We need to devolve skills provision to avoid youth unemployment rising. Photo: Getty
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Government has the wrong approach to tackling the skills gap

With youth unemployment falling to 733,000, it is time for devolving skills to improve the prospects for young people and safeguard against any future rise in the figures.

Centralised power has its merits, but when it comes to skills and training, the status quo is simply not working, and a local approach is desperately needed.

ONS figures due in a couple of weeks are expected to show a slight dip in the number of unemployed 16-24 year olds, but a fundamental disconnect remains between the skills the UK is producing and the skills employers need. Take London as an example - there is no shortage of jobs, but businesses are struggling to fill one in three vacancies because of a lack of suitable candidates. The government's £4bn spend on skills provision in England is not delivering value for money, with too much spent on hair and beauty and health and safety training when the general trend is moving towards more high-skilled sectors such as digital, engineering and science.

Addressing the mismatch in the skills provision has to be a priority or the current and future generations will be unable to compete with a highly-skilled international workforce.  Skills support must follow a demand-led model and be closely aligned with the needs of the local economy.

Whitehall is not best placed to determine the skills needed in Manchester, Newcastle, London or Birmingham. It is local councils that need to take this leadership role as they have the comprehensive local knowledge and relationships with education institutions, employers and training providers in the area. Having central government hold the purse strings is not only inefficient but it is neutering our ability to tackle unemployment.

There is already extremely valuable work being done at a local level with town halls leveraging their strong community links and acting as a broker between learners and businesses. Devolving budget responsibility will enable local governments to take a more long-term view of skills needs. They can then respond effectively to the ever-changing jobs market and ensure residents have the requisite skills to get ahead.

So, how local should the approach go? There is no one size fits all solution, which highlights once again how the UK skills system is misjudged. In London for example, each borough has vastly different business characteristics and economy. Through our charity, the City Bridge Trust, we offered grants of £100,000 to each London borough to support projects run by third sector organisations to reduce youth unemployment, because we recognise the granularity of the capital's jobs market. The money is being used by local councils to fund community projects and skills providers who work with the hard to reach and understand the support and training needed to help their residents find and sustain employment.

In Waltham Forest, which borders the expansive Epping Forest open space, managed by the City of London Corporation, there are a number of opportunities in the booming horticultural industry, while the borough of Hackney is perfectly located to take advantage of jobs in the local digital sector - Silicon Roundabout. In the City, commercial developments such as One New Change have seen more demand for retail experience. This has led to us backing the Cheapside Employment Project - a free service to employers that provides customised training for local residents and matches them with vacancies in the retail, hospitality and construction sectors. Many unemployed or low-paid young people cannot afford to travel outside of their community, so it is vital that there is local training provision aimed at getting those people into jobs close-by. Looking through a national lens, these nuances are missed.

The devolving skills argument is showing no signs of abating because it makes practical sense. Youth unemployment is a complex and long-term problem but the solution is obvious. Councils already have strong community relationships and engage regularly with local businesses and colleges on a strategic level. They facilitate greater collaboration within the community; developing apprenticeships, internships and corporate volunteering partnerships that bolster economic development in the area.

By and large, councils have a good track record with aligning skills support with the needs of employers. They must be given the freedom and funding to enhance skills provision and ensure young people are fully prepared for the labour market.

Mark Boleat is the policy chairman of the City of London Corporation

Mark Boleat, Policy and Resources Chairman, City of London Corporation.

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Donald Trump vs Barack Obama: How the inauguration speeches compared

We compared the two presidents on trade, foreign affairs and climate change – so you (really, really) don't have to.

After watching Donald Trump's inaugural address, what better way to get rid of the last few dregs of hope than by comparing what he said with Barack Obama's address from 2009? 

Both thanked the previous President, with Trump calling the Obamas "magnificent", and pledged to reform Washington, but the comparison ended there. 

Here is what each of them said: 

On American jobs

Obama:

The state of our economy calls for action, bold and swift.  And we will act, not only to create new jobs, but to lay a new foundation for growth.  We will build the roads and bridges, the electric grids and digital lines that feed our commerce and bind us together.  We'll restore science to its rightful place, and wield technology's wonders to raise health care's quality and lower its cost.  We will harness the sun and the winds and the soil to fuel our cars and run our factories.  And we will transform our schools and colleges and universities to meet the demands of a new age.

Trump:

For many decades we've enriched foreign industry at the expense of American industry, subsidized the armies of other countries while allowing for the very sad depletion of our military.

One by one, the factories shuttered and left our shores with not even a thought about the millions and millions of American workers that were left behind.

Obama had a plan for growth. Trump just blames the rest of the world...

On global warming

Obama:

With old friends and former foes, we'll work tirelessly to lessen the nuclear threat, and roll back the specter of a warming planet.

Trump:

On the Middle East:

Obama:

To the Muslim world, we seek a new way forward, based on mutual interest and mutual respect. To those leaders around the globe who seek to sow conflict, or blame their society's ills on the West, know that your people will judge you on what you can build, not what you destroy. 

Trump:

We will re-enforce old alliances and form new ones and unite the civilized world against radical Islamic terrorism, which we will eradicate completely from the face of the earth.

On “greatness”

Obama:

In reaffirming the greatness of our nation we understand that greatness is never a given. It must be earned.

Trump:

America will start winning again, winning like never before.

 

On trade

Obama:

This is the journey we continue today.  We remain the most prosperous, powerful nation on Earth.  Our workers are no less productive than when this crisis began.  Our minds are no less inventive, our goods and services no less needed than they were last week, or last month, or last year.  Our capacity remains undiminished.  

Trump:

We must protect our borders from the ravages of other countries making our product, stealing our companies and destroying our jobs.

Protection will lead to great prosperity and strength. I will fight for you with every breath in my body, and I will never ever let you down.

Stephanie Boland is digital assistant at the New Statesman. She tweets at @stephanieboland