Employment

(asked on 28th September 2020) - View Source

Question to the Department for Education:

To ask the Secretary of State for Education, what plans he has put in place following the end of the Coronavirus Job Retention Scheme to support employers in (a) retaining and (b) upskilling workers (i) now and (ii) in the future.


Answered by
Gillian Keegan Portrait
Gillian Keegan
Secretary of State for Education
This question was answered on 6th October 2020

The government is providing £2.5 billion (£3 billion when including Barnett funding for devolved administrations), for the National Skills Fund.

The National Skills Fund will support adults to learn and reach their potential in the labour market.

My right hon. Friend, the Prime Minister, recently announced that for adults who do not currently have a level 3 qualification, the government will be fully funding their first full level 3 through the National Skills Fund. We will target this level 3 entitlement at subjects and qualifications with economic value and the strongest alignment with government priorities, to ensure the best possible returns for individuals, employers and the nation.

My right hon. Friend, the Prime Minister, also announced the launch of our new digital bootcamps, in 6 areas, to support local regions and employers to fill in-demand vacancies. The bootcamp training courses will provide valuable skills based on employer demand and will offer a fast track to a job interview on completion. Pending the success of the initial bootcamps, we are planning to expand the digital bootcamps to more of the country from Spring 2021 and we also want to extend this model to include other technical skills training.

The government remains committed to consulting on aspects of the National Skills Fund to ensure that we develop a fund that helps adults learn valuable skills and prepare for the economy of the future. We are continuing to review the ongoing implications of the COVID-19 outbreak and we are considering the most appropriate time and approach we can take to launch the consultation, ensuring we have meaningful discussions with employers, providers and users.

Alongside the National Skills Fund, the department has been working to respond to the impacts of the COVID-19 outbreak. In his Summer Economic Update, my right hon. Friend the Chancellor of the Exchequer, announced investment of over £500 million to deliver a package of support for people to access the training and develop the skills they will need to go on to high-quality, secure and fulfilling employment. The Skills Recovery Package included:

  • Apprenticeships: A new payment of £2,000 to employers in England for each new apprentice they hire who is aged 24 or below, and a £1,500 payment for each new apprentice they hire who is aged 25 and over, from 1 August 2020 to 31 January 2021.
  • Traineeships: £111 million to triple the scale and reform traineeships for those aged 16 - 24 (25 with an Education, Health and Care plan): with additional funding available to providers in 2020-21 to support 30,000 new places. We have also introduced, for the first time, payments of £1,000 per trainee for employers who offer new or additional work placements (up to 10 trainees).
  • Careers information, advice and guidance: £32 million over 2 years to help 269,000 more people of all ages receive advice from the National Careers Service.
  • Sector-based work academy programme (SWAP): £17 million to triple the number of SWAP placements in 2020/21, enough funding to support an extra 40,000 job seekers with additional training opportunities and the chance of a job.

The Chancellor of the Exchequer also announced a new £2 billion Kickstart Scheme to create hundreds of thousands of new, fully subsidised jobs for young people aged 16 to 24 claiming Universal Credit. Funding available for six-month job placements will cover 100% of the National Minimum Wage for 25 hours a week – and employers will be able to top this wage up. Employers can apply next month and the scheme will start in autumn. There will be no cap on the number of places available.

The government appreciates the importance of adult education to improving people’s life chances. We will continue to explore options within adult education to aid the post COVID-19 recovery.

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