Adult Training - Niace

ADULT TRAINING:FOCUS AND FUNDING INTHE CONTEXT OF CHANGINGUK DEMOGRAPHICSSponsored by:NATIONAL SKILLS FORUMADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage1

ContentsPART A. Introduction1. Foreword by Gordon Marsden MP, Chair of the Associate Parliamentary Skills Group ...........72. Introduction by Chris Humphries, Director General of City & Guilds ......................................................83. Executive Summary ......................................................................................................................................................................................94. Table of Acronyms ..................................................................................................................................................................................... 12PART B. Adult Training: Major Policies5. Delivery Bodies and Key Partnerships ................................................................................................................................... 135.1. Skills Alliance .................................................................................................................................................................................... 135.2. Learning and Skills Council ................................................................................................................................................ 135.3. Skills for Business .......................................................................................................................................................................... 135.4. Regional Skills Partnerships ................................................................................................................................................. 136. Demand-Led Approach ....................................................................................................................................................................... 146.1. Train to Gain ..................................................................................................................................................................................... 146.2. Skills for Life ...................................................................................................................................................................................... 146.3. Unions and Unionlearn ......................................................................................................................................................... 147. Adult Learning ............................................................................................................................................................................................... 147.1. Vocational Qualifications ...................................................................................................................................................... 147.2. Qualification and Credit Framework ........................................................................................................................ 147.3. Foundation Learning Tier ..................................................................................................................................................... 157.4. Apprenticeships for Adults .................................................................................................................................................. 157.5. Foundation Degrees .................................................................................................................................................................. 157.6. Lifelong Learning .......................................................................................................................................................................... 158. Adults Out of Work ................................................................................................................................................................................. 158.1. New Deal for Skills ..................................................................................................................................................................... 158.2. Work-Based Learning for Adults .................................................................................................................................... 16ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage2

5.1 Andrew Hartley Head of Global Investment, Bank of Ireland9. Basic Skills Provision ............................................................................................................................................................................... 169.1. Level 2 Entitlement ..................................................................................................................................................................... 169.2. ESOL ......................................................................................................................................................................................................... 169.3. Personal and Community Development Learning ..................................................................................... 1610. Funding for Adult Learners ............................................................................................................................................................... 1610.1. Free Tuition ...................................................................................................................................................................................... 1610.2. Adult Learning Grants ............................................................................................................................................................ 1610.3. Learner Support Funds ......................................................................................................................................................... 1710.4. Educational Grants .................................................................................................................................................................... 1710.5. Learner Accounts ........................................................................................................................................................................ 1710.6. Career Development Loans ............................................................................................................................................. 1710.7. Student Loans for Higher Education ....................................................................................................................... 1711. Awarding Bodies ......................................................................................................................................................................................... 1811.1. Role of Awarding Bodies .................................................................................................................................................... 1812. Information, Advice and Guidance (IAG) .......................................................................................................................... 1812.1. IAG Services for Adults ......................................................................................................................................................... 1812.2. IAG Review ...................................................................................................................................................................................... 1813. Reports and Legislation ........................................................................................................................................................................ 1813.1. Leitch Review of Skills ........................................................................................................................................................... 1813.2. Further Education and Training Bill .......................................................................................................................... 18PART C. Adult Training: Key Debates14. Background ...................................................................................................................................................................................................... 1914.1. Demographic Change ............................................................................................................................................................ 1914.2. Lifelong Learning for Adults ............................................................................................................................................. 2015. Key Policy Debates ................................................................................................................................................................................... 2015.1. Funding ................................................................................................................................................................................................ 2015.2. Demand-Led Approach ....................................................................................................................................................... 2015.3. Flexible Provision ....................................................................................................................................................................... 21ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage3

5.1 Andrew Hartley Head of Global Investment, Bank of IrelandPART D. Research Results16. Research Methods ..................................................................................................................................................................................... 2117. Research Results .......................................................................................................................................................................................... 22FUNDING18. Funding for Adult Learners ............................................................................................................................................................... 2318.1. Public Funding Targets ........................................................................................................................................................... 2318.1.1. Level 2 Entitlement .............................................................................................................................................. 2318.1.2. Local and Sectoral Needs ............................................................................................................................. 2318.1.3. Funding for Full Qualifications ................................................................................................................. 2318.1.4. Non-Work-Related Learning ....................................................................................................................... 2318.2. Funding for Adult Apprenticeships ............................................................................................................................ 2318.3. A Major Shift in Funding Focus .................................................................................................................................... 2319. Funding Recommendations ............................................................................................................................................................. 2419.1. Increased Level 3 Entitlement ....................................................................................................................................... 2419.2. Determining Tripartite Responsibility ..................................................................................................................... 2419.2.1. Employers ..................................................................................................................................................................... 2419.2.2. Individuals .................................................................................................................................................................... 2419.2.3. Returns on Investment ..................................................................................................................................... 2419.3. Setting Targets at a Local Level ..................................................................................................................................... 2519.4. Setting Targets at a Sectoral Level .............................................................................................................................. 2519.5. Unit-Based Approach to Funding ............................................................................................................................... 2519.6. Non-Work-Related Learning ............................................................................................................................................ 2619.6.1. Course Closures ...................................................................................................................................................... 2619.6.2. Government Priorities ....................................................................................................................................... 2619.6.3. Lifelong Learning: A Cross-Departmental Approach .......................................................... 2719.6.4.Employee Development Programmes ................................................................................................ 2719.7. Funding for Adult Apprenticeships ............................................................................................................................ 27ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage4

5.1 Andrew Hartley Head of Global Investment, Bank of Ireland19.8. Income Contingent Loans .................................................................................................................................................. 2819.9. Learner Accounts ........................................................................................................................................................................ 29LEARNING AT WORK20. Employer Engagement ........................................................................................................................................................................... 3020.1. Statutory Measures ................................................................................................................................................................... 3021. Continued Professional Development in the Workplace ................................................................................... 3021.1. Research into Vocational Education ........................................................................................................................ 3121.2. Strengthening the Learner Voice ................................................................................................................................. 3121.3. ULRs and Learning Champions .................................................................................................................................... 3121.4. Skills Passports: Formal and Informal Learning ............................................................................................. 31WIDENING PARTICIPATION22. A Joined-Up Approach ......................................................................................................................................................................... 3223. Skills for Sustainable Employment ............................................................................................................................................. 3324. Attracting Older Learners ................................................................................................................................................................... 3324.1. Into Training .................................................................................................................................................................................... 3324.2. Into Work ........................................................................................................................................................................................... 3325. Disengaged Adults and Basic Skills Provision ................................................................................................................. 3425.1. Family and Community Learning ............................................................................................................................... 3425.2. ESOL Provision ............................................................................................................................................................................. 34QUALIFICATIONS26. Qualification and Curriculum Reform ................................................................................................................................... 3526.1. Developing the Qualification and Credit Framework ............................................................................ 3526.1.1. A Rational Framework ...................................................................................................................................... 3526.1.2. Unit-Based Qualifications ............................................................................................................................. 3526.1.3. Progression Pathways in the Framework ........................................................................................ 3526.2. Vocational Qualifications .................................................................................................................................................... 3626.2.1. Employer-Led ............................................................................................................................................................ 36ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage5

5.1 Andrew Hartley Head of Global Investment, Bank of Ireland26.2.2. Soft Skills ........................................................................................................................................................................ 3626.2.3. A National Curriculum for Skills? ........................................................................................................... 3726.2.4. Teacher Training for Vocational Education ................................................................................... 3727. Awarding Bodies ......................................................................................................................................................................................... 3727.1. Greater Freedom ........................................................................................................................................................................ 3727.2. Overcrowding the Market ................................................................................................................................................. 3727.3. Marketing and Profile-Raising ........................................................................................................................................ 38COMMUNICATION AND IAG28. Reform of IAG Services for Adults ............................................................................................................................................. 3829. Communication ........................................................................................................................................................................................... 3830. Marketing and Media ............................................................................................................................................................................ 39ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage6

PART A. Introduction1. ForewordThe past year has seen vocational education and training move up theGovernment’s agenda and improving UK skills levels is now recognised as a priorityissue. The FE world eagerly anticipated the publication of Lord Leitch’s Review ofSkills and debate about implementation of his vision for ‘world class skills’ is nowwell underway. This debate is especially welcomed by the Associate ParliamentarySkills Group and National Skills Forum, with Adult Training: Focus and Funding inthe Context of Changing UK Demographics making a timely contribution.The urgency of up-skilling the current workforce is more pressing than ever in lightof its increasingly older profile and is of central importance to achieving socialjustice for all.In October 2005 the National Skills Forum and Associate Parliamentary Skills Grouppublished the views of MPs on skills levels and skills policies in their constituencies(Skills: A Parliamentary Perspective). One of the five main recommendations wasfor ‘an immediate redirection of Government focus and funds to adult training,particularly in light of the changing demographic in the UK’. Adult Traininghas taken this proposal forward to the next stage. Consultation with over 65stakeholders including parliamentarians, ministers, officials, employers, learningproviders and unions has produced sound policy recommendations, including:clearer tripartite responsibility for adult training; better integrated welfare to workand skills policies; qualification reform for vocational education; a review of adultapprenticeships; and better provision for older learners.Skills: A Parliamentary Perspective marked an initial step towards facilitating muchneededdialogue between parliamentarians, business and the skills sector by exploringthe views of MPs. This research paper has realised that three-way conversation,integrating parliamentarians and policy-makers with those that deal with the practicalconsequences of policy decisions. We must now ensure that their proposals inform thecurrent policy dialogue and that open debate continues to flourish.I am particularly grateful to City & Guilds for sponsoring this research and for theircontinued support of the Associate Parliamentary Skills Group and National SkillsForum in our shared aim of improving education, training and skills in the UK.Gordon Marsden MPChairAssociate Parliamentary Skills GroupADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage7

PART A. Introduction2. IntroductionWhen the National Skills Forum published its report Skills: A ParliamentaryPerspective in Autumn 2005, there were two strands that we believed neededfurther attention. Research has therefore been focused on issues relating to thetraining of adults and on how we can stimulate employers to play their part inimproving the performance of the UK workforce.During much of the time that this research was being undertaken, we had beenwaiting for the final report of the review that Lord Leitch was preparing into howthe UK could ‘up its game’ on skills to dramatically improve our global competitiveperformance by 2020.We have now seen his detailed recommendations and already there has beenmuch debate about implementation. The two reports now being published will,I hope, not only contribute to that debate but also extend its reach.For my part, I should like there to be a clearer shared understanding of whatis meant by a demand-led system and to ensure particularly that individuals’needs are not overlooked. I accept Leitch’s analysis and support the targets herecommends but I want to see that these targets really do bring about measurableimprovements in our sustainable economic development. We should not ignore theessential contribution that must come from adults if that change is to be realised.Employers are right to insist that the State has a duty to ensure school leavershave the essential core skills of literacy and numeracy, but I believe they must alsoaccept that they have a responsibility to support the development of their ownpeople. Both individuals and employers must also accept that skills training is aninvestment, not a cost, and that they cannot expect the taxpayer to pick up all thebills for learning across our lifetimes.One of the really positive developments over the past year has been the clearevidence that skills is now one of those policy areas jostling to be at the top of theGovernment’s agenda, and that all the main political parties recognise the centralityof skills for our future economic prosperity. As Lord Leitch says in his report, “whereskills were once [seen as] a key driver of prosperity and fairness, they are now thekey driver. Achieving world class skills is the key to achieving economic success andsocial justice in the new global economy.”I am sure that this progress is in no small measure due to the tireless efforts of theAssociate Parliamentary Skills Group and the attention that has been focused onskills by the Select Committee. I am grateful for the work they are doing, and myparticular thanks go to Flora Alexander and Katherine Chapman for the work theyhave put into the compilation of these reports.Chris Humphries CBEDirector General, City & GuildsADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage8

PART A. Introduction3. ExecutiveSummaryThe Leitch Review of Skills has highlighted the need to up-skill the adult workforceif the UK is to remain economically competitive. Given the UK’s ageing population,the need to focus policy and funding on adult learners is greater than ever.Adult Training: Focus and Funding in the Context of Changing UK Demographicspresents the views of a range of key stakeholders on how this goal might best beachieved. The findings were gathered from a series of interviews and a roundtablediscussion with experts including MPs, peers, civil servants, academics, employers,business representatives, skills agencies, learning providers, NGOs and unions.Participants evaluated existing provision for adult learners, identifying the majorareas of concern, and proposed recommendations for change.The following table summarises particpants’ main comments and recommendations.CommentsRecommendationsTripartite Responsibility for Funding: Future skills gapswill be at level 3. This requires greater contributions nowfrom employers and adult learners. The state too shouldaim to provide funding for adults at level 3 in the nearfuture. Returns on investment will determine this balance ofresponsibility to a large extent.A real and lively debate is needed to determine the relativefinancial responsibilities of employers, learners and thestate at all levels. To inform this debate, a detailed resourceanalysis must take place into the productivity gains fromskills training at all levels.Funding Targets: Current funding targets are too ‘top-down’and ‘blanket’ in nature, particularly the level 2 entitlementand emphasis on learners completing ‘full fat’ qualifications.Government should consider the relative merits of setting fundingtargets locally or according to sector skills shortages or basingfunding around units of training rather than full qualifications.Learner Accounts: Learner Accounts are a good vehiclefor tripartite funding and should include: capacity for statecontribution; ability for learners to save advantageously;opportunities for learners to borrow; and provision foremployers to contribute to their employees’ training costs.Learner Accounts must be simple and be the subject of asustained publicity campaign in order to be effective andattractive. Lessons from the mistakes of Individual LearnerAccounts (ILAs) must be carefully taken on board in thedesign of the accounts.Non-Work-Related Learning: It is right that adults whocan afford to pay for ‘leisure learning’ should do so.However, funding cuts to non-work-related learning haveunintentionally affected provision for vulnerable and hard-toreachgroups for whom these types of courses often providea first step into vocational or formal education.The wider benefits of learning, such as parenting, communitycohesion and civic regeneration, could be better recognisedin current policy objectives, particularly for older learners.A full assessment is needed of the impact of the newfunding regime on the participation of adult learners.A review should be undertaken of how FE institutionshave handled the transition from publicly-funded tocommercially-based non-work-related courses.There must be more cross-departmental dialogue andexploration of the ‘invest to save’ case for joining uplearning provision with health and social services.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage9

