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RFA Meeting 17 October 2008
Regional Funding Advice Meeting
Regional Skills Priorities
Jim Neilson, Director South West Regional Skills Partnership
RFA Meeting 17 October 2008
1. Scope and where are we now2. Issues3. Where do we need to be4. Next steps
RFA Meeting 17 October 2008
Scope
LSC HESKILLS REQUIREMENTS
JC+ LARDA
OTHERS
RSP Collaborative actions
ESF
RFA Meeting 17 October 2008
LSC Priorities
Increase the proportion of people of working age achieving functional literacy and numeracy skills
Increase the proportion of working age adults qualified to at least full Level 2 and 3
Increase the proportion of Apprentices who complete the full Apprenticeship framework
Better integrate employment and skills To increase the proportion of young people achieving level 2 at age 19 To increase the proportion of young people achieving level 3 at age 19 Reduce the percentage of 16-18 year olds classified as “Not Engaged
in Education, Employment or Training”
RFA Meeting 17 October 2008
RSP Priorities
4 Priorities Improving leadership & management skills Developing enterprise skills for all ages Developing skills to increase innovation & creativity Ensuring skills needs, in key sectors in particular, are addressed at
level 3 and aboveSectors workSub Priorities Integration of migrant workers Supporting integrated IAG Supporting strategies for the reduction of NEETs
RFA Meeting 17 October 2008
ESF Priorities
Competitiveness– Extending employment opportunities– Developing a skilled and adaptable workforce
Convergence (Cornwall and the Isles of Scilly)– Tackling Barriers to Employment – Improving the Skills of the Local Workforce
RFA Meeting 17 October 2008
Issues
RFA Meeting 17 October 2008
One of the highest skilled regions
Proportion of the working age population with level 2+ qualifications, all regions, 2007
RFA Meeting 17 October 2008
Productivity & Skills
92
94
96
98
100
102
104
106
108
70 80 90 100 110 120 130
GVA per hour worked, 2006 - Index (UK = 100)
L2+,
200
7 - I
ndex
(UK
= 10
0)
SW
NE
NW
EMWM
YH
London
SE
EEngland
Productivity & Skills are correlated
More qualifications
Better use of skills
Linking skills to business performance
RFA Meeting 17 October 2008
Productivity & Employment
92
94
96
98
100
102
104
106
108
70 90 110 130
GVA per hour worked, 2006 - Index (UK = 100)
Empl
oym
ent
Rate
, 200
7 - I
ndex
(UK
= 10
0)
NE
England
Lon
SESW
EastEM
WMYH
NW
Productivity & Employment are
correlated
SW ‘prosperity’ is largely due to high employment levels
RFA Meeting 17 October 2008
Skills Shortage Vacancies
Skills shortage vacancies as a % of total vacancies, by region, 2007
RFA Meeting 17 October 2008
Regional diversity in skills performance
Working age population with level 2+ qualifications, 2007
RFA Meeting 17 October 2008
Demographics
Projected change in age groups 2005-2020 (in thousands)
• Big increase in older workers• Yet these are the people we are least likely
to train• In fact 75% of our 2020 workforce are in
work NOW
• There will be a decline in prime age workers
614+16%
425-11%
729-16%
380-8%
342+8%
0%
846+23%
122
473+12%
620+20% 559
+21%
97242%
3%
+
-
800
100
200
500
400
300
600
800
700
15-19 20-24 25-29 30-34 35-39 40-44 AGE70-7445-49 65-6960-6455-5950-54
100
200
300
400
500
600
700
900
45-49 60-6455-5950-5415-19 20-24 35-39 40-44
RFA Meeting 17 October 2008
Policy Changes
Leith Review– Demand led system – Employment and Skills Boards– Integration of employment and skills– Shift of 14-19 responsibilities to LAs– Shift from Level 2 to Level 3– Increase in Apprenticeships
Education reform– Increase in participation age to 18– Diplomas
RFA Meeting 17 October 2008
Structural changes
LSC to close Responsibilities being split between Local Authorities, for
pre – 19 provision (regional commissioning group chaired by RDA)
Young People's Learning Agency - help LAs work coherently together in providing for the 14 -19 education
National Apprenticeship Service Skills Funding Agency - administer the flow of £4bn p a to
colleges and training providers National and sub regional Employment and Skills Boards
RFA Meeting 17 October 2008
Where do we need to be?
RFA Meeting 17 October 2008
Leitch
Qualifications held by those of working age
27% 19% 15% 13%
21%23%
21% 18%
22%22%
22%21%
26%
14%16% 18%
20%
23%
14% 20% 21% 23%31%
2%8%
9%6%
0%
20%
40%
60%
80%
100%
1990 1995 2000 2005 Leitch2020
Level 5
Level 4
Level 3
Level 2
Level 1
No quals.
30% with very low skills
29%with high skills
RFA Meeting 17 October 2008
Leitch Targets
95% of adults to achieve the basic skills of functional literacy (at least level 1) and functional numeracy (at least level 3), an increase from levels of 85% for literacy and 79% for numeracy in 2005
More than 90% of adults qualified to at least a full level 2, an increase from 69% in 2005
1.9 million additional full level 3 attainments over the period, at a rate of 213,000 per annum. An intermediate target for 2011 of 56%
40% of adults qualified to level 4 and above, up from 29% in 2005 500,000 apprenticeships a year
RFA Meeting 17 October 2008
SW Baselines v Leitch Target
RFA Meeting 17 October 2008
Regional Funding AdviceNext Steps
17 October Stakeholders meeting 21 October RSP Board meeting to discuss plans 18 November SLIM Consultation event on Skills 27 November RSP special Board meeting to sign off
advice
RFA Meeting 17 October 2008
Related skillsconsultations
Refresh of the Regional Skills, Enterprise and Employment Analysis
Refresh of the RSP priorities Refresh of the ESF Framework Single Regional Strategy