentary group are doing? Does he agree that these issues also come up with pensions? One of the great concerns with auto-enrolment is that people who have not previously saved will need to understand the products, so this sort of education will be very valuable.

Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

That came through in the evidence. If we go into primary schools and start talking about pensions, we might not necessary engage, but one thing leads to another, and if young people have the basic skills, they can go on to use them later in life.

Simon Hughes Portrait Simon Hughes (Bermondsey and Old Southwark) (LD)
- Hansard - - - Excerpts

When I was going around the country earlier this year doing some work for the Government, I talked with young people not about pensions, but about paying for life after leaving school at 16. The overwhelming message I heard was that they wanted financial education not for the long or even medium term, but for dealing with their questions on where to study, how much it will cost, about apprenticeships and what the impact on the family income of those choices will be. That is really urgent, really important and universally supported.

Justin Tomlinson Portrait Justin Tomlinson
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I thank my right hon. Friend for that intervention and echo those comments. We have seen that response as we have made our visits.

Personal, social and health education should be clearly defined as four separate strands, one of which should be personal finance. By reworking the PSHE syllabus, more focused training and assessment can be developed, and individuals would have an opportunity to learn about the implications of their decisions.

Earlier, I pointed out that we are all individuals, with our own individual challenges, priorities and things that we consider important, so there is not necessarily a right answer in this area of education. I shall use yet another example from Martin Lewis to illustrate that point. An individual has been unable for 12 months to find a job; they have been offered a job in a neighbouring town but with only a three-month guaranteed contract; and the only way in which they can get to the town is if they take out an expensive car loan. Does that individual take out the loan? There is not necessarily a right or wrong answer. Are they confident that they will be so good in their job that they will last beyond three months? That is probably the determining factor, but such examples offer young people the opportunity to talk through the day-to-day, real-life challenges that they may face when they enter the big, bad world.

Kevin Brennan Portrait Kevin Brennan
- Hansard - - - Excerpts

The first key recommendation of the hon. Gentleman’s committee is that personal finance education should be part of every school’s curriculum. Is he including academies and free schools?

Justin Tomlinson Portrait Justin Tomlinson
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That is exactly the sort of question that, in setting out the mechanics of the recommendations, my hon. Friend the Member for Brigg and Goole will cover—if the shadow Minister could just be ever so slightly patient.

We also call for a school co-ordinator or champion to be appointed to each school, preferably from the senior leadership team. They should be given responsibility for ensuring that outcomes are achieved in maths and PSHE; for ensuring that there is a clear link between the elements of personal finance taught in mathematics and PSHE; and for sourcing resources. We make it clear that such education should be cross-curriculum, so there should be a point of contact who can champion it.

Andrew Murrison Portrait Dr Murrison
- Hansard - - - Excerpts

Teachers will argue that there is huge pressure on the curriculum, and I have a lot of sympathy with that, so how much time will it be necessary to carve out of an already pressurised curriculum to deal with the issue? I assume my hon. Friend is suggesting that primary children should be taught not about gilts and derivatives but about fairly basic stuff, so how much time will be required to bring them up to the acceptable level of numeracy which he envisages?

Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

I thank my hon. Friend for that contribution. We considered a stand-alone subject and, in our utopian world, we would have loved to see a stand-alone financial education qualification, module or however it might have been, but we recognised that greater freedoms have been given to schools, so we thought it best to build such education, in the most relevant and rigorous way, into the subjects currently on offer.

Tessa Munt Portrait Tessa Munt (Wells) (LD)
- Hansard - - - Excerpts

Does my hon. Friend not agree that such education is about understanding mathematical concepts in a practical way, so it does not need to displace any part of the curriculum? If one is looking at the cost of leasing the car, at whether to place a spread bet or whatever other type of bet, or at anything else, one needs to understand percentages, multiplication and all those things. They are lifetime examples that should be taken into the classroom.

Justin Tomlinson Portrait Justin Tomlinson
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I thank my hon. Friend for that, because it answers in part an earlier intervention.

--- Later in debate ---
Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

I am sure that was not the thrust of the earlier intervention.

Baroness Primarolo Portrait Madam Deputy Speaker (Dawn Primarolo)
- Hansard - - - Excerpts

Order. One intervention at a time. Is the hon. Gentleman giving way?

Tessa Munt Portrait Tessa Munt
- Hansard - - - Excerpts

I accept absolutely the point about not teaching primary school children spread betting, but young constituents of mine have made appalling errors due to the betting that is available online, and I complain constantly that on mainstream television there are 31 hours and 55 minutes of online betting shows late at night. Does my hon. Friend agree that, unless one understands the implications of what one is doing, one is in deep trouble?

Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

I thank hon. Members for their interventions; I shall try to give one response to the three of them. In secondary schools, anything to do with betting or credit cards could be relevant. It is very important, however, that we as a society do not necessarily judge what is right and wrong for individuals. However, the PSHE side of things offers an opportunity to discuss the implications.

