Key Highlights
- The government has promised 50,000 new apprenticeships over the next three years to combat youth unemployment.
- Sir Keir Starmer emphasized boosting training schemes and reducing the number of young people not in work or learning.
- A £725 million expansion includes offering apprenticeship places in AI, hospitality, and engineering fields.
- The apprenticeship system is being reformed to fully fund training for young people in small and medium-sized businesses.
Government Launches Youth Apprenticeship Expansion
The government has announced a significant expansion of youth apprenticeships, aiming to create 50,000 new places over the next three years. This initiative is part of an effort to tackle unemployment among young people and revitalize training schemes.
Expansion Details
Sir Keir Starmer, leader of the Labour Party, has vowed to increase apprenticeship opportunities as he meets with apprentices at car manufacturer McLaren in Woking, just a day after Formula 1 driver Lando Norris won the world champion title. The move comes amid concerns that the number of young people starting apprenticeships has fallen by almost 40% over the past decade.
Statistics reveal that nearly one million individuals aged between 16 and 24 are not employed or engaged in education or training. To address this, the expansion will introduce several key changes, including a reduction of the 5% levy on apprentices for under-25s and the introduction of new apprenticeships in fields such as artificial intelligence (AI), hospitality, and engineering.
Reforming the Apprenticeship System
The government’s plan includes reforming the existing apprenticeship system to better support young people. Chancellor Rachel Reeves has earmarked £725 million over three years for this expansion, with short courses set to begin from spring next year. Additionally, a pilot program will allow mayors to connect young people with local employers and apprenticeship opportunities, receiving £140 million in funding.
In an interview on BBC Radio 4’s Today programme, Skills Minister Baroness Jacqui Smith highlighted the focus on reforming the system: “The real priority for us with apprenticeships is to put right what we’ve seen over the last 10 years, which is a reduction of 40% in young people starting apprenticeships. Apprenticeships can really set you on the route to a high-skilled job and the sort of earnings that young people want.”
Addressing Criticisms
The government acknowledges concerns from larger companies about changes to the levy system, which may make it less efficient. Baroness Smith said they are “open to the concerns that employers have and how we actually deliver it.” The builder’s merchant Travis Perkins welcomed the expansion, with Andy Rayner, director of skills and apprenticeships, stating the announcement would be “significant” for the construction sector.
Despite these positive developments, some critics argue that the scheme is too restrictive. Rose Atkinson’s 27-year-old daughter, who has autism, is now too old to qualify for the youth apprenticeship scheme, which cuts off at age 25.
Atkinson said: “I’ve asked various organisations about why 25 is the magic number and no-one can give me an answer. But for someone on the spectrum, this doesn’t help my daughter—she needs a long-term internship so that her degree is not a waste.”
Support from Government Officials
Work and Pensions Secretary Pat McFadden told BBC’s Sunday with Laura Kuenssberg about plans to create 350,000 training and work experience placements. An extra £820 million will be spent on creating 55,000 six-month placements from April next year for those who have been on a benefit for 18 months or more.
McFadden’s Conservative counterpart Helen Whately responded: “Labour has no plan for growth, no plan to create real jobs.” Despite this criticism, the government remains committed to expanding apprenticeships and training schemes as part of its broader strategy to reduce youth unemployment.
The announcement marks a significant step in addressing youth employment challenges. However, ongoing support and reform will be crucial to ensure that these initiatives meet their goals effectively and reach those who need them most.