PART A. IntroductionCommentsRecommendationsApprenticeships for Adults: There is a case for more publicinvestment in apprenticeships for adults to up-skill or changecareer, but this must be preceded by a ‘sharper debate’about the structure, purpose and outcomes ofapprenticeships for adults.The current model of apprenticeships for adults should berevised to ensure that they deliver appropriate training foradults and meet employer needs. Following this,Government should consider increasing publicinvestment in apprenticeships for adults.Income Contingent Loans for Adults: Low interest incomecontingent loan for adults would encourage take-up of higherlevel vocational courses and move some way towards paritywith higher education. This should be preceded by researchinto returns on investment in high level vocational educationand by assurances of the quality of training undertaken.Government should introduce some form of low-interestincome contingent loan for adults undertaking high levelvocational education courses.Learning at Work: More employers still need to engagein workplace training. However, introducing legislationto enforce minimum standards is both impractical andineffective. ‘Carrots’ are more effective than ‘sticks’.Softer methods of compliance should be introduced,such as workplace training as a condition of theInvestors in People Standard.Work-based learning is insufficiently recognised and valued.There needs to be more research (and more investment inresearch) on vocational education.Sectoral Skills Passports: Skills passports (portabledocuments which record all types of training) enablelearners to assess their skill levels, identify areas fordevelopment and help foster a culture of lifelong,personalised learning. Drawbacks include the difficultyof maintaining credibility in the eyes of employers and thecosts involved in development and production.More research and consultation on the impact and logisticsof implementing sectoral skills passports is needed, with aview to developing a national template which is adaptableto each sector.Welfare and Skills Policy: Skills policy and welfare to workpolicies are not sufficiently joined up. Incongruent DfES andDWP targets have acted as a barrier todepartmental co-operation.The DfES and the DWP must work more closely anddevelop and implement a successful welfare package thatincludes both benefits and skills support.Developing skills for sustainable employment is a priorityconcern. This includes developing soft skills which can begained through work experience placements.Government should develop more coherent objectives forskills for sustainable employment, including improving softskills through work placements.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage10

PART A. IntroductionCommentsOlder Learners: Up-skilling the older workforce (over 50s)is important given the ageing population and delayedretirement age. Current mechanisms for learners over 50 areinsufficient as level 2 qualifications decay over time and donot always take into account prior work experience. Teachertraining for older learners also needs revising.Older adults seeking work have different needs whenre-entering the labour market and these should be takeninto account when formulating and joining up welfare andskills policy.RecommendationsGovernment policy must recognise and reflect the publicbenefits of investing in workforce training for older people.Existing provision for training for older adults should be fully“age-proofed” including qualification design and pedagogy.Benchmark data recommending how often older workersmay need to up-skill needs to be developed.New Deal 50+ pilots and incapacity benefit reforms shouldbe piloted as a single package.Basic Skills and ESOL: The Skills for Life programme mustnot lose its momentum, particularly in light of the impact ofmigrant workers in areas with a low skills base.Family Learning and learning which is provided in nonthreateningenvironments (schools, libraries etc) are effectiveways to reach new learners.There must be close monitoring of the impact of ESOLfunding cutbacks, particularly in areas with a low skills base.Government should both expand and promote Family Learning.Qualification and Credit Framework: The newQualification and Credit Framework (QCF) will cater wellfor adult learners, providing greater flexibility and the abilityto build up qualifications incrementally. There is frustrationat the slow pace of development and a lack of claritysurrounding progress to date.Better access is required to clear information on thedevelopment of the QCF.Appropriate research and resources must be allocated toexplaining and promoting the QCF in order for it to bea success.The QCF must accredit prior experience and training amongadult learners and clear progression pathways must be apriority in the design. Effective communicating of the QCFis imperative for its success.Vocational Qualifications: Current vocational qualificationsare too narrow and insufficiently responsive to employer needs.Some argue that a complete overhaul of vocationalqualifications through the development of a NationalCurriculum for Skills is necessary. Teacher training forvocational education is a huge area of concern.‘Soft skills’ should be built in to vocational qualifications.Awarding bodies need greater freedom from Government todevelop more innovative and responsive qualifications.Immediate action is required with regard to vocationalteacher training to ensure the quality of teaching in practicallearning and its appropriateness for older learners.Information, Advice and Guidance for Adults:Current Information, Advice and Guidance (IAG) provisionfor adults is inadequate and fails to address the lifelonglearning perspective.High profile marketing campaigns and media coverage ofvocational skills and training are important ways ofattracting adult learners.An all-age, part-commercial service should be introducedwhich emphasises lifelong learning and makes greater use of IT.More media campaigns must be used to promote vocationaltraining to adults, particularly through television. Coverage ofUK skills shortages and WorldSkills 2011 needs to be morehigh-profile.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage11

PART A. Introduction4. Table of AcronymsAATAssociation of Accounting TechniciansMPMember of ParliamentALGALIALPAoCATLBLAdult Learning GrantAdult Learning InspectorateAssociation of Learning ProvidersAssociation of CollegesAssociation of Teachers and LecturersBusiness LinkNCWE National Council for Work ExperienceNECTA National Electrical Certification and TrainingAlliance LimitedNEET Not in Education, Employment or TrainingNGO Non-Governmental OrganisationNIACE National Institute for Adult Continuing EducationBECTA British Educational Communications andTechnology AgencyCBICDLConfederation of British IndustryCareer Development LoanCoVE Centre of Vocational ExcellenceCWU Communication Workers UnionDfES Department for Education and SkillsDTIDepartment for Trade and IndustryDWP Department for Work and PensionsEDAP Employee Development and Assistance ProgrammeEGAS Educational Grants Advisory ServiceESOL English as a Second or Other LanguageETPFEEmployer Training PilotFurther EducationFEFC Further Education Funding CouncilFLTFoundation Learning TierGCSE General Certificate of EducationGNVQ General National Vocational QualificationsHEHigher EducationHEFCE Higher Education Funding Council for EnglandHMT Her Majesty’s TreasuryIAGIiPILAipprJCPLLNLSCInformation, Advice and GuidanceInvestors in PeopleIndividual Learner AccountsInstitute of Public Policy ResearchJobcentre PlusLifelong Learning NetworksLearning and Skills CouncilMBA Masters in Business AdministrationNQFNational Qualifications FrameworkNVQ National Vocational QualificationPCDL Personal and Community Development LearningPCDLF Personal and Community DevelopmentLearning FundQCA Qualifications & Curriculum AuthorityQCFRDARSPSBCSBSQualification and Credit FrameworkRegional Development AgencyRegional Skills PartnershipSmall Business CouncilSmall Business ServiceSEMTA Science, Engineering and ManufacturingTechnologies AllianceSETScience, Engineering and TechnologySKOPE Centre on Skills,Knowledge and Organisational PerformanceSMESSASSCSmall to Medium Sized EnterpriseSector Skills AgreementSector Skills CouncilSSDA Sector Skills Development AgencyTECTUCUfiULFULRTraining and Enterprise CouncilTrades Union CongressUniversity for IndustryUnion Learning FundUnion Learning RepresentativeUVAC University Vocational Awards CouncilVQVocational QualificationWBLA Work-Based Learning for AdultsADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage12

PART B. Adult Training: Major PoliciesPART B. AdultTraining: MajorPolicies5. Delivery Bodies and Key Partnerships5.1. Skills AllianceThe Skills Alliance was created by the Government in 2003 to oversee theimplementation of the Government’s Skills Strategy, forming a partnership betweenkey partners with an interest in skills and productivity – the Treasury (HMT), theDepartment for Trade and Industry (DTI), the Department for Work and Pensions(DWP), the Department for Education and Skills (DfES), the Confederation of BritishIndustry (CBI), the Trades Union Congress (TUC), the Small Business Council (SBC),and the key delivery organisations led by the Learning and Skills Council (LSC).The Skills Alliance, led by the Secretary of State for Education and Skills and theSecretary of State for Trade and Industry, represents a social partnership for skillsand acts as a high profile champion for the Government’s 2005 Skills Strategy.The full Skills Alliance meets twice a year to review progress and agree priorities foraction. The Leitch Review of Skills (December 2006) proposed the formation of anew Commission for Employment and Skills which would replace the Skills Alliancein England and bring together employment and skills services. Government hasaccepted this proposal so the future of the Skills Alliance is uncertain.5.2. Learning and SkillsCouncilThe Learning and Skills Councils isa non-departmental public bodyestablished in 2001 (replacing theTraining and Enterprise Councils (TEC)and the Further Education FundingCouncil (FEFC)) and exists to improvethe skills of young people and adults inEngland in order to create a world-classworkforce. It oversees the planning andfunding of all post-16 learning exceptthat provided in universities. TheLearning and Skills Council operatesboth nationally and locally to facilitateimprovements in further education,work-based training, school sixthforms, workforce development, adultand community learning, Information,Advice and Guidance (IAG) for youngadults, and education business links.As well as a national office, there arenine regional offices. Government iscurrently legislating to streamline andrestructure the LSC so that it operatesmore responsively and on a regionalbasis rather than through the present47 local LSCs.5.3. Skills for BusinessThe Skills for Business networkis comprised of the Sector SkillsDevelopment Agency (SSDA), whichfunds and supports the network ofemployer-led Sector Skills Councils(SSCs). Sector Skills Councils wereset up to provide a new voice foremployers in identifying skills prioritiesin their sector. They are independentorganisations, licensed by the Secretaryof State for Education and Skills and ledby employers, involving stakeholdersin the sector, professional bodies andtrade unions. Sector Skills Councilshave a responsibility to tackle skillsshortages in their sector and improvethe supply and quality of training of thesector’s workforce to raise productivityand skill levels. There are currently 25licensed SSCs covering 85% of the UKworkforce.5.4. Regional SkillsPartnershipsThe Government has identifiedRegional Skills Partnerships (RSPs) asa major component of the nationalSkills Strategy. Established in 2003, theaim of RSPs is to create a demand-ledapproach to skills and to give regionsthe flexibility to tackle their ownindividual challenges and priorities.RSPs work with key partners ineach region, including the RegionalDevelopment Agencies (RDAs), SmallBusiness Service, local Learningand Skills Councils, Jobcentre Plusand the Skills for Business network.Regional Development Agenciesare non-departmental public bodieswith a primary role as drivers ofregional economic development. ThePartnerships represent an integratedapproach to the delivery of RegionalEconomic Strategies, which workto improve regional economicperformance.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage13

PART B. Adult Training: Major Policies6. Demand-Led Approach6.1. Train to GainThe new Train to Gain service wasofficially launched in September 2006following the Employer Training Pilots(ETP) that were launched in 2002 andis designed to help businesses get thetraining they need by offering free,impartial advice through a trained skillsbroker. The service matches employertraining needs with providers anddevelops a tailored training packagedesigned help businesses improve theirproductivity and competitiveness byensuring their workforce has the rightskills to do the best job. Skills brokersare trained by the Learning and SkillsCouncil and are specialists in trainingwith a proven track record of providingeffective advice to business. As wellas advising on funding streams, theTrain to Gain service also provides thefollowing funding:• Free training to help employees gaintheir first full level 2 qualificationand first Skills for Life numeracy andliteracy qualification.• Wage compensation for companieswith less than 50 employees.• Funded programmes, includingfor apprenticeships and AdvancedApprenticeships, NVQ Level 3 andabove (such as higher education).7. Adult Learning7.1. VocationalQualificationsA wide range of vocationalqualifications are available to adultsand are accredited as part of thenational qualifications framework(NQF). Vocational qualifications areoffered by a large number of awardingbodies and cover almost every sectorat every level, ranging in size andTrain to Gain appeals both toemployers, who gain from flexibleand tailored training, and learners,who value the opportunity to gain aqualification and improve their skills.Early evidence indicates that the Trainto Gain service is reaching a numberof new learners and ‘hard to reach’businesses. Final evaluations of theETPs revealed that in total the Pilotsreached 6% of the eligible populationof learners, with successful completionrates expected to be approximately70%. 86% of learners involved in theservice were satisfied with thetraining received.6.2. Skills for LifeSkills for Life is the national strategy forimproving adult literacy and numeracyskills, launched by the Governmentin March 2001. The Government hasset a target of improving the literacyand numeracy skills of 2.25 millionadults by 2010. The Skills for LifeStrategy Unit (formerly the AdultBasic Skills Strategy Unit) is based inthe Department for Education andSkills, and is responsible for the overalldelivery of the strategy. The Skills forLife strategy has a strong focus onhelping employers to develop theirlower skilled employees and fundingis focused around adults achievingtheir first full level 2 qualification. TheTrain to Gain service offers funding foremployees to undertake Skills for Lifeprogrammes and offers an ‘employertoolkit’, along with free advice andlinks to help businesses tackle basicskills shortages in their workplace.6.3. Unions andUnionlearnSince 1998, unions have beenprovided with financial support underthe Union Learning Fund (ULF) toencourage the take up of learningin the workplace. In April 2003 theGovernment introduced statutoryrights to increase support to UnionLearning Representatives (ULRs) andthere are currently around 12,000active across the UK. Union LearningRepresentatives play a crucial role inencouraging and supporting membersin the workplace to get involvedin training. In May 2006, the TUCopened Unionlearn to build on trainingat work currently run by unions andhelp spread the lifelong learningmessage. It allows people to learnwhen and how they choose and offersguidance on training for employersand employees, with courses rangingfrom basic skills to MBAs at colleges,universities and workplaces to suitindividuals. The DfES has predictedthat there will be around 22,000in place by 2010, helping 250,000workers a year with their training anddevelopment needs.assessment. Adults can take thefollowing vocational qualifications:A levels, Advanced Extension Awards(AEAs), basic skills, entry levelqualifications, General Certificates ofEducation (GCSEs), General NationalVocational Qualifications (GNVQs),key skills, Modern Apprenticeships,National Vocational Qualifications(NVQs) and Vocational Qualifications(VQs). The Qualifications andCurriculum Authority (QCA), a nondepartmentalpublic body sponsoredby the DfES, is responsible fordeveloping and maintaining vocationalqualifications, and accreditingqualifications in colleges and at work.7.2. Qualification andCredit FrameworkSince November 2004, the QCAand regional partners in Wales andNorthern Ireland have been working toADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage14

PART B. Adult Training: Major Policiesreform current vocational qualifications.The new Qualification and CreditFramework (QCF) under developmentaims to recognise a wider range ofachievements and be more responsiveto employer and learner needs.It will operate using a unit-basedqualification system whereby creditscan be accumulated and transferred.This should benefit adult learners as itallows for greater flexibility.The Framework is currently undergoinga process of testing and trialling until 2008.7.3. FoundationLearning TierThe Foundation Learning Tier (FLT)initiative is being developed by the LSCand QCA alongside the Qualificationand Credit Framework to provideprogrammes, units and qualificationsfor learners aged 14-90 working belowlevel 2. The programme will offerunits and qualifications at entry level(currently not recognised and referredto as ‘pre-entry’) and level 1 whichwill feed into the new Frameworkand provide a progression pathwayfor learners. Trials of the FLT are beingconducted from August 2006 to July2007 and implementation is scheduledfor completion by 2010.7.4. Apprenticeships forAdultsThe Government has a commitment toincreasing the number of apprentices inthe UK. Apprenticeships offer relevantand recognised qualifications gainedthrough a combination of on-the-jobtraining with an employer and offthe-jobtraining from a local learningprovider (usually on the basis of dayrelease). In this way apprenticeshipsteach learners about the whole job,rather than simply individual skills. Anapprentice and employer can agree towork to one of two levels:• An apprenticeship which lasts at leasta year and gives the apprentice aLevel 2 NVQ; or• An Advanced Apprenticeship whichlasts at least two years and gives theapprentice a Level 3 NVQ.Most apprentices are paid a salary bytheir employer that reflects their skills,experience, age and ability. A fewapprentices are on work placementswith a business and get paid atraining allowance by the Learningand Skills Council. Whilst there is noage limit on apprenticeship training,the Government primarily focuses onapprenticeships for young people as isreflected in the availability of funding.Government has recently extendedentitlement for apprenticeships to 19-25 year olds and in 2006-7 the LSCdedicated an extra £16.7 million toexpand apprenticeships for adults.7.5. Foundation DegreesThe Government is working towardsa target of 50 per cent of those aged18–30 participating in higher education(HE) with more HE being deliveredthrough further education (FE)institutions. A major Government focusin this area is the expansion of twoyearwork-focused foundation degrees.It is hoped that closer collaborationbetween FE and HE on foundationdegrees will improve progressionrates, particularly among learners fromdisadvantaged groups. The HigherEducation Funding Council for England(HEFCE) has recently announced anextra £12 million funding to this end.Government aims to deliver morehigher education through furthereducation institutions. In a drive toexpand foundation degrees further,the Government also plans to grantFE institutions the powers to awardfoundation degrees.7.6. Lifelong LearningA key emphasis of Government skillspolicy is driving up progression ratesin vocational education. HEFCE, theLSC and the DfES are working on jointapproaches to encouraging progressioninto and through higher education.27 Lifelong Learning Networks (LLNs),spanning 113 HE institutions and 260FE colleges have been established toimprove progression rates for learnerson vocational programmes, includingadults currently in employment.8. Adults Out of Work8.1. New Deal for SkillsThe New Deal for Skills is a partnershipbetween the DfES, the DWP, theLSC and Jobcentre Plus (JCP). It waslaunched in March 2004 and aims toimprove the skills of adults who are notin work, or who have had a successionof short-term, low-paid jobs wherethere is little training and development.JCP are responsible for making referralsto the New Deal for Skills and the LSCis responsible for provision throughlocal colleges. New Deal for Skillsinitiatives are currently being pilotedand include:• Skills Coaching Trials to develop askills coaching service. Coaches arelocated in Jobcentre Plus centresand offer advice and guidance forindividuals who want to update theirskills for employment.• Developing a Skills Passport whichrecords skills gained by learners tosupport the move from welfareto employment.• Adult Learning Option (from September2006) which enables those on benefitsto take up full time study for their firstfull level 2 qualification without lossof benefits. Participants in the AdultLearning Option will also receive anextra £10 for joining the option.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage15