How much time should be spent on such education? I am conscious that I was called to speak ahead of my hon. Friend the Member for Brigg and Goole. I do not want to steal all his best lines, and he is keen to set that issue out in detail. However, in summary, I emphasise again that in primary schools the priority is to provide the building blocks for secondary schools, and that is very much on the mental arithmetic side—perhaps just an introduction to the concept of money.

In secondary schools, as has been pointed out, financial education should be integral. In many ways, some of that work already takes place. For example, we already expect students to do calculations in mathematics; we would like those calculations to be applied to real-life situations. Rather than asking what is 10% of 100, it might be better to ask how much a loan of £100 at 10% interest would cost someone. That is the same calculation, but the point is brought home.

There is another element to that. I am very supportive of mathematics; I studied it at A-level and I am a great believer that our success as a nation relies on our encouraging more young people to take up mathematics. One of the biggest challenges is that young people are put off the subject because they think that it is a lot harder than it really is, because they do not apply it to everyday life. When we ask young people whether when they look at different tariffs on mobile phone contracts they realise that they are carrying out a mathematical calculation, they find that they are interested in the subject. Such approaches can be used as an opportunity and a hook to encourage more people to go on to do the further maths that this country so needs.

In conclusion, I have been absolutely bombarded with statistics from supportive organisations; I met more than 100 of them before we even started looking into producing our report. They have been helpful with statistics. The one that stands out more than any other is that 91% of people who have got themselves into financial difficulty feel that if they had been better informed, they might well have taken a different path. Hindsight is wonderful. We all think, “If only I had done that”. But I certainly think that the principle of that statistic is right; so many people who get themselves into difficulty could have done otherwise. We have an absolute duty to equip the next generation of consumers to make informed decisions. Driving up standards in mathematics and PSHE goes hand in hand with our campaign for compulsory financial education. I urge the Government to embrace our positive and constructive report as part of the national curriculum review.

Diana Johnson Portrait Diana Johnson
- Hansard - - - Excerpts

On a point of order, Madam Deputy Speaker. I apologise to the hon. Member for Darlington (Mrs Chapman) who is due to speak in a moment, but I would like to raise an important matter with you. Written ministerial statement No. 11, which relates to the Olympics, security and the Ministry of Defence, is supposed to have been published this morning. It is still not with the House. During Department for Culture, Media and Sport questions this morning, Members were given an opportunity to ask questions about the Olympics. Like my hon. Friend the Member for West Ham (Lyn Brown), I am concerned that the media are trailing several stories about warships and several thousand military personnel being in east London during the Olympic games. Could you use your offices, Madam Deputy Speaker, to see whether the statement could be made available forthwith?

--- Later in debate ---
Justin Tomlinson Portrait Justin Tomlinson
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I will give a brief conclusion to what has been an extremely positive debate. I thank all Members who contributed from both sides of the House for taking the time to set out their support for our ongoing campaign. I hope that the 100,000 people who took the time to sign Martin Lewis’s e-petition will feel that Parliament has served them well today. We have shown one of the better sides of Parliament, as we have taken a tangible issue that the public are interested in and tried to set out a way of dealing with it. I thank all the members of the all-party parliamentary group and the supporters, particularly the individuals and organisations—over 1,000 of them—who contributed to our comprehensive report. We deliberately took our time and were patient so that we could deliver something that was thorough and that set out constructively and comprehensively our case as part of the national curriculum review. I am grateful that the Minister and shadow Minister acknowledged that our delivery of the campaign is an example that others should follow. Interestingly, this is not just a pie-in-the-sky request. We look at our international neighbours and find that many states in America, and Australia, New Zealand and Canada, are leading the way in financial education.

As part of the national curriculum review, I hope that today we have taken a very good opportunity to set out our positive case, so that we might deliver on our duty to equip the next generation of consumers with the ability to make informed decisions.

Question put and agreed to.

Resolved,

That this House notes that young people today grow up in an increasingly complex financial world requiring them to make difficult decisions for the future, often without the necessary level of financial literacy; believes that financial education will help address the national problem of irresponsible borrowing and personal insolvency and that teaching people about budgeting and personal finance will help equip the workforce with the necessary skills to succeed in business and drive forward economic growth; further believes that the country has a duty to equip its young people properly through education to make informed financial decisions; and calls on the Government to consider the provision of financial education as part of the current curriculum review.

School Sport

Justin Tomlinson Excerpts
Tuesday 13th December 2011

(12 years, 5 months ago)

Westminster Hall
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Justin Tomlinson Portrait Justin Tomlinson (North Swindon) (Con)
- Hansard - -

It is a pleasure to serve under your chairmanship, Mr Amess, and to follow the hon. Member for Bradford South (Mr Sutcliffe), who is an exceptionally well respected former Minister for Sport. I certainly agree with the spirit of many of the things raised in his speech, although I will perhaps tweak one or two points in my contribution.

