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How we make sure the ladder of opportunity stays strong

12 June 2025

By Robert Halfon, former Skills Minister

For the past decade, a quiet revolution has been underway in English education and skills – a determined effort to transform the prestige, quality, employer-focus, funding, and guidance surrounding vocational and technical education. The core principles underpinning these reforms have been clear: to extend the reach of apprenticeships into a vast array of occupations, from aeronautical engineering to zoology, to elevate their quality by moving from inconsistent frameworks to rigorous, employer-designed standards overseen by the Institute for Apprenticeships and Technical Education (IfATE), to place employers firmly in the driving seat of skills development; to introduce the Apprenticeship Levy, a game-changing funding mechanism; and crucially, to transform careers advice, ensuring apprenticeships are understood as a high-value route to success. The ultimate aim has always been to build a robust 'ladder of opportunity', enabling individuals to climb towards skilled jobs, long-term security, and genuine prosperity.

This journey is not just about individual advancement, it is about building the skilled workforce our nation needs to thrive. The current government has made welcome strides in continuing this vital work. The stewardship of apprenticeships and skills by Jackie Smith, an experienced politician who understands the intricate workings of Whitehall, has been a positive development, bringing stability and know-how. The continued commitment to T Levels as a high-quality technical equivalent to A Levels is laudable, offering young people clear pathways. Furthermore, the clear skills priorities articulated through the nascent Skills England and embedded within the Industrial Strategy provide a much-needed direction of travel, ensuring our skills system aligns with national economic needs. The recent announcement of an additional £600 million for construction over the next few years is also a significant and welcome investment in a critical sector.

However, amidst these positive signals, some recent and proposed changes risk undermining the very principles we have worked so hard to establish, potentially weakening the rungs of that ladder of opportunity. One significant concern is the decision to cut funding for the Apprenticeship Support and Knowledge (ASK) programme. ASK plays an indispensable role in promoting apprenticeships within schools, informing students, teachers, and parents about the incredible opportunities available. Reducing this outreach will inevitably hinder our efforts to ensure apprenticeships are a well-understood and respected choice for young people from all backgrounds.

Furthermore, the move to cut funding for Level 7 (Master's degree equivalent) apprenticeships is a serious misstep. These higher-level apprenticeships are vital for enhancing the prestige of vocational pathways and providing clear lines of progression to the highest skill levels. They demonstrate that apprenticeships are not a cap on ambition but a springboard to advanced roles and leadership. Undermining this damages the aspiration linked to the apprenticeship brand. The decision to remove the requirement for adults undertaking apprenticeships to achieve functional skills in Maths and English if they do not already hold them is also troubling. While flexibility is sometimes necessary, a core tenet of quality apprenticeships has been the assurance of foundational literacy and numeracy. These skills are fundamental for workplace success and lifelong learning. Diluting this requirement risks diminishing the overall quality and preparedness of apprentices.

While focusing on young people doing apprenticeships is important, it must not be the only focus. Neither should there be a rebalancing to Level 2 and 3 qualifications at the expense of and detriment to higher levels. While these levels are crucial entry points – indeed, well over 60% of current apprenticeships are at Level 2 and 3 – we must not lose sight of the broader picture. Apprenticeships are, and must increasingly be, an engine for lifelong learning, allowing adults at all stages of their careers to upskill and retrain. In a rapidly changing economy, the ability to adapt and acquire new skills is paramount. We need a robust commitment from the government to support apprenticeships at all levels, including a clear and unwavering endorsement of Level 6 (degree equivalent) apprenticeships, ensuring pathways for progression remain open and ambitious.

To truly supercharge our apprenticeship system and ensure it delivers for learners and employers alike, we need bold action on funding. The Apprenticeship Levy has been a powerful tool, but its full potential is not being realised. It is estimated that between £600 million and £800 million raised annually through the Levy is currently unspent by employers and subsequently absorbed by the Treasury. This is a missed opportunity. This funding should be returned and channelled directly to Further Education colleges – the backbone of our skills system – to promote excellence in teaching and leadership. Imagine the impact: investment in cutting-edge equipment, enhanced professional development for educators, and stronger support for learners.

The Levy itself could also be tweaked for greater impact. Businesses that actively recruit apprentices in line with the government's stated skills priorities should be able to utilise more of their levy funds, creating a powerful incentive to address national shortages. Furthermore, if there are to be adjustments to how levy funds can be spent, allowing a small, capped percentage to be used for high-quality Skills Bootcamps and Higher Technical Qualifications (HTQs) could add valuable flexibility, provided this does not detract from the core mission of funding full apprenticeships. Finally, the significant structural changes involved in establishing Skills England and the effective abolition of IfATE, with its functions being transferred, must not become a distraction. The priority must remain laser-focused on increasing apprenticeship starts at all levels and ensuring the quality of provision.

There is a legitimate concern that, in a few years, Skills England could face the same bureaucratic inertia or shifting political winds that have sometimes affected bodies like NHS England. We need long-term stability and a relentless focus on delivery. The impact of these collective government reforms will be significant. Positive steps in funding and strategic alignment are welcome. However, cuts to promotion, the undermining of higher-level prestige, the dilution of foundational skills requirements, and an overly narrow focus risk stunting the growth and impact of our apprenticeship revolution. Apprenticeships offer a powerful route to individual success and national prosperity. Let us ensure the ladder of opportunity remains strong, accessible, and extends to the highest levels of achievement for all.