PART B. Adult Training: Major Policies8.2. Work-BasedLearning for AdultsWork-Based Learning for Adults(WBLA) is a voluntary full-time trainingprogramme mainly aimed at peopleaged 25 and over who have beenunemployed for six months or longerand are claiming Jobseekers Allowanceor another qualifying benefit. It isavailable for those who have been outof work for at least 6 months aged 25and over or aged 18 – 24 who havea disability and are receiving benefitsother than Jobseekers Allowance.Lone parents and those with basicskills needs, those who have recentlyreturned from caring for a child orrelative, and those with disabilities canjoin the scheme immediately (i.e. theydo not have to be unemployed for 6months in order to qualify). Trainingprogrammes include literacy, numeracyand NVQs. The training is free andclaimants also receive an extra £10 ontop of a training allowance which is thesame amount as their benefits. Somelearners can also access assistance withchildcare and travel costs.9. Basic Skills Provision9.1. Level 2 EntitlementThe centrepiece of the Government’sskills strategy is the entitlement to freetuition for adults in basic skills (literacyand numeracy at all levels up to andincluding level 2). The Government hasa target of reducing by 40% the numberof adults without basic numeracy andliteracy by 2010. A key focus of thisdrive is the level two entitlement: adultswho do not already have a first full level2 qualification (5 GCSEs A*-C, an NVQLevel 2 or equivalent) are now entitledto free tuition to study for a first fulllevel 2 qualification and a freeone-to-one session with a careersadviser regardless of their employmentstatus. Currently, around 6.7 millionadults in the workforce lack a first fulllevel 2 qualification.9.2. ESOLEnglish as a Second or Other Language(ESOL) training has expanded rapidlyin recent years to meet the languageand literacy needs of those who donot have English as their first language.Until recently ESOL training up to level10. Funding for Adult Learners10.1. Free TuitionAs well as basic skills and level 2entitlements, in March 2006, theGovernment extended free entitlementto level 3 (equivalent to 2 A levels) to19-25 year olds and announced plansto move towards a 50% contribution2 was free to all as part of the Skillsfor Life budget. Due to large increasesin demand for ESOL training (whichtotalled more than half of the Skills forLife budget) in October 2006 it wasannounced that from August 2007/08fee remission will only be available topeople receiving means-tested benefitsand tax credits. ESOL will now forma key part of a new £23 billion basicskills and employability programme forJobcentre Plus clients. Employers whohave recruited workers from outsidethe UK will be expected to bear the fullcost of any necessary English languagetraining. From August 2007, a newsuite of ESOL qualifications will beaccredited by the QCA to support ashorter, more job-focused approach toEnglish language skills.9.3. Personaland CommunityDevelopment LearningGovernment has outlined acommitment to maintaining provisionfor personal and communitydevelopment learning (PCDL) andfee for adults over 25 who are notentitled to free tuition. The Governmentis piloting subsidising level 3 trainingprovided in the workplace throughTrain to Gain in two regions and insectors with marked skills deficiencies(technician, advanced craft, skilledtrade and associate professional).has allocated £210 million for 2006-7and 2007-8 to this end. This budgetincludes provision formerly includedin the Adult and Community LearningFund. The Personal and CommunityDevelopment Learning Fund (PCDLF)primarily focuses on providinglearning to hard to reach groups inthe community, and subsequentlyfunds a lot of basic skills, family andcommunity learning and courses forfirst access to vocational education.The Government has asked the LSCto convene local partnerships to planand co-ordinate this type of learningand ensure against any poor qualityprovision. Government has also madeclear its expectation that individuals willincreasingly have to pay for personaland community learning where theycan afford to do so. The PCDLF alsocurrently includes significant provisionof learning for older people.10.2. Adult LearningGrantsAdult Learning Grants (ALGs) of £30per week are offered to adults onlow incomes in priority areas agedat least 19 who want to study a fulltimecourse leading to a first levelADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage16

PART B. Adult Training: Major Policies11. Awarding Bodies11.1. Role of AwardingBodiesAwarding bodies play an importantrole in determining what optionsare available to learners. Followingconsultation with experts in industryand academia, awarding bodiesdevelop a range of qualificationsto offer. They supply all relevantassessments and examinations, andthen mark them through internal andexternal verifiers in approved deliverycentres (such as schools, FE colleges,independent training providers, andemployers). The leading vocationalawarding body in the UK is City &Guilds, which awards 53% of allNational Vocational Qualificationsand is the only awarding body solelydedicated to vocational learning.Altogether the City & Guilds Groupoffers over 500 qualifications in 28different industries and operates in100 countries. The QCA recognisesand regulates awarding bodies andtheir qualifications so as to retain thereliability of the UK qualificationsframework.12. Information, Advice and Guidance (IAG)12.1. IAG Services forAdultsThe LSC is responsible for IAG servicesfor adults over the age of 20 outside ofhigher education (Connexions providesfor young people aged 13-19). Thereare four main elements to currentIAG services for adults funded and/oroverseen by the LSC:• Learndirect: Learndirect offers impartialInformation, Advice and Guidance,either over the phone or via its website,on more than 700,000 courses fromhundreds of providers nationwide. Itadvises on courses, careers, fundingand related issues like childcare.Learndirect has been developed by Ufi,University for Industry, which also offersaccess to a wide range of e-learning,including online courses in IT, businessstudies and basic skills.• NextSteps services: NextStepsservices offer a more intensive oneto-oneguidance through face-tofacediscussion and are particularlytargeted at those who have yet toachieve a level 2 qualification (fiveGCSEs at A* to C) often through theTrain to Gain service.• Further Education colleges andtraining providers: The LSC also fundsIAG in Further Education colleges tooffer specialised IAG student supportunder the aegis of the NationalAssociation of Managers of StudentServices. The bulk of IAG services incolleges is provided by tutors.• Union Learning Fund: The UnionLearning Fund, managed by the LSCand run by the TUC, plays a largerole in IAG for adults largely thoughULRs (see 6.3).12.2. IAG ReviewInformation, Advice and Guidanceservices for adults are currentlyunder review by the LSC and RSPsas proposed in the 2005 Skills WhitePaper. The aim is to deliver anintegrated IAG service which brings thework of the Learndirect national adviceservice together with the work of thelocal IAG partnerships to developa universally-available, high-qualityservice. RSPs are reviewing whethertheir region is receiving the IAGservices it needs - while the minimumentitlement to core IAG services willbe the same nationally, there will beregional variation beyond that to meetregional priorities.The key partners in the IAG review,as well as the DfES and LSC, arethe DWP, DTI, Jobcentre Plus, Ufiand SSDA. An extended Learndirecttelephone advice service offeringmore intensive personal guidance tothose with career development needsand seeking a level 3 qualification iscurrently being trialled.13. Reports and Legislation13.1. Leitch Review ofSkillsIn 2004, the Treasury and the DfEScommissioned the Leitch Review toidentify the optimal skills mix that theUK would need in 2020 for economicprosperity and to outline policyproposals that might best achieve thelevel of change required. Lord Leitch,former chief executive of ZurichFinancial Services and Chairman of theNational Employment Panel, led theindependent review, which drew onevidence from over 250 organisations.In December 2006, Lord Leitchpublished his final report Prosperityfor all in the global economy – worldclass skills. In its vision for the UK,the Review focused significantly onincreasing adult skills across all levelsand set some demanding targetsfor 2020:• 95% adults to achieve basic skillsof functional literacy and numeracy(in 2005 these were 85% and 79%respectively).• Over 90% of adults qualified to atleast level 2 (in 2005, this was 69%).• The balance of intermediate skills toshift from level 2 to level 3, includingADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage18

PART B. Adult Training: Major Policiesboosting the number of apprenticesto 500,000.• Over 40% of adults qualified to level 4(degree level) and above (in 2005, 29%of adults were educated to this level).The Leitch Review also emphasised:• Shared responsibility: employers,individuals and Government mustincrease action and investment.• Economically valuable skills: skillswith real returns for individuals,employers and society should beprioritised, including portable skills.• Demand-led approach: strengtheningthe employer voice throughempowering the SSCs; creatinga new Skills and EmploymentCommission; and launching avoluntary employer ‘Pledge’ to trainall eligible employees to level 2 inthe workplace.The main recommendations withregard to adult training are:• Route all public funding for adultvocational skills, except communitylearning, through Train to Gain andLearner Accounts by 2020.• As well as increased investment inskills from individuals and employers,Government’s annual investment inskills up to level 3 must rise to £1.5-2billion by 2020.• Increase aspirations and awarenessamong adults by rationalising existing‘information silos’ and developing anew universal careers service.• Create a new integrated employmentand skills service for those out ofwork building on existing structuresand creating new employer-ledEmployment and Skills Boards toinfluence delivery.The Government has welcomed theLeitch Review, lauding its commitmentto achieving world class skills, andhas accepted the proposal for a newCommission on Employment and Skills.Over the next months, the Governmentis holding a series of events to considerthe Review and how best to implementLeitch’s vision. It is expected thatthe Government will publish itsofficial response to the Leitch Reviewproposals in mid-2007, after theComprehensive Spending Review.13.2. Further Educationand Training BillIn November 2006 the FurtherEducation and Training Bill wasintroduced to the House of Lords. TheBill takes forward a number of reformsannounced in the March 2006 WhitePaper, Further Education: Raising Skills,Improving Life Chances. Parts 1 and 2of the Bill contain measures that mayimpact upon adult training in the UK:• Part 1 – The Learning and SkillsCouncil for EnglandPart 1 of the Bill seeks to restructureand streamline the LSC, in particularstrengthening its capacity forregional skills delivery and improvedresponsiveness to employer andlearner needs. It also places a duty onthe LSC to encourage diversity andchoice in education and training andextends its powers to design, developand operate support services forlearners and education institutions.• Part 2 – Further Education InstitutionsPart 2 includes provisions totransfer powers to intervene (incertain prescribed circumstances)in underperforming colleges fromthe Secretary of State for Educationand Skills to the LSC. It alsocontains provision to regulate thequalifications required for collegeprincipals. It is hoped that thesemeasures will help eliminate poorquality providers and improvethe quality of leadership in the FEsystem. Part 2 also contains provisionto grant FE institutions the powerto award their own foundationdegrees, which can currently only bevalidated by a university. It is hopedthat this will improve the uptake offoundation degrees.PART C. AdultTraining: KeyDebates14. Background14.1. Demographic ChangeThe Leitch Review of Skills has highlighted the impact of the ageing population onthe UK’s global economic competitiveness and clearly outlines the imperative toup-skill the adult workforce if the UK is to compete in the long term.The demographic changes affecting the UK workforce are profound. In 2001,the UK birth rate fell below the ‘replacement rate’. It is estimated that the impactof this will begin to be felt in 2010 when up to 60,000 fewer young people (15-24 year olds) a year will be entering the workforce. 2 Increased longevity amongadults in the UK also means that people can work longer and often choose to workbeyond the traditional age of retirement. However, the actual working life of theaverage UK worker has been decreasing in recent years, due to people staying onin education for longer and taking early retirement. This means that employers willhave to start attracting (and recruiting) older workers, non-employed people and‘returners to work’ in order to support employment growth in the future. Adults willalso have to develop and update their skills throughout their careers to support alonger period of employment.2 Chris Humphries, Skills in a Global Economy (January 2006).3 The Leitch Review of Skills, Final Report: Prosperity for all in the global economy – world class skills (December 2006).ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage19

PART C. Key Debates in Adult Training14.2. Lifelong Learningfor AdultsThe Leitch Review of Skills emphasisedthat ‘for people to progress in themodern labour market, they mustupdate their skills to adapt to change.’ 3For adults, the acquisition of skills andtraining gives individuals portabilityin the labour market, enabling themto prove to employers that they aresuitable for employment. Qualificationsare used as the most commonmeasure of skills as reflected in theGovernment’s focus on qualificationattainment. In addition, learning foradults has wider benefits that stretchbeyond employment, contributingtowards social justice and communitycohesion. Commentators have alsoemphasised the importance of engagingolder learners (over 50s) in trainingin order to meet UK employmentneeds and for wider health and socialbenefits. In recent years focus hasincreasingly been given to establishinga culture of lifelong learning. In orderfor the UK to remain economicallycompetitive and for adults be ableto progress within the UK, a lifelonglearning dimension must be consideredin all aspects of adult training policy.15. Key Policy Debates15.1. FundingThe balance between the Government,the employer and the learner in termsof who pays for training is a key areaof debate with regard to adult skills.The Government currently fundsadults to achieve their first level 2qualification, and first level 3 for 19-25year olds, but adult learners receiveless statutory funding than youngpeople. Government’s focus on the14-19 cohort is feared to be damagingadult learning provision leading tocourse closures and rising fees. Thereis concern that these cuts will restrictthe choice available to adult learnersand reduce financial support, such ascourse subsidies and assistance withchildcare and transport costs, puttingparticipation rates at risk.The issue of funding for adult traininghas generated a wealth of researchand debate, proffering divergent views.The Government’s focus on the level 2entitlement has been criticised as toonarrow, validating existing skills ratherthan up-skilling, and contributing towider adult learning budget cuts asresources are relocated to meet level 2targets. In 2005 NIACE’s IndependentCommittee of Inquiry into the State ofAdult Education in England reportedthat reductions in the budgets for adultlearning was putting the Skills Strategyat risk and recommended that thereshould be a new statutory basis forfunding adult education. The Educationand Skills Select Committee report onFurther Education also devoted a largesection to adult learners and focusedon the funding issue in particular,recommending that “the Governmentbase its decision on the targeting offunding [for adults] on much more solidand extensive research than is currentlyavailable” and stated that “we are notconvinced that a coherent fundinglogic is in place across the educationsystem”. 4Opinion on public investment variesdepending on the type of trainingin question. Whilst many criticisepublic subsidy for ‘leisure learning’,it is recognised that non-work-relatedlearning can provide a valuable initialpathway into further education (suchas basic skills provision, family andcommunity learning). It is furtherrecognised that adult training at higherlevels in the workplace warrants greaterinvestment to meet the skills needs ofthe UK. Other commentators arguethat individuals need to contributemore to the cost of training and thatmany adults are prepared to pay.However, it has also been emphasisedthat state and individual investmentshould not take the place of employerinvestment in training. Employers needto accept their part of the responsibilityfor workforce training and theGovernment’s emphasis on a demandledapproach to skills policy is designedto encourage this.15.2. Demand-LedApproachCurrent Government policy favoursan employer-driven, demand-ledapproach to workforce training.In Skills: A Parliamentary PerspectiveMPs voiced concerns at a solelydemand-led approach to adulttraining, calling for a balance betweenthe requirements of employers andlearners. Whilst there is general supportfor a demand-led approach to training,commentators have criticised that atraining system left entirely to demandwill not guarantee the required levelsof employer investment and mightnot meet the skills shortages of theUK, as employers will respond to theirspecific business needs. As a resulta number of bodies have urged forstatutory requirements for minimumlevels of employer investment intraining, either minimum standards inthe workplace or training levy schemes.For example, in a recent report, 2020Vision for Skills, the TUC called for legalrights to paid time off to train in theworkplace, more union involvementin Government’s skills strategiesand collective bargaining rights onworkplace skills to ensure that adultsreceive the training they need.4 House of Commons Education and Skills Select Committee Further Education: Fourth Report of Session 2005-06 (September, 2006),paragraphs 97 and 104.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage20