I speak very passionately on this subject because I benefited from sport. I went to a very challenging school. We were bottom of the league tables and, as I mentioned in last week’s debate in this Chamber on sport and tackling youth crime, two of my friends spent time at Her Majesty’s pleasure. Sport kept me active and by the end of the day, I was too tired to cause any trouble—although some people might say that as I am now a Member of Parliament, I took an even worse path.

I was a councillor for 10 years prior to becoming an MP, during which time I spent four years as the lead member for leisure. I therefore have a lot of first-hand experience of dealing with these sorts of issues in the community. As we know, sport can play a very positive role. It helps to promote a healthy and active lifestyle, which is important in tackling the increasing concern about obesity. Sport channels young people’s energy, boosts self-esteem and provides enjoyment, friendship and personal fulfilment. It can have significant benefits for focusing good behaviour and as I said, that was something I saw at first hand when I was growing up.

Gerry Sutcliffe Portrait Mr Sutcliffe
- Hansard - - - Excerpts

I know that the hon. Gentleman is a strong supporter of school sport both from his past record as a councillor and since he has been a Member of Parliament. He made a point about prisons. I was the Minister responsible for prisons. What is the busiest place in a prison in terms of people getting involved in sport and physical activity? The gym. Such things made me think as I do about what sport can do for people.

Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

I absolutely agree, and I will come to that point in a bit more detail later.

I will touch on three points: first, the school sports partnerships; secondly, what is physically going on in schools as we speak; and, thirdly, wider community access to schools. I shall then put my personal requests to the Minister.

On school sports partnerships, I raised a number of concerns in debate that led to the Government changing their position. I support the principle of the school sports partnership, but a premise that attracted a lot of criticism of the scheme is that it did not necessarily drive up levels of competitive sport. That was a flawed assessment because, generally, if someone is very good at sport, it is probably because their parents are that way inclined and encouraged sport from an early age by providing access to sports clubs.

School sports partnerships were good for people who were not naturally inclined to sport or gifted at it, because they offered a wider breadth of sporting opportunities. For example, I remember that we played football pretty much every week at my school, which suited me because I liked football. However, some people were not necessarily enthused by the opportunities that football presented. The main driver behind the school sports partnership was that it brought in other sporting opportunities and showed people that there was something out there for everyone. There were encouraging signs that it was making a difference to the majority of children who are not necessarily naturally gifted at sport.

Clive Efford Portrait Clive Efford (Eltham) (Lab)
- Hansard - - - Excerpts

The hon. Gentleman will correct me if I am wrong, but I think I just heard him say that school sports partnerships did not drive up participation in competitive sport. Can he tell me the figures he bases that statement on?

Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

The point behind my remark was that when the Government were making their judgment about whether the school sports partnerships were delivering value for money, they looked only crudely at the number of children taking part in competitive sport, which was two in five children. That figure did not change. However, what did change significantly was the number of children who were not doing any sport at all who then took up sport. They might not have been playing in regular leagues outside school, but they were at least being active—whether that was just for the two hours a week or whether it led to other opportunities.

For example, when I was touring my constituency, we saw encouraging signs; people were doing things such as cheerleading and street dancing, which were incredibly popular but because they were not strictly sports in the traditional competitive sense, they were not included in those crude statistics on competitive sport. However, those people were being active. When I was the lead member for leisure, I did not care what people were doing, as long as they were doing something that increased their heart rate. I also say that with my hat on as vice-chair of the all-party group on heart disease. We are keen to encourage such activities.

The change in position allowed nine months for the school sports partnerships to, in effect, go to schools and secure funding. I do not recognise the point about cuts to the funding; it is just that the funding is no longer ring-fenced. The challenge that remains for school sports partnerships is that not every school necessarily identifies sport as a priority. The Swindon school sports partnership has managed to ensure that around 20 schools have signed up to carry on in pretty much the same format as before. However, a number of schools have decided that there are other priorities for that money and, by removing ring-fencing from the funding, they are free to make that choice. I think that such a choice is wrong for those schools and when I meet those who work in them, I regularly push the benefits of providing sport. We must deal with that challenge. It comes down to individual heads; it is fair to say that if a head has a personal interest in sport, it is certainly pushed to the forefront.

Jim Shannon Portrait Jim Shannon
- Hansard - - - Excerpts

Does the hon. Gentleman consider that there is a role for private investment and partnership with schools as a way of getting more money for the programme? Is that something he has considered and, if so, how does he think it will work?

Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

I absolutely do, and I will come to that point shortly.

There are some advantages to the changes that have been introduced, but we need to work out a way to ensure that schools continue to see sport as a priority. There was another reason why we had to look again at how the school sports partnerships worked. In my constituency, it was a very good partnership, but we heard in the debates on the subject that in other constituencies people who work in schools were saying, “They aren’t delivering very much. I am very passionate about sport as a head teacher. I would like to employ my own choice of sports coach directly.” To a certain extent, therefore, some schools now have better provision, because they have gone directly to the person they think can provide sporting provision in the areas where they had gaps.

