A radical overhaul of the skills system across the UK is needed
if businesses are to avoid the negative effects of Brexit, a new
report from the All Party Parliamentary Group for London warns.
The study looks at the challenges facing
organisations in the capital as they seek to recruit employees
with the right skills to do the job.
It found that London does not have access to the
tools to upskill its population to fill gaps left by a reduction
in EU migration. In addition, the report says that if its
warnings are not heeded, the capital could suck in talent from
around the country to compensate, undermining the Industrial
Strategy and aims of the Metro Mayors.
Now the cross-party group of capital MPs is
calling for a devolution deal for the capital that will give
London government – the Mayor and boroughs – full control over
the skills system, saying that simply ‘tinkering around the
edges’ will not deliver the scale of change needed.
MP, co-Chair of the APPG for
London, said: “For years London’s skills system has
lagged behind that of other world cities, and it is an
understatement to say it is not fit for purpose.
“With Brexit looming on the horizon and the
capital ready and eager to boost Londoners’ skill sets, power
must now be passed to London government so a new, more effective
skills system can be developed.”
MP, co-chair of the APPG for
London, said: “If we fail to grow more of our own
talent, any dip in migration will hit businesses hard, not only
in London but in the UK as a whole.
“We must now seize the opportunity for a
radical redesign of our skills system. With devolution at its
heart, this will help us nurture UK-born talent and present the
capital’s businesses with the skilled workers they need to
continue to contribute £35 billion a year to the national
exchequer.”
The APPG is making a number of
recommendations to improve the skills system in the capital,
including:
Recommendations
· Developing a new, all-age London Careers Service to boost work
experience opportunities and create a ‘one-stop shop’ for
Londoners’ careers needs.
· Devolving all 16-18 skills provision to London government so a
streamlined, tailored approach can be developed.
· Ring-fencing and devolving unspent Apprenticeship Levy funds
generated in the capital to London government so this can be used
to increase opportunities for under-represented groups. This
would be a first step towards full devolution of apprenticeships
policy.
· Devolving European Social Fund replacement funding to London
government after Brexit so it can be targeted more effectively.