PART C. Key Debates in Adult Training15.3. Flexible ProvisionFlexible delivery is critical to adultlearners who often have family or workcommitments. As well as stimulatingemployer investment in adult training,reforming the supply side so that itis attractive, simple and tailored toadults’ needs is also critical if theGovernment is to secure individualinvestment in up-skilling. The locationand timing of training delivery andthe nature of vocational qualificationsare key factors in this respect. Mosttraining providers do offer flexibledelivery and in increasingly convenientlocations such as schools, local librariesand neighbourhood learning centres.However, vocational qualificationsfor adults are currently perceived asover-complicated and unclear, whichcan act as a barrier to the uptake oflearning by adults.There is also debate among policymakersabout whether up-skillingthe adult workforce is best achievedthrough the attainment of formalqualifications or though less formal,on-the-job training. Whilst researchhas shown that many adults do wantqualifications, many commentatorsalso urge for better recognition ofand provision for informal training inthe workplace as the preferred way,particularly for older learners,to acquire new skills.Current provision for Information,Advice and Guidance (IAG) servicesfor adults in England has also receivedpointed criticism in recent years. InSkills: A Parliamentary Perspective, MPsargued that adults are discriminatedagainst in terms of information andadvice as they have no access to theConnexions service. Current levels ofawareness of opportunities to learnamong the adult population are lowand IAG for adults is regarded asinaccessible and lacking coherence.This is thought to have acted as asignificant barrier to the uptake of adulttraining and is an area of policy that iscurrently under examination.PART D. ResearchResults16. Research MethodsThe primary method of research was a series of interviews and consultations withkey stakeholders including MPs, peers, Government and shadow ministers, civilservants, employers, academics, business representatives, skills agencies, learningproviders, NGOs and unions. Desk research was undertaken in advance of theinterview process to ascertain the major issues in the policy area to feed into theinitial questionnaire. This included an examination of current and previous policies,research papers, events, and campaigns.The interviews were conducted in a two stage process. The first stage involved fifty20-30 minute telephone interviews during which participants were asked broadquestions about the major policy areas. These included: SME engagement; Train toGain; licence to practise; training levies; financial incentives; and communicationand IAG services for businesses.The second interview stage involved twenty 30-60 minute interviews withstakeholders who had given informed responses in the first round or who specialisein areas which had emerged as particularly significant.A questionnaire was devised in response to the issues raised in the first round withthe aim of generating and evaluating policy recommendations.The final stage of the consultation process was a high level roundtable discussionof 20-25 senior stakeholders including the Minister for Skills, which provided anopportunity for frank and open discussion of the interview findings. Participantsreceived summary papers of the findings in advance and the objective of thediscussion was to evaluate the policy proposals and offer further insight into issueswhere little consensus had been reached.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage21

PART D. Research ResultsThe following individuals participated in the research:Adrian Anderson, Acting Chief Executive, University Vocational Awards Council (UVAC)Robert Armitage, General Manager of Training and Director, National Electrical Certification and Training Alliance Limited (NECTA)Brandon Ashworth, Head of Skills and Employment, Sector Skills Development Agency (SSDA)Mike Barbier, Assistant Director, Enterprise and Business Environment, Small Business Service (SBS)Steve Besley, Head of Policy, EdexcelTim Boswell MP, Co-Vice Chair, Associate Parliamentary Skills GroupDr John Brennan, Chief Executive, Association of Colleges (AoC)Sara Caplan, Assistant Director, Education and Skills Advisory Services, KPMGHilary Chadwick, Director of the National Employer Service, Learning and Skills Council (LSC)Nicola Clark, Director of Marketing and Communications, Investors in People (IiP)Will Clark, Partnership Development Manager, Nord Anglia Lifetime DevelopmentJaine Clarke, Director of Skills for Employment, Learning and Skills Council (LSC)Mark Corney, Director, MC ConsultancyDavid Cox, Learning & Development Associate, ClinPhone Group LtdMichael Davis, Managing Director, CFE (formerly Centre for Enterprise)Lord DearingSimone Delorenzi, Research Fellow, Institute for Public Policy Research (ippr)James Evans, Skills Research Adviser, Creative and Cultural SkillsMartin Freedman, Head of Pay and Conditions, Association of Teachers and Lecturers (ATL)James Frith, Policy Executive, Employment and Skills, Greater Manchester Chamber of CommerceAndrew Harrop, Head of Policy, Age ConcernTricia Hartley, Joint Chief Executive, Campaign for LearningJohn Hayes MP, Conservative Shadow Minister for Vocational EducationJacqui Henderson, Chief Executive, UK SkillsStephen Hillier, Director of the Skills Group, Department for Education and Skills (DfES)Phil Hope MP, Minister for Skills, Department for Education and Skills (DfES)Graham Hoyle, Chief Executive, Association of Learning Providers (ALP)Chris Humphries, Director General, City & GuildsPeter Huntington, Chief Executive, GoSkillsProfessor Ewart Keep, Deputy Director, Centre on Skills, Knowledge and Organisational Performance (SKOPE)Julie Kenny, Chair, Small Business Council (SBC)Anne Kiem, Director of External Affairs, ifs School of FinanceTerry Killer, Skills Manager, Microsoft UKADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage22

PART D. Research ResultsJohn Landeryou, Assistant Director of Inspection, Adult Learning Inspectorate (ALI)Trish Lavelle, Head of Education and Training, Communication Workers Union (CWU)Pablo Lloyd, Deputy Chief Executive, UfiGordon Marsden MP, Chair, Associate Parliamentary Skills GroupGeoff Matthews, Head, Honda InstituteHugh Milward, then Public Affairs Manager, Learning and Skills Council (LSC)Laura Moffat MP, PPS to Secretary of State for Education and SkillsTony Moloney, UK Training Manager, National GridClare Morley, Director of Education and Training, Association of Accounting Technicians (AAT)Iain Murray, Senior Policy Officer, Trades Union Council (TUC)Judith Norrington, Head of National Policy Development, City & GuildsGill Palfrey, Learning and Development Manager, B&QAndy Powell, Chief Executive, EdgeLiz Rhodes, Director, National Council for Work Experience (NCWE)Clare Riley, Group Manager, Education Relations, Microsoft UKAdrian Sanders MPMarion Seguret, Senior Policy Adviser, Confederation of British Industry (CBI)Baroness Sharp of Guildford, Liberal Democrat Education Spokesperson in the LordsBarry Sheerman MP, Chair, Education and Skills Select CommitteeDame Ruth Silver, Principal, Lewisham CollegeIan Smith, Head of Skills, London UndergroundLiz Smith, Director, UnionlearnPhyllis Starkey MPBrian Stevens, Chair, FEdS ConsultancyAlastair Thomson, Senior Policy Officer, National Institute of Adult Continuing Education (NIACE)Professor Mike Thorne, Vice-Chancellor, Anglia Ruskin UniversitySir Mike Tomlinson, Chair, The Learning TrustProfessor Lorna Unwin, Institute of EducationChristine Vincent, then Director of Learning and Teaching, British Educational Communications and Technology Agency (BECTA)Stephen Williams MP, Liberal Democrat Spokesperson for Further and Higher EducationAndy Wilson, Principal, Westminster Kingsway CollegeProfessor Alison Wolf, King’s College LondonADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage23

2. Introduction by Chris Humphries, FUNDING Director General of City & Guilds17. ResearchResultsParticipants’ comments andrecommendations fell into five keycategories. Each category contains asummary of the major concerns raisedduring the initial round of interviews,followed by recommendations andresponses as emerged from thesecond round interviews androundtable discussion.The five categories are:• Funding• Learning at Work• Widening Participation• Qualifications• Communication and IAGFUNDING18. Funding for Adult Learners18.1. Public Funding TargetsMartin Freedman, Head of Pay and Conditions at the ATL reflected the views ofa number of participants when he condemned the “terribly destructive cultureof targets”. Many participants were concerned with the ‘top-down’, ‘blanket’nature of funding targets, in particular the priority of adults achieving their first fulllevel 2 qualification. Alastair Thomson, Senior Policy Officer at NIACE, expressedthe sentiments of the majority in his response: “We need some flexibility in theinterpretation of the targets.”18.1.1. Level 2 EntitlementA number of respondents wereunhappy with current fundingtargets being set at level 2 whichwas considered too low to correctthe skills needs of the UK. Concernswere also raised that the level 2entitlement increases the stock of level2 qualifications by accrediting peoplewith skills they already have, ratherthan genuinely up-skilling the adultworkforce. Clare Morley, Directorof Education and Training at theAssociation of Accounting Technicians,also noted that the level 2 fundingfocus has led to the disappearanceof some higher level adult vocationalcourses - limited uptake resultingfrom increased cost has meant “thatthere is less progression in vocationaleducation”. Morley highlighted afurther negative consequence: “If theonly vocational education availableis to level 2, this gives the publicimpression that it is low-level.”18.1.2. Local andSectoral NeedsMore than 50 per cent of theparticipants had reservations aboutthe way that the level 2 entitlementoperates rather than the level itself.Professor Lorna Unwin of the Instituteof Education criticised current targets as“nationally derived rather than locallynegotiated”. Respondents argued thatthis approach failed to recognise localand sectoral needs.18.1.3. Funding for FullQualificationsRespondents expressed concernover that the focus of currentfunding arrangements on ‘full-fat’qualifications, meaning that learnersmust complete a whole level 2 coursein order for the provider to receivefunding. Many respondents felt thatthis acted as a barrier to adults whomay want to top up their qualificationswith particular units, or who may beput off by a long-term commitmentto learning, particularly if they hadbeen out of education for a significantperiod of time.18.1.4. Non-Work-RelatedLearningA number of participants felt thatfunding priorities for learners to reachtheir first full level 2 qualificationhave ‘distorted’ on the groundprovision. In some cases, this has ledto course closures and rising pricesfor ‘non-priority’ learning, includingadult ‘leisure learning’ and, in someinstances, adult basic skills.18.2. Funding for AdultApprenticeshipsWhilst there was a positive responsetowards adult apprenticeships as a wayof re-training the adult workforce, itwas noted by a number of participantsthat Government funding for adultapprenticeships is fairly limited. This isboth in terms of public money availableand mechanisms to enable adultlearners to fund themselves throughhigher level vocational education,i.e. loans. Gordon Marsden MPcommented that in the long term “therewill need to be a very significant shiftin funding priorities from young peopleto older people. The position of olderpeople and apprenticeships is crucial.”18.3. A Major Shift inFunding FocusJohn Hayes MP, Conservative ShadowMinister for Vocational Education,stressed the need for a major shift inpolicy focus:“We do have to take a completelyfresh view of adult learning andrecognise that unless we engagemore people in continuing education- upgrading their qualifications,improving their skills - we’re notADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage24

FUNDINGgoing to deal with the profoundeconomic effects of the skillscrisis on our productivity andcompetitiveness.”Mark Corney, Director of MCConsultancy, argued that “We need tochange the mindset of MPs so that theylook at the whole of 11-19 fundingin the round, not by school, FE or HEsectors but rather by age.” Moreover,he argued, the major issue with regardto public funding for adult educationis the disparity between the adultLearning and Skills Council budget andthe higher education budget. Corneyestimated that the HE budget is closeto £10 billion, whereas the LSC spends£3.3 billion on adults.19. Funding Recommendations19.1. Increased Level 3EntitlementWe asked participants whether they feltthat level 2 was the appropriate levelfor state subsidy for adult learning.62% of participants agreed thatlevel 2 is the right starting point forGovernment subsidy as it is the levelfor employability. 25% of respondentsdisagreed, many of which judgedthat future skills gaps will be at level3. Dr John Brennan, Chief Executiveof the AoC, described level 2 as a“threshold”, adding that entitlement tolevel 3 is needed “because the futurelabour force will need higher skills”.Chris Humphries, Director General ofCity & Guilds, also remarked that theGovernment needs to move towardspublicly funded level 3 by 2010 forthe under 30s at least. Targeted level3 entitlements are being piloted byGovernment in some regions. While asignificant number of participants feltthat Government funding up to level3 would be the ideal standard, it wasrecognised that “the public purse is notbottomless” (Lord Dearing).• Many participants placed future skillsgaps at level 3, arguing that the stateshould aim towards funding adults atlevel 3 in the near future, if not now.19.2. DeterminingTripartite ResponsibilityMost participants agreed that learnersand employers need to contribute moretowards the cost of learning and thatthis should begin at level 3. MichaelDavis, Managing Director of CFE,posited: “Level 3 is the level that reapseconomic and social benefits, and isthe level at which evidence suggeststhat businesses start to appreciate thebenefits.” There was little consensusin this area, however, with participantsgiving differing views as to thebalance of individuals and employercontributions to the cost of learning.19.2.1. EmployersBaroness Sharp of Guildford, LiberalDemocrat Education Spokesperson inthe Lords, and Barry Sheerman MP,Chair of the Education and Skills SelectCommittee, felt strongly that employersneeded to invest more in skills training,with Sheerman commenting that“too many employers never invest”.On the other hand Professor AlisonWolf of King’s College London arguedthat employers were not necessarilyunder-investing but rather public fundswere being managed in an inefficientway, partly due to the overlap ofbodies in the further education sector.Brian Stevens, Chairman of FEdSConsultancy, summed up the keyquestion for many: “At what point doemployer contributions kick in and onwhat principles?”19.2.2. IndividualsThere was some agreement thatlearners should contribute more tothe cost of learning. John Hayes MPpointed to current evidence collated byNIACE that many adults are prepared topay for their learning. Graham Hoyle,Chief Executive of the Associationof Learning Providers, noted that onthe issue of individual contributions“everyone is frightened of this questionand we must investigate the area”.Tim Boswell MP suggested that “therecould be a national debate about ashift towards self-funded learning asopposed to employer or tax-payerfinanced models”. Liz Smith, Directorof Unionlearn, also warned that in anydialogue on tripartite responsibilityit is important to consider unions asthe voice of employees, rather thanindividuals who often have little power.Smith felt that this needed to comethrough more in current dialogue, inparticular in the Leitch Review.19.2.3. Returns on InvestmentBrandon Ashworth, Head of Skills forEmployment at the SSDA, expressedthe common view that returns oninvestment will ultimately determinethe balance and level of financialinput from employers and individuals.Ashworth emphasised that not allqualifications have equal economicpayout and somehow funds must betargeted where there is a “pay-off”for the learning that takes place. Anumber of respondent felt that moreresearch was needed into the relativereturns of qualifications at all levelsand subject areas.There was agreement that the debatearound tripartite responsibility forfunding was framed within a widercultural context. On the one hand,as Phyllis Starkey MP noted, “whatis free is not valued”, meaning thatpublic investment has the potential toundermine the real value of training.Yet it was also posited that the UKdoes not have a culture of paying foreducation unlike, for example, the US.The overriding sense was that this cultureneeds to change if the UK is genuinely toup-skill its adult workforce. Mechanismswere suggested which could encourageindividuals to pay for their own learning(see 2.8) and incentivise employers toinvest in training. 55 See National Skills Forum, Incentives to Train: Ensuring Employer Engagement (March 2006).ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage25

