ALP Conference reporting

I'm reporting from the Association of Learning Providers 'Forum for Employment and Skills' event over the next two days. It's just about to start, but for now I'll put up the press releases.

Employers wanting to train face disappointment due to funding cuts

Firms encouraged to train staff by the government’s multi-million pound ‘It’s in your hands’ advertising campaign face being turned away by training providers because of impending budget cuts.

The Learning and Skills Council has told providers who deliver Train to Gain that their indicative budgets for the flagship programme in 2009-10 will be substantially reduced despite the overall programme budget being increased. Members of the Association of Learning Providers (ALP) are therefore planning to take on fewer trainees than they have this year.

Many ‘over-performing’ providers have effectively closed down their provision for the remainder of the current year, despite strong employer demand for Train to Gain, because the LSC does not have any more money to pay them. In many cases, providers were encouraged by their regional LSCs at the start of the year to respond positively to as much local demand as they were able.

According to the British Chambers of Commerce, the switching-off of provision in recent weeks has led to frustration among businesses who want to upskill their staff in order to take advantage of the economic upturn when it comes. Only last week, Sir Michael Rake, chairman of the UK Commission of Employment and Skills, was urging employers “to commit to investing in the skills of our people, to be ready for the opportunities, as well as the challenges, that lie ahead”.

ALP is seeking information from the LSC as to why the cuts for next year are occurring when it has been confirmed that the government’s planned £925m total budget for Train to Gain is fully secure. Providers want to know where the money is going and the Association’s members are hoping that skills minister Siôn Simon may be able to offer some assurances when he addresses the ALP spring conference in Nottingham on Thursday.

ALP has pointed out that the current difficulties with the programme’s funding could also limit the effectiveness of the government’s recession-response initiatives. Local Employer Partnerships are being encouraged, for example, to place unemployed people on Train to Gain but in many areas the programme’s availability is likely to be very restricted.

Graham Hoyle OBE, ALP’s chief executive, said: “Training providers are well aware that Train to Gain funding is just one of several major issues which the LSC is having to tackle right now. However employers are going to be understandably confused and disaffected if their positive response to government-backed advertising campaigns results in being politely told to go away by providers.”

ALP secures substantial more funding to help the young unemployed

A successful pre-Budget campaign by ALP has led to a sizable proportion of £251 million being earmarked for another key government training programme for disadvantaged young people hit by the recession.

Last month ALP wrote to schools secretary Ed Balls warning that the LSC’s budgetary difficulties meant that effective provision in the form of the Entry to Employment (E2E) training programme was about to be cut for 16-18 year olds at greatest risk of becoming part of the NEET group.

To many young people on some of the most deprived estates in the country, the E2E programme often represents the only route to avoiding a life on benefits or getting into trouble with all the costs to society which that can entail. This group of people includes those with often multiple disadvantages, in need of intensive, bespoke support. ALP member providers, including many from the Third Sector, have been reporting that funding for E2E places has been held back at just the time when, because of the economic situation, demand for places is increasing.

The LSC has now written to E2E providers confirming that they will be paid for all successful provision this current year and that £404m will be available to fund the programme next year.

Graham Hoyle said: “This is undoubtedly welcome news for those disadvantaged young people who want to take a meaningful step away from a life of poverty and misery, and we are grateful to Ed Balls for responding so quickly to our representations. The successful campaign is further proof that ALP and its members are effective champions of young people who need a second chance.”