Preparing for the future: Key changes in Apprenticeships and Skills

The UK’s apprenticeship and skills landscape is undergoing significant transformation. With new policies, reforms, and initiatives on the horizon, employers and stakeholders are navigating a complex and rapidly evolving environment. A recent webinar brought together industry expert to shed light on these developments and what they mean for organisations planning their apprenticeship strategies.

Here’s a breakdown of the key themes and insights from the session.

The Purpose of the Discussion

With rumors and uncertainty circulating about the future of skills and apprenticeships, the webinar provided a platform to clarify key developments, share insights, and answer questions. The focus was on providing employers with actionable information to plan for the changes coming in 2025 and beyond.

Skills England: A New Era for Workforce Development

A central theme of the discussion was Skills England, a new independent body set to replace the Institute for Apprenticeships and Technical Education (IFATE). Skills England will play a crucial role in shaping the national skills strategy, aligning training with industrial priorities, and maintaining apprenticeship standards.

Key Points About Skills England:

  • It is expected to be fully operational by mid-2025, with interim leadership currently in place.

  • Its remit includes maintaining a list of eligible training courses, analysing future skills needs, and integrating local growth plans into national strategies.

  • Concerns have been raised about its independence due to its status as an executive agency under the Department for Education.

Stakeholders were encouraged to engage with Skills England while consultations are still open, as its recommendations on key issues, such as Level 7 apprenticeships, are due early in 2025.

The Growth and Skills Levy: A Flexible Future

Another significant change discussed was the transition from the Apprenticeship Levy to the Growth and Skills Levy. This move is designed to make funding more flexible for employers, allowing them to address a wider range of training needs.

What we know so far:

  • While there have been calls for up to 50% flexibility in levy spending, current fiscal constraints may limit this ambition.

  • Priority sectors, such as digital, manufacturing, and healthcare, are likely to benefit from additional flexibilities, Events Apprenticeships will aim to continue conversations to ensure the events industry is included within these priority sectors.

  • Employers should focus on using existing funds effectively, as immediate large-scale changes are unlikely.

Foundation and Shorter Duration Apprenticeships

The webinar also introduced two upcoming initiatives aimed at broadening access to apprenticeships and making them more flexible:

  1. Foundation Apprenticeships:

    • Targeted at young people (16–21) as an introduction to specific occupational areas.

    • Designed to address youth unemployment and encourage progression to higher-level apprenticeships.

    • Expected to launch in autumn 2025.

  2. Shorter Duration Apprenticeships:

    • Aimed at reducing the minimum 12-month duration for apprenticeships in certain roles.

    • Will recognize prior learning and experience, making programs more accessible for experienced employees.

    • Scheduled for implementation alongside foundation apprenticeships in late 2025.

Both initiatives are intended to create more tailored and accessible pathways into the workforce, while maintaining high standards of training.

What’s coming in 2025

The session concluded with a look ahead at key events and changes expected in the coming year:

  • Skills England Recommendations (Early 2025): Insights into Level 7 apprenticeships, levy flexibilities, and priority areas will shape the next phase of reforms.

  • White Paper on Skills (Spring 2025): A comprehensive policy document addressing post-16 education, including further and higher education reforms.

  • Foundation and Shorter Duration Apprenticeships: Launching in autumn 2025, these initiatives will provide new opportunities for young people and employers.

  • Ofsted Reforms: Changes to inspection frameworks and criteria, beginning in September 2025.

  • Regional Devolution: Increased control for local authorities over skills funding and priorities.

What Employers Should Do Now

With these changes on the horizon, employers should begin preparing their apprenticeship strategies by:

  • Staying informed about developments, such as Skills England’s recommendations and new funding opportunities.

  • Engaging with Skills England and other policymakers through consultations and feedback.

  • Planning for flexibility in their apprenticeship programs to align with emerging standards and shorter-duration options.

The changes ahead present opportunities to build a more inclusive and responsive skills system. By staying proactive, employers can ensure they are well-positioned to benefit from these reforms.

Looking Forward

As the UK embarks on one of the most significant reforms in skills and apprenticeships since the introduction of the levy, collaboration will be key. Employers, policymakers, and training providers must work together to navigate this evolving landscape and create meaningful pathways for learners and workers.

Stay tuned for updates as we continue to explore how these changes will shape the future of skills and workforce development.

Find out more at our webinar in January where we will be discussing these changes with industry employers and training providers >> Register here

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