Integrated pathways to inclusion in London Open Days Integrated pathways workshop Wednesday 8 October Alex Conway, Head of European Programmes Unit, London Development Agency

2 London is wealthy… UK GVA by region, £million, 2006 Source: Regional accounts, Office for National Statistics

3 …but not everyone shares the money… Employment rate by region, 2006 Source: Annual Population Survey, Office for National Statistics

4 …partly due to poor skills… London and UK employment rate by qualification Source: Annual Population Survey, Office for National Statistics

5 …that dont match Londons changing labour market. Changes in employment by sector, Source: GLA Economics

6 The new London Skills and Employment Board… 6 Government Departments Local Sub-regional National Regional Skills Alliance Sector Skills Councils Jobcentre Plus National Office for Standards in Education and Skills Higher Educ Funding Council Qualifications & Curriculum Authority UK Commission for employment and skills BERR Univ. for Industry learndirect National Learning &Skills Council (LSC) Learning & Skills Improvement Service London Mayor Skills and Employment Board LDARegional LSC Local LSCs New Deal for Communities Business Link Investors in People Jobcentre Plus & Providers Connexions 33 Local Authorities Local Strategic Partnerships Other Training Providers Specialist Colleges Schools & 6 th Form Colleges FE colleges Jobcentre Plus Employment Zones Universities Learndirect centres DIUS DWPDCSFHMT Universities DCLG Train to Gain Brokers IndividualsEmployers Employers & Employer Organisations Trade Unions & Professional Associations IAG Partnerships Skills Academies City Strategy Pathfinders

7 …has a key strategic role London Development Agency c. £75m X ESF LSEB IndividualsEmployers London Learning and Skills Council c. £600m Y ESF London JobCentre Plus c. £200m Z ESF ESF 33 Local Authorities

8 Its final strategy focuses on three aims: (1) Engaging and working with employers GOAL: INCREASED EMPLOYER ENGAGEMENT One stop shop approach Needs to make business sense Needs to be easy to access Needs hard-edged commitments Employer Business case campaign London Employer Accord OUTCOME: MORE JOBS AND SKILLS FOR LONDONERS

9 Main Issues The DWfL Programme is specifically designed to target and address issues of workplace discrimination across the six equality strands of Race,Gender, Disability, Age Sexual orientation Religion or belief in Londons Private Sector organisations. The overall objective of the programme is to foster a sustainable commitment from within the business community to combat workplace discrimination and promote supplier diversity. Example workforce project: LDA Diversity Works for London Programme Overview Strategic objectives: Championing the business case for diversity seeking out, promoting and sharing good practice Engaging and working in partnership with the private sector in promoting equality Campaigning for and enabling Londons business to reflect the capitals diversity in all levels of their workforce and supply chains

10 (2) Supporting Londons people Effective advice Employability provision Awareness & aspiration Coherent information WORKLESS AND / OR LOW-SKILLED LONDONERS SUSTAINED EMPLOYMENT AND PROGRESSION

11 (3) Building an integrated delivery system Challenge: Skills system focused on qualifications not pay and job prospects, employment system focused on job entry not sustainability and progression Solution: Single integrated aim of sustained employment and progression Challenge: Funding based on central plans not individual or employer demand Solution: Demand-led funding – Train to Gain for employers, Skills Accounts for individuals Challenge: Services currently commissioned according to agency boundaries, not individual need Solution: Joint investment planning – ESF too?

12 Intended outcome To deliver: An increase in Londons employment rate from 70% today to 72% by 2013 Significant improvements in skills and workforce training, particularly at the bottom end, putting London on track for the national goal of world-class skills by 2020 More details at

13 ESF in the UK England and Gibraltar is single 3 billion ESF programme with regional components English programme is entirely cofinanced Matchfunding provided by public sector organisations with skills/jobs remits that issue their own Invitations to Tender or prospectuses Cofinancing pioneered in London

14 Londons ESF programme 2007s National Operational Programme and Mayors London Regional Framework agreed 476m to invest in London under Priorities with the objectives below: Priority 1: Extending Employment Opportunities - 304m - reducing unemployment Priority 2: Developing a Skilled and Adaptable Workforce - 167m - improving skills of the employed Technical Assistance - 5m - To assist management and development of the programme Match funding provided by 4 co-financing organisations (CFOs): - Learning and Skills Council (60%), - Department for Work and Pensions (25%), - London Development Agency (12%), - London Councils (3%) Each CFO has produced its own plan and prospectus, detailing the funding available and outputs expected for EPMU co-ordinates this process; and manages and monitors CFO performance. For , a second Regional Framework will be drafted by EPMU and agreed with partners, and remaining ESF will be committed via a second round of CFO plans More details at – click on the European flag!

15 ESF in London London is unique – only region with elected regional assembly and Mayor, and biggest UK ESF programme. Priority 1 – Extending Employment Opportunities –1.1: Improving employability/skills of unemployed and economically inactive –1.2: Employment/skills activities at young people (14-19) not in education, employment or training (one intervention per person!) –1.3: Community grants programme for those furthest from labour market Priority 2 – creating a skilled and adaptable workforce –2.1: Increasing employees with basic skills, including English –2.2: increasing employees with level 2 skills –2.3: increasing employees with level 3 & 4 skills Priority 3 – Technical Assistance

16 ESF London programme and inclusion Londons 952m ESF programme will benefit 285,300 participants Priority 1: 158,000 people to be included –22% with disabilities –12% lone parents –18% over 50s –56% ethnic minorities –51% female Priority 1 Results: 22% participants into work: (26% in work after 6 months); 45% in job search activity/further learning; 45% NEET in education, employment or training

17 Integrating inclusion issues in London No shortage of mainstream programmes aimed at these target groups But ESF allows different approaches to promoting inclusion –Knock on doors in areas of high unemployment –Talk to parents at school gates –Get referrals from doctors for people on incapacity benefit –Advice in different languages Need to transfer what works to mainstream programmes Innovation and transnational programme to be launched shortly –Let me know if you might be interested in partnering a London organisation bidding for these funds!

18 Integrating ESF with other London initiatives Successes and challenges CFOS have clearly defined roles –But roles keep changing ESF CFO programmes developed and cleared collectively, not in isolation –Still chasing same participants/beneficiaries? CFOs also control other sources of jobs/skills funding –But are they joined-up internally? ESF programme has been simplified –But can we go any further when ESF has separate and complex monitoring and audit requirements? LSEB has set out its agenda –But will it have teeth? –Further members to be announced shortly

19 Challenges ahead Learning and Skills Council to be abolished –How does this affect delivery of ESF and non-ESF programmes? Joining up European, national and regional priorities –Mayor and national government are from different political parties –European funds can help some aspects of inclusion, but not all Meeting the agenda of the new mayor –Supporting and developing Youth –Tackling crime, especially gang crime Making a difference - in tougher economic climate - and raising employment levels

Thank you Alex Conway, Head of European Programmes Unit, LDA,