It is also fair to say that the school sports partnerships that are still in existence, including my own in Swindon, have had to step up their performance, because that cheque is no longer guaranteed. They have to go to schools and make a pitch about how they will deliver additional benefits to them. There is still a role to play, however, in helping those SSPs to be in a position to deliver improvements, because, by and large, they are sports enthusiasts and are particularly good at organising sports events. They are not necessarily geared up to be a semi-business—a not-for-profit business—so there should be a role to provide additional help in that way.

In response to the intervention, I would like to see SSPs identify additional partnership opportunities, not just through the private sector, but through working with local authorities, the local NHS and sports forums and local sports clubs. To give a good example, if a school offered only football every week and wanted the SSP to bring in street dance, it should bring in not a one-off coach, but representations from street dance clubs, so that children who enjoy a taster session in school then have the opportunity to join a club and take up the activity on a regular basis. Local authorities can play an important role in that regard. The equivalents of the lead members for leisure and the key officers should sit down with the SSP organisations and say, “You can bring the following people to the table and we’ll help co-ordinate that,” so when the SSP then pitches to individual schools, it will be able say that it will not only provide two hours of street dance, but will bring in supporting clubs and give advice on nutrition and on how to do a variety of other beneficial tasks above and beyond the obvious reasons for it to go into the school. That is about asking what more we can do to make SSPs seem much more attractive to schools and to keep sport as a priority.

On what is happening in schools at the moment, I would like to see changes in relation to two particular challenges. The first is the cost of insurance, which is an issue that I have raised in a number of debates. The majority of teachers are relatively young, and young people are very expensive to insure. We need to be able to bus pupils around in order to promote school games and take them to learn outside the traditional school environment. Many teachers are young and new recruits are getting younger, so the cost for schools—it is a burden—is incredibly expensive. I keep urging the Government to consider a national deal; schools throughout the country purchase things, so surely, as a collective with huge economies of scale, we should be able to get a better deal from the insurance industry. I encourage that.

I have been told by an inspirational local physical education teacher, Julie Lewis, about a second element in relation to insurance. In order to drive a minibus, the driver needs a certain D-class element on their licence. Julie already had that—she is of a similar age to me—so it was a relatively simple process. She just had to go to the local authority and carry out a simple test. She passed and was then able to drive the minibus. The younger teachers now have to do three days of training, which costs about £2,000, so that is another burden that the school has to weigh up: when budgets are tight, is it worth releasing teachers for three days? All too many schools like the idea of doing it, but they cannot afford it, either because of the cash or because they do not have the time to release teachers. We need to look at that.

PE teachers also face a dichotomy in relation to their priorities. Julie told me that she is extremely keen to provide after-school clubs. The children love them and embrace them, and really want to take them up. If she could offer as many sessions as she would like, they would all be full. However, she has to plan them at the same time as she should be planning her lessons, and planning her lessons to make sure that they are delivered in the correct manner is what is judged by Ofsted to determine whether she is a good PE teacher and whether the school is a good school. There is a clash; one area is being judged and rewarded, but it is as if she has to magic up a way of providing the after-school classes that might be of most benefit to the children.

I have talked to other teachers. A friend of mine worked in a challenging school in Oxford. During his first year as a qualified teacher, he was full of enthusiasm and provided a huge range of after-school sports clubs. They helped with behaviour and with tackling crime in the local area, because the children were not hanging around street corners straight after school. They were doing something constructive and positive. My friend then had the opportunity to do one-on-one tuition, for which he was paid. He could not be in two places at once. His heart said that he wanted to do his bit for the children he was there to inspire and for whom he played a positive role, but his brain said that he wanted to go on holiday and that he needed to buy a new laptop. In the end, the financial reward prevailed.

Gerry Sutcliffe Portrait Mr Sutcliffe
- Hansard - - - Excerpts

Is there not an opportunity for national governing bodies to get coaches to help teachers do such things? One of the things that we looked at was the possibility of coaches from a wide range of different sports running after-school clubs, paid for by national governing bodies.

Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

I absolutely agree and I will build on that point shortly.

Schools have some opportunities at present. The school Olympics principle, for example, is fuelled by next year’s Olympics, which will give us a wonderful opportunity to drive up participation, particularly because they will advertise on the television a huge variety of new sports for people to try. When I was growing up, we very much followed the television. We played football predominantly, but out came the cricket bats when the cricket was on and out came the bikes during the Tour de France, and when Wimbledon was on, the tennis rackets would come out for the three days that the British participants lasted.

I have a slight plea on this issue. It is not just about getting people to be healthy and active, although that has to be the priority. There is a chronic shortage in this country of coaches and—this is often overlooked—of volunteers. When I talk to sports clubs, they tell me that they can normally find somebody to organise things, but that they cannot find a club secretary or treasurer, or someone to sort out all the insurance.

