Unlocking the full potential of apprenticeship funding will require stronger collaboration between businesses, educators and government – especially to support SMEs and inspire the next generation.

The government’s announcement of a record £1.2 billion annual boost to skills and training in the spending review builds further on previous measures to boost apprenticeship uptake among younger people, such as skills reforms earlier this year. This additional funding is a positive step, but in order to actually drive change, close the skills gap and attract young apprentices, it’s essential for companies to take a collaborative approach. This would entail sharing knowledge with each other and working alongside educational institutions to raise awareness of opportunities among young people.

Many SMEs aren’t currently benefiting from available funding, despite being prime candidates. Lack of awareness about which companies are eligible for funding, how to access it and how to use resources efficiently is stifling potential opportunities for apprenticeships and businesses alike. Larger businesses are typically more able to make the most of available resources because they often have more access to information about how the funding works and unlike their smaller counterparts, are targeted with more awareness campaigns. To combat this problem, the Construction Industry Training Board (CITB) is working hard to encourage large businesses to assist smaller subcontractors within their supply chain, through initiatives such as various CITB funding streams.

The government’s Apprenticeship Levy is a key funding pot available to businesses which wish to invest in new talent, and organisations that don’t use their Apprenticeship Levy can transfer it to small businesses, so the money isn’t wasted. Doing this can also provide an essential boost to social value generation, as well as helping people get into work.

While access to, and understanding of, funding is one key issue, another challenge lies in addressing the stigma surrounding apprenticeships. Prejudices are slowly dissipating, but more can be done to attract new talent, and collaboration between the government, construction industry and education institutions is essential.

Being proactive will help companies to avoid missing out on talent, and delegates should consider engaging proactively with schools to raise awareness among young people about construction jobs and inspire them to enter the industry. Mentoring programmes that span weeks or months enable businesses to nurture the next generation of talent, with the time to help young people develop practical skills, such as interview techniques. Offering meaningful work experience will also give a taste of working in the sector and enable companies to share success stories that demonstrate the funding is working.

It’s important to note that the recruitment landscape has completely changed – it’s no longer just about what candidates can provide for a company, but also what a company can provide for its employees. Job seekers care whether businesses are sustainable and what benefits are on offer, so companies should think about their employer brand, the perks they offer, and their company culture to ensure they’re attractive to candidates.

The government is demonstrating long-term commitment through sustained investment, which is a positive step towards closing the skills gap. It’s now down to collaboration between the government, construction industry and educational institutions to ensure the funding achieves its potential.

Attributed to Sam Sutcliffe, HR Officer at Premier Modular