FUNDING• There was consensus that employersand adult learners need to contributemore to the cost of training, withmany contending that contributionsshould begin at level 3. RecommendationParticipants urged for a real and livelydebate to determine the relative financialresponsibilities of employers, learnersand the state at all levels. To inform thisdebate, participants recommended thatmore detailed resource analyses wereneeded into the productivity gains fromskills training at all levels.19.3. Setting Targets ata Local LevelJohn Hayes MP stressed the need for“a highly local focus”, calling for “amore devolved system in terms offunding, course design and delivery”.In particular, the skills needs of Londonwere mentioned by participants asdifferent from the rest of the country.Dame Ruth Silver, Principal ofLewisham College, supported localtargets to the extent that “when werecruit courses we look at progression,by that we mean does it lead toemployment opportunities in the localarea”. Judith Norrington, Head ofNational Policy Development at City& Guilds, highlighted the practice inCanada by which the Government“provides funding through institutionson the basis that the funding willremain the same or increase if peoplewho received qualifications from thatinstitution went into related work”.Setting entitlement targets more locallyreceived a mixed response, however.Whilst a more devolved system mayenable greater responsiveness, GordonMarsden MP highlighted the dangersof creating a “patchwork” policy,suggesting instead setting decisions ata regional level. Tricia Hartley, JointChief Executive of the Campaign forLearning, also argued that “there hasto be greater consistency across thecountry because there are areas witha real poverty of aspiration. In orderto demonstrate an inclusive approachwe have to have a national baseline”.Whilst in favour of such a movetowards local targets, Professor MikeThorne (Vice Chancellor of AngliaRuskin University) also highlighted thedifficulties in implementing locallydriven targets given the “variegatednature” of local administrative bodies.Participants felt that, at a locallevel, the number of overlappingconsiderations puts a premium onflexible implementation rather thanspecifically devolved targets. JaineClarke, Director of Skills for Employmentat the LSC, stressed the importanceof “segmenting the local market”,taking into account locality, sector andindividual circumstances (for examplewhether they are in or out of work,receiving incapacity benefit, lone parentetc). Clarke emphasised that provisionshould be tailored to the individual intheir local learning context and thatsectoral or geographical priorities alonecould be too blunt. Jacqui Henderson,Chief Executive of UK Skills, echoed thisview, arguing: “It is important to respondto local and regional needs. Nationaltargets are acceptable but the matter isreally how they are implemented.”19.4. Setting Targets ata Sectoral LevelSome participants argued that targetsfor adult training should be setaccording to sector skill shortages.Tony Moloney, UK Training Managerfor National Grid, highlighted the skillshortages in Science, Engineering andTechnology (SET) and suggested thatfunding priorities should be organisedaccording to UK need following theskill, not the age. Moloney explainedthat the average age of a worker in thepower industry is around 40 - 45 andstressed that re-training and re-skillingadults within this sector was imperative:“If the UK was a company, trainingwould be based around organisationalneed – SET for adults would be a realneed and would be provided for”.We asked our second roundinterviewees if targets should besector-differentiated so that fundingwas directed towards areas thatwould most help UK productivity.Some respondents felt that thiswould be fairer and could be led bythe Sector Skill Councils. However,there was some disagreement aboutwhether variations in skill levels weredetermined primarily by geographyor by sector. Whereas some arguedthat the driver for qualifications tendsto be the nature of work rather thangeography, Professor Thorne argued: “Idon’t think this can be done by sectorbecause the problem is geographic notsectoral. London’s needs are differentfrom the rest of the country forhistorical reasons.” Gordon MarsdenMP also highlighted the dynamic natureof sectoral skill shortages arguing thatthey change too quickly for differentialsto be set accurately. Participants werealso keen to point out that any formof devolved sectoral targets should notlead to targets below level 2.Andy Powell, Chief Executive ofEdge, disagreed with the principleof devolving funding to sectors.Powell expressed preference for a“free market” approach, arguing theGovernment should support people toa certain standard and after that “it isdown to the industry and individuals toget that learning”.• Some participants suggested settingtargets at a local level or accordingto sectoral need as current targetsinsufficiently reflect skills shortageswithin sectors and regions abovelevel 2. Reservations about devolvingtargets were expressed, including thepotential complexities involved andthe need for overall consistency. RecommendationParticipants recommended that theGovernment should consider the relativemerits of setting funding targets locally oraccording to sector shortages to betterreflect local and sectoral needs.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage26

FUNDING19.5. Unit-BasedApproach to FundingThere was strong feeling among anumber of first round intervieweesthat funding should not be based oncompleting a whole qualification butmust allow learners to build up credits.As a result, we asked second roundparticipants if funding up to level 2should be based on units of learning.The response was split, with half of therespondents arguing that this wouldbe in the interests of adult learnersand that unitised funding wouldalso be more attractive to employerswho generally favour smaller units oftraining. The other half highlightedthe complexities of a unitised fundingsystem, with Ruth Silver pointing outthat “it’s already intricate….no twounits are the same depth”. Moreover,it was noted that financial incentiveswould need to be built in to ensurethat individuals were encouraged tocomplete qualifications. Employers mayfavour short units of training but learnersalso need full qualifications in order toprogress. Chris Humphries, DirectorGeneral of City & Guilds, suggested thatincentives can be built into the coursedesign without necessarily being basedaround units of funding.• Some participants suggested basingfunding around units of learningrather than full qualifications as thiswould support adult learner needsand would be more attractive toemployers who generally favoursmaller units of learning. Theresponse was split, with othersemphasising the difficulties ofimplementing a unitised fundingsystem given the disparity in cost oflearning units. RecommendationParticipants recommended that theGovernment should consider basingfunding around units of training ratherthan full qualifications.19.6. Non-Work-RelatedLearningWhen asked about the recent publicfunding cuts in non-work-relatedlearning for adults, participants gavedivergent views. While most agreed thatGovernment needed to prioritise publicspending and that those individuals whocould afford to pay for non-work-relatedlearning should, there was disagreementas to the logic behind cutbacks in thisarea and their impact on participationrates among adult learners. In the contextof these differing interpretations, GordonMarsden MP described this policy area asfull of “smoke and mirrors”.19.6.1. Course ClosuresParticipants confirmed that adultlearning courses are being closed dueto the reduction of public funding fornon-priority learning. According toProfessor Thorne, Vice-Chancellor ofAnglia Ruskin University, in some casesthis includes adult numeracy, literacyand IT courses: “I’m on the board ofa local college and we’ve had to closedown programmes for adults becausewe can’t get the money from the LSCbecause they’re funding their priority.”Jaine Clarke stressed that the impact offunding priorities has been varied andpart of the difficulty has been in howinstitutions have “handled the transitionfrom Government-funded provisionto operating on a more commercialbasis”. Stephen Hillier, Director of theSkills Group at the Department forEducation and Skills, indicated thatsome colleges are “missing goldenopportunities to sell short coursesfunded 100% by employers. Instead ofcutting these classes because they don’tget money from the LSC, they shouldbe testing the market”.“The mindset of the college has tochange,” Hillier added, and for somecolleges, the transition has beensuccessful. It was pointed out that anumber of colleges do market theircourses effectively and have developedeffective business development units.However, Clare Morley from theAssociation of Accounting Technicianssuggested that some “colleges mightneed training to help them acquirea more business-like, commercial,customer-focused outlook”. RecommendationParticipants recommended that areview should be undertaken of how FEinstitutions have handled the transitionfrom publicly-funded to commerciallybasednon-work-related courses.19.6.2. GovernmentPrioritiesParticipants unanimously agreed thatthose who could afford to pay fornon-work-related learning should andsupported prioritising public funds forcourses directly linked to improvingemployment prospects for vulnerablegroups. Speaking about her communityin Lewisham, Ruth Silver commentedthat whilst it was right for state facilitiesto be available for non-work-relatedlearning (i.e. school buildings andlibraries), public money should beprioritised for learning that leads directlyto employment and helps change theircircumstance: “When it comes topublic funding, because my communityis so poor, I want to help them get on:this kind of education while wonderfuldoes not directly do it”.There was disagreement about whatexactly constituted ‘non-work-relatedlearning’. Will Clark, PartnershipDevelopment Manager at Nord AngliaLifetime Development expressed theview of a number of interviewees whenhe commented that cutting funds fornon-work-related adult learning was amistake because “you are taking awaythe ladder which often leads ontoother forms of learning”. ProfessorThorne argued that whilst appreciatingthe Government’s dilemma, there does“need to be a loose definition of ‘workrelated’”.Professor Unwin added:“I think one of the problems forthe Government is that a lot ofpolicymakers have quite an oldfashionedview of adult non-work-ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage27

FUNDINGrelated learning – they see it asa middle-class thing – this is anoutdated view. We need a muchbetter understanding of who is takingpart and what the progression is fromthese programmes, because a lot ofpeople do use them as a platform tochange careers.”Once gleaned, this information wouldgive a clearer picture of the impact offunding changes on adultparticipation rates.More specifically, some participantsfelt that cutbacks had impacted onpersonal and community learning.Although the Personal CommunityDevelopment Learning Fund (PCDLF)has been safeguarded at £210 million,Andrew Harrop, Head of Policy at AgeConcern, argued that: “In the past arange of adult learning courses werealso financed through mainstream FEfunding. Now that mainstream fundinghas been redirected towards prioritylearning, the overall budget for nonvocationaladult learning has beenreduced.” Harrop thus suggested thatthe exercise determining which coursesare covered by the PCDL should bereviewed to take into account cuts toequivalent provision in the FE sector.• It was agreed that adults who couldafford to pay for non-work-relatedlearning should and that learningleading to employment was a priority.However, participants were concernedthat funding cuts to non-work-relatedlearning may have unintentionallyaffected provision for vulnerableand hard-to-reach groups for whomaccess to non-work-related learningoften provides the vital first step intovocational or formal education. RecommendationParticipants recommended that afull assessment be undertaken of theimpact of the new funding regimeon the participation of adult learners,including progression rates and areview of the funding regime’s impacton the PCDL.19.6.3. Lifelong Learning:A Cross-DepartmentalApproachLinked to calls for a looser definition of‘non-work-related learning’, ProfessorEwart Keep, Deputy Director of SKOPE,also highlighted the broader socialbenefits of non-work-related learning:“The benefits of adult learning willshow elsewhere in parenting, hobbiesand communities. We need a setof objectives which value lifelonglearning.” A number of respondentsargued for more joined-up co-operationbetween Government departmentsand further exploration of the ‘invest tosave’ argument. 6 Most pertinently, thehealth benefits to older learners werecited as an area in which Governmentcould work more closely with healthand social services in providing apackage of care for the elderly whichincluded provision for learning. AndrewHarrop suggested that funding forlearning in retirement should form partof the Link-Age Plus Pilots, which aimto promote inclusion and well-being:“This is a debate that needs to be dealtwith head-on, a cross-department dealneeds to be brokered.” RecommendationParticipants argued that the widerbenefits of learning such as parenting,community cohesion and civicregeneration, should be recognisedmore clearly in Government objectives. RecommendationParticipants emphasised the ‘invest tosave’ case for learning in retirement asa preventative service with implicationsfor health and social exclusion.Participants urged for more crossdepartmentaldialogue on this issueand the inclusion of skills in currenthealthcare pilots to explore further the‘invest to save’ case.19.6.4. EmployeeDevelopment ProgrammesEmployee Development Programmeswere flagged up by a number ofparticipants as a good example ofhow learners and employers canwork together on employee personaldevelopment. In particular the FordEDAP (Employee Development andAssistance Programme) scheme wasrepeatedly mentioned, with AlastairThomson describing it as a modelwhich gave everyone involved “asense of engagement, leadershipand ownership of their learning”. 7Participants were in favour of revisitingemployer development programmes,perhaps exploring ways to encouragemore companies to set up theirown schemes. RecommendationParticipants recommended revisitingand expanding employee developmentprogrammes as a way of securingemployer investment in employeepersonal development.19.7. Funding for AdultApprenticeshipsCriticisms emerged from the interviewsabout the limited public funding forapprenticeships for adults. RobertArmitage, General Manager of Trainingand Director at NECTA, highlighted the6 The ‘invest to save’ principle presents the economic case for investing in learning as a preventative service where money spent on learningoffsets the need for acute health and social care services, particularly later in life.7 The Ford EDAP scheme (begun in 1987) is a collective agreement between the company and trade unions and provides individualemployee entitlement to funding for work-related or non-work-related training as part of pay negotiations. The Ford EDAP allowance is setat £200 per year for each employee and covers a range of activities including basic skills, vocational skills, academic qualifications up tograduate level, and a range of personal interest and health and fitness courses.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage28