Simon Hart Portrait Simon Hart
- Hansard - - - Excerpts

As a former parent governor of my local school, Tavernspite, and a keen volunteer cricket coach at it, one of the obstacles that I came up against was the Criminal Records Bureau checks. There was one CRB check to be a parent governor and another to be a cricket coach. For all but the very determined, it was difficult to volunteer.

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Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

That is a valid point and I know that the Minister is championing the cause to change that situation. I would like to hear more about it.

To return to the issue of coaches as volunteers, when school games are being organised, the best athletes are selected to represent the school. Incidentally, my school always came last in everything; we were so short of people that I ended up having to do four events in one day and got progressively worse. The key is that we should also identify those who have not been selected to participate and ask one of them to act as the coach on the day, another to organise the promotional posters, and another to be the treasurer and organise payment for the minibus. There are all sorts of other roles, so later, as they grow up, those people could fill the massive gaps in community sport. That is something that we should champion.

I welcome the decision to fast-track troops into teaching. When I talk to school head teachers, particularly in primary schools, they tell me that one of their biggest challenges is that not enough teachers are enthusiastic or confident enough to be able to carry out a wide breadth of PE. It is often the case that the last person to leave the staff room suddenly finds themselves delivering the lesson. One would hope that troops would be sports-minded—they are certainly well attuned to physical activity—which could help to fill a major skills gap.

On the issue of sport helping behaviour, I have visited schools with challenging behaviour problems and, time and again, have seen them use sport as a reward incentive to maintain behaviour in the school. It is amazing that when a child misbehaves and is told that they cannot go to the after-school football or street dance session, that is not only the first time that they misbehave, but the last time, because such sessions are the hook for a lot of children.

Turning to the community, I hear the points about the loss of playing fields and I fully support the call to protect them. There is, however, a further challenge. The vast majority of schools that were built post-1997, which is true of pretty much all, bar one or two, of the schools where I was a ward councillor in a high-density, new-build housing estate, were private finance initiative schools, so they had wonderful playing fields, but after 4 o’clock, a huge amount of money had to be paid to use them. Even enthusiastic PE teachers could not use them, because they were not the school’s property after 4 o’clock, and the local community would have to raise money. They looked wonderful and the turf was great, but they could only be seen through the fence. That is something that we need to look at in future school building. Sports facilities need to be accessible both to the school itself—it is a crime that an enthusiastic PE teacher who wishes to provide after-school sports opportunities cannot do so because it is not the school’s facility—and to the community through sports clubs.

Opening up those facilities should be an absolute priority not only for sports clubs but for youth clubs. I have spoken in other debates about how in the old days, sports clubs dealt with competitive sport and youth clubs were at the other end of the spectrum, but they should be one and the same. Street dance is the classic example; it is not technically an ultra-competitive sport but is something in which young people wish to engage. We can use sport as the hook in the school facilities, and youth workers can come along to where children are being active and can provide the advocacy that youth clubs are normally good at.

I get frustrated when local authorities make mistakes with opportunities. As I mentioned in last week’s debate, Stratton parish council identified £4,000 to provide extra activities for young people. Rather than consulting those young people and asking them what they want to do, the council will spend the £4,000 on providing mobile graffiti walls—nothing more than a training ground for more graffiti artists to wreak havoc in local communities. What the council should have done, to build on an earlier intervention, was to say, “Right, we’re going to open up our schools or community centres on Friday and Saturday evenings and pay for coaches”—it could be a football coach or a street dance coach—“who can then come into our community, and we will only charge the children 50p.” Something—a nominal fee—needs to be charged so that the children take ownership, but without pricing them out, and they can come along and participate for a couple of hours. We would then see children being active and positively engaged in something constructive, and we can build on that. Remarkably, when I go to schools and ask, “What do you want?”, they say they want organised sports provision and opportunities, not silly bits of plywood that they can spray some paint on. That frustrates me. Local authorities and Government are always hard-pressed for money so whenever we have an opportunity to spend relatively limited amounts of money, let us ensure that it is on engagement. Everything should be judged on the maximum number of people participating in whatever it is that gets them active. As I have said on a number of occasions, I do not care which sport it is, as long as something is going on.

Another opportunity that we need to look at is when schools close, as populations shift. In my town, schools are closing in the older housing estates and opening in the new estates, as young families shift across the town, and we need to insure against the loss of not only the playing fields but the buildings. We had a fantastic success story in Swindon involving a successful gymnastics club, with 450 people a week participating. The club was so successful that its landlord served it an eviction notice because the neighbours were annoyed at all the parents turning up after school and taking all the car parking spaces. They got together and said, “Either it moves or we all move”, so the landlord said to the club, “You are very good at paying your rent but I’m afraid you are off.”

