Business West welcomes the government’s pledge for skills

4th June 2021

The last 14 months have been challenging for everyone, including businesses. However, if there’s one thing the coronavirus pandemic has taught us, it’s that digital skills are becoming more highly valued than ever before.

A report into the state of adult skills conducted by the Workplace Training and Development Commission (WTDC), established by the British Chambers of Commerce (BCC), in partnership with job listing website Indeed, states that the nation must adopt a “renewed focus on digital skills and innovation” to assist the economy’s post-COVID recovery.

Jane Boardman, Chair of the WTDC said:

“The problem of skills shortages has long hampered the UK economy, leaving employers struggling to fill job vacancies and raise productivity.

“The workplace is rapidly becoming more digital and automated, so businesses need more people with the technical skills for these changing jobs. But too often employers can’t access the training they need and, as a result are spending less and less on training each year.”

The government has recently introduced reforms set out in the Skills for Jobs White Paper, which will help employers access this training and upskill their workforce.

So, why is the government’s pledge for skills so important for businesses?

Creating opportunities for young people

The reforms set out in the Skills for Jobs White Paper states that the government “will ensure employers are at the heart of Post-16 skills, driving technical and higher technical skills provision in their areas.”

The government pledges to do this by giving employers a central role working with further education colleges, other providers, and local stakeholders to develop new Local Skills Improvement plans.

But why is all this important for the future of skills? Well, research has shown that employers find apprentices make the most loyal employees, while another survey found that more than half of employers offering apprenticeships say the apprentices stay in the business longer than other recruits. 

Julia Gurr, Business Skills Advisor at Business West said:

“There is a real lack of capacity to focus on work preparedness from schools, so we need employers to support students to gain experience of the workplace through talks and placements.

“Then they can learn about business and understand what work is and what employers require.

“It endlessly frustrates me that the system is broken in many ways. You can’t expect young people to be work ready without any support.”

The government is already offering cash incentives for employers of £3,000 for each new apprentice they take on until the end of September. Find out more about Apprenticeship Support and Funding here. 

There is also further support through a new Skills Accelerator Programme which will help build stronger partnerships between local employer support groups, schools, and other providers to ensure people are getting the right training to fill skills gaps. 

Improving lifetime skills 

The government is introducing a Flexible Lifetime Skills Guarantee that will ensure that no matter where someone is in their career, there will be a flexible, high-quality technical education route available. This includes a £95 million offer, in 2021-21, for adults without an existing level 3 (A Level equivalent) qualification, targeted at courses that will improve their job prospects. 

Research has shown that skills acquisition can increase productivity, employee commitment and prevent labour turnover so the implementation of this is crucial for business.

Another component of the Lifetime Skills Guarantee will be the Lifelong Loan Entitlement which will provide individuals with a loan entitlement equivalent to four years’ worth of post-18 education. This is suitable for learners who might need to access courses in a more flexible way to fit around work or family commitments. 

Our Workforce for the Future programme will help you understand your business’ skills gaps and determine whether your employees could benefit from learning opportunities. Find out more here. 

Claire Bedding, Business Skills Advisor for Business West said:

“People are the power of the organisation. If you don’t invest in people’s skills, then they can’t power the organisation forward or fulfil your organisational ambitions. 

“We know that skills gaps are widening, we want young people to come into businesses bringing their energy and drive but it’s also crucial companies give existing employees the opportunity to develop skills.”

How your business can get involved 

Whether you’re looking to upskill your current staff, recruit new employees or find out more about government funded programmes such as Kickstart and apprenticeships, our Skills team can help. Visit this page or call 0330 124 4446 or email skills@businesswest.co.uk to hear how we can help you fill skills gaps in your workplace.

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