Contribution
My Lords, I thank the Government for this White Paper, which is an incredibly important and wide-ranging document. It is essential that we build the skills pipeline to turn around the current stagnation in productivity and economic growth. But we also know, on all sides of the House, that this is a tough problem to crack. I read somewhere—I did not double check the data—that there have been 41 attempts to address this issue since the Labour Government were elected in 1997. As with all major reform, the challenge will lie in effective implementation. Delivering the scale of change envisaged in the White Paper will depend on clear accountability and long-term stability of decision-making. I am sure it is an issue that we will come back to in this House in the years ahead.
We are pleased to see that there are elements in the White Paper that build on the work of the previous Government. We are pleased to see a date confirmed for the introduction of the lifelong learning entitlement. We hope very much that this will build a pipeline of skills at levels 4 and 5, which we know are significantly lacking in the economy. It is not clear how this change will be incentivised. It would be helpful to hear from the Minister how the Government intend to create a pull from employers and how they will manage the financial risks to higher education institutions that, understandably, might be nervous about moving from a three-year degree model to a more modular approach.
As the Minister knows, there is a huge marketing task to be done. The pilots that we ran when in government significantly lacked demand—that is a polite way of describing it—so making people aware of these opportunities will be very important. It is also important that the Government can reassure the House that level 4 and level 5 qualifications will retain rigour and labour market currency, and not simply represent partial completion of degree programmes.
We are pleased to see the continuation of the technical excellence colleges, which build on the institutes of technology that we founded, which received significant public funds. We wish them every success. But there is limited clarity on how the network of excellent institutes of technology will be utilised within the new framework. Can the Minister confirm their role in delivering the higher technical education ambitions within the White Paper?
I spent a lot of time at the Dispatch Box arguing with Peers all around the House about the streamlining of level 3 qualifications, so I wish the Minister good luck with that. Can she clarify the sequencing of the ending of funding for BTECs and advanced general certificates and the start of the new V-levels? How confident is she that there will be the workforce to deliver this, given the significant pay gap between staff working in FE and teachers in our schools?
The vocational levels sound promising, but the timeline looks very tight. Can the Minister clarify what will happen if there is a delay? That is obviously important. The other day, the Secretary of State said in the other place that funding would be kept in place for “most existing qualifications”, as opposed to all existing qualifications, until V-levels are brought in. Can the Minister confirm whether T-levels will be extended into areas such as sports science, performing arts, catering and hospitality, and hair and beauty, where there is strong learner and employer demand?
The White Paper rightly commits to simplifying what is currently a confusing qualifications landscape. In that spirit, can the Minister confirm that, as V-levels are introduced, proprietary titles such as BTEC, City & Guilds, and Cambridge Technicals will cease, giving clarity to young people, parents and employers?
There are a number of areas where we have concerns, and perhaps that is just a question of clarification. The Government appear to have scaled back the promotion and rollout of higher technical qualifications designed to meet employer-set standards. Can the Minister clarify the current commitment to the HTQ model? Can she also clarify the details on the ability of colleges to self-certify their HTQs? Previously, IfATE signed off on the quality of courses, with significant input from employers. Without external verification, surely there is a risk that, in future, levy funds are spent on what could be, in some cases, low-quality courses. It feels like we have seen this in the university sector, particularly franchise providers, where there is not enough oversight of qualifications or standards. Similarly, can the Minister clarify the timeline for addressing the quality issues with some degrees? Our concern is that fees are going up before quality is addressed.
Turning to the introduction of a Progress 8-type measure in higher education, will the Minister outline how this will be constructed, given the different curricula in each institution? For pupils who did not pass English and maths GCSE while at secondary school, we of course welcome the additional investment to support them but are concerned that there will be a risk that some children are deemed to be unable to pass these important qualifications. Have the Government estimated how many pupils they expect will never complete their maths and English GCSE?
The White Paper is fairly silent on incentives for employers to invest more. The noble Baroness knows very well about the significant drops in employer investment in these areas. It is also silent on plans for boosting apprenticeships at levels 2 and 3, which are obviously very important, and further plans for simplifying the funding of further education. Finally, is the noble Baroness able to confirm that the employer contribution to the growth and skills levy will stay at 2%, or are there plans to increase it?
The White Paper has a very brief section on measuring impact which is mainly, if I may say, about counting outputs. How will progress and impact be measured in a really transparent way, maybe through employer engagement, learner outcomes or gains regionally in terms of skills? To say it another way, can the Minister say whether her every dream was fulfilled in this White Paper? If every measure knocked it out of the park, what would be the impact on productivity in this country?