Launch Of Skills England -

THE PRIME MINISTER and Education Secretary have announced the launch of Skills England.

Skills England will bring together central and local government, businesses, training providers and unions to meet the skills needs of the next decade across all regions. It will provide strategic oversight of the post-16 skills system aligned to the Government’s Industrial Strategy.

The Government says that skills are crucial to economic growth. A third of productivity improvement over the last two decades are explained by improvements to skills levels.

But between 2017 and 2022 skills shortages doubled to more than half a million, and now account for 36% of job vacancies.

Skills England will start work on an assessment of future skills needs while building strong relationships with employers. A permanent board, Chair and CEO will be appointed in due course. The Education Secretary has appointed Richard Pennycook CBE as the interim Chair.

Skilled Workforce

Supporting local areas to develop the skilled construction workforces they need is fundamental to the Government’s mission to raise growth sustainably. By working with the Migration Advisory Committee, Skills England will also help reduce reliance on overseas workers.

Prime Minister Keir Starmer said: “Our skills system is in a mess, which is why we are transforming our approach to meet skills needs over the coming decades.

“They will help to deliver our number one mission as a government, to kickstart economic growth, by opening up new opportunities for young people and enabling British businesses to recruit more home-grown talent.

“From construction to IT, healthcare to engineering, our success as a country depends on delivering highly skilled workforces for the long-term. Skills England will put in place the framework needed to achieve that goal while reducing our reliance on workers from overseas.”

Skills England

The organisation will identify training and maintain a list which is eligible for the growth and skills levy funding. The reform aims to give businesses more flexibility to spend levy funds on training for the skills employers need.

Brian Berry, Chief Executive of the FMB commented: “Over recent weeks the new Government has set out ambitious plans to get Britain building again, but this can only be achieved if the skills crisis is tackled. There is a serious shortage of all trades in the construction industry, with the result that we need additional 240,000+ workers over the next four years.

“The Prime Minister’s announcement to set up Skill England recognises the seriousness of the problem, but details about how Skills England will operate remain light. It will be vital that future delivery focuses on a long-term skills plan being put in place, and that plans to allow up to 50 per cent of the Apprenticeship Levy to be redirected into other forms of training don’t result in a fall in the number of construction apprenticeships available.”

Skills England will be established in phases over the next 9-12 months to create a responsive and collaborative skills system.

The Skills England Bill announced this week will transfer functions from the Institute for Apprenticeships and Technical Education (IfATE) to Skills England.

This sits alongside work to simplify and devolve adult education budgets to Mayoral Combined Authorities to address their adult skills needs directly and support growth in their areas.

Brian Berry added: “As part of the Prime Minister’s announcement that the Institute for Apprenticeships and Technical Education (IfATE) will be amalgamated into the new Skills England, maintaining current skill levels, and increasing numbers further, must remain a key focus. It raises a question about what role the Construction Industry Training Board (CITB) will play in this new system.

“We’re still awaiting publication of the Mark Framer performance review of CITB, which may help provide some clarity. The Secretary of State for Education should publish the report as soon as possible to ensure the industry has stability about its future training needs.”

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