October 2022 - Page 2 of 2 - Capital City College Group
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How can the Government help boost apprenticeship starts and improve the apprenticeship levy?

By Jackie Chapman, Managing Director, Capital City College Training

For years we have heard the same line: ‘the apprenticeship levy doesn’t work’ – whether that’s because of the disengagement of Small and Medium Enterprises (SME apprenticeship starts are half what they were before the levy was introduced), the drop in apprenticeship uptake by 16-18-year-olds, or the amount of unused levy returned to the Treasury (according to the Financial Times, employers have handed back more than £3bn in unspent levy cash over the last three years).

This is ineffective for the economy and unhelpful for the workforce. Apprenticeships should be a central part of the employment landscape for people of all ages. They are a genuine alternative to T Levels or university for many young people who are eager to start their careers sooner or learn on the job; and they are invaluable for adults already in the workforce, who want to develop new skills and qualifications without having to give up work to study.

But apprenticeship starts are now far lower than before the levy was introduced back in 2017. What can be done to reverse this? How can apprenticeships become popular again?

Recently, we attended the Labour and Conservative party conferences, where we hosted breakfast events with the London advocacy group BusinessLDN – discussions with our guests addressed apprenticeships and other pressing skills challenges.

As we see it, the apprenticeships challenge is threefold: firstly, how apprenticeships are promoted – especially to young people; secondly, how they are funded; and thirdly, how flexible they are – for employers, educators and apprentices.

Promotion

If young people don’t know about apprenticeships, we can’t expect them to be interested in them. Many schools have failed to effectively point their 14–17-year-olds towards apprenticeships, as academic routes remain a central focus for schools.

The ‘Baker Clause’ should help this. Originally an amendment to the Technical and Further Education Act 2017 which was widely ignored by schools, the Baker Clause was made law in the Skills and Post-16 Education Act 2022. It requires schools to allow colleges and training providers access to every student in years 8 to 13 to discuss non-academic routes. It also states that schools need to impartially promote the full range of technical education qualifications and apprenticeships to their pupils.

The Baker Clause is an important part of a school or college’s careers education, information, advice and guidance (CEIAG) programme and, provided it is followed and enforced, it should widen pupils’ access to information about apprenticeships and other non-academic routes.

The introduction of T Levels may cause more confusion, so the message needs to be clear that apprenticeships are 80% in the workplace, whilst T Levels are 80% learning.

Funding and flexibility

The apprenticeship levy is the main mechanism for funding apprenticeships. Some £3.3 billion of unspent levy money has been returned to the Treasury over the last 3 years, so it’s fair to say that the level of funding is more than adequate.

Flexibility – what the levy money can be spent on and who can spend it – is where many of the problems, and opportunities, are. Businesses and apprenticeship providers have been calling on the Government to offer greater flexibility around the levy for years, but how would this look? And how would it work?

How do we improve the levy and encourage more apprenticeship starts?

It’s encouraging to see the Government responding to the sector’s conversations about the levy. In February of this year, Alex Burghart MP (then Skills Minister) introduced flexi-job apprenticeships and announced that businesses could transfer their surplus levy to other businesses to pay for their apprenticeship training.

Flexi-job apprenticeships aim to help sectors with short-term contracts to take on apprentices. Within this model, apprentices will be supported by their training provider to obtain multiple short-term contracts across different employers to complete their apprenticeship requirements.

We have already seen the benefits of this for small and medium enterprises (SMEs) at CCCG’s training arm, Capital City College Training (CCCT). For instance, in the creative industry, CCCT have been working in partnership with the NextGen Skills Academy to enable SMEs who only focus on one key skill to cluster together to take on an apprentice. Each apprentice is subsequently able to learn each skill through a different business to complete their apprenticeship. 

These initiatives are a positive step forward for helping to increase the number of apprenticeships, but there is a more fundamental issue for many employers which needs addressing – the cost of wages.

Employers tell us that they are deterred from taking on apprentices because they must pay their wages while the apprentice is still relatively inexperienced, especially when taking on 16–18-year-olds. In addition, many employers want to pay their apprentices more than the National Minimum Wage, because it’s the right thing to do and it would encourage more people to become apprentices.

So, we think that employers should also be able to use their levy funds to pay between half and two-thirds of their apprentices’ wage costs for the first year of their time with the company. Covering most of the salary for this period will help some employers pay their apprentices more and would be a powerful incentive to smaller businesses, as an extra pair of hands at a subsidised cost would never go amiss!

A levy reform along these lines could be structured like the Government’s Kickstart Scheme, released in September 2020. Kickstart provided funding to employers to create jobs for 16- to 24-year-olds on Universal Credit, covering 100% of the National Minimum Wage – based on the workers’ age – for 25 hours per week.

By supporting employers with their wage costs in the short term, Kickstart enabled many small businesses to engage with young people and provide adequate support whilst they were developing their basic skills.

