Review of Apprenticeships Research DRAFT REPORT

Given increased public interest and investment of public funds in Apprenticeships, there has been a significant increase in research concerned with various aspects of the programme in the UK (and particularly England). to provide an overview of the most up to date evidence on a range of issues to do with Apprenticeships. Skills have been placed centre stage over the past 20 years by a succession of Governments' plans to improve the competitiveness of the national economy. The rationale for doing so is relatively simple: without the skills and know-how to develop new, higher value products and processes, and a skilled workforce to produce them, the economy will fall behind those of competitor countries who are doing likewise. The Plan for Growth is no different in this respect from previous Government documents which have set out how competitiveness can be improved. Where current policy breaks new ground is with regard to the primacy afforded to Apprenticeships as a means to boost national vocational skills supply and, in particular, grant young people entry to employment via training positions. In a time of constrained public budgets, the Government has continued to commit to significant investment in Apprenticeships. The participation of learners in Apprenticeships has increased significantly in recent years. Growth has been particularly strong with respect to the number of starts of intermediate Apprenticeships (Level 2) and the number of older apprentices (particularly those aged 25 years and older). The latest figures on Apprenticeship starts also confirm that the target to provide 50,000 new adult (19+) Apprenticeships was met in 2010/11. The number of achievements too, is substantial, with more than 200,000 apprentices successfully completing their programmes in 2010/11. Whilst learner volumes are rising, employer engagement with Apprenticeships has been more problematic. Recent surveys show that whilst awareness of Apprenticeships amongst employers is high (91 per cent of employers were aware of Government-funded Apprenticeships in 2009), the share of employers engaged in the programme is still relatively low. In 2009, 8 per cent of employers were found to offer Apprenticeships but only 4 per cent currently employed apprentices (UKCES, 2010). In 2010, 9 per cent of establishments either currently had apprentices or offered Apprenticeships (Shury et al., 2011). Larger employers ii (employing 250 or more staff) are found to be more likely to offer Apprenticeships than smaller ones and some differences across sectors are also evident with the likelihood of employer engagement …