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Brennan: New model to deliver over 14,000 apprenticeship places for small businesses

News Release issued by the COI News Distribution Service on 21 October 2009

Innovative new models to help small businesses take on greater numbers of apprentices are being launched today by Apprenticeship Minister Kevin Brennan.

Twelve organisations have won a share of £7m of Government funding to set up new Apprenticeship Training Associations (ATAs) and Group Training Associations (GTAs). The new models will help a range of organisations, especially small businesses, to offer over 14,000 apprenticeship places for young people over the next three years, with a focus on opportunities for 16 to 18-year-olds. The apprenticeships will be offered in industries vital for the country’s economic growth, including environmental, creative, engineering, manufacturing, logistics and business administration.

Tomorrow, the National Apprenticeships Service launches its “Good for Business” initiative, a campaign to raise awareness among businesses of the long and short-term benefits for employers in the public and private sector of taking on Apprentices.

Speaking from set of the Comedians at the Lyric Theatre Hammersmith, which currently supports apprentices, Kevin Brennan said:

“We want to give small and medium-sized firms the extra support and resources they need to take on more apprentices. These innovative models mean small businesses, who may not previously have felt able to offer apprenticeships, can now get on board and back young Britain. Today’s announcement means greater flexibility for small businesses and greater security for apprentices.

“Apprenticeships are a key route to building the nation’s skills and as we rebuild growth, it’s really important that we continue to invest in people and their skills, especially in industries key to our future economic success. The campaign launching this week will highlight the benefits Apprentices can bring to more businesses up and down the country.”

Apprenticeship Training Associations (ATAs) are companies or partnerships acting as a recruitment agency, placing apprentices with “host” employers. This new model is based on an Australian programme where they provide around 10% of all places. If the host business is unable to continue supporting the apprentice for any reason, they return to the ATA and are re-assigned to another business.

The funding will also help develop and expand new Group Training Associations (GTAs). GTAs have existed since the 1960s. For small businesses which might not have the capacity to provide their own training, a GTA helps them to share expertise with other employers and develop their own dedicated training. The fund has encouraged GTAs to be developed in sectors which currently have low numbers of apprentices.

Iain Wright, Minister for 14-19 Reform and Apprenticeships said:

“Apprenticeships offer young people a valuable opportunity to build their skills and practical experience. We want apprenticeships to be a mainstream option for young people and we are committed to expanding the number of apprenticeship places available. At a time of economic downturn, it is vital that we continue to invest in young people.”

“Today’s announcement will give even more young people the opportunity to build vital skills for the future.”

The nine ATAs and 3 GTAs will provide over 3,000 apprenticeship starts this academic year. The Apprenticeship places offered by these new associations will make a significant contribution to our target of 250,000 people starting an apprenticeship this year and our overall ambitions on Apprenticeship numbers over the next three years.

Simon Waugh, Chief Exec of National Apprenticeship Service, said:

“The National Apprenticeship Service is dedicated to adopting innovative approaches as we increase our employer engagement. Apprenticeships are the optimal way of training, developing and skilling people for the future. These new models will play a vital part in ensuring high quality, flexible provision can be delivered to support Apprentices in all types of business.”

The National Apprenticeship Service is also working with Rathbone and a number of other third sector stakeholders to develop a GTA-type proposal to support third sector employers to benefit from Apprenticeships.

Notes to editors
1. The Government is committed to expanding apprenticeships so that they can become a mainstream option for young people. Over 250,000 people are expected to start an apprenticeship in this academic year.

2. This announcement delivers on a commitment made in the Government’s New Opportunities White Paper in January 2009 to test out innovative approaches to make it easier for small businesses to take on apprentices. The £7m funding to develop the new delivery models is in addition to the £140m package the Prime Minister announced to provide an extra 35,000 Apprenticeship places over this coming year.

3. The winning bidders are:

To view the full list of winners contained in this release, please follow the link below to download the word doc version of this release. http://nds.coi.gov.uk/imagelibrary/detail.aspx?NewsAreaId=28&MediaDetailsID=790&SubjectId=35


4. To view a copy of the National Apprenticeship Service (NAS) prospectus, Testing Alternative Delivery Models: Group Training Associations and Apprenticeships Training Agencies go to www.apprenticeships.org.uk/About-Us/Publications.aspx. The London Apprenticeship Company is the first ATA of its kind in England, a community investment company with five shareholders: City of Westminster College, Westminster Kingsway Colleges, Skillset Australia (the leading Australian provider), Paddington Development Trust (social enterprise) and Vital Regeneration (a London regeneration agency).

6. The New Opportunities White Paper was published on13 January 2009. To view a copy, go to www.hmg.gov.uk/newopportunities.aspx

7. The National Apprenticeship Service (NAS) was launched on 27th April 2009. Reporting to the Departments for Business, Innovation and Skills (BIS) and Children, Schools and Families (DCSF), the service will drive forward the Government’s ambition for Apprenticeships. The service aims to bring about a significant growth in the number of employers offering Apprenticeships. The NAS will assume total responsibility for the delivery of Apprenticeships that includes: Employer Services; Learner Services; and a web-based vacancy matching system. This online system enables individuals to search and apply for live vacancies and allows employers, and their training providers to advertise their vacancies to a wide range of interested applicants. The service has ultimate accountability for the national delivery of targets and co-ordination of the funding for Apprenticeship places. It will act to overcome barriers to the growth of the programme and assume responsibility for promoting Apprenticeships and their value to employers, learners and the country as a whole.

8. For further Information and photos or for an interview with Kevin Brennan, please call the BIS Press Office on 020 7215 5951.

Department for Business, Innovation & Skills

The Department for Business, Innovation and Skills (BIS) is building a dynamic and competitive UK economy by: creating the conditions for business success; promoting innovation, enterprise and science; and giving everyone the skills and opportunities to succeed. To achieve this it will foster world-class universities and promote an open global economy. BIS - Investing in our future.

Contacts:

BIS Press Office
NDS.BIS@coi.gsi.gov.uk

Jane Parsons
Phone: 020 7215 5947
Jane.Parsons@bis.gsi.gov.uk