To find a new gymnastics facility in any town is a challenge, because high walls and lots of parking are needed. Through the Swindon sports forum we identified a £4 million sports hall that was only a couple of years old and about to be bulldozed; a school was being knocked down because a brand-new £25 million school was being built a few miles down the road, so the sports hall would have been lost. To cut a long story short, we managed to arrange for the gymnastics club to take on that sports hall, paying a commercial rent for the facility, and the old school was bulldozed around it. The club took on the sports hall, which was bigger than needed, so the facility also has the Kirsty Farrow dance academy and the Leadership martial arts club. Now, instead of 450 children a week being active, we have 2,000, with parents dropping children off, one for Esprit gymnastics, one for martial arts and one for the dance academy. We were so close to bulldozing that facility, and 1,550 children —on top of the initial 450—would have missed out. Instead, some joined-up thinking was driven through our sports forum, in which 60 different sports clubs sit together with the council officers. We married together the collective thinking—“This is our challenge, we need a facility”—and the opportunity, not only to the benefit of the gymnastics club but of the other clubs that have piggybacked on it. We should do that wherever buildings or facilities might be lost.

I conclude with my pleas. Collectively, we need to sort out the challenges of insurance, whether the basic cost of insuring people or the cost of being able to drive a minibus, as well as the time. We need to support school sports partnerships to remain a priority for schools, if they are good enough to justify that, and, if so, to give them help and support with business plans and building up their partnerships so that they can offer not only two hours of street dance but additional benefits. We must never forget the need for volunteers and coaches, as well as for getting people to be active in one form or another. We need to make facilities accessible, affordable and open and, wherever possible, not to lose them as populations change.

Calculators in Schools

Justin Tomlinson Excerpts
Wednesday 30th November 2011

(12 years, 5 months ago)

Westminster Hall
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Justin Tomlinson Portrait Justin Tomlinson (North Swindon) (Con)
- Hansard - -

I congratulate my hon. Friend the Member for South West Norfolk (Elizabeth Truss) on securing this excellent debate. I thank her for being kind enough to allow me to make some supportive comments.

As the chair of the all-party parliamentary group on financial education, I absolutely support this call about calculator use because the absolute cornerstone and bedrock to making the next generation of consumers savvy, quick-thinking and financially literate is having a good grasp of mental arithmetic. Without that, it will be impossible for us to deliver improved levels of financial education.

I also speak as a former employer. Time and time again in my business, we almost had to start again with mental arithmetic when we employed people. Mental arithmetic was important for my business, as it is for businesses right across the country. When I meet representatives of businesses of different sizes that frustration is borne out by experience.

Mathematical ability is also incredibly important for personal confidence. This week, I visited an excellent school, Sevenfields, in my constituency. It has transformed itself into an outstanding school, and the main driver behind that is confidence in subjects such as maths, driven by mental arithmetic. Old-fashioned that may be, but it is making a real difference in that school. It is also important to foster personal confidence in students to embrace mathematics. We have been struggling for too long to acquire the number of students who wish to take on maths and progress further. If people can conquer mental arithmetic, they then have the confidence to progress further in maths. In common with my hon. Friend, I am a bit of geek in this respect.

Confidence in maths drives forward the ability to acquire entrepreneurial skills. We see from the “Young Apprentice” TV programme that those young people with good mental arithmetic do particularly well in many of the tasks, particularly haggling. I recall from when I was running my business the number of times when I met suppliers who simply could not do mental arithmetic. They relied on a calculator, which they were embarrassed to use in front of me and which allowed me to run rings round them, and make reasonably good profit margins. That is a serious observation, because that was not just a one-off, but happened time and time again.

For the sake of driving up maths standards, improving confidence and supporting our ongoing financial education campaign, I urge the Minister to get behind this campaign to promote mental arithmetic skills.

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Nick Gibb Portrait The Minister of State, Department for Education (Mr Nick Gibb)
- Hansard - - - Excerpts

I begin by congratulating my hon. Friend the Member for South West Norfolk (Elizabeth Truss) on securing this interesting debate on a topic of great importance to us all. I take the point made by my hon. Friend the Member for North Swindon (Justin Tomlinson) about the importance of mathematics not just in providing progression to more sophisticated maths, but in day-to-day operation of haggling and securing a good deal. I know that what he said from his own business experience is absolutely right, and I am sure that that lack is more pervasive in our economy than people suspect.

My hon. Friend’s excellent opening speech reiterated many of the same points that she made in her article published in The Sunday Times last week entitled, “Cancel the calculators and make pupils think”. I broadly agree with her analysis, and in particular her astute observations on how calculators are overused in classrooms in England. I also agree with her suggestion that there is much that we can learn from the best-performing nations and regions around the world; her analysis of Britain’s position in international rankings when it comes to maths; and her conclusion that we need to look again at the way in which calculators are used in primary schools.

Getting mathematics teaching right at an early age is of prime importance, and securing the foundations of mathematical understanding early at primary school will help our pupils to gain mathematical fluency and achieve at GCSE level and beyond. The modern work force demands people with high levels of mathematical ability as employment opportunities become increasingly technological and the importance of the internet continues to grow. There is a growing demand for people with high-level maths skills to become the scientists and engineers of the future. There is an increasing need for people with intermediate maths skills in a whole range of disciplines. That is why the Secretary of State has said that it is the Government’s intention that within 10 years the vast majority of young people will study maths from the age of 16 to 19.