FUNDINGsignificant demand for apprenticeshipsfor adults in the electrical industry:“We get a massive number of enquiriesfrom people aged 21 and over whohave left school, had a few yearsout, experienced life and are nowsettling down and want to get intothe electrical industry.” However, theproblem, as Armitage described, is thatthere are not enough employers willingto take them on:“Around South Yorkshire thereare four main colleges and all theelectrical training courses are jampackedwith enthusiastic learnerswho in some cases started queuingin the early hours to guarantee theirplaces. The problem is these peoplecome out of college with no practicalsite experience and because a lotof companies are apathetic aboutproviding work experience they canfall by the wayside.”Stephen Hillier reiterated the importanceof generating employer-demand foradult apprenticeships as “employers tendto be more alive to the young personapprenticeships”. Mike Barbier, AssistantDirector, Enterprise and BusinessEnvironment, at the Small BusinessService, felt that small businesses wouldengage more with adult apprenticeshipsif the public money were there: “Adultapprenticeship funding is very low - it’snot that there aren’t enough employerswiling to offer places, it’s a funding issuefirst of all.”Mark Corney strongly advocated theexpansion of adult apprenticeships:“Since there is open access to HE, soshould there be open access to adultapprenticeships.” Corney suggested thatcosts could partly be met by financialmechanisms such as income contingentloans for adults, as opposed to CareerDevelopment Loans, and partly by theinvestment of more public money:“Government have started to make apitch for adult apprenticeships and yet19-plus adult apprenticeships have abudget of £230 million, compared tohigher education’s £10 billion. I wouldlike to see the expansion of publiclyfunded adult apprenticeships.”Tony Moloney also described agreater role that Government couldplay in generating apprentices in theengineering sector and argued for “aform of formalised apprenticeshipsthrough a conglomerate of UKacademies / colleges”. He arguedthat: “We need to go back and buildinfrastructure to offer courses and createthe level of interest to meet demand– create what I call a ‘baseline talentpool’ of generic engineers. This is not aGovernment problem, it’s a UK problembut Government has critical role tofacilitate getting the right outcome.”John Landeryou also stressed the needfor graduate apprenticeships: “Manypeople do non-vocational degrees ordegrees that don’t align with their firstjob – therefore there needs to be astructure that enables them to attune tothe industry that they will be entering.”When asked if more publicmoney should be invested in adultapprenticeships, however, someparticipants were unconvinced thatcurrent apprenticeships were the rightmodel for adults. There was someconsensus that further investment inapprenticeships for adults should bepreceded by a ‘sharper debate’ abouttheir purpose and outcomes. ProfessorUnwin explained that apprenticeshipsshould constitute a “substantiveprogramme of training and maturation”and yet, as Jaine Clarke noted, “thosewho have been in employment for asignificant time may have developedsome of the necessary skills already”.Thus, as Sara Caplan, Assistant Director,Education and Skills Advisory Servicesat KPMG, observed: “I am not surewe have enough evidence yet of theeffectiveness of these apprenticeships.”Professor Keep was even less convinced,and argued that apprenticeshipsneeded to be brought up to scratchwith international counterparts beforeany expansion could take place. Keepdescribed English apprenticeships inthe following terms: “Level 2 is toolow, they lack an element of generaleducation, often contain no significantoff-the-job learning and have weakassessment systems.” Participants alsopointed out the need to understand howapprenticeships for adults would fit intoother learning frameworks such as Trainto Gain and the level 2 entitlement.The issue of credibility of apprenticeshipsfor adults also emerged as a concern.Gordon Marsden MP argued: “Thereis need for greater contribution fromemployers but employers need to beconvinced they’re getting value formoney.” John Hayes MP explained: “It isnot so simple as Government paying formore, it is about getting apprenticeshipsright, ensuring they provide value formoney, ensuring employers believe inthem and using that as a trigger for moreinvestment.” Equally, Alastair Thomsonwas also concerned that if adults wereto invest time and money in undertakingan apprenticeship, they must “notover-promise”.• There was general support for greaterinvestment in apprenticeships foradults as a model for adults to upskillor change career, but greaterinvestment must be precededby a ‘sharper debate’ about thestructure, purpose and outcomes ofapprenticeships for adults.• Following such a debate, participantsthought that there may be a casefor the introduction of financialmechanisms to enable adults to fundthemselves through apprenticeships,particularly in the case of careerchange (see 25.7). RecommendationParticipants recommended that thecurrent model of apprenticeships berevisited for adults and revised toensure that it delivers appropriatetraining for adults and meets employerneeds. Following this, Governmentshould consider increasing publicinvestment in apprenticeships for adultsand establishing mechanisms to allowlearners to fund themselves throughapprenticeship programmes.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage29

FUNDING19.8. IncomeContingent LoansThe introduction of low interest incomecontingent loans for adult learnersfor higher level vocational educationwas suggested during the interviewprocess. These loans would operatein the same way as student loans inhigher education. This proved a popularsuggestion, with the majority supportingthe idea in principle. Support wasqualified, however, by cognisance ofthe risks involved in stepping out ofemployment into full-time vocationaleducation, particularly given that adultsoften have financial dependents. Thisputs a high premium on returns oninvestment for adults undertaking higherlevel vocational qualifications. ProfessorUnwin stated:“Loans in HE work because theuniversities are essentially well-regulatedinstitutions and the qualification theyprovide has currency. If we’re askingadults to invest in their own vocationallearning then we need to make sure theproducts on offer are worth the money.”Jaine Clarke echoed this view: “It isnot as simple as just creating a loansystem; we would need to look at thewhole support mechanism and the wayit would be delivered.” This suggeststhat income contingent loans may onlybe suitable for vocational education athigh levels where the quality of trainingand returns on investment are assured.Mark Corney argued that incomecontingent loans should be availablefor adults seeking their first full level3 qualifications, either an AdvancedApprenticeship or a vocational level3 programme.Career Development Loans (CDLs) werealso flagged up in this context. StephenHillier described CDLs as an “unsungachievement of the system” adding thatthere was potential for their expansion.Hillier pointed out that CDLs are acost effective option for Governmentas they involve commercial banks in aconstructive partnership. However, asSimone Delorenzi, Research Fellow at theInstitute for Public Policy Research(ippr), pointed out, CDLs have not hada high take-up.• The majority of participants werein favour of introducing some formof low interest income contingentloan for adults undertaking higherlevel vocational courses. This wouldenable learners to pay for theirlearning as well as moving towardsparity with higher education. Thiswould need to be preceded byresearch into returns on investmentin high level vocational education,including assurance of the quality ofthe training undertaken. RecommendationFollowing assurance that higher levelvocational education would grantworthwhile returns on investment,participants recommended thedevelopment of some form of lowinterest income contingent loanfor adults.19.9. Learner AccountsSupport for Government’s proposalsto reintroduce Learner Accounts(as outlined in the March 2006 FEWhite Paper) was strong during theinterview process as participantsendorsed, in Andy Powell’s words,“funding following the individual”.Learner Accounts were applauded asa mechanism to encourage individualsto take control of their learning andcultivate lifelong learning as creditscan be stored and used at any pointin an individual’s life. The flexibilityof Learner Accounts was regarded asparticularly relevant for adult learnersbecause, as Alastair Thomson pointedout “adults do not progress in astraightforward manner”.Participants particularly supportedLearner Accounts as an instrument formanaging funding streams from theindividual, state and employer. ChrisHumphries envisaged three dimensionsto the accounts:• learning credits from the state, eitherin direct funds or in entitlement tospecified hours of training;• the ability for learners to save atadvantageous rates, “like a tax-freeISA for education”; and• opportunities for learners toborrow at low/no interest rates withrepayments related tosalary growth.A number of participants were alsointerested in the way that accountscould provide a simple way foremployers to contribute towards theiremployees’ training costs. Sara Caplanfurther noted that accounts couldpresent an opportunity to introduce taxrelief for companies on money paidinto their employees’ accounts. Payinginto an account would ensure thatmoney was spent on training andcould even be used as a negotiatingtool with regard to pensions orredundancy packages.Participants did stress the importanceof learning from the previous failuresin Individual Learner Accountsand emphasised the importance ofrigorous piloting prior to roll-out.The importance of keeping accountssimple and accessible to learnerswas emphasised during the interviewprocess as was the need for a robustpublicity campaign.• There was a lot of support forGovernment proposals to reintroduceLearner Accounts.Elements identified as necessary tothe accounts were: the capacity forstate contribution; ability for learnersto save advantageously; opportunitiesfor learners to borrow; and provisionfor employers to contribute totheir employees’ training costs.The importance of simplicity and asustained publicity campaign wasstressed in order for the accounts tobe effective and attractive.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage30

LEARNING AT WORKLEARNING ATWORK20. Employer EngagementRespondents felt that more organisations need to be involved in work-basedlearning if the UK is genuinely to up-skill its workforce. Ruth Silver expressedthe views of many with her analysis that the “scaffolding” was in place and itwas now time for employers to “step up” to the challenge. Gill Palfrey, Learningand Development Manager at B&Q noted that this would entail a fairly largescale cultural shift among employers, requiring “a culture of sharing and learningtogether”. Barry Sheerman MP stressed the role of managers in this:“Managers should be aware of the skills levels of their employees and where tosource the training.”20.1. StatutoryMeasuresThere was some support during theinterview process for the introductionof legislation in the workplace toensure that employers train theirworkforce. Stephen Williams MP,Liberal Democrat Spokespersonfor Further and Higher Education,expressed the view that: “There shouldbe a minimum expectation that eachemployee has a certain level of trainingover the course of a year. That is thenorm in professions.” Tricia Hartleystated that: “Since there are someemployers who will simply not do morethan the statutory minimum, we shouldlook at increasing the minimum.”European models of minimumstandards were drawn upon during thisstage of the interview process, mainlythe French model of 120 hours of paidtime for training for each worker over 4years. Iain Murray, Senior Policy Officerat the TUC, argued for a statutoryright to paid time off for training atlevel 2 arguing that “this would actas a lever to make employers usethe state subsidised benefits that areout there in Train to Gain”. Secondly,Murray argued for collective bargainingrights on skills in the workplace,contending that “Government shouldspecify training as part of the collectivebargaining system”. Alternatively,Alastair Thomson suggested introducinga “regulatory framework” in theworkplace, starting, for example, with a“statutory requirement for a workplacetraining committee” then laterintroducing entitlement, similar to theGerman social partnership model.The majority of participants, however,were not in favour of Governmentregulation. On a practical level, thedifficulties of implementing legislativepolicy in this area were highlighted byProfessor Thorne: “The employmentcontext is so complicated that to addmore on top of that is likely to havea negative impact.” Moreover, mostparticipants felt that legislation wasthe wrong approach and Governmentshould enable and facilitate rather thanprescribe. ‘Carrots’ rather than ‘sticks’were frequently cited as the preferredmethod of engaging employers in workbasedtraining, reflecting Andy Powell’sview that measures need to be takento stimulate demand by pointing outthe benefits to the bottom line so thatemployers invest in training as part oftheir business strategy. Professor Unwinargued that any mandatory measuresuch as introducing a minimum amountof training per year was “old-fashioned”and “would not necessarily improvequality”. A number of respondentsagreed with Gordon Marsden MP thatprescription would encourage employersto evade training or re-badge existingactivities, rather than instituting genuinetraining. Suggestions for intensifying‘softer’ methods of compliance weresupported, such as encouraging‘learning at work’ days in the CorporateSocial Responsibility agenda for largercompanies and, in particular, makingworkplace training a condition of theInvestors in People Standard.• The majority of participants werenot in favour of introducing statutoryworkplace training standards (such asminimum requirements for trainingper employee per year or collectivebargaining rights on training). Therewas, however, some support forraising minimum standards through‘soft compliance’ such as workplacetraining as a condition ofInvestors in People. RecommendationParticipants recommended makingtraining a condition of the Investors inPeople Standard.21. Continued Professional Development in the WorkplaceThere was a residual feeling amonga number of participants that notonly was work-based learninginsufficiently widespread, but that it isnot sufficiently valued or understood.John Hayes MP stated: “If we don’tencourage a learning culture in theworkplace and introduce mechanismsallowing people to achieve thoseaspirations in a way convenient forthem then we won’t address the biggerissues in the skills gap.”Hilary Chadwick, Director of theNational Employer Service at theLSC, also observed that “more shouldbe done to integrate continuousdevelopment and progression withinthe workplace”.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage31

LEARNING AT WORK21.1. Research intoVocational EducationGraham Hoyle stressed that a lackof understanding and appreciationof continued learning at work wasparticularly prevalent within academiccircles. A number of stakeholdersreflected on the paucity of researchinto vocational and practical educationand the proposed formation of City& Guilds’ new vocational educationresearch institute was welcomed inthis respect. Adrian Anderson, ActingChief Executive, UVAC, argued: “Weneed more work-based learning athigher levels. We need to considerhow higher level learning is recognisedin the workplace and get away fromthe notion that the classroom is thecentre of learning.” In order to raisethe debate and awareness of theimportance of learning at work in adulteducation and wider academic circles,it was suggested that more researchneeded to be undertaken in this area.• Participants commented on thepaucity of research into work-basedlearning, including guidelines onbest practice in formal and informallearning. More research would helpto raise the debate and awarenessof work-based learning within adulteducation more generally. RecommendationParticipants recommended moreresearch (and more investment inresearch) on vocational education.21.2. Strengthening theLearner VoiceSome participants felt that the learnervoice needed to be strengthened inwork-based learning if a culture oflifelong learning is to be achieved.Christine Vincent, then Director ofLearning and Teaching at BECTA,argued that part of this was establishing“a system of entitlement of learning aspart of an ongoing theme of lifelongplanning”. Vincent added that tofoster a real culture of adult lifelonglearning in the UK “we must involvecitizens and the learner voice”.Simone Delorenzi queried the currentemphasis on an employer-led system,stressing that the needs of the learnermust be paramount: “We need tofind a proper way to support learnersand give them the right informationso they can make informed choices.”Delorenzi further argued that thedifficulty of accurately predicting skillsneeds suggested that there may bemore value in learners choosing whichskills to develop. However, this was nota popular view and some respondentsalso warned against presupposing thatlearners know what they want. AlastairThomson made the distinction that“what is important is giving people avoice in how the learning experienceis constructed rather than just thecurriculum content”.21.3. ULRs andLearning ChampionsParticipants were very positiveabout the role of Union LearningRepresentatives in contributing toimproved workplace learning. TrishLavelle, Head of Education and Trainingat the Communication Workers Union(CWU), described them as “deeplyeffective”. Concerns were raised aboutnon-unionised workers, particularly inthe private sector. In response to this,Liz Smith highlighted that Unionlearn iscurrently looking at models of ‘mobilelearning representatives’ which canreach smaller work places throughconurbations, city centres and supplychains, for example in the retail sector.• Participants were very positiveabout the work of Union LearningRepresentatives (ULRs) and felt thatmuch best practice in workplacetraining was achieved through ULRs.21.4. Skills Passports:Formal and InformalLearningThere were a number of advocatesfor the greater use and developmentof sectoral skills passports for adults,which would recognise and record alltypes of training. Mike Barbier (SBS)strongly promoted skills passports:“Passports record experiences,skills and belong to the employeeto take wherever they go.” Barbierpointed out that recording skills inthis way encourages both learnersand companies to assess their skilllevels and thus identify skills gaps andareas for development. The facility toaccumulate and store skills throughoutan individual’s career might alsohelp cultivate a culture of lifelong,personalised learning as opposedto a purely job-centred focus. BrianStevens summarised: “We need torecognise that everyone has their ownskills profile. And you need to do thisthrough reflective learning hence theneed again for a portfolio – this is thepersonalisation of learning.”A number of passports are beingdeveloped within certain Sector SkillsCouncils: E-Skills UK has developedan IT skills passport and SEMTA arecurrently doing so in the science,engineering and manufacturingtechnologies industry. Mike Barbierproposed that an organisation suchas the DfES, Business Link or the LSCshould devise a “common template”as this would reduce the duplication ofwork between companies and sectors,thus helping businesses, especially smallfirms, to develop their own more easily.The E-Skills passport was highlighted ashaving the potential to be tailored quiteeasily to accommodate competenciesin other industries.Jaine Clarke noted that skills passportsare particularly useful in industriesin which employees move around alot and where there are no commonstandards. In the hospitality sector, forexample, employees often repeat basictraining such as health and safety andfood hygiene when they change jobs.Developing sectoral standards couldthus tangibly reduce duplication oftraining. Jaine Clarke commented:“If you get employers to recogniseADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage32

