Businesses Call For More Apprentices

Business leaders say apprenticeship reforms are taking too long to roll out, causing a skills gap in many industries.

Half of companies say they are experiencing a shortfall of experienced workers. The construction, engineering and technology industries are among the hardest hit - employers are worried as these are high value sectors. They are calling on the government to speed-up reforms and encourage smaller businesses to participate.

With an apprenticeship levy for larger employers set to be introduced following the Budget, the CBI is concerned that while it may fund more apprenticeships to meet the Government’s target of 3 million, it will not deliver the high-quality, business-relevant training needed, and do little to help small or medium sized businesses. Of apprenticeships starts in 2013/14, just 2% were higher apprenticeships, which lead to qualifications at a level equivalent to higher education. Business is clear that the Government must accelerate reforms and ensure employers are in control when it comes to the design and delivery of apprenticeships to boost quality.

Katja Hall, CBI Deputy Director-General, said:

"The Government has set out its stall to create a high-skilled economy, but firms are facing a skills emergency now, threatening to starve economic growth. Worryingly, it’s those high-growth, high-value sectors with the most potential which are the ones under most pressure. That includes construction, manufacturing, science, engineering and technology. The new levy announced in the budget may guarantee funding for more apprenticeships, but it’s unlikely to equate to higher quality or deliver the skills that industry needs. Levies on training already exist in the construction sector where two-thirds of employers are already reporting skills shortages.

"Employers have a critical role in upskilling the workforce, but part of the deal must be for real business control of apprenticeships to meet their needs on the ground. The best way to plug the skills gaps and provide quality training is to speed up existing apprenticeships reforms already underway and encourage smaller firms to get involved."