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Dear Colleagues
Welcome to the first edition of the LGA’s employment and skills bulletin. We know how important it is for our member authorities to get the employment and skills offer right to help residents get on in life and improve their job prospects, and help businesses with their recruitment needs.
That’s why here at the LGA we aim to work with Government to make the current national employment and skills system more integrated and localised, and advocate for the sector to benefit from greater freedoms and flexibilities through devolution.
Hopefully for many of you, our Work Local campaign for employment and skills devolution will need no introduction. But for those of you who are new to it, take a look at our recent Work Local publication published earlier this summer, which makes recommendations on how the system could work more effectively across England.
We know how busy you all are having to balance keeping on top of local as well as national issues. That’s why we have put together this bulletin with the aim of providing you with an easy-to-read summary of key employment and skills issues we thought you might like to be aware of.
In this first bulletin we talk about the ministerial changes in Parliament as well as some the policy consultations and select committees we have fed into. We hope you find it helpful. Of course, we will continue to look at ways of improving it, so if you have any suggestions or ideas on what we might be able to do, please get in touch.
Parliament – new ministers
The new Prime Minister, the Rt Hon Rishi Sunak MP has appointed a new ministerial team. Below highlights some of the key ministerial changes related to employment and skills, growth and local government. As part of our work we will continue to engage with these ministers to ensure that the voice of the sector is heard and to influence national policy decisions, so that initiatives land well in local areas.
Department for Work and Pensions (DWP)
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The Rt Hon Mel Stride MP was appointed as Secretary of State for Work and Pensions.
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Guy Opperman MP has returned to the Department as Minister of State (Minister for Employment).
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Tom Pursglove MP has moved from the Home Office to take on the position of Minister of State (Minister for Disabled People, Health and Work).
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Mims Davies MP has re-joined the Department as Parliamentary Under Secretary of State (Minister for Social Mobility, Youth and Progression).
Department for Education (DfE)
Department for Levelling Up, Housing and Communities (DLUHC)
Work Local: Unlocking talent to level up (May 2022)
For too long local government has had limited routes to discuss employment and skills issues with government, with funding short-term, fragmented and held centrally, and powers to affect change too remote, unless you are part of an area with a devolution deal.
Our analysis from April 2021 reveals that in England there are 49 national employment and skills-related schemes or services, managed by multiple Whitehall departments and agencies, delivered over different boundaries by various providers. And no single organisation is responsible for coordinating this locally, making it difficult to target and join up provision for learners, unemployed people, career changers and businesses.
The ‘Levelling up the UK’ White Paper could transform the employment and skills system, opening the possibility for new and strengthened devolution and for all places to have devolved powers by 2030. But the LGA’s own Work Local model for an integrated and devolved employment and skills service is a ready-made blueprint for making this happen sooner.
Our latest report, Work Local: Unlocking talent to level up, is our ambitious, practical vision for devolved and integrated employment and skills provision. Our prospectus for change sets out what changes are needed to make all of this happen so that residents, communities, businesses and employers everywhere – whether in a devolution area or not – can benefit from a far more place-based coherent offer that works on the basis that local collaboration is essential.
Work Local: labour market analysis (May 2022)
This paper, produced by the Institute for Employment studies as part of the LGA’s Work Local programme presents some interesting analysis of the differences between local labour markets in England. It shows levels of labour force participation and vacancies; analysis of unemployment and vacancies by areas, to indicate how labour market tightness and slack varies between places; analysis of areas on a range of measures including historic employment growth, earnings, skill levels, job types, and future prospects.
Work Local: benefits of improving employment and skills outcomes (May 2022)
The LGA commissioned Learning and Work Institute to look at the potential economic, fiscal and social benefits of improving employment and skills outcomes in different types of geographies. This publication displays the variations between groups and areas to illustrate the opportunity to do better and both the scope and need for action to ‘level up’. It shows the potential ‘size of the prize’ setting out that greater devolution has the potential to each year result in a 15 per cent increase in the number of people improving their skills or finding work, delivering benefits to residents, businesses, the health and wellbeing of local communities while reducing costs to the public purse.