WIDENING PARTICIPATIONand value what each other is doing, itwould save the sector so much moneyas a whole and free up money currentlyspent on repeating basic training toinvest in developing higher level skillsthat have an impact on the employer’sperformance and productivity.”The majority of respondents were inprinciple in favour of developing someform of national skills passport templatethat was adaptable to different needs,although reservations emerged ona number of aspects. The conceptof streamlining formal and informalvocational learning into a nationalframework was popular but somerespondents remained unconvincedthat a skills passport could hold weightwith employers. Firstly, to ensure thecredibility of skills passports, it wouldbe necessary for some kind of signoffsystem or agreement of commonstandards to be formed betweenemployers. It was suggested thatthis could be led by the Sector SkillsCouncils. Secondly, there were fearsthat such a process would becomeoverly bureaucratic and expensive andparticipants warned against repeatingthe onerous bureaucracy involved inthe National Record of Achievement.Thirdly, it was clear that a dialoguewas needed to identify which aspectsof the passports would be determinedby Government and which would bedevolved to the sectors as well as howmuch content would need accrediting.Professor Thorne expressed the view ofmany that a skills passport programmewould require significant “researchand consultation”.• A number of participants wereimpressed with the developmentof skills passports in certain sectors(such as IT and science, engineeringand manufacturing technologies)which recognise or accredit informalas well as formal learning andencourage lifelong and personalisedlearning. One participant suggestedthe need for a national skillspassport template which could beeasily tailored within sectors forrelevant competencies.• Proposals to extend skills passportswere met with a mixed response.It was generally felt that furtherresearch would be needed toascertain how skills passports couldmaintain credibility in the eyes ofemployers, which aspects could beincluded in a national template andwhether the process of developingpassports might be too expensive. RecommendationParticipants recommended thatmore research and consultation intothe impact and implementation ofsectoral skills passports be undertaken.Depending on the outcomes, anational template adaptable to eachsector could be developed.WIDENINGPARTICIPATION22. A Joined-Up ApproachParticipants argued that the widening participation agenda in vocational educationneeds to be flagged up for adults. Emphasis was placed on the need for a morejoined-up approach to welfare to work and skills policy and for more outreachto adults disengaged from formal education. In light of demographic changes it isincreasingly important that those out of work for a long time have the skills to reenterthe labour market. Tricia Hartley commented that the recent Welfare to WorkGreen Paper should have addressed skills, arguing that “people who have been outof work for a long time need to go through a gradual process of introducing them tothe job market and getting support to develop all the skills they need for sustainableemployment”. 8 There was a general sense among participants that the DfES andthe DWP need to work more closely to produce a welfare package that includesboth welfare benefits and skills. The incongruence between DWP and DfES targetswas noted as a barrier between departmental cooperation since DWP targets focuson getting people into jobs, whereas DfES targets focus on achieving qualifications.The New Deal for Skills package was welcomed during the consultation process,however it was noted that referrals to the scheme have not been a high priorityamong Jobcentre Plus advisers (further evidence of a lack of collaboration betweendepartments). This tension needs to be resolved if adults are going to receive themost effective support to return to the workforce. RecommendationParticipants recommended that the DfES and the DWP work more closely todevelop and implement a successful welfare package that includes both benefitsand skills support. This was felt to be of particular relevance to welfare andincapacity benefit packages for older people.8 The DWP Green Paper A new deal for welfare: Empowering people to work was launched in January 2006.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage33

WIDENING PARTICIPATION23. Skills for Sustainable EmploymentDrawing on recent TUC research,Tricia Hartley pointed out that if anindividual has been unemployed forover 6 months, the chances of themremaining in their first job after 6months is extremely small. The needto equip this group with the skills tomaintain employment, such as ‘softskills’ associated with punctuality,presentation and time management,was a recurrent theme amongparticipants. Ms Hartley also pointedout that “the TUC is working tosupport Unions need to be pro-activein supporting starters in the workplace,particularly those who might strugglewith the demands, and to make surethat they are getting access to training”.The role of work experience wasflagged up as key in this context. LizRhodes from the National Council forWork Experience held the view that:“For adults trying to get back intothe labour market, a period of workexperience ought to be provided andthey ought to be paid something.It helps people to regain confidenceand self-esteem, implants realisticexpectations and eases them backinto work with support. At themoment systems don’t allow forthis and job-seekers allowance istoo bureaucratic.”• Participants stressed the importanceof developing skills for sustainableemployment, including soft skillswhich can be gained through workexperience placements. It was notedthat unions could play a greater rolein this respect. RecommendationParticipants recommended thatGovernment develop more coherentobjectives for skills for sustainableemployment, including improving softskills through work placements.24. Attracting Older Learners24.1. Into TrainingThe relatively low participation of olderpeople (aged 50 and above) in trainingwas singled out as an area for significantconcern. A number of participantssuggested that current mechanismsfor learners in the second half of theircareer are insufficient since level 2qualifications decay over time. AndrewHarrop argued that “the Governmentis failing the over 40s on its ownagenda” because “getting a level 2is difficult for those over 40…partlybecause of qualification design whichdoes not sufficiently take into accountexperience in the world of work”.Judith Norrington further pointed outthat older workers are more likely tostay in the same job for longer thansomeone in their 20s, so “training olderworkers is worth it”.Alastair Thomson also made the casefor public investment in training olderworkers, arguing that “whilst it may notalways be a rational priority for privateinterest to train someone approaching60, it is in the public interest as itkeeps those people in the labourforce contributing to productivityrather than drawing benefits”. JudithNorrington suggested the need forsome benchmark or baseline datarecommending how often olderworkers may need to up-skill or re-skill.Tim Boswell MP highlighted a thirdissue regarding older learners - theneed to revise current pedagogy and“how you teach older people”. Itwas recognised that older workerslearn in different ways, often placingmore value on one-to-one tuition, forexample, than exams or qualifications.Andrew Harrop emphasised the needto “age-proof” the whole process oftraining including qualification design,delivery and assessment.• Participants argued that currentmechanisms for learners over 50 areinsufficient, as level 2 qualificationsdecay over time, they do notalways take into account prior workexperience, and teacher training forolder learners needs to be revised. RecommendationParticipants urged that existingprovision for training for older adultsbe fully “age-proofed” includingqualification design and pedagogy. RecommendationParticipants urged that Governmentrecognise the public benefits ofinvesting in workforce training forolder people. RecommendationParticipants proposed the developmentof some form of benchmark datarecommending how often olderworkers may need to up-skill.24.2. Into WorkSimilar concerns were raised aboutjoining up welfare policy and skillspolicy for the over 50s, recognisingthat older people have different needswhen re-entering the labour market.Andrew Harrop of Age Concernhighlighted that “there are almost 1million older people who want to be inwork and over half of these have lessthan level 2 skills so there is a big skillsdimension as to why people are not inwork”. Tricia Hartley pointed out that“in the North West we have peoplewith a high level of manufacturing skillwho could be retrained quite easilywithout too much further learning.If you look at how much we arespending on unemployment benefitit doesn’t make sense not to retrainthese people”. It was thus suggestedthat the New Deal for Skills 50+ andincapacity benefit reforms should bepiloted as a common package.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage34

WIDENING PARTICIPATIONGordon Marsden MP also emphasisedthe need to look more strategically atolder adult learners and “distinguishbetween funding and mechanisms toreach people”. Marsden suggesteddeveloping more imaginative ways inthe media to reach older people whilstalso rewarding companies that employolder workers.• Participants noted that older adultsseeking work have different needswhen re-entering the labour marketand these should be taken intoaccount when formulating andjoining up welfare and skills policy. RecommendationParticipants recommended that NewDeal 50+ pilots and incapacity benefitreforms be piloted as a single package,recognising the significance of gettingolder people back into work.25. Disengaged Adults and Basic Skills ProvisionTim Boswell MP highlighted thecontinuing need for “active outreachto adults not in work”, pointing outthe importance of maintaining qualityprovision for adult learners belowlevel 2. Respondents were keen thatthe Skills for Life programme not loseits momentum, particularly in light oflevel 2 funding targets (as discussedin section 2.6). Sara Caplan (KPMG)identified the need for continuingsupport for outreach to disengagedadults in areas with a low skills base:“Whereas employers previously hadto take weakly qualified people andoffer them learning opportunities,the immigrant population offer anescape from this. The NEET group(Not in Education, Employment orTraining) may become less engagedand opportunities to be re-engaged areremoved. We need to make sure thatmost of the funding is directed towardsskills that will push us forward in thefuture, but we must not forget peoplewho need to be re-engaged.”Stephen Hillier (DfES) said that, withregard to the Skills for Life programme:“We need to do something a bitdifferent to galvanise demand to meetthe high Leitch ambitions.”• Participants urged that the Skills forLife programme must not lose itsmomentum, particularly in light ofthe impact of migrant workers inareas with a low skill base.25.1. Family andCommunity LearningA number of methods of learning wereidentified as effective in encouragingvulnerable groups back into learningand into basic skills. Family learningwas praised as an effective way ofencouraging new learners throughan informal, non-threatening andconvenient location as it often takesplace in schools, adult learning centres,family learning centres, leisure centresand libraries. Professor Thorne describeda new lifelong learning centre currentlyunder construction in partnershipwith the University of East London,the London Borough of Barking andDagenham and Barking College: “Thekey is that it is in the same building asthe borough library in the town centre,under one roof….this minimises theperceived threat. It is also a nice designand it will be leading the regeneration ofBarking town centre as well, so everyonewins, and there is a broad communitybenefit.” Trish Lavelle (CWU) alsoagreed that a familiar environment“is most important in attracting andretaining adult learners”.Although participants felt that employersare not primarily responsible for trainingtheir staff in basic skills (as this shouldhave been achieved prior to leavingcompulsory education), a number ofinnovative suggestions were madethat could encourage employers totake a role in improving the basicskills of their workforce and the localcommunity. One participant describedthe recruitment process for Arriva busesin which applicants are required to takea basic skills test at the local learningcentre. If the applicant fails, they areallowed to access the learning centrefree of charge and keep re-taking thetest until they pass. This was cited asa good example of a local employersupporting a basic standard of skill whilstalso engaging with the local community.• Family learning was highlightedas an effective way to reach newlearners through non-threateningand convenient locations includingschools, local libraries and leisurecentres. Participants encouraged theexpansion and promotion of thesetypes of learning, especially ‘familylearning days’.• Participants called for innovativeways for employers to supportbasic skills provision in their localcommunity. The recruitment processwas identified as an effective way ofdoing this.25.2. ESOL ProvisionDuring the roundtable discussion,debate focused on the recentGovernment policy decision to startcharging for ESOL courses for those noton benefits. Phil Hope MP, the Ministerfor Skills, explained that the Skills forLife Strategy aims to help create asociety where adults have the literacy,language or numeracy skills they needto find and keep work and participatefully in society. Hope stated that asemployers are also beneficiaries, forexample from improved productivity,it is only fair to expect employers andsome individuals in work to contributeto the cost of ESOL training. Even withthese changes, Phil Hope emphasised,the majority of those currently receivingESOL training free of charge willcontinue to do so.Andy Wilson, Principal of WestminsterKingsway College, was concernedthat this might penalise the mostADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage35

QUALIFICATIONSvulnerable groups of foreign workers.For these adults working in low-skilledemployment with employers reluctantto train, Wilson asked “where is theemployer going to get his incentive?” Inresponse to this it was pointed out thatnew work-related ESOL courses arebeing developed which are shorter andless expensive for employers and whichembed language training in other typesof training, such as health and safety.Nevertheless, Liz Smith outlined herconcern that within an employer-ledvoluntary framework, “Governmentmust look hard at whether costs arefalling on the individuals that cannotafford it”. Alastair Thomson alsoexpressed disappointment at the lackof dialogue concerning immigrantworkers in the Leitch Review of Skills:“It is short-sighted to leave this tomarket forces. This is something thatGovernment needs to think about.” RecommendationParticipants recommended that theimpact of ESOL funding cutbacks beclosely monitored, particularly in areaswith a low skills base.QUALIFICATIONS26. Qualification and Curriculum ReformA recurrent theme throughout the interviews was the need to reform vocationalqualifications, which were regarded as a barrier to uptake by both adult learnersand employers. The present landscape of vocational qualifications was describedas complex, inflexible, not user-friendly and even “impenetrable” according toProfessor Thorne. Respondents felt that the unitisation of qualifications was “longoverdue” and there was a lot of support for the development of the Qualificationand Credit Framework (QCF). Concerns were also raised about the compatibility ofqualifications with workplace needs and the lack of clear progression routes withinvocational education. In addition, a tension emerged between the different needsof up-skilling in the workplace and accrediting learners with formal qualifications.26.1. Developing theQualification and CreditFrameworkDevelopment of the unit-basedQualification and Credit Frameworkwas regarded as a positive move by themajority of participants. It is believed tohave the potential to reform vocationalqualifications in a much needed waythat will benefit adult learners.There was, however, a definite senseof frustration among participants at theslow progress of the QCF and the lackof clarity regarding its status.• Participants were frustrated at theslow development of the QCF. RecommendationParticipants recommended that betteraccess to clear information on theQCF be made available.26.1.1. A RationalFrameworkParticipants particularly welcomed theopportunity to rationalise vocationalqualifications into a consistent nationalframework. According to GordonMarsden MP this is “the single thingthat will make qualifications attractive toadults and employers”. Communicationwas identified as a key issue here if theFramework was to be a success. Giventhe perceived lack of clarity aroundcurrent vocational qualifications, itwas stressed that any reform must beaccompanied by good advice andguidance and a publicity campaign tospread understanding. Peter Huntingtonof GoSkills also commented that the QCFwas not employer-driven enough. It wasequally noted that funding needed tobe reviewed such that it supported theQCF. This could, for example, involvefunding based on units rather thanwhole qualifications with employers andindividuals contributing at different levels. RecommendationParticipants recommended thatappropriate research and resources mustbe devoted to explaining and promotingthe QCF in order for it to be a success.26.1.2. Unit-BasedQualificationsA unit-based framework that isunderpinned by a system of creditaccumulation and transfer was feltto cater well for adult learners. Itwould enable individuals to top upqualifications and accumulate modulesincrementally whilst also offeringflexibility for older learners with family orwork commitments. ‘Bite-size’ learningwas regarded both as more accessiblefor those unused to formal learning andalso compatible with fostering a cultureof personalised learning, as emphasisedby Jaine Clarke. Participants stressed that,for adult learners in particular, a unitisedframework must accredit prior learning.Steve Besley, Head of Policy at Edexcel,also urged simplicity and cognisance ofthe learners’ needs with the warningthat: “We have to be careful not tomake these changes at the expense ofwhat the learner wants.”• The unitisation of qualificationswas felt to be long overdueand participants welcomed therationalisation of qualifications into anational framework.• Participants were particularlyconcerned that the QCF shouldinclude prior accreditation ofexperience and learning.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage36

