The energy & utilities sector calls for adjustments to be made to the UK apprenticeship system

As the energy & utilities sector works to renew and upskill its workforce to deliver Net Zero, Apprenticeships are more important than ever.

As the energy & utilities sector works to renew and upskill its workforce to deliver the government’s Net Zero ambition, Apprenticeships are more important than ever. The recently published independent report ‘Test & Adjust’ reviews the delivery and effectiveness of Apprenticeship reforms and the adjustments needed to make the Apprenticeship system fit for purpose.

National Apprenticeship Week is an opportunity to celebrate the benefits that the Apprenticeship Reforms have brought to employers in the sector. However, the sector feels there is still some way to go to help Apprenticeship policy progress and improve.

Energy & Utility Skills recently published a comprehensive review into the delivery and effectiveness of Apprenticeship reforms. The work forms one part of its workforce renewal and skills strategy to ensure that the gas, power, water and waste management industries has the human capital required to deliver environmental infrastructure and essential services to nearly 67 million UK consumers.

The employer-led review was independently written by Professor David Way CBE, a leading figure in UK skills and Apprenticeships. The report found the energy and utilities sector – which is of high strategic importance to government plans to boost UK productivity and will invest more than £100bn in the economy – has made the policy reforms deliver high quality workers but further adjustments are needed.

The ‘Test and Adjust’ report calls for six key actions which are detailed in the full report here.

 

Nick Ellins, Chief Executive of Energy & Utility Skills, said: “The energy and utilities sector employs over half a million people, generates 5% of GDP and contributes £51m annually to the Apprenticeship Levy pot. They set the standard in delivering successfully against the policy reforms and from the start sought to positively help the government to ‘test and adjust’ its approach.

This report from Professor Way, sets out clearly for the incoming government, where to adjust the reforms to bring immediate benefits and policy success. Too much time is being spent focusing on the Apprenticeship Levy as an end in itself, what matters is the quality of the talent that emerges into the economy and society, and how effectively the system works for the employers who foot the bill.”

 

Report author, Professor David Way, CBE, said: “Employer-led reforms to the Apprenticeship programme are beginning to bear fruit, especially by improving quality. This will be vital for future productivity growth and for the expansion of the Apprenticeship programme.

The Apprenticeship Levy has not yet had the transformational impact on employer investment in skills training that Ministers were looking to achieve. However, employers are now familiar with the systems and are steadily increasing the proportion of their Levy payments that they are able to use.

By extending the employer-led approach to all parts of Apprenticeships and ensuring employers see the Levy arrangements as fair and transparent, there is every prospect that we will see the growth in high quality Apprenticeships that will drive the productivity increases needed for the UK to compete in the global economy.”

 

Nick Ellins concluded: “The Apprenticeship reforms have brought undeniable benefits to the employers in our sector, and they wish to accelerate the gains being made by identifying and embedding reforms that will work for the incoming government and for business. Their track record of turning theory into practice makes them a tried and tested partner for government. It is time to step back, draw breath, talk candidly, target the resources and efforts to maximum effect and use this insightful research to help Apprenticeship policy progress to support the needs of the whole UK economy”