Supporting young people experiencing disadvantage (May 2022)
A compendium of case studies showcasing the work local government is carrying out to ensure young people experiencing disadvantage are engaged in education, employment and training. They demonstrate good practice, with a focus on initiatives to support young people, including those with special educational needs, young offender backgrounds, Black, Asian and Minority Ethnic (BAME) heritage, and those with experience of the care system. Evidence produced during the delivery of these case studies supports the argument for devolving further responsibility to councils.
Place-based adult skills and training (November 2022)
Improving adult skills is vital to individual progression in work and the productive growth of the economy. The LGA commissioned the Heseltine Institute at the University of Liverpool to evidence the continuing need to improve adult skills and the contribution of local government to delivering inclusive, economically relevant, and place-based training. The report also includes case studies from local areas together with the voices of learners and employers. For further details download the full report or read a summary of the findings.
Learning from the Community Renewal Fund Programme (September 2022)
This publication displays a series of case studies drawing on lessons learnt from the Community Renewal Fund. Although the fund is still active and projects are still being delivered, lessons show how to support the wider recovery and growth funding. The report brings together emerging themes and lessons for future funding opportunities including the UK Shared Prosperity Fund (UKSPF) and Levelling Up Fund Round 2.
LGA in Parliament – inquiry submissions
Workforce skills
The Public Accounts Committee heard from a number of Whitehall departments (the DfE, DWP, and the Department for Business, Energy and Industrial Strategy (BEIS)) officials, as part of their inquiry into developing workforce skills for a strong economy. The LGA submitted evidence to the inquiry which highlighted localised skill challenges such as green skills, the need to create a place-based skills system through Work Local, expanding lower-level skills provision and local government workforce challenges. During the sessions, the LGA’s analysis of a fragmented skills and employment system was highlighted, with committee members asking whether or not this was deterring employers from participating in the skills system. The Committee also discussed the implementation of Local Skills Improvement Plans (LSIPs). LSIPs are expected to take input and work with all stakeholders in the local landscape.
Skills devolution
Work Local, the LGA’s proposals for a devolved and integrated skills system, was discussed by the Work and Pensions Committee at a session of their inquiry into the DWP’s Plan for Jobs and Employment Support. Stephen Evans, the Chief Executive of the Learning and Work Institute told the Committee that Government must give local areas the power to join-up and connect local services, underpinned by outcome agreements with the national government. The LGA previously submitted written evidence to the inquiry.
Full details of the LGA’s Parliamentary work in other areas can be found on our website.
DfE consultation - Implementing a New Further Education Funding and Accountability System
The DfE launched a second-stage consultation on implementing a new further education funding and accountability system for adult skills. This is relevant to the adult skills system as a whole, councils’ adult and community learning functions and devolved functions. The LGA's response highlighting local government’s added value in getting the skills and jobs offer right locally, that the proposal to reduce the scope of adult and community learning should not go ahead, that existing and prospective devolved authorities and their constituent councils should have maximum flexibility to plan their adult skills provision, and that non-devolved councils should be trusted with a new ‘community skills’ planning role. We previously submitted a response to the first consultation (September 2021).
Local Skills Improvement Plans statutory guidance: submission from the LGA
The Government’s published its LSIP statutory guidance earlier this year. The guidance sets out its approach to give local Employer Representative Bodies (ERBs) a lead role in articulating their skills needs in LSIPs. This is a step in the right direction, however, the wide-ranging role of local government – councils and MCAs/GLA – in supporting this process is missing from the Act and statutory guidance. In our response we highlighted that we want ERBs to work well locally and for LSIPs to improve outcomes, so are committed to discussing with Whitehall and partners how local government, with adequate funding, can have a clear role in supporting ERBs and further education (FE) providers.
Local skills dashboard
The DfE launched its new local skills dashboard, showing statistics on local employment and skills data in England to support local skills planning and delivery (including LSIPs). The dashboard shows a subset of employment and skills statistics at Local Enterprise Partnership (LEP) level including employment rates and employment distribution by occupation; online job vacancy units; and further education achievement volumes and achievements by sector subject area.