If the levy allowed for the funding of such a scheme, a valuable proportion of the apprentice’s salary would be paid until the they become skilled enough to not need continuous supervision – the reason why employers prefer to employ individuals who have sufficient skills to undertake the job. This flexibility will encourage employers to take on apprentices and will guarantee the apprentice a job at the end.

We’d also like to see levy flexibility go further, by allowing the transfer of the apprenticeship levy to the organisation that provides the apprenticeship training (typically a further education college or a private provider), so they can continue to support an apprentice when they change jobs – currently as soon as an apprentice ends their studies or changes employer, the provider can no longer support them. This initiative will also help boost apprenticeship completion rates, as apprentices are currently leaving at the point of triggering the End Point Assessment. Such a change would not cost anyone money, will allow colleges and training providers to use their unspent Levy funds, and will decrease the administration required for providers to sign up additional employers to support the final stages of an individual’s apprenticeship.

Apprenticeships can and should be a bigger part of the employment landscape. We think that increasing the flexibility of the levy will allow more employers take on more apprentices and will encourage more people to consider an apprenticeship. We’ll be advocating for these changes to the levy over the coming months.

What is the apprenticeship levy? And what are the problems with it?

The apprenticeship levy was introduced in 2017 to create long term sustainable funding for apprenticeships. The levy is a 0.5% tax paid by larger employers (those with an annual pay bill of more than £3 million), which is stored in a fund and must be used to pay for the cost of apprenticeship training.

The idea was that the levy would encourage businesses to offer more apprenticeships, but unfortunately, the number of people starting an apprenticeship has fallen by around 50% since the levy was introduced. It also had some unintended consequences. For example, the House of Lords’ Youth Unemployment Report found that some employers use the levy to reshape existing roles into apprenticeships, benefitting those who already work for their company and are usually older and more experienced.

Other criticisms are that because the levy is only paid by large companies, small and medium enterprises (SMEs) don’t pay it but have to use the online system to engage with providers and pay 5% to the cost of the apprenticeship.  In addition, the apprenticeship system is considered too complicated and hard to navigate for employers and education providers alike. Perhaps because of these flaws, the number of SME apprenticeships has fallen since the levy started.

Boost your career prospects for FREE during the cost of living crisis

At City and Islington College (CANDI) we believe the cost of living should not come at the cost of your education and job prospects.

That’s why we run FREE Short Courses throughout the year to enable you to develop new and existing skills for your future regardless of your age or income.

Cost is one of the main barriers to learning and times are extremely tough at the moment, but there has never been a better time to learn or try something new.

Thousands of people have signed up for our FREE Short Courses since we started running them in 2018 and many have progressed on to full-time study with us.

And what’s more, all our full-time courses up to Level 2 and some at Level 3 are also completely FREE.

Tim Mansfield, 41, took a FREE short course in plumbing followed by a Plumbing Level 2 Diploma at CANDI’s sister college, the College of Haringey, Enfield and North East London (CONEL).

He said: “CONEL’s free short courses were exactly what I needed. They gave me the opportunity to try different trades without having to overcommit until I knew what I wanted to pursue more seriously. If they hadn’t been free, I’m not sure I would have taken the chance.

“The teachers are well-qualified and approachable, and always on hand with advice and support. I’ve made some great friends at CONEL and learnt some great skills that I fully intend to build upon in my future career. I’m excited about starting a new chapter.”

Our FREE Short Courses are run at our centres and online, in a wide range of subjects:

Find out more by searching FREE Short Courses and book a place at CANDI.

Book now for our Open Days at our centres on Saturday 12 November and Wednesday 23 November.

Former CANDI student wins Jack Petchey award for Sixth Form College podcast

A former City and Islington College (CANDI) student has scooped an award for a podcast with an ex-teacher about her book of poems that later won a national prize.

Gabrielle Okonkwo, 18, won a Jack Petchey Achievement Award for her interview with Hannah Lowe in December 2021 about The Kids, a collection of sonnets on teaching, learning, growing up and parenthood.

Hannah, who taught English at CANDI from 2002-12, went on to win the Costa Poetry Award in January this year and the Costa Book of the Year the following month.

Gabrielle and former CANDI student Adam Njai, 20, who is now studying for a BA (Hons) History at the University of Bristol, spoke to her for the college’s podcast The Jam.

The Jam was initially launched as a way for students to share their experiences during the COVID pandemic and comprised three episodes called Voices Lost in Lockdown and was featured in an article in TES magazine.

Gabrielle said: “I wasn’t expecting the award and was humbled and grateful to receive it. I enjoyed making the podcasts, but I didn’t do it alone. I headed up a team of 5-10 students who came when time allowed and made sacrifices, like with any commitment, and this is the reward for everyone’s hard work. It was definitely a joint effort.

Gabrielle achieved an A* in English Language and Literature and As in History and Politics in her A Levels this year and is now studying for a BA (Hons) in English and History at the University of Warwick.