My hon. Friend for South West Norfolk is right that this country is an outlier in the number of students continuing to study maths beyond the age of 16. As my hon. Friend rightly pointed out, the UK is falling behind internationally. I make no apologies for reminding other hon. Members—it is my hon. Friend who I am reminding—that over the past 10 years the United Kingdom has dropped down the international league table of school performance, falling from eighth to 28th in maths. PISA results show that many countries are racing ahead of the UK in mathematical attainment. Pupils in Shanghai are working at a level in maths that is about two and a half years ahead of that of their peers in the UK. Pupils from Singapore and Hong Kong are regularly introduced to some mathematical concepts much earlier than their counterparts are in England.

Justin Tomlinson Portrait Justin Tomlinson
- Hansard - -

I saw that happening on a visit to a Taiwanese school. The reason behind it was that the Taiwanese felt it was so essential to their economy to embrace new technologies. They thought that that was the way to improve mathematical and science skills, which was so important to them.

Nick Gibb Portrait Mr Gibb
- Hansard - - - Excerpts

My hon. Friend makes his point very eloquently. The debate is not just about the individual’s success in life—there is much evidence that those with advanced mathematical skills secure better employment prospects and higher standards of living—but that as a country we need to get it right, which we have not yet done.

As the Trends in International Mathematics and Science Study—or TIMSS—study of maths has shown, those pupils in Singapore and Hong Kong go on to outperform pupils in England in international league tables. As has been said, if we are to compete internationally, it is crucial that we equip our young people with such essential maths skills.

The foundation for more advanced mathematical and scientific study is built in primary school, where pupils can develop a love of, and a fascination with, mathematics. Unfortunately, far too many children leave primary school convinced that they “can’t do” maths. Provisional key stage 2 data for the 2011 test year shows that only 80% of pupils reached the expected level in maths, and an even lower proportion reached level 5. Without a solid grounding in arithmetic and early maths in primary school, children go on to struggle with basic mathematical skills throughout their school careers and their adult lives. We cannot allow children to fall behind at that early stage. It is vital that pupils are fluent and confident in calculation before they leave primary school. We cannot expect children to be able to cope with the demands of complicated quadratic equations if they do not have quick and accurate recall of multiplication tables. Indeed, it is not possible to do long division, without being fluent in them.

Oral Answers to Questions

Justin Tomlinson Excerpts
Monday 17th October 2011

(12 years, 7 months ago)

Commons Chamber
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Michael Gove Portrait Michael Gove
- Hansard - - - Excerpts

I thank my hon. Friend for his kind words. The Vaughan is an outstanding school, and the diocese and the Department are determined to do everything possible to ensure that it remains outstanding in the future. One of the changes that is being made in the other place by my noble Friend Lord Hill is a change to the provision that relates to governors, to ensure that parent governors and foundation governors who are drawn from the ranks of parents accurately represent the parents’ wishes, because part of the Vaughan’s success has been the close relationship between the parents who love the school and the teachers who have made it so great.

Justin Tomlinson Portrait Justin Tomlinson (North Swindon) (Con)
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5. What consideration he has given to offering two GCSEs in mathematics.

Nick Gibb Portrait The Minister of State, Department for Education (Mr Nick Gibb)
- Hansard - - - Excerpts

We are reviewing the national curriculum requirements for mathematics and will take decisions on the content and number of maths GCSEs in the light of the review. A pilot of a pair of mathematics GCSEs—applications of mathematics and methods in mathematics —began last September and continues to 2013. Evidence from the pilot will also inform our decisions.

Justin Tomlinson Portrait Justin Tomlinson
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As part of the review, may I urge the Minister to provide an opportunity to include financial education as part of the syllabus?

Nick Gibb Portrait Mr Gibb
- Hansard - - - Excerpts

My hon. Friend has worked tirelessly on financial education, and the all-party group on financial education for young people, which he chairs, is about to produce a report, following its inquiry into the issue. As he has said, financial education is important, and we will look carefully at his report when it is published and its conclusions will be taken into account as part of the national curriculum review and the review of personal, social and health education.

School Funding Reform

Justin Tomlinson Excerpts
Tuesday 19th July 2011

(12 years, 10 months ago)

Commons Chamber
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Michael Gove Portrait Michael Gove
- Hansard - - - Excerpts

That is a blast of good sense from north of the Humber. My hon. Friend is absolutely right.

Justin Tomlinson Portrait Justin Tomlinson (North Swindon) (Con)
- Hansard - -

Will the Minister join me in congratulating Swindon borough council on seeking to design and build a generic modular school at half the cost of a bespoke new design?

Michael Gove Portrait Michael Gove
- Hansard - - - Excerpts

Swindon council does a lot of things right, and that is just one more.

