Further education boosts the economy, states report

The study, commissioned by the Department for Business, Innovation and Skills (BIS) examined the economic value generated by government-funded post-19 qualifications — including apprenticeships, National Vocational Qualifications (NVQs) undertaken in college and workplace settings and Basic Skills qualifications.

The estimates were calculated using data from the cohort of learners that started qualifications in 2008–09.

Key findings include increased wages and improved employment prospects for individuals, as well as benefits to employers stemming from increased productivity; with apprenticeships adding the most value on average, compared to other learning streams.

Vince Cable, secretary of state for Business, Innovation & Skills, said: ‘Further education is a fundamental part of this government’s growth strategy. We have committed to funding at least 250,000 more adult apprentices over the next four years… We have also freed the sector from a number of unnecessary bureaucratic burdens so it can better respond to the needs of learners and businesses.’

Ann Watson, managing director of awarding organisation EAL (EMTA Awards Limited), said: ‘The report states that, compared to other learning streams, an apprenticeship adds the most value of all FE qualifications, which is a case in point for the government increasing funding for apprenticeship places.