She added: “My mind was blown when I had the opportunity to speak with Hannah Lowe. I would recommend to everyone to give her book a read. It’s a real honest and sometimes funny account of her experience and is so beautifully written.”

The Jack Petchey Achievement Awards recognise around 12,000 outstanding young people aged 11-25 at schools, colleges and youth organisations across London and Essex each year.

Gabrielle received £300 in prize money for the college, which was used to fund the appointment of a student intern over the summer to develop ideas for The Jam and other student activities.

A Level History and Politics teacher Debbie Bogard, who started The Jam and put forward Gabrielle for the award, said: “Gabrielle was a wonderful student who put in so much effort into both researching and co-hosting the episode of The Jam with Hannah Lowe. I am absolutely thrilled that she received this award, which she thoroughly deserved, along with her fantastic A Level grades in the summer.

“We decided to spend the money to grow The Jam and were delighted to appoint former CANDI student Rae Ferner-Rose, who is currently studying for a BA (Hons) Liberal Arts at the University of Bristol. Rae has done an amazing job over the past three months helping build a community of ex-students and creating creative opportunities for students to be involved developing ideas for the Jam.”

The latest episode of The Jam was a book club hosted by Rae Ferner-Rose on The Secret History by Donna Tartt featuring Debbie Bogard, current students Renae Carter Campbell, 17, Alana Stephenson, 18 and former student Kiera Wasage, 18. Listen to the podcast here.

Hannah Lowe left CANDI to complete a PhD in Creative Writing at Newcastle University and now lectures in the subject at Brunel University. Her other works include Chan (2016), Long Time, No See (2015) and Chick (2013).

Listen to The Jam podcast on The Kids here.

Find out more about our huge choice of A Levels and apply here.

Hairdressing student overcomes bereavement and breast cancer to achieve diploma

Eva Fernandez suffered the loss of her mother to pneumonia and underwent breast cancer surgery while studying a Hairdressing diploma at City and Islington College (CANDI). Here she shares her remarkable story and how the college supported her during this time.

“My mother’s death was completely unexpected.”

Eva Fernandez recalled hearing the news that her mother was seriously ill while studying a hairdressing diploma at City and Islington College (CANDI) as if it was yesterday.

“I rushed home, picked up my passport and got the first flight to Spain. I was with her for about two weeks before she died from pneumonia last November,” she said.

At that time Eva, 47, who is from Granada, was facing her own health issues having been diagnosed with breast cancer in February 2019.

“It was an incredibly stressful time for me. Fortunately, they caught the cancer early and I had a mastectomy. But the breast symmetry surgery I also needed kept being delayed because of the pressures placed on the health service by COVID-19 and not having enough staff.”

The surgery was delayed seven times until she finally underwent an operation in May this year.

“That was hard. You feel that your life is at a standstill. I couldn’t book a holiday in case the hospital got in contact and said they were going to do the operation while I was away.”

Eva, from Islington, admitted her mental health suffered but believed the support of her tutors at CANDI played a major part in her overcoming the challenges she faced during her studies.

“When I think about that time, I don’t know how I got through it and completed the course. I guess you have two options in that situation, give up or try to move on, and I didn’t want to sit at home crying,” she said.

“I talked to my tutors when I was in Spain with my mother, and they stressed that I shouldn’t worry. They told me I would catch up, offered me extra classes if I needed them and showed me video classes I could use. They encouraged me all the time and were incredibly kind. It was the same after my operation. I never felt any pressure to come back until I was ready.”

Eva came to the UK from Spain, where she had worked as a history teacher, in 2015. She initially intended to stay for three months to improve her English but stayed after meeting her boyfriend.

She has just started a Hairdressing Level 3 Diploma at CANDI having completed a Hairdressing Level 2 Diploma in 2021-22 and a Hairdressing Level 1 Certificate in 2020-21.

“It was crucial to me that the teachers thought I should do the Level 3 Diploma because I am good enough. I didn’t want to be put forward for it because they felt sympathy for me because of what I have been through. And they assured me I am good enough.”

Eva initially turned to hairdressing as a hobby when she began cutting friends’ hair during the pandemic and hopes one day to style the hair of the rich and famous.

“I was good at it. I found that it gives you freedom. You can create lots of different things with hair. It is very artistic, and I have an artistic mind. The college helps you gain as much knowledge as possible and it teaches you to be a professional,” she said.

“Once I complete my Level 3 my immediate ambition is to get a position in a salon. But longer term, I would love to style the hair of actors for movies or TV programmes. If not that, then for models on the catwalks at fashion shows. I live in London, so why not? I am very ambitious.”

Eva’s achievements earned her an Excellence Award from Capital City College Group (CCCG), which includes CCCT and CONEL along with City and Islington College and Westminster Kingsway College.

The hairdressing, barbering and beauty industry grew by 54 per cent in the five years up to 2020. Find out more about our Hairdressing and Beauty Therapy courses and apply here.

Queen's Award for Enterprise