“To succeed in our growth mission, we need to harness the talent of our people, to meet businesses skills needs and to break down the barriers to opportunity… However, I’m sorry to report this country’s workers still lack the skills they need”.
So began the second reading of the IfATE Bill of the recent House of Lords debate on the future of the skills system. And while this is not a new or unfamiliar challenge, nor one that is simple to address, it is vital that we do so if we are to realise our ambitions for economic growth and for a decade of national renewal.
We have already seen a welcome focus from central government and from Metro Mayors on ensuring that more young people are trained and supported to succeed in the labour market. But with 71% of jobs in 2035 expected to be filled by someone already in the workforce, we now also need a much greater focus on lifelong learning.
From AI to automation, the push for net-zero to the realities of an ageing workforce, every workplace trend points to a growing need to learn new things and update our skills throughout our working life. The good news, as shown by this year’s Learning and Work Institute’s Adult Participation in Learning Survey, is that more of us are taking up opportunities to do so. The bad news is that these opportunities are still not equally available; those who could benefit the most continue to get the least. Breaking this pattern will require us to make lifelong learning more accessible, more affordable, and more attractive for both workers and employers.
Making lifelong learning more accessible
We need to be bold in exploring options for high-quality online and blended learning, and for more opportunities to learn within and around the workplace. Advances in technology should enable us to better understand the skills we need to develop, provide bitesize training to help us do this, and connect us with employers who can use these skills. Meanwhile further devolution – including skills, employment support, transport etc – should ensure that both workers and businesses are offered place-based tailored support to help them access and benefit from training.
Making lifelong learning more affordable
The rising cost of living and doing business means that training is unaffordable for many of those who could benefit most. As a result of devolution, Mayors are now able to set their own low wage threshold, i.e. the income level at which training is provided free of charge. In the West Midlands this was recently raised to the median full-time wage for the region, currently £32,000, opening a wealth of opportunities for low paid workers to develop the skills they need to progress at work and increase their earnings.
We also need to ensure that training is affordable for employers. The decline in overall employer investment in skills is well documented, but simply exhorting employers to invest more is not the answer – particularly when many employers already invest a huge amount of time and money, while others do not have capacity or are not yet convinced of the benefits. Any new flexibilities to the levy must better enable business to meet their skills and growth needs, and perhaps now is the time to explore other employer incentives such as the skills tax credits, as proposed by the House of Lords Industry and Regulators Committee.
Making lifelong learning more attractive
Finally, we also need to recognise that value is about much more than cost. Attractive lifelong learning is enjoyable, self-affirming and a route to achieving wider goals and ambitions. For many adults this is about finding work, getting a better job, providing for their family, living well, and building a better life. To help them achieve this, we need to focus less on individual courses and qualifications, and more on creating stronger and clearer learning pathways. For local leaders, this is often about integrating skills training with wider employment support, aligned to good local jobs and infrastructure investment. For sector skills bodies, it’s about working with employers in their sector to ensure training meets their needs and adds real value to their business.
Harnessing the power of industry and local leaders
If we are to give ourselves the best chance of shifting the dial on lifelong learning over the next decade, it is vital that we harness the power of both industry and place-based leaders to create more accessible, affordable and attractive opportunities to develop the skills that we will all need to thrive and grow.
Mayors such as Richard Parker in the West Midlands and Andy Burnham in Greater Manchester have already begun work to engage local employers in creating opportunities for young people in growing sectors. The development of a new Industrial Strategy and of regional economic plans now provide an important platform to help create a step change in opportunities for the existing workforce too.
Achieving this step change will not be easy, but the rewards of increased economic growth, a more highly skilled workforce and greater opportunities for all are huge. Now is the time for government and employers to take bold action together and make lifelong learning a priority.
Dr Fiona Aldridge is Chief Executive of the Skills Federation.
