Source · Select Committees · Public Accounts Committee
Recommendation 17
17
Accepted
We asked how DfE was ensuring that the incentives for employers to take part in...
Conclusion
We asked how DfE was ensuring that the incentives for employers to take part in training programmes, particularly traineeships and DWP’s Kickstart scheme were working effectively. Kickstart was launched in response to the COVID-19 pandemic and funded employers to create jobs for people aged 16 to 24. DfE told us that an apprenticeship was quite different from a traineeship or a place on the Kickstart scheme, but conceded that there had been some overlap between its traineeships programme and Kickstart. It suggested that this had come about partly because of departments responding rapidly to the COVID-19 pandemic. It noted that Kickstart had now wound down and it was working with DWP to feed people into the right routes for the right things. It emphasised that it was focused on getting incentives right so that employers were investing in programmes that had obvious value to them, such as apprenticeships. It explained that there were more incentives of free offers where it was asking employers to take more of a risk to try to help an individual enter the labour market for the first time.23
Government Response Summary
The government agrees with the Committee’s conclusion and will deliver a simpler further education funding system by consulting on proposals, announcing new flexibility for funding in devolved areas, and setting simpler funding rates. It will also integrate the Traineeship programme into existing provision, simplify the qualifications landscape, improve alignment between the National Careers Service and The Careers & Enterprise Company, deliver joined-up campaigns under a single brand, and work with other departments to address workforce issues.
Government Response
Accepted
HM Government
Accepted
3.1 The government agrees with the Committee’s recommendation. Recommendation implemented 3.2 In July 2022 the government consulted on proposals for how it will deliver a simpler, streamlined further education funding system. On 30 January 2023 it announced a new flexibility for funding innovative provision in devolved areas for 2023-24, and a new simpler set of funding rates for the Education and Skills Funding Agency skills fund from 2024-25. 3.3 To simplify its skills offer the government will integrate the Traineeship programme into existing provision from 1 August 2023. This means Traineeships will no longer be funded through a standalone national programme. 3.4 Additionally, the department is simplifying the post-16-year-old qualifications landscape at Level 3 and below, ensuring that all publicly-funded qualifications are high quality and lead to good progression outcomes. 3.5 The department is also simplifying the careers guidance system by improving alignment between the National Careers Service and The Careers & Enterprise Company. 3.6 The department is delivering joined-up campaigns under a single, cross-government brand (Skills for Life) to promote the different education, training and skills routes available to young people, adults and employers. 3.7 The department also works closely with other government departments through the Labour Market Steering Group and with Sector Delivery Leads to identify how skills programmes can address workforce issues most efficiently. For example, Employment and Skills Pathfinders are a joint DWP/DfE initiative exploring how closer alignment at local level can support delivery of effective employment and skills interventions, improving claimants’ employment and progression outcomes.