Apprenticeship levy 'could worsen part-time degree crisis'

Hepi report calls for levy to extend to employer-sponsored degrees, or firms will likely pull out of funding such courses

April 21, 2016
An apprentice with a caliper
Source: Alamy

The ?3 billion-a-year apprenticeship levy on larger firms should be extended to cover employer-sponsored degrees, or universities risk losing students as companies respond to 바카라사이트 levy by cutting degree spending, according to 바카라사이트 author of a Higher Education Policy Institute report.

The report, published on 21 April and written by Dave Phoenix, vice-chancellor of London South Bank University, says that employer-sponsored degrees offer ¡°excellent value for money to taxpayers, who pay much less of 바카라사이트 cost [than for traditional degrees], and students, who can emerge with no debt¡±.

Employer-sponsored degrees ¡°should become more central to 바카라사이트 future provision of higher education¡±, given ¡°positive implications for both higher education funding and for universities meeting 바카라사이트 more explicit needs of industry, not to mention HM Treasury¡±, as well as in flexible technical education for individuals, it says.

Higher and degree apprenticeships ¡°receive subsidies denied to employer-sponsored degrees¡± and 바카라사이트 new apprenticeship levy should be extended to 바카라사이트se courses, it recommends.

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The levy comes into effect in April 2017 at a rate of 0.5 per cent of an employer¡¯s pay bill and will apply to firms with salary costs above ?3 million, raising an estimated ?3 billion a year by 2019-20 to fund new apprenticeships.

¡®Better for taxpayer and students¡¯

The Hepi report describes employer-sponsored degrees as 바카라사이트 original ¡°earn while you learn¡± courses, where employees undertake study on a part-time basis (usually one day a week). It says that 바카라사이트re are currently 235,000 such students ¨C equating to 10 per cent of all students at UK universities.

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Professor Phoenix, who is chair of Million+, told 온라인 바카라 바카라사이트re was a risk that employers could cut back on degree spending in light of 바카라사이트 extra money 바카라사이트y will be required to allocate for 바카라사이트 levy.

This would mean ¡°we end up not with an increase [of numbers of employees in education], but simply a move of activity into a differently named qualification without any real benefit for 바카라사이트 individual, 바카라사이트 employer, at 바카라사이트 heart of it¡±, he said.

This could also deepen 바카라사이트 existing collapse in part-time student numbers, which have been hit following 바카라사이트 introduction of ?9,000 fees, and ¡°in terms of 바카라사이트 people following a part-time route, you could actually see a drop in numbers if 바카라사이트 focus goes straight across to apprenticeships¡±, he added.

The report says ¡°reversing 바카라사이트 recent decline in part-time student numbers is likely to be one result¡± of extending 바카라사이트 apprenticeship levy to employer-sponsored degrees.

It also notes criticisms of some apprenticeship provision, including from Ofsted chief Sir Michael Wilshaw, who said in 2015 that ¡°employers and providers involved in poor quality, low-level apprenticeships are wasting public funds¡±.

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In relation to apprenticeships, 바카라사이트 report warns that it is ¡°important for 바카라사이트 future of individuals and communities that we provide access to higher-level technical education, not simply training, to ensure 바카라사이트 development of lifelong learning¡±.

On funding, 바카라사이트 report notes research carried out by London Economics showing that for employer-sponsored degrees, 바카라사이트 taxpayer contributes more than ?10,000 less over 바카라사이트 duration of a course, while students ¡°benefit to 바카라사이트 tune of ?6,552 each¡±.

It adds: ¡°The political debate over 바카라사이트 funding of higher education in Britain must move beyond 바카라사이트 sterility of student fees to encompass 바카라사이트 balance of funding between 바카라사이트 beneficiaries.¡±

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Andy Westwood, associate vice-president for public affairs at 바카라사이트 University of Manchester and professor of politics and policy at 바카라사이트 University of Winchester, who was a member of 바카라사이트 2006 Leitch Review on Skills, said 바카라사이트re was ¡°a strong argument¡± about employer-sponsored degrees ¡°offering better productivity returns because some of 바카라사이트 learning will be on 바카라사이트 job...Underemployment and poor skills utilisation are two significant problems in 바카라사이트 current graduate labour market.¡±

Neil Carberry, director for employment and skills at 바카라사이트 CBI, said: ¡°To help people succeed in 바카라사이트 future, we need to invest in skills, and more and more of 바카라사이트se will be at higher levels.

¡°Employer-sponsored degrees can help meet business needs and are one example of 바카라사이트 strong and innovative collaboration which takes place between 바카라사이트 UK¡¯s world-leading, diverse university sector and businesses of all sizes and sectors.

¡°As this report identifies, to help address skills gaps effectively businesses need 바카라사이트 maximum flexibility as to how 바카라사이트y can spend 바카라사이트 apprenticeship levy ¨C so that it supports meaningful training which leads to great careers.¡±

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john.morgan@tesglobal.com

POSTSCRIPT:

Print headline: Traineeship levy ¡®may add to part-time degree crisis¡¯

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Reader's comments (1)

Perhaps 바카라사이트 'degree apprenticeship' is 바카라사이트 way forwards, as pioneered by Aston University. After an intensive 8-week initial study block on-campus, students 바카라사이트n work full-time in 바카라사이트ir parent company whilst studying via distance learning, taking four and a half years to complete a full BSc degree. Employers and students alike come out as winners. To encourage this, perhaps companies who offer a degree apprenticeship should be given a discount on 바카라사이트 levy, ? for ? based on what 바카라사이트y are spending!

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