Apprenticeships (Small Businesses)

Justin Tomlinson Excerpts
Thursday 9th June 2011

(12 years, 11 months ago)

Westminster Hall
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Richard Graham Portrait Richard Graham
- Hansard - - - Excerpts

Yes. My hon. Friend is absolutely right to say that FE colleges have a critical role to play, as do some of the smaller, specialist training providers. A question for us all to consider—I am sure that my hon. Friend has done this in his own constituency—is the extent to which courses offered by further education colleges can be effectively tailored to the requirements of small businesses. Quite often, some of the courses—this is where the questions of the framework structure and the sector skills bodies come in—are fairly specific and technical, and small businesses often require an apprentice to take elements of a business administration course, elements of a marketing course and elements of other courses. So there is a question about whether there is an adequate structure of training to cater for small businesses, but I absolutely agree with my hon. Friend that further education colleges have a crucial role to play.

Moving away from apprenticeships in general and their take-up nationally, and coming on to the small businesses sector specifically, I believe that there are just less than 5 million small businesses in the UK, of which more than 3.5 million have sole proprietors. An astonishing statistic is that 97% of UK companies employ fewer than 20 people, and 95% of them employ fewer than five people. That shows us that one of the key drivers in all our constituency economies is the extent to which small companies that employ fewer than five people feel able to take on an additional person.

Justin Tomlinson Portrait Justin Tomlinson (North Swindon) (Con)
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As a former small business owner myself, I recognise the challenges. For nine years, I wanted to get an apprentice, but I did not understand how to do so. The Government can play a proactive role in providing information to explain just how easy it is to recruit an apprentice. My suggestion, which I have raised on a number of occasions, is doing it through the annual business rates bill. All the information can be provided at a relatively low cost.

Richard Graham Portrait Richard Graham
- Hansard - - - Excerpts

That is an interesting suggestion, and one that I am sure the Minister will want to respond to in due course. The idea of using the annual business rates bill as an opportunity to explain how simple it is to take on apprenticeships would, I think, be widely appreciated. My hon. Friend the Member for North Swindon (Justin Tomlinson) is right, and I was just about to come on to the question of education and information. There is undoubtedly a gap that needs to be filled.

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Gordon Birtwistle Portrait Gordon Birtwistle (Burnley) (LD)
- Hansard - - - Excerpts

I congratulate my hon. Friend the Member for Gloucester (Richard Graham) on securing this important debate for Westminster Hall today. He has covered most of what I was going to say, but I would like to make a few comments about my experience in the manufacturing industry and with apprenticeships.

When I was 15 years old, with no O-levels and without even passing the 11-plus, I left secondary school to become an apprentice craft engineer. I studied at night school for three nights a week until I was 25, and finished up with two higher national certificates. Those are the type of jobs that we need now. We have stacks of young people leaving university with higher qualifications but in engineering we do not have the people coming through to make the products that the academics and the people from university design.

Justin Tomlinson Portrait Justin Tomlinson
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I commend my hon. Friend for making that point, because the statistics show that those from apprenticeship schemes have a much better chance of securing full-time permanent employment than graduates.

Gordon Birtwistle Portrait Gordon Birtwistle
- Hansard - - - Excerpts

My hon. Friend is correct. Anyone who has a skill in running, programming and setting computer-controlled machinery will never be out of work. In fact, in Lancashire, there is a big demand for such people, and some companies are paying golden hellos to steal operators from other companies.

In Burnley, on 20 June we are having a manufacturing summit at the brand new £100 million college, which is linked to a university that is also involved in advanced manufacturing—that is a small advert for what we hope to do. I am pleased to say that the Secretary of State for Business, Innovation and Skills will be there, as will the managing director of Boeing UK, the chairman of AgustaWestland and many other big manufacturers, along with smaller manufacturers from north-east Lancashire. The event is about getting big and small manufacturers to come along to listen to the Secretary of State, but we have also asked local schools to give presentations and to bring students to listen to people in the industry, with a view to taking up apprenticeships.

At Business, Innovation and Skills questions this morning I asked about careers. It is vital that we instil in young people long before they reach 15 or 16 what the prospects in the work force are. Careers officers talking to young people at 12, 13 or 14 is important, because once they get to 15 and 16 it is too late for them to change their mind about becoming a doctor, vet, solicitor or barrister. They cannot have some careers because they do not have the qualifications, and cannot move into the subjects that might interest them in becoming apprentice engineers or entering manufacturing.

Burnley is one of the best places in the country for job vacancies. I spoke to the regional director of Jobcentre Plus, who told me that Burnley is one of the country’s brighter lights because vacancies have gone up by more than 30% since this time last year. That is a great result, but the vast majority of vacancies are for skilled manual workers, and the big problem is that we do not have a pool of out-of-work skilled manual workers. My son, who owns an engineering company, tells me that if a skilled worker is out of work now, he is no good and he will not be taken on. That is the situation, so we need people to replace those who are retiring. It is critical that apprentices come through to do the craft jobs, and work on machines for the products that go into advanced manufactured items such as jet engines and components for the nuclear and oil industries, where we are world leaders and sell across the world.