Apprenticeships Must Be at the Heart of Wales’s Response to the NEET Challenge

By Lisa Mytton, Strategic Director of the National Training Federation for Wales (NTFW)

The new Deputy Minister for Skills and Tertiary Education, Cefin Campbell, has set out an ambitious vision for a business-led review of Wales’s skills system. His focus on creating a more responsive, data-driven approach that aligns education and training with the needs of employers is both welcome and timely.

Wales faces a significant challenge. Employers across a range of sectors continue to report difficulties recruiting people with the skills they need, while too many young people remain outside education, employment and training. Latest Welsh Government statistics show that 11.6% of 16 to 24-year-olds in Wales were classified as Not in Education, Employment or Training (NEET) in the year ending December 2024.

From an NTFW perspective, these issues should not be viewed separately. Skills shortages and youth disengagement are two sides of the same coin. If Wales is serious about growing the economy, increasing productivity and creating opportunities for young people, apprenticeships must play a central role in the solution.

The Deputy Minister has rightly emphasised the importance of placing business and industry at the centre of the forthcoming Skills Audit and Future Skills Summit. Employers are on the frontline of economic change. They understand where skills gaps exist today and where future opportunities are likely to emerge.

By giving businesses a stronger voice in shaping skills provision, Wales has an opportunity to create a system that is more closely aligned with labour market demand.

Apprenticeships provide one of the most effective ways of translating that employer insight into real opportunities. They offer a direct route into employment while allowing individuals to develop the practical skills and experience that businesses require.

Unlike many traditional pathways, apprenticeships combine earning and learning, making them particularly attractive to young people who may not see further academic study as the right option for them.

This is especially important when considering the challenge of young people who have become disconnected from education or employment. As the Deputy Minister highlighted, the long-term impact of the Covid pandemic on young people’s confidence, resilience and mental wellbeing should not be underestimated.

For many, re-engagement requires more than simply offering a training course. It requires clear pathways, supportive environments and opportunities that have a visible connection to meaningful careers.

Apprenticeships can provide exactly that. They offer structured support, workplace mentoring and the opportunity to build confidence through real employment. They give young people a sense of purpose and help them develop the skills, behaviours and experience needed to succeed in the workplace.

They also provide a mechanism for ensuring that Welsh people can benefit from investment in the sectors expected to drive future economic growth. The Deputy Minister has identified areas such as green energy, advanced manufacturing, health and social care and the nuclear sector as likely growth industries.

Developing apprenticeship pathways into these sectors will be essential if Wales is to build the talent pipelines needed to support future expansion.

Importantly, apprenticeships should not be viewed solely as a tool for school leavers. They also have a vital role in upskilling and reskilling the existing workforce, supporting career progression and helping employers adapt to changing technologies and business needs. In this way, apprenticeships contribute not only to employability but also to productivity, innovation and economic competitiveness.

The forthcoming Skills Audit presents an opportunity to take a fresh look at how Wales develops the workforce it needs for the future. To be successful, it must ensure that employers remain at the heart of decision-making and that apprenticeship programmes are recognised as a key delivery mechanism for achieving its ambitions.

Wales has a significant opportunity to tackle skills shortages and reduce the number of young people who are NEET at the same time. By strengthening employer-led apprenticeship programmes and aligning them with future growth sectors, we can create clearer routes into employment, support business growth and unlock the potential of a generation of young people who have much to contribute to the Welsh economy.

For Wales, apprenticeships are not simply a training programme. They are an investment in people, businesses and the country’s future prosperity.