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Update on Train to Gain

Update on Train to Gain. Mary Francis Director of Operations London South LSC. Background. Train to Gain will create a network of impartial specialist brokers to stimulate demand for skills from Employers.

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Update on Train to Gain

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  1. Update on Train to Gain Mary Francis Director of Operations London South LSC

  2. Background • Train to Gain will create a network of impartial specialist brokers to stimulate demand for skills from Employers. • National Framework for Brokerage with regional variations, building on the lessons learnt from ETP and ESO. • Demand led not PSA target driven. • A key aim is to improve the quality, flexibility and responsiveness of the supply side.

  3. Key Features • Specialist Skills Brokers will be selected via OJEU process. (ongoing ). • Integration with GIDB service run by Business Links, to provide a seamless service between skills and business support, for SMEs. • London budget is circa £27 million in year 1. (12.2% of national pot) • Brokerage budget is circa £4.5 million p.a. ; leaving £22.5 million for Assess - Train –Assess type provision. • Focus on businesses that are “new and hard to reach” but some existing employers can benefit. • Holistic brokerage with subsidy for Skills for Life, & first Level 2.

  4. London Priority Sectors • The following 7 sectors have been agreed with Partners as the priority sectors for London:- • Built environment /construction • Business & Financial Services • Health & Care • Hospitality & Tourism • Manufacturing & Engineering • Retail • Transport & logistics.

  5. Recent Developments • Wage compensation pot of £38 million nationally. • Ratio of “new” to existing employers will be 60:40 in London. • Brokers will deliver Pan London by vocational sector. • There will be a maximum of 7 brokerage contracts in London. • 80% of the training fund will be allocated to Providers ; 20% held regionally for rapid response.

  6. Next Steps & Timetable • Brokerage providers will be announced on 17th February. • A regional prospectus will be issued in February for all Providers who wish to deliver under Train to Gain. • Tendering against the prospectus will take place in March. • The roll out will commence in April 2006 in East London and in the rest of London from August . • London South has a small capacity building budget to help prepare Providers. SLLP will co-ordinate and manage.

  7. Key Issues • Train to Gain is a major step change that marks the start of the contestability agenda. • It is a threat and an opportunity for all Providers that requires a strategic response and careful planning. • Employers will be “purchasers” and given a choice of Provider. • All mainstream providers will be asked to increase the quality and quantity of core workplace based employer provision. (Regardless of whether on not they get a Train to Gain allocation). • Access to Train to Gain funding will be in addition to mainstream and is available only once the core target has been exhausted.

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