In preparing employers in Wales for the advent of the
apprenticeship levy, the Welsh Government should:
1.
ensure that the positive messages around the success of the
Apprenticeship Programme in Wales reach all employers, especially
those who are impacted directly by the apprenticeship
levy;
2.
ensure that their business engagement and economic development
teams actively work with the NTfW (as the expert body on
apprenticeships in Wales), who can act as a ‘funnel’
for enquiries in regards to the availability of apprenticeship
provision across Wales and other employer queries;
3.
be very clear with all employers (regardless of size or sector) in
relation to what are the “Welsh Ministers
priorities” - the headline messaging around
apprenticeships is at odds with contractual requirements around
age, sectors and volumes;
4.
ensure that there is a strong marketing campaign for
apprenticeships, to run alongside the introduction of the
apprenticeship levy, to include where employers need to go to get
further information;
5.
make a commitment to employers in Wales that they will fund the
Apprenticeship Programme at least to the commitment made by UK
Treasury;
6.
should make public, the funding rates applicable to each
apprenticeship.
NTfW position is that we know the apprenticeship levy will be
implemented from 6 April 2017, and that there is now nothing that
can be done to stop that. Therefore, we believe the focus of
attention should now shift to informing employers how they can
access the Apprenticeship Programme in Wales, in order that they
can re-coup their contribution, and make an investment in the
development of skills, which is needed to raise
productivity.
Wales has an established Network of quality assured apprenticeship
providers, who meet the needs of employers of all sizes and
sectors. This Network is fully engaged with all three
Regional Skills Partnerships, and will be key to the implementation
of the emerging Employment and Skills Action Plans, which will
provide the direction for prioritisation of available funding
across sectors, regions and levels of apprenticeship
provision. This Network believe that they are best placed to
continue to deliver apprenticeship programmes on behalf of the
Welsh Government, to those employers who will be paying the
apprenticeship levy, within the limitations of funding available
for the current apprenticeship programme.
The Network wants to ensure that the positive messages around the
success of the Apprenticeship Programme in Wales reach all
employers, especially those who are impacted directly by the
apprenticeship levy. We would ask the Committee to urge the
Welsh Government to take a ‘whole systems’ approach to
delivering on its apprenticeship commitment. Welsh Government
should ensure that their business engagement and economic
development teams actively work with the NTfW (as the expert body
on apprenticeships in Wales), who can act as a ‘funnel’
for enquiries in regards to the availability of apprenticeship
provision across Wales and other employer queries.
Welsh Government should be very clear with all employers
(regardless of size or sector) in relation to what are the
“Welsh Ministers priorities.” Currently,
there is a considerable amount of interest and promotion around
apprenticeships – which is of course welcomed – but the
headline messaging around apprenticeships is at odds with
contractual requirements around age, sectors and
volumes.
Furthermore, the Welsh Government needs to ensure that there is a
strong marketing campaign for apprenticeships, to run alongside the
introduction of the apprenticeship levy, to include where employers
need to go to get further information.
Historically, the Apprenticeship Programme in Wales has received
wide cross Party support, which has led to a significant investment
in various budget settlements. However, as the funding for
the Apprenticeship Programme in Wales has been part of budget
negotiations, this has led to significant variances between
financial (and operational) years, which have a de-stabilising
effect on sustained provision, especially as priorities tend to
change with each financial settlement.
Moving forward, we know now what ‘share’ of funding
Wales will receive from the UK Treasury in relation to
apprenticeships. This is not a position we have been in
previously, and one, which should be welcomed.
Population share of levy funding
|
2017-18
|
2018-19
|
2019-20
|
£128.0m
|
£133.0m
|
£138.0m
|
Note:
Wales will be provided with funding certainty as the UK Government
will manage any difference between the levy forecast and actual
revenues
The NTfW believes that if the Welsh Government made a commitment to
employers in Wales that they would fund the Apprenticeship
Programme at least to the commitment made by the UK Treasury, then
this would go some way to alleviating any employer
concerns.
Furthermore, one of the main differences between the funding
regimes in England and Wales, will be that there will be a tangible
‘transaction’ between the employer and the training
provider in England, which will make the employer aware of the cost
of apprenticeship training. In Wales, the funding will still
be accessed through the provider, and the employer would have no
visibility of the cost of apprenticeship training. The NTfW
believes, that if funding rates for apprenticeships were made
available publically, then an employer paying the apprenticeship
levy, would be able to see their ‘return on
investment.’
|