The Apprenticeship Guide

Apprenticeships are changing, no longer confined to school-leavers taking up traditional ‘hands-on’ trades.

Though they’re still great for that, the scope of industries served has grown and new frameworks encourage existing employees to get involved, too.

And yet the implementation of new ways to deliver - and pay for - apprenticeships has been so badly handled that instead of growing in popularity, new registrations have actually fallen - meaning that businesses are missing a fantastic opportunity to upskill their workforces.

Lisa Whiteoak, director of TrainingStation, explains: “The apprenticeship levy scheme imposes a levy on large employers, those with a pay bill over £3m each year, to help fund apprenticeship training within their business. But this has left a lot of employers confused about how it works and many don’t even know that they are paying into the levy.”

Used correctly, the new system can be a great benefit to all sizes of business, Lisa says.

“The government provides all of the funding for training for 16- to 18-year-old apprentices if a company is a non levy employer, and contributes 90 per cent of the funding for candidates over 19.  

“The government is also offering an incentive of £1,000 for both levy and non levy payers to take on young apprentices aged 16-18, so now is the ideal time to evaluate your workforce and assess your future requirements.”

Dr Rachel Cragg, pro vice-chancellor (academic development) at the University of Central Lancashire, agrees that the message has not been well promoted.

“There is a general lack of awareness and understanding of apprenticeships, how they work, and what they can offer,” she says.

The changes make apprenticeships an extremely cost effective way to develop staff, and Rachel has seen many businesses transferring their staff development budgets to apprenticeships, with some levy payers overspending their levy to take advantage of the 90 per cent savings.

Rachel adds: “Non levy payers are able to upskill their staff, gain professional accreditation and license to practice at a fraction of what this would normally cost. It really is ‘win-win’ for employers and the Lancashire region.”

But apprenticeship figures are down. “There is a general lack of awareness of apprenticeships and what they can offer.” - Dr Rachel Cragg, UCLan Michele Lawty-Jones, director of the Lancashire Skills Hub, has seen a significant drop in apprenticeship starts since the introduction of the reforms in April 2017.

“There are different patterns in different sectors - the greatest drops in starts have been in sectors such as health and social care and visitor economy, with lesser drops in traditional areas such as construction and engineering,” says Michele. “There is slight growth in digital apprenticeship starts which is bucking overall trends.”

She adds: “We are starting to see growth in higher level and degree apprenticeships as new standards are being signed off - and we expect to see continued growth in this area.

It’s not a mystery why businesses are shying away from apprenticeships. Delivery of new frameworks was staged, but long delays in the implementation left many industries in limbo, stuck between (or adopting both) new and old standards. And the new levy fund can seem overly complex on first look.

John Westhead, head of operations and learning at Training 2000, also say the companies he meets are concerned about the perceived time it takes to train a new apprentice.

“Employers want to recruit because they have a staff shortage, and they don’t feel that an apprentice who then has to spend 20 per cent of their time training will fill that gap, especially if they require supervision and mentoring from colleagues,” he says.

However, Debbie Simpson of Lancaster University says apprenticeships are most effective when viewed as a wider proposal, the opportunity to upskill a whole workforce and not merely a way of recruiting school-leavers.

She said: “One perceived barrier is the belief that apprentices are young, new recruits. However, the latest apprenticeship programmes are very relevant to existing employees.

“Our CETAD apprenticeship programmes focus on current and aspiring senior leaders, and can be fully funded through the apprenticeship levy.”

Debbie adds: “Another very real barrier for businesses is the expectation that the 20 per cent ‘off-the-job’ requirement will mean regular attendance at a training centre. Our response is a flexible online approach that enables leader managers to study at a time and place that fits with work demands, and senior business people with significant leadership experience may be eligible to make a claim to ‘fast track’ the programme.”

“It’s a new era for apprenticeships, with more scope and flexibility than ever before to revolutionise and futureproof your business,” says Gareth Lindsey, operations director at North Lancs Training Group.

“Companies that have embraced apprenticeship reform have placed a greater emphasis on recruitment and staff development strategies. Aligning these with a considered apprenticeship programme to enhance the skills of existing staff and recruit new employees, has allowed them to bridge skills gaps and strengthen their talent pipeline.

“By examining your training and development needs, and matching these to an apprenticeship, you’ll be able to develop existing talent, inspire creativity and increase business performance."

Training providers are doing their part to guide employers through the process. Training 2000, for example, believes face-to-face relationships help demystify the concept of apprenticeships, and run employer events and visit businesses at their own site. TrainingStation takes much of the burden out of finding the right apprentice by running a free recruitment service, advertising and initial interviews included.

Most providers have flexible courses which mean the training time can be taken on a daily or weekly basis, or in sizeable chunks.

“It’s a new era for apprenticeships, with more scope to revolutionise and futureproof your business.” - Gareth Lindsey, NLTG Preston’s College is bridging the gap between education and industry through the creation of the Lancashire Apprenticeship Expo.

In 2017, more than 2,000 guests met with 50 businesses, including Leyland Trucks, Lancashire Constabulary, Lancashire Teaching Hospitals NHS Foundation Trust and Harrison Drury, matching individuals with potential employers.

Hannah Baker, business development manager, apprenticeships at Blackburn College, says: “There is a wealth of support available to businesses, whether their apprenticeship plans are focused on professional development and upskilling for existing staff or to support recruitment.

“For small businesses there is financial support in some instances and in all cases there is the opportunity for businesses to have a training needs discussion to help identify the business training requirements.

“At Blackburn College, we are increasingly finding that businesses are interested in us supporting them with bespoke recruitment and assessment services that target the specific skills that the business is seeking.”

Claire Jameson, director of business development, B&FC for Business, agrees: “Apprenticeships allow businesses to be fully involved in bespoke training for their employees to ensure it is mapped to their priorities and supports their business for future challenges.

“Our experienced specialists engage in consultation and business needs analysis with our clients. We’re able to produce diagnostic reports which identify key areas for growth, improvements, challenge, skills gaps and risks and recommending solutions which respond to those areas.

Claire adds: “While some may see the levy as a burden, many forward-thinking businesses have identified the opportunities from having a dedicated workforce development budget. “Apprenticeships allow businesses to be fully involved in bespoke training for their employees.” - Claire Jameson, B&FC for Business With the support of these training providers Michele Lawty-Jones believes apprenticeships in the county have a bright future: “Lancashire has a strong track record and legacy in the delivery of apprenticeships and had always performed well in comparison to other regions,” she says.

“There are strong foundations in place, both in terms of the provider base and employer engagement. Together we believe we can continue to make apprenticeships work for Lancashire - to home grow talent and skills to meet the needs of our employers now and in the future.”

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