1. Lord Baker of Dorking C.H.
The Skills Gap
Lord Baker of Dorking C.H.

2. The economy is changing
Source: UKCES, Working Futures Evidence Report, 2011

3. An even bigger story: the baby boomers are retiring
Source: UKCES, Working Futures Evidence Report, 2011
(Thousands)

4. Huge numbers of people will be needed by 2020
Between 2012 and 2020, we need –
830,000 SET professionals (degree level)
450,000 SET technicians (levels 3 and 4)
SET = science, engineering and technology
Figures include growth + replacement demand (mainly to replace baby boomers planning to retire)
Source: Royal Academy of Engineering and Big Innovation Centre, Jobs and growth: the importance of engineering skills to the UK economy,

5. But supply won’t meet demand
Demand for science, engineering and technology graduates: 104,000 per year between 2012 and 2020
Number of new graduates taking UK jobs in SET occupations: 64,000 per year
Shortfall: 40,000 graduates per year
Source: Royal Academy of Engineering and Big Innovation Centre, Jobs and growth: the importance of engineering skills to the UK economy

6. Education is out of step with the economy.
Schools, further education colleges, training providers and universities are failing to deliver the skills we need today, let alone tomorrow.

7. Higher education has grown rapidly – but not in all subjects
Source: HESA, Higher Education Statistics for the UK 2001/02 (accessed via and 2011/12 (accessed via

8. Many graduates are under-employed
Source: Futuretrack Stage 4: transitions into employment, further study and other outcomes, prepared by Warwick Institute for Employment Research for the Higher Education Careers Service Unit, November 2012 –

9. Apprenticeships have grown – but the numbers are unbalanced
Number of s starting apprenticeships in 2011/12
% change since 2010/11
Business, admin and the law
80,320
14.5%
Retail and commercial enterprise
63,670
7.6%
Health, public services and care
49,910
10.5%
Engineering and manufacturing
38,100
6.8%
Source: The Data Service, Apprenticeship Programme Starts by Sector Subject Area, Level and Age (2002/03 to 2011/12), published March

10. Britain’s plight
Only 4% of 15 year olds in the UK want careers in engineering and computing ...
… placing the UK 35th out of 37 countries in an OECD survey.
Source: OECD Education at a Glance

11. Other countries value vocational education more highly …
Source: Eurostat, Pupils in upper secondary education enrolled in vocational stream (2010), accessed via

12. …and have lower youth unemployment
Source : Eurostat, Unemployment rate by age group, 2010, accessed via

13. The connection is obvious
Sources:
Eurostat, Unemployment rate by age group, 2010, accessed via
Eurostat, Pupils in upper secondary education enrolled in vocational stream (2010), accessed via

14. UK and Austria UK
Austria
Participation in vocational upper secondary education, 2010
32.1%
76.5%
Under 25s unemployment rate, 2010
19.6%
8.8%
Source: Eurostat 2010
Participation in upper secondary vocational and pre-vocational education: Education at a Glance 2012 (OECD)
Young People Aged 18–24 Not in Employment and Not in Any Education and Training, by Sex and NUTS 1 Regions (NEET rates), updated 6 August 2012 (Eurostat)

15. We are wrong to delay technical education
In Austria, technical education starts at 14.
In England, most technical education starts at 16 – two years behind.

16. Too many young people start – rather than finish – level 2 at 16
Source: The Data Service, Vocational Qualifications in the UK supplementary release, March 2013, achievement of QCFs by type of achievement and academic age (supplementary table 7) -
QCF: Qualifications and Curriculum Framework

17. The time has come to rethink 14-18 education

19. What is a UTC? Independent state school 14-18 age range
All-ability intake
Sub-regional
Commitment of a local university
Employers involved from the start in shaping and delivering the curriculum

20. Curriculum 40% 60% 40% 60% 14 - 16 Post-16 Technical
General & bridging
40%
Technical
Post-16
40%
General & bridging
60%
Technical

21. Key characteristics of UTCs
Technical and academic education are integrated
Practical work is as highly valued as academic work
Longer days (8-30 to 5) and school years (36-40 weeks)
Enrichment for all
Curriculum projects devised by employers and universities
Progression routes include HE, FE, Apprenticeships and employment

26. What’s more …
Every student who left the JCB Academy last summer had somewhere to go –
Apprenticeships
Further education
University
Work

27. Four types of 14-18 college:
UTCs
Liberal arts colleges
Career colleges
Performing arts and sports colleges

28. Thank you