Source · Select Committees · Transport Committee
5th Report - Engine for growth: securing skills for transport manufacturing
Transport Committee
HC 1223
Published 28 January 2026
Recommendations
3
Accepted
Mandate regular meetings between Transport Secretary and counterparts; expedite procurement response to support British manufacturers.
Recommendation
The Secretary of State for Transport should meet regularly with her counterparts in the Departments for Business and Trade, Education and Skills, Work and Pensions, Energy Security and Net Zero, and the Cabinet Office with a focus on how the …
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Government Response Summary
The Government highlights work with Skills England to ensure the offer meets business needs, delivers value for money and supports economic growth, and states they are launching the first eight apprenticeship units from April 2026, focussing on priority sectors.
Department for Transport
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4
Accepted
Increase flexibility for apprenticeship levy funds to benefit SMEs and UK-wide transport manufacturers.
Recommendation
Substantial amounts of levy funding has expired unspent. Rather than further constraining the opportunities for spending such funding, the Government should increase flexibility. We welcome the Government’s Budget 2025 commitment to fully fund apprenticeships for eligible people under 25 at …
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Government Response Summary
The government will work with industry to ensure that Occupational Standards are updated as needed to reflect changing industry needs, and Skills England’s new accelerated approach will mean updates to apprenticeships or development of new short courses can be completed in as little as three months.
Department for Transport
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5
Accepted
Extend apprenticeship levy expiry; consult on capital expenditure, UK-wide spending, and SME supply chain mechanisms.
Recommendation
The Government should: • extend the expiry window for unspent levy funding to three years; • consult on allowing levy funding to be used on capital expenditure to support the provision of training and skills development (so long as that …
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Government Response Summary
The Government sets clear expectations for schools and colleges through strengthened statutory guidance, updated in spring 2025, and there is external accountability provided by Ofsted.
Department for Transport
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11
Accepted
Gather annual transport manufacturer data on vocational training effectiveness; report findings to DfE, DWP.
Recommendation
The Department for Transport should on at least an annual basis gather information from British transport manufacturers on how effectively the UK’s vocational training system is delivering a robust pipeline of skills, and report these findings to the Departments for …
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Government Response Summary
The Department for Transport will engage with employers, supported by Skills England, to continue to build this picture to inform the development of vocational training pathways and products.
Department for Transport
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15
Accepted
Strengthen accountability for careers advice and subject choice guidance in schools for manufacturing pathways.
Recommendation
The Department for Transport should work with relevant government departments to strengthen accountability for careers advice and subject choices guidance in schools to ensure that pathways to careers in manufacturing are not disadvantaged. (Recommendation, Paragraph 74)
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Government Response Summary
The government recognizes the importance of careers guidance in manufacturing and will continue to work closely across departments to ensure strong accountability for careers guidance and visibility of pathways into manufacturing, and DfT will proactively work with other departments to develop careers pathways that reflect the needs of the transport manufacturing sector.
Department for Transport
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Conclusions (1)
6
Conclusion
Accepted
We acknowledge that the Government is seeking to re-balance funding to prioritise people aged below 22. However, the removal of Government funding for level 7 apprenticeships for those aged 22 and older risks jeopardising the supply of experienced and highly skilled workers for the transport manufacturing sector. (Conclusion, Paragraph 41)
Government Response Summary
The Government has now brought forward its response to the consultation on public procurement, published on 26th March 2026, and transport manufacturing is included within the definitions of Advanced Manufacturing in the Sector Plan.