Review of the recent Apprenticeship levy.

1. High/Degree Apprenticeships: An
Opportunity or Threat for HE?
IES/CHES AGM Middlesex University, 3rd April 2017
Prof Paul Hooper, Faculty of Science & Engineering

2. • Apprenticeships: paid jobs that incorporate on and off the
job training incorporating a nationally recognised
qualification
• Levels:
– Intermediate
– Advanced
– Higher/Degree level (2-5 years)
• H/D Apprenticeships recommended in response to 2003
Lambert Report
• Address employability skills gap
• Receiving increasing political support
Background

3. • Government target of 3 million apprentices by 2020
• Radical change in development of apprenticeships - employers in the driving
seat
• Apprenticeship Levy from April 2017 and new SME funding from May 2017
Small number of Universities at the forefront of developing
and delivering Degree Apprenticeships
Visit by Rt Hon Sajid Javid, Secretary of State to Manchester Met in April 2016
National Context of Degree Apprenticeships

4. • New route by which to address key skills gaps
• Government incentives
• Opportunity to influence curriculum design
• Up-skill current staff as well as recruit new
• WBL – provides an opportunity to combine theoretical,
practical and contextualised learning, company focused
projects, etc.
• Brand and corporate reputation enhancement through links
to youth employment
The benefits - Business

5. • New access route to HE
• Avoids student debt
• More secure route to long-
term employment
• Contextualised learning
provides motivation to study
• Employability skills enhanced
through practical work
experience
The benefits - Students

6. • Grow student numbers
• New income stream
• Employer engagement
• Brand reputation
– ‘Has put us at the top table
with Law firms in Manchester’
• Enhances student
employment KPIs
• Follow-on study
• Local economic impact
The benefits - HEIs

7. • Must be industry driven – demonstrably addressing
employer needs
• Align with apprenticeship ‘Framework’ or ‘Standard’
specification
• Flexible – to complement work-based experience
• Part-time – mode influences cohort catchment area
• Competitive – competing with non-HE providers in some
areas
• Skills competence as well as knowledge-base focus
• Access to market (employers)
• Complex funding arrangements – although Apprenticeship
Levy may simplify things!
Challenge of delivery for HE

8. The new Apprenticeship Levy funding system comes into effect on 1 May 2017
• Employers with an annual pay bill in excess of £3m will pay 0.5% towards the
levy through a new digital apprenticeship account.
• Employers will have a £15,000 annual allowance to offset against their levy
payment.
• The levy will be collected by HMRC through the PAYE system on a monthly
basis.
• Employers who pay the levy and are committed to apprenticeship training will
be able to get more out than they pay in.
• Employers will receive monthly digital vouchers to spend on apprenticeship
training.
New Funding for Apprenticeships

9. • Employers who do not pay the levy will pay 10% towards the cost
of the apprenticeship and the government will co-invest 90%
(this co-investment support also applies to employers who exhaust
their levy pot)
• Employers will not be able to use levy funds or access government
co-investment support to train any individual to undertake an
apprenticeship at an equivalent or lower level than a qualification
they already hold.
• The government will pay for 100% of the apprenticeship training
costs for employers with fewer than 50 staff who take on an
apprentice aged 16-18
• ALL employers (regardless of size) will receive a £1,000
government incentive for taking on an apprentice aged 16-18
New Funding for Apprenticeships

10. Apprenticeship Funding: Levy and Non Levy Payers

11. Response to the Levy
• Gradual realisation that this is a game changer
• CBI etc. asking for delay
• Makes apprentice training and development more central to
business
• Opportunities:
– New talent pipeline
– Train and develop own employees within business
– Convert current training and development
• Concerns that government is focusing on apprenticeship
numbers rather than outcomes (i.e. runs risk of not
addressing skills needs

12. • Prepared in conjunction with Tech Partnership, major
employers and small number of universities
• Developed within one year (challenge for validation!)
• Cross-Faculty provision:
– Centre for Enterprise/Business Gateway
– CMDT
– Digital Business
– Information Technology
• Fully-integrated degree, testing both academic learning
and on-the-job practical training
• Designed to increase the flow of skills into the tech
industry and meet the skills gap in IT
Digital & Technology Degree
Apprenticeship

13. • Need to balance HE and
employer expectations
• Combined open evenings
• Assessment centres for SMEs
• Big employers have established
processes
• SMEs can be a lot of work for ad
hoc recruitment
• Need to maintain client
relationships throughout
Recruitment & selection

14. • 4 years
– Full time employment
– Up to 36 days a year at
University
• Fully-accredited degree
– BSc (Hons) Digital &
Technology Solutions
• Format
– 8 units are be core
– 2 project-based units
– 1 elective from a pre-defined list
– 1 Portfolio
Course Structure

