ESFA Update further education: 3 November 2021
Published 3 November 2021
Applies to England
© Crown copyright 2021
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1. Information: changes to reservations for apprenticeship funding from 1 November 2021
From 1 November 2021, the reservation period for employers who do not pay the Apprenticeship Levy will be reduced from six months to three months. While we had previously extended the reservation window to six months, we found that very few employers needed to reserve funds more than three months ahead.
Employers can still plan ahead when recruiting apprentices. Employers can reserve funding three months before an apprentice’s expected start date and have a further two months after the planned reservation month to start their apprentice. As is the case now, if no commitment is made on the apprenticeship service by then, the reservation will expire.
Any reservations made before 1 November 2021 will not be affected.
Further information on how to reserve funding is available on GOV.UK.
2. Information: incentive payment for hiring a new apprentice
On 4th October the Chancellor of the Exchequer, the Rt Hon Rishi Sunak MP, announced a £500m expansion of government action, to tackle unemployment and support job seekers, following the end of furlough.
This included the extension of the popular incentive payment for hiring a new apprentice, until the end January 2022.
Employers will be able to apply for a payment of £3,000 for apprentices with an employment start date between 1 October 2021 and 31 January 2022. The apprentice must start their training before 31 March 2022.
The application window for employers to claim the incentive for these apprentices will open on 11 January and will close on 15 May 2022.
3. Information: apprenticeship policy In England
We have updated the apprenticeship policy document to reflect two policy changes.
The first is the extension of the popular incentive payment to 31 January 2022.
The second is the change to the time period for which non-levy paying employers can reserve funds on the apprenticeship service. From 1 November 2021, employers who do not pay the apprenticeship levy can reserve funds up to three months before an apprenticeship is planned to start (this is reduced from six months). As currently, each reservation will expire two months after the reservation month (a total of three months) if the employer does not start their apprenticeship.
4. Information: increase to time permitted for Universal Credit claimants to attend training – extended until April 2022
In April 2021 the Minister for Employment announced that Universal Credit claimants in the intensive work search group will be able to attend full-time, work-related training courses lasting up to 12 weeks across Great Britain and up to 16 weeks for a skills bootcamp as part of their work search activity. This flexibility has now been extended until 28 April 2022.
This is a great opportunity for FE providers to work with their local Jobcentre Plus and Partnership Managers to offer full-time, work-related training courses. Universal Credit Claimants will need to get agreement from their work coach to ensure this is the right support for them and appropriate for the local labour market.
For further information please refer to the free courses for jobs information page.
5. Information: the Institute unveils plan for world class and unified skills system
To compete and thrive on the world stage, the nation needs a high-skilled and adaptable workforce backed by training that delivers what employers need right across the board.
The Institute for Apprenticeships and Technical Education (the Institute) is uniquely placed to deliver on that, given our success with harnessing the expertise of thousands of supportive employers to shape the new generation of fantastic apprenticeships and T Levels.
The Institute’s new ‘Employer Centred – Future Facing’ strategic plan sets out our key priorities for making this happen through to 2024, which are:
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Delivering for employers: The Institute is unashamedly employer led because only they know what training is really needed to fill the nation’s skills gaps and support learners into long and successful careers.
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Building a more integrated skills system: We will create a single technical education system that drives up quality and meets the skills needs of all our nation’s employers and learners.
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Securing continuous improvement: The Institute is always prepared to listen and learn. We have shown that we can adapt and deliver quickly, through launching T Levels and providing over 130 flexibilities that supported apprenticeships through the COVID-19 pandemic.
You can download the full strategy from the Institute’s website.
6. Information: Rebecca George OBE appointed to serve as Independent Chair for the Department for Education Skills Reform Board
Rebecca George OBE has been appointed to serve as Independent Chair for the Department for Education Skills Reform Board (SRB). She will serve from 19th October 2021 for a period of 3 years.
This is a voluntary role, with expenses remuneration of £400 a day for an estimated time commitment of 12 days a year.
Rebecca George OBE was a Partner at Deloitte for 15 years and led their Public Sector practice. Prior to Deloitte, she spent 20 years at IBM. She has had numerous Board and Committee roles with BCS, the Chartered Institute of IT, for over 20 years (including recently as President) and was a Board member of the City Mental Health Alliance. She has served as Non-Executive Chair of the Department for Education T Level Reform Programme Board, and as a member of the Secretary of State’s Business Engagement Forum.
The Skills Reform Board provides oversight over the delivery of the commitments within the Skills for Jobs White Paper. The SRB is the key governance mechanism for the Director General-led portfolio to hold Senior Responsible Officers (SROs) to account. The appointed SROs own the strategy and delivery of the portfolio. The Board’s role is to provide assurances of the delivery of key aims, portfolio oversight and risks, advise on decisions that cannot be resolved at director level, and solve problems that arise.
The Skills Reform Board has been chaired by Richard Pennycook, who sits as a non-executive director, in the interim. The Chair appointment is made by the Secretary of State for Education.