24/04/13

LEP Network Annual Conference Break-out session:Skills notes

At the LEP Networm Annual Conference 2013 you can now see the notes taken from the discussion in breakout session 2: Skills which was lead by Giles Roca, Chair, APPG Local Growth and Andrew Battarbee, Deputy Director for SKills, BIS.

The APPG

  • Unofficial group set up by interested MPs in 2011
  • Cross party support; credible critical friend to Government
  • Connects Parliament with those driving growth on the ground

 

The skills inquiry

  • Skills the biggest concern from last September’s report on LEPs
  • Inquiry aims to understand barriers to a more locally responsive skills system and progress on the ground and make credible recommendations in light of Heseltine
  • Evidence from over 50 organisations: LEPs, councils, business, FE, HE, skills bodies
  • Launch in June with Matthew Hancock

 

The need for action

  • Broad agreement that skills gap exists, particularly in STEM subjects
  • Over a third of employers dissatisfied with basics like literacy and attitude (CBI)
  • 5 people completing courses in hair and beauty for every job – two jobs per person in construction (LGA) – not this simple but a compelling illustration

 

Stability

  • Recent changes to skills funding still relatively new; need to bed in
  • Partnerships between FE and LEPs are starting to happen but will take time
  • Businesses need stable system
  • Need for cross-party consensus on supporting LEPs

 

Simplicity

  • LEP involvement needs to simplify funding system (diagram: Essex CC / SELEP)
  • Businesses need a single point of contact, ‘hidden wiring’, no jargon
  • Bureaucracy still discouraging many from taking on apprentices particularly SMEs
    • Question: how can LEPs simplify the system for businesses?

 

Coordination

  • DfE, BIS and DWP not joined up
  • Community Budgets show potential way forward but need proper national support
  • National back to work provision not linked to skills or local economies
  • Funding should be flexible to respond to opportunities and trends

 

Information, data, planning

  • Need for accurate labour market intelligence / analysis across economic geography
  • Agencies and providers must share data with LEPs e.g. on course leaver destinations
  • Future forecasting important but should be broad sector trends not microplanning
  • Lack of coordinated information for businesses on accessing skills funding, how different routes and qualifications fit together, calibre of qualifications and candidates
    • Question: what should a labour market intelligence role for LEPs look like?

Incentives and targets

  • Incentives, targets, quality assurance need to move more towards rewarding sustained employment rather than number of students enrolled / completing courses
    • Question: what would a more responsive incentive system look like and how far has the Government already gone towards creating it?

 

Careers / schools

  • Careers guidance system needs to link better to local business
  • Need improved transition between education and employment
  • Colleges feel they are expected to spend time on remedial basic skills
  • Potential for new institutions such as University Technical Colleges / Studio Schools
    • Question: how can local partners usefully engage with the school system to help address these issues?

 

Role of employers

  • Ongoing role in training is in decline
  • Need to build on Employer Ownership of Skills Pilot – though not much has started
    • Question: What role should LEPs play in the Employer Ownership of Skills pilots/resulting programme?

 

Role of local partners

  • Vital for LEPs to bring SMEs together and give them a conduit for influence
  • Good potential role for LEPs in signposting employers to skills provision and aggregating demand from smaller firms / across supply chains
  • Is the current situation localist? Colleges say yes, LEPs and LAs no
    • Question: For local partners to have influence, does control of the money need to be local?
    • Question: What should be the balance of influence between different local partners?

 

Funding / single pot

  • Current lack of clarity on what skills funding is actually available to be devolved
  • Some positive engagement by providers in collaborating on local skills plans
    • Question: How could the Single Local Growth Fund be designed to ensure local partners collaborate and to simplify the system?

 

The challenge

  • Need to balance change with stability
  • Need a solution that works for all partners or it won’t happen

 

The opportunity

  • Door open for an ambitious approach
  • Need to show how much we can do locally as well as asking Government to act

Please click here to download the slides for the session

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