QUALIFICATIONS26.1.3. Progression Pathwaysin the FrameworkThe issue of progression to highereducation within the QCF wasfrequently highlighted. AdrianAnderson (UVAC) stressed the lackof progression to higher education:“The principles of the Framework aregreat but I am concerned about how itrelates to higher education. We needto ensure progression and acceptanceof level 3.” Anderson suggested thatthere could be more input from highereducation in the Qualification andCredit Framework design.Furthermore, Jaine Clarke highlightedthe challenge of facilitating individualsto complete full qualifications withinthe QCF when often “employers maybe interested in 80% of a qualificationbut not the last 20%”. Individuals oftenneed full qualifications in order toprogress either into higher educationor to move around the labour market.Clarke suggested that “there is asignificant piece of work to be doneon thinking about how to makequalifications attractive but at the sametime making it clear that our ambitionis for progression”.Dr John Brennan reiterated this point:“We need to ensure that fundingand support systems meld with thisso that individuals have incentives toaccumulate credits and get afull qualification.”• Participants urged that theimportance of progression pathwaysbe highlighted and enabled in thedesign of the QCF.26.2. VocationalQualifications26.2.1. Employer-LedThe need to make vocationalqualifications more flexible andimprove responsiveness to employerneeds was a recurrent theme from theinterviews. NVQs proved unpopularamong some employers who viewedthem as offering accreditation ratherthan genuine learning. Theseemployers described them as overlybureaucratic and “paperbound”,criticising the gearing of Governmenttargets towards NVQ achievement.Other participants noted that the valueand appropriateness of NVQs variedaccording to sector, with positiveviews being recorded in the socialcare and hairdressing sectors. It wasemphasised throughout the interviewsthat employers and the QCA need towork closely to develop appropriatequalifications for the workplace. In thisrespect, participants welcomed theLeitch Report recommendations whichgave Sector Skills Councils powers toapprove vocational qualifications priorto allowing public funding.There was a slight tension evidentbetween what employers and learnerswant from workplace training withregard to qualifications. A number ofparticipants pointed out that whilelearners want to achieve qualifications,in some instances employers arereluctant to accredit training formally.Iain Murray (TUC) commented:“The statistics show that of the 61%of the workforce trained in the past12 months, but only 12% receivedqualifications at the end.” It wasnoted by Tim Boswell MP that themobility of workers with regard totraining puts a premium on completingfull qualifications. Chris Humphriesemphasised Leitch’s point that 66% ofemployers use qualifications as a firstfilter on jobs and that accreditationfor training increases staff retentionthereby being in employers’ interests.This places an even higher premium onmaking qualifications attractiveto employers.Phil Hope MP argued that theproposed Qualification and CreditFramework will allow individuals andemployers to access smaller chunks oflearning and package them together ina way which best meets their needs,supporting personalised learning,portability of learning and hencelabour market mobility.• Participants welcomed therecommendations in the LeitchReport to allow public funding onlyfor those vocational qualificationswhose content has been approvedby employer-led Sector SkillsCouncils. Participants emphasised theimportance of making qualificationsrelevant to employers in order toencourage workforce accreditation.26.2.2. Soft SkillsVocational qualifications were criticisedby some as being too narrow andthere were calls to develop moretransferable, as well as job-specific,skills. The issue of developing ‘softskills’, such as communication, teamworkingand problem-solving, in theadult workforce was generally regardedas an important issue among thoseinterviewed. It was felt that these skillshad to be integrated into other formsof learning, rather than being taught asdiscrete modules, for fear of patronisingthe learner. John Brennan suggestedthat soft skills could feature more in thecurriculum design. In some cases thismay constitute a discrete qualification,for example Geoff Matthews, Headof the Honda Institute, reported thatHonda are looking at developing anNVQ or apprenticeship in customerservices. Barry Sheerman MP suggestedthat more research be undertaken toascertain what exactly is meant by‘soft skills’ and how they can mosteffectively be cultivated.Opinion was divided as to who hasresponsibility for developing theseskills in the adult workforce. MarionSeguret from the CBI commented thatthese skills need to be in place preemploymentsuggesting that “theremay be a case for more Governmentinvestment in developing these kindsof skills”. Other participants feltthat employers should invest morein soft skills given the value theyplace on them. For example, IainMurray suggested that in call centresthe acquisition of communicationskills were the responsibility of theemployer: “If soft skills are the ethos ofADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage37

QUALIFICATIONSa company then the company shouldtrain in them as well - in a call centrecommunication skills fall within the jobspecification.”• A number of participants felt thatcurrent vocational qualifications aretoo narrow and need to includemore transferable skills such ascommunication, team-working andproblem-solving. RecommendationParticipants recommended that theacquisition of ‘soft skills’ be built into vocational qualifications. This mayrequire more research into how theseskills are best developed.26.2.3. A NationalCurriculum for Skills?Professor Unwin expressed firm viewsabout the current stock of vocationalqualifications: “We need a radical lookat qualification structure to get back tomaking sure that qualifications includeboth practical skill and knowledgein order to help adults improve theirgeneral education as well as their jobspecificskills.” Professor Unwin wenton to add that “bite-size chunks oflearning will not make any difference ifthe content is inadequate”.The balance between practical andacademic was also picked up on byJohn Hayes MP: “One of criticisms ofvocational qualifications has been thatwhat were well intended measureshave become compromised bymaking the vocational qualificationquasi-academic.”Professor Unwin suggested that in orderto tackle these failures in vocationalqualifications “we need some kindof independent commission”. DameRuth Silver shared this sentiment inher advocacy of the developmentof a National Curriculum for Skillswhich should be developed by anindependent commission. Ruth Silverargued that vocational qualificationsin the UK “do not take because theyare not systematically designed butinitiative-designed. Schools, collegesand workplaces do not join up”. This isin contrast to the National Curriculumfor schools which Ruth described as“systematic, beautifully designed, wellpreparedand joined up at each stage”.A National Curriculum on Skills wouldapply to both adults and young peoplethroughout all educational stages.Professor Wolf, however, remainedsceptical of this suggestion: “Training mustfit individuals and be as far removed froma national curriculum as possible.” RecommendationSome participants recommendedthe complete overhaul of vocationalqualifications. This could be donethrough the development of a NationalCurriculum for Skills formulated by anindependent commission.26.3.Teacher Trainingfor Vocational EducationDame Ruth Silver summed up a sharedview among participants with hersuccinct statement: “We need teachertraining for the teaching of practicallearning.” This was undisputedamong those that took part in theinterviews and an area singled outfor future concern. Ruth Silver furtherpointed out that this failure is because“there is no pedagogy underpinningvocational education”. LewishamCollege, sponsored by Edge and incollaboration with other FE colleges, iscurrently running a Perfecting Practiceproject to improve understanding ofthe design and development of theteaching and learning of practicalskills. London South Bank Universityis also developing best practice inthis field but, as yet, there is nonational scheme. As discussed inparagraph 24.1, participants were alsoconcerned at the inadequacy of currentpedagogies for teaching older learners. RecommendationParticipants urged immediate actionwith regard to vocational teachertraining to assure the quality ofteaching in practical learning and itsappropriateness for older learners.27. Awarding Bodies27.1. Greater FreedomIt was suggested by some respondentsthat awarding bodies need greaterfreedom from Government to developmore responsive and innovativequalifications. Professor Alison Wolfstated: “At the moment the bodiesresponsible for vocational qualificationsare extraordinarily lacking in autonomy.Prior movement is needed beforeawarding bodies are free to domuch.” Steve Besley echoed this view:“Qualifications are too mechanistic.Edexcel would like more freedom tobe able to respond more to the marketthan the Government.”Most participants felt that qualificationreform needs to happen collaborativelybetween the QCA, employers andawarding bodies, and that awardingbodies must continue to forge closerelationships with employersand industry. RecommendationParticipants recommended that morefreedom from Government may benecessary in order for awarding bodiesto develop more innovative andresponsive qualifications.27.2. Overcrowdingthe MarketMost participants felt that there iscurrently an over-crowding of awardingADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage38

QUALIFICATIONSbodies which acts as a disincentiveto take-up. Jaine Clarke noted: “Weneed to make it clearer to individualswhich qualifications will make thebiggest difference to them and theemployers that they want to workwith.” Some participants suggestedthat the number of awarding bodiesin operation needed to be reduced orgrouped together in order to reducethe number of qualifications and aidclarity. Lord Dearing stated: “It wouldbe so helpful to employers and to therecognition of qualifications if some ofthese [awarding] bodies could cometogether.” However, Barry SheermanMP remained sceptical of the value ofreducing the number of qualificationsin existence and pointed out that“a lot of sectors want very specificskills training.” Peter Huntingtonfrom GoSkills also pointed out thatthis is a sector specific problemadding that in his field, the transportand passenger industry, if anythingthere are not enough qualifications.Consequently, participants welcomedLeitch’s recommendations for SectorSkills Councils to gather labour marketinformation in their sector, developoccupational standards and clarify themost relevant qualifications.• Although proposed by a number ofparticipants, there were reservationsabout reducing the number ofawarding bodies in operation. Therewas a sense, however, that clearerguidelines need to be availablewhich outline the relative worth ofdifferent vocational qualifications.The expanded remit of Sector SkillsCouncils will help this process.27.3. Marketing andProfile-RaisingJohn Hayes MP described awardingbodies’ “important role in the processof rejuvenating the principle ofvocational education having a worthin and of itself”. Participants werecomplimentary about the work ofawarding bodies in raising the profileof adult learning and vocationaleducation, and “adding to thegeneral noise” (Hugh Milward, thenLSC). The strong presence of someof the major awarding organisationsamong employers was highlighted asparticularly valuable to this end.Thus, it was generally felt that awardingbodies should continue to promotevocational learning for adults throughactivities such as awards ceremonies,competitions and media campaigns.COMMUNICATIONAND IAG28. Reform of IAG Services for AdultsParticipants were overwhelmingly negative when asked about current Information,Advice and Guidance (IAG) services for adults. Brian Stevens described IAGin England as “shameful” since the breakdown of Connexions, highlighting inparticular the lack of a lifelong learning perspective. Christine Vincent did describeLearndirect as “being able to offer real opportunities for adults”, but added that itdid not have the right links with providers and private institutions. Professor MikeThorne also volunteered that “only 6% of people get their careers and educationadvice from the careers service and only 7% from libraries”.A number of respondents felt that theservice would benefit from being madecommercial. Hilary Chadwick fromthe LSC suggested, for example, thatIAG services for adults should be freefor those without a level 2, reflectingcurrent funding policy. Graham Hoyle,Chief Executive of the Association ofLearning Providers, also supporteda partly self-funded IAG service foradults, explaining that within thecontext of tripartite responsibility,individual contributions are appropriatein this area. Pablo Lloyd, Deputy Chiefexecutive of Ufi noted that “there alsoneeds to be a mixture of paid for andsubsidised services with a level playingfield to ensure that paid for services aremarketed consistently”.Greater use of online assessmenttools was a standard suggestion,although some called for moreresearch to examine how adultsrespond to IT-based systems beforesignificant investment is made. WillClark outlined his vision of an all-agesIAG service as “more client-related,with some services commercial andsome automated and an integratedcareers service with national brandingand advertising”. Sara Caplan fromKPMG highlighted IAG services forunemployed adults as particularly weakand in need of a “coherent approach”. RecommendationParticipants recommended that IAG foradults in England be an all-age, partcommercialservice, which incorporatesa lifelong learning perspective andgreater use of IT.29. CommunicationA number of participants sharedMarion Seguret’s view that individualswould respond to links betweenskills and employability and careerprogression. A few participantssuggested the greater use of earningindexes with regard to communicatingthe benefit of learning to adults. HughMilward suggested that this couldbe linked with pensions: “There is aproven link between qualifications andearnings and earnings and pensions,therefore more could made of the linkbetween qualifications and pensionsgiven the current climate.” Conversely,Michael Davis stressed the limits ofADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage39

COMMUNICATION AND IAGan earnings index approach as, forlearning at lower levels, “the rewards oftraining are not easily definable”.Other participants pointed to the roleof case studies, awards ceremonies andlearning champions in communicatingthe benefits of training to adults in theworkplace. Respondents were verypositive about the work being done byUnion Learning Representatives in thisrespect. The role of employers andmanagers was also highlighted as a keypart of raising the profile of learning inthe workplace. Nicola Clark, Directorof Marketing and Communications atIiP, emphasised that: “Managers shouldbe communicating with the peoplethey manage, defining the objectivesof training and why the employee isdoing it so that they gain ownership.”Liz Smith also highlighted the needfor a whole organisation approach toSkills for Life and the importance ofhaving employers and managers aschampions, leading by example andacting as mentors.• Participants highlighted the role ofcase studies, awards ceremonies,learning champions and managersin communicating the benefit oftraining in the workplace.The best practice being undertakenby Union Learning Representativeswas particularly welcomed.30. Marketing and MediaThe difficulty of getting media coverageof vocational learning for adultsfeatured highly in the interviews.Comparisons were frequently drawnbetween the paucity of attentiongiven to further education in themainstream media in contrast tocoverage of schools and universities,which participants suggested wasbecause education correspondentsand journalists tend to reflect theirown experiences. Yet participantshighlighted the importance of sustainedand imaginative media and marketingcampaigns in order to reach potentialadult learners. Ruth Silver argued thatIAG services represented a “traditionaland bureaucratic” approach and whatwas needed was a marketing campaignto talk directly to the learner and helpengender a culture change.The Gremlins campaign was lauded asa successful initiative in this respect. 9“Clever media approaches” are neededaccording to Nicola Clark, and TV wasidentified as the key medium to engagethe public.Participants suggested that vocationalcareers could be promoted in a varietyof ways on television: through lifestyleprogrammes on makeovers and homeimprovements; reality TV programmessuch as the Salon and Jamie’s Kitchen;and soap opera plots, for example theadult illiteracy storyline in Eastenders.Participants also mentioned theuse of “shock tactics” in the media,emphasising for example the futureskills shortages in the UK and the neweconomic threats emerging from Chinaand India. Achieving press coverageof regional, national and internationalskills competitions ahead of the 2011WorldSkills competitions (hosted by theUK) was also identified as a priority.Andy Powell did, however, highlightthe importance of knowing youraudience, arguing that whilst thereis merit in engaging the public, it isimportant to “get the message across tocompanies, which is often best donethrough sectors and thesectoral media”. RecommendationParticipants recommended more mediacampaigns to promote the benefits oftraining to adults, particularly throughtelevision. Coverage of the UK skillsshortages in the press and the 2011WorldSkills competitions should also bepushed forward.9 The Gremlins campaign is a DfES advertising campaign (part of the ‘Get On’ initiative) aimed at encouraging adults with poor literacy andnumeracy to improve their skills and ‘get rid of their gremlins’.ADULT TRAINING: Focus and Funding in the Context of Changing UK DemographicsPage40

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FOR FURTHER INFORMATION, PLEASE CONTACT:Katherine Chapman or Flora AlexanderNational Skills ForumGround FloorIrwin House118 Southwark StreetLondonSE1 0SNTel: 020 7202 8576/8575Fax: 020 7261 9883Email: katherine.chapman@nationalskillsforum.org.ukflora.alexander@nationalskillsforum.org.ukWeb: www.nationalskillsforum.org.ukDesign: Bespoke Presentations Ltd T: 01924 211921 E: mail@mybespoke.co.uk