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Funding reforms could stunt Apprenticeship growth, warns AELP

Proposed funding reforms will likely cut Apprenticeship opportunities for young people during the next Parliament, a leading trade body has warned.

The government has been consulting on changes that include tying Apprenticeships to a PAYE scheme, which would see employers claiming funding for the programme through the tax system.

But the Association of Employment and Learning Providers (AELP) blasted the evidence base for any of the proposed changes to the current system, which channels funding through providers, as “very weak”.

Responding to the government’s technical consultation on the reforms, AELP said the current system should instead be built upon to give more employers a choice on how to be funded for taking on apprentices.

Stewart Segal, AELP’s chief executive, said: “Our two main concerns are for the young entrants to the job market and the barriers to entry for smaller businesses.

“The view of training providers and the employers they work with is that these funding proposals will damage the size and quality of the Apprenticeship programme. We believe that moving instead to a system which is driven by employer choice will make a radical difference and continue to improve a very successful workforce development programme.”

Natalie Thornhill

(Pictured: AELP CEO Stewart Segal)


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