Supported Internships
The DWP has launched its Local Supported Employment (LSE) initiative to help 2,000 adults with learning disabilities and autism move into work. The initiative is providing grant funding to 24 local authorities in England and Wales, representing an investment of £7.6 million over the next three years.
The DfE has also announced £18m of investments for Supported Internships. The programme will work closely with local authorities to double the number of supported internships by 2025, engaging with employers and young people to level up the quality of Supported Internships across the programme.
T Levels Capital Fund – Wave 5
The £150 million Wave 5 of the T Levels Capital Fund was announced last month. This is for providers delivering T Levels in September 2024. Applications are invited for Specialist Equipment Allocation and the Building and Facilities Improvement Grant (BFIG). The DfE has made some changes to the BFIG application including the match funding, which may be useful for providers. For more information go to DfE website.
Help for employers to better understand the education and skills landscape
The Gatsby Charitable Foundation and a range of partners have come together to help make clearer the education and skills landscape for employers. Supported by the DfE, Confederation of Business Industry, and Chamber of Commerce among others, this new set of resources aims to provide a simple, quick reference guide to the type of support that is available. This new resource is called Education Landscape and it explains how a business can engage with schools, colleges, and universities, and the wider skills system, showing examples of the different ways businesses can benefit. The resources can be adapted by councils to share with their local businesses and supply chains.
Active for Employment
A new report Active for Employment – Enhancing employability through sport and physical activity participation shows how sport is playing a vital role in tackling youth unemployment, key health and societal inequalities, and cost-of-living-crisis. The report is calling on the Government to capitalise on the role that sport can play in helping unemployed young people from disadvantaged backgrounds around the UK move into sustained work and training.
EDSK report calling for more skills devolution
The EDSK report highlights that we need to move away from a top-down, centralised approach to skills. It says employment support should also be devolved to local leaders to get the best value for money from the billions currently spent by the government on various disjointed national schemes.
The potential of adult community education to bolster economic growth
A new report by the Centre for Social Justice, Playing the Ace, shines a light on the invaluable contribution played by local adult and community education providers to helping people engage with learning to move into, or closer to, work, and gain skills to get on in life. It makes a number of recommendations which align closely to the LGA views on adult skills and cites the LGA’s own report Learning for Life: the role of adult community education in developing thriving local communities.
The Commission on the Future of Employment Support
A new Commission on the Future of Employment Support was launched recently and has published a report and accompanying evidence paper. The Commission aims to develop proposals for reform to better help people to find good work, help employers to fill jobs and support economic growth and social inclusion. The Commission has opened an initial call for evidence and are keen to hear your views on what is working well, what can be improved, and what we can learn from the UK and overseas. To get involved email commission@employment-studies.co.uk.
National Inclusive and Sustainable Economies Network
The National Inclusive and Sustainable Economies (NISE) Network is a multi-agency forum which aims to provide a space for senior leaders to explore the evidence, ideas, and practice about how we reset the economy for improved health, shared prosperity, and sustainability. The network is open to senior leaders with an interest including, for example, public health and clinical colleagues, NHS and ICS leads, local and central government departments, civil society, and the third sector. Visit our website to find out how to join the Network.
Webinar: Economic inactivity: how can an inclusive and sustainable approach help shift the dial?
Tuesday 6 December, 2.00-3.15 pm
This webinar, organised by the LGA in partnership with the National Inclusive and Sustainable Economies (NISE) Network, will explore some of the major implications of the rise in economic activity for population health and the wider economy. Book your place on the webinar on the LGA website.
T Level industry placements: benefits for councils
T Levels are technical qualifications for 16-19 year olds. The LGA, supported by the Department of Education and Gatsby, can help councils host T Level industry placements. Hosting a placement can help councils tackle skills and capacity issues, improve diversity in their workforce and promote themselves as a career destination for young people. You can find out more about the support the LGA offers on our website.
These are some of the policy areas that the LGA is working on. If there is any specific area of work that you would like to include in the next edition, or to keep in touch on relevant matters, please email our Employment and Skills Team:
Finally, if you know any council officers who you think would be interested in signing up to this bulletin, please share the following link with them:
https://public.govdelivery.com/accounts/UKLGA/subscriber/new?topic_id=UKLGA_375
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