15. IT Consultancy Route
Year 1
* Programming Introduction
* Introduction to Business System
* Web Development
Year 2
* Computing Fundamentals
Customer Relationship Management Systems
* Technology Business Management
Year 3
* Web Design & Development
Business Research Project
Business Intelligence and Strategy
Year 4
* Synoptic Project
Portfolio
Elective
Electives
Developing A Digital Business
Digital & Social Media Marketing
Principles of Business Analytics
Entrepreneurial Practice
UXD

16. Software Engineer
Year 1
* Programming Introduction
* Introduction to Business Systems
* Web Development
Year 2
* Computing Fundamentals
Advanced Programming
* Technology Business Management
Year 3
Computer Network and Operating System
Development Project
Enterprise Programming
Year 4
* Synoptic Project
Portfolio
Elective
Electives
Data Engineering
Mobile App Development
Advanced Web Development
Web Content Management Systems
Digital & Social Media Marketing
UXD
Entrepreneurial Practice

17. • Compliant with the e-Skills Tech Industry Gold Degree
Apprenticeship Standard
• Integrates knowledge and skills competency requirements
through use of reflective portfolios and synoptic project
• Day and block release provide flexibility for employers to
complement in-company experience
• Two routes reflect employer demand of technical and
managerial emphasis
• Genuinely collaborative provision – Programme Advisory Board
• Proactive, comprehensive support provided for students
throughout their time on the programme
Core features of the provision

18. • Extend the learning beyond the
classroom, by giving apprentices a
varied work programme
• Provide a salary and usual terms of
employment
• Design a flexible work schedule
which allows study and university
attendance time
• Provide a mentor who will oversee
the work and coordinate projects
and learning with the university tutor
Messages to Prospective Students

19. Testimonials
"A fabulous opportunity for young people to
earn whilst they learn and for us to be able
to bridge the gap between earning and
learning providing a broad and deep
experience across IT“
Helen Ford
Practice Manager
(New Entrants Programmes)
Group Business Services
Network Rail
"Degree Apprenticeships are an excellent
initiative. From a small employer's viewpoint
they provide access to bright, keen talent at
an earlier age. From a student's viewpoint
they will gain a degree, learn skills directly
relevant to employment, and avoid
significant debt, as they will be earning a
wage. It's a win-win scenario. We
are delighted to working with MMU and the
Tech Partnership on this initiative.”
Howard Simms
Director and Co-Founder
Apadmi
| W: www.apadmi.com | T: @apadmi

20. • New route into HE – student numbers appear to be genuinely
additive
• Employer engagement has proved hugely beneficial:
– Reputation
– Access point for other R&KE services
• Widening participation – especially where existing employees
register
• Surplus generating activity
• Catchment can be extended by e-learning and block delivery
• Excellent employment statistics bear testament to the breadth,
depth and relevance of employability skills enhancement
• Satisfied businesses involved in programme development =
repeat business
Positive experiences to date

21. • Complex and changing funding regimes creates risks:
– Admin requirement for enhanced student tracking
– Financial systems have to accommodate multiple funders
– Political support looks consistent but……
• Employer engagement demands skills not possessed by all staff
• Recruitment – University and employer requirements not always
aligned (novel selection steps)
• Day release vs block/e-learning. Former easiest to incorporate
into conventional timetables, but employers prefer flexibility
• Integrating knowledge base and skills competency
• On-going client relationship management – resource intensive
• At what point will apprenticeship provision begin to compete
with conventional student entry? Implications for mainstream
fees?
Continuing/emerging challenges

22. • Majority of DAs to date in the
engineering/technology/Digital/Management disciplines. What
are the L6 & 7 opportunities for apprenticeships in the
environmental science/management areas?
• Any evidence of employer demand for L6&7 environment-
related DAs
• Integrating DA and FT students – implications for the student
experience and development of ‘employment ready’ students?
• What are the opportunities for HEIs as employers to harness the
Levy to recruit/training staff
• Could provision pose a threat to traditional degree programmes
in this academic area?
Discussion Points

23. Web-resources
• Government announces new degree-level apprenticeships
https://www.gov.uk/government/news/government-rolls-out-
flagship-degree-apprenticeships
• Full list of new ‘Trailblazer’ Apprenticeship standards
https://www.gov.uk/government/collections/apprenticeship-
standards
• List of ‘Trailblazers’ - standards in development
https://www.gov.uk/government/publications/apprenticeship-
standards-in-development
• For detail of Sub-Committee report on Apprenticeship – critical
of Levy application published 31st March 2017
http://www.parliament.uk/business/committees/committees-a-
z/commons-select/education-skills-and-economy/news-
parliament-2015/apprenticeships-report-published-16-
17/?mc_cid=74be5f564d&mc_eid=9c2798ad65

24. Questions