Weekly Newsletter 9.1.2025

SKILLS DIVIDE

UK Faces Regional ‘Skills Chasm’ as Education Gap Widens

The UK is grappling with a widening regional skills gap, particularly between London and rural areas like Greater Lincolnshire, potentially stunting national economic growth. The Learning and Work Institute’s report highlights the stark contrast in degree attainment, predicting that by 2035, 71% of Londoners will hold degrees while regions like East Yorkshire will lag with 29%. There is a pressing need for aligned government and business policies to bridge this gap through education and training investments. Retention strategies could involve local businesses offering training to cultivate talent and foster community economic growth.

Addressing the issue requires innovative approaches to ensure digital inclusion and skill enhancement across the nation. While the focus has largely been on higher education, attention is needed on digital literacy for the 19 million digitally excluded individuals. The government's Plan for Change emphasises opportunity for disadvantaged children and integrating digital learning into education. This strategic focus aims to evenly distribute tech skills, enhancing productivity and job quality across the UK, supporting Prime Minister Keir Starmer’s vision of improved living standards and economic growth nationwide.

REGIONAL UPKSILLING

43,000+ People Gain Vital Job Training in Regional Upskilling Push

The West Midlands Combined Authority (WMCA) has successfully helped over 43,000 individuals access crucial job training opportunities. This milestone comes as Mayor Richard Parker underscores the importance of upskilling the region to meet future workforce demands.

Through targeted initiatives and partnerships, the WMCA has been instrumental in bridging the skills gap, particularly in sectors like construction, digital technology, and healthcare. With a focus on equipping residents with the tools they need to thrive in the job market, the authority is driving economic growth and fostering local talent.

As the region continues to prioritize training and education, the Mayor’s office remains committed to creating a robust pipeline of skilled workers, supporting both individuals and businesses in achieving long-term success.

APPRENTICESHIP FUNDING

Concerns Raised Over Apprenticeship Funding in Wales

The National Training Federation for Wales (NTFW) has expressed disappointment at the Welsh Government’s draft budget, which notably sidesteps additional investment in apprenticeships, despite increases in other educational areas. The NTFW underscores the vital role apprenticeships play in crafting a skilled and inclusive workforce and is committed to working with the government to seek further investment. The cut in the apprenticeship budget by 14% last year has already diminished these programmes' capacity, with a report by the Centre for Economics and Business Research anticipating nearly 6,000 fewer apprenticeship starts in 2025, resulting in a £50.3 million short-term economic loss.

The reduction is particularly detrimental to the health and social care sectors, and efforts are ongoing to ensure that apprenticeship programmes continue to provide significant benefits. The NTFW is focused on encouraging the Welsh Government to align its budgetary decisions with the economic and social goals that apprenticeships help achieve. Increased funding, the NTFW argues, could bolster growth, address skill shortages, and support economic recovery through enhanced social mobility and inclusion across Wales.

APPRENTICESHIP TRAINING

Is Apprenticeship Funding Being Used For Management Training?

Recent research highlights a concerning trend in the allocation of apprenticeship funding, with a significant portion being utilised for senior executives holding university degrees. Surprisingly, one in six apprenticeships are now occupied by such individuals, as firms exploit lenient regulations to fund advanced courses such as MBAs. Government statistics reveal that nearly ten per cent of the £2.5 billion apprenticeship budget is devoted to these high-level courses, which include disciplines like management, architecture, and artificial intelligence, generally requiring prior degrees.

This shift in focus has resulted in a decline in opportunities for younger workers seeking entry-level apprenticeships. In the past year, nearly 25,000 individuals commenced Level 7 apprenticeship courses, equivalent to a master's degree, with about 7,000 pursuing senior leadership qualifications, including MBAs. The findings underscore the necessity for reforms in funding allocation to ensure that resources support younger, less-experienced workers and foster a thriving and inclusive workforce for the future. Such changes could encourage a more balanced approach, providing fair opportunities for all aspiring professionals.

SKILLS ADVANCEMENTS

Explore Career Enhancements with Pathways and Opportunities for Skill Development

In a landscape where adaptability is key, our need for skills has never been more significant. With T Levels, apprenticeships, and Skills Bootcamps, there's a pathway for everyone keen to boost their career. These Government-supported programmes are tailored to enhance both individual abilities and company capabilities, allowing for seamless integration of learning with practical workplace application. T Levels, for instance, offer students real-world placement experiences alongside their studies, while apprenticeships allow continuous learning with tangible benefits for businesses, such as improved staff retention and morale.

Furthermore, Skills Bootcamps offer swift, intensive courses targeted to industry requirements, ensuring participants meet employer-driven criteria and receive guaranteed interviews post-training. Higher Technical Qualifications (HTQs) provide yet another route to gain in-demand skills, aligning with occupational standards and employer needs. Such strategic upskilling initiatives not only position employees for success but also ensure businesses remain competitive by nurturing fresh talent and fostering leadership within their existing teams. These well-rounded programmes are a testament to how investing in human capital can invigorate both individual careers and corporate growth.

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