5. Debate on the Economy, Infrastructure and Skills Committee report: Apprenticeships in Wales

Part of the debate – in the Senedd at 4:31 pm on 9 May 2018.

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Photo of Mohammad Asghar Mohammad Asghar Conservative 4:31, 9 May 2018

I welcome the committee report, which addresses issues regarding one of the greatest challenges facing the Welsh Government: how to address the skill gap in Wales. The British Chamber of Commerce's quarterly economic survey for the final quarter of 2017 indicates that skill shortages are reaching critical levels. Firms in the services and manufacturing sectors report difficulties in recruitment. They claim that the survey results emphasise the need to kick-start the economy by addressing the barriers to growth, in particular the growing skills gap that is hindering the ability of companies to find the workers that they need to develop. Commenting on results, the director general of the British Chamber of Commerce said:

'Labour and skills shortages are set to be the biggest potential drag anchor on business in 2018, since ultimately it is people that make businesses work.'

Having skills can greatly add to a worker's potential earning in Wales because skilled workers are in such short supply here. I am concerned that the Welsh Government is failing to promote the benefits that apprenticeships can bring to students at early stages. Career information in schools about apprenticeships is vital if we are to increase the supply of trained workers that our economy desperately needs. The committee notes issues with the quality and availability of careers advice, including the lack of trained careers advisers, and the lack of knowledge of apprenticeships and vocational training among school staff. Schools also exhibit a tendency of encouraging pupils towards the study of A-levels. Further education and work-based learning organisations need greater access to schools to broaden the range of advice that young people receive about their future prospects. By doing so, I am confident that this will go some way to tackling the worrying gender imbalance and under-representation of disabled people that we currently see in apprenticeships in Wales.

Having encouraged young people to take up an apprenticeship, we must now look at the level of support we provide them with. There is substantial evidence that financial barriers, such as transport costs, are discouraging and, in some cases, preventing young people from taking up apprenticeships. The committee calls on Welsh Government to create a competitive hardship fund for apprentices on the lowest pay level or to create other concessions, such as concessionary bus or rail cards as already exist for some students in other parts of the United Kingdom. In October last year, the Welsh Conservatives pledged to give free bus travel and a third off the cost of rail tickets to all 16 to 24-year-olds in Wales. Last month, Jeremy Corbyn announced plans to give under-25s in England free bus travel. So, it would be ironic indeed if we in Wales, the only nation in the United Kingdom where Labour is in power, denied our young people the support they need to access the skills needed to build our future economy.

I would like to say a few words about digital skills in Wales also. Nearly half of all small businesses in Wales lack the business digital skills that could help them to improve productivity and save costs. One of the barriers holding Welsh firms back from doing more online is a lack of staff with digital skills. Deputy Presiding Officer, I believe the recommendation in this report represents a potential major step forward in boosting the number of apprenticeships and providing Wales with the skilled workforce that is needed now and in the future.

In Wales, Deputy Presiding Officer, I have learned to fly, and I know people 20 years ago used to go for vocational training to get their pilot licence. I'm pretty sure a number of world airlines must be employing those pilots, those who are actually not doing other things—they became pilots and serve their nations. If the Conservatives come into power, there are a couple of areas we shall certainly do: gender, age and NEETs—not in education, training or employment. These people, we'll make sure they will learn for their full potential in life according to their aptitude test. We must have some sort of system in the education department to make sure that our children grow and achieve their full potential in life, according to their aptitude and ability in life, no matter whether able, disabled, man, woman, young or old. They will all be equal in the eyes of the Conservative Party. Thank you.