CoronavirusApr 9 2020

Industry shifts apprenticeship training online amid Covid-19 disruption

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Industry shifts apprenticeship training online amid Covid-19 disruption

Adviser networks and industry bodies have pledged to continue encouraging trainees to join apprenticeship programmes despite the coronavirus pandemic.

Tenet said its network was still making use of apprenticeships wherever possible, but has moved to remote learning to allow training to continue while the country is in lockdown.

Keely Craig, group finance director at Tenet, said: “We are absolutely still making use of apprenticeships as much as possible at Tenet and are still actively encouraging our people to participate in programmes.

“Just this week, we had a member of staff commence her Level 3 Financial Services Administrator apprenticeship via a remote induction, so it absolutely can still be done from a practical perspective, in spite of the current lockdown.”

The Personal Finance Society has also moved to focus on virtual training in order to minimise the impact on trainees who are mid-way through their programmes.

It is also signing up new recruits, to encourage more individuals to join the industry at a time when their services are needed more than ever.

Keith Richards, chief executive of the PFS, said: “The detrimental effect of the Covid-19 situation on apprenticeship schemes, providers and trainees is a key area of focus for the PFS during this challenging time.

“Professional development and supporting people into careers in the personal finance profession sits at the heart of everything we do. 

“We are proud of the success of all those who have trained and qualified via our own PFS-Aspire apprenticeship programme as well as through our programmes across the sector.”

Neil Moles, chief executive of financial advice firm Progeny, welcomed the fact that apprenticeships were being actively promoted despite the current climate, saying the profession needed new recruits.

Mr Moles said: “It’s important as a profession that we’re always mindful of nurturing and investing in the next generation of advisers.

“Financial advisers perform an invaluable role in society. Anything that threatens the numbers of new recruits into our profession is concerning.

“With the average age of a financial adviser in the UK today being somewhere in their mid-fifties, and rising, it’s vital we are doing everything we can to ensure a pipeline of fresh talent for tomorrow.”  

Contrary to apprenticeships being on the brink of collapse, they are actually seeing more work going into apprenticeships, as people have more time to focus on these at the present time. Keely Craig

However, apprenticeship programmes which are unable to be moved online could face disruption as training providers lose their funding.

According to guidance from the Department for Education on providing apprenticeships during the coronavirus crisis, training providers will continue to receive funding for training they have delivered and can evidence. 

But providers will not receive payments for learners who are on breaks in learning.

If there is a break in learning for more than four weeks, the payment of funding to the training provider will be suspended for the duration of the break in learning.

Ms Craig said: "The feedback we have had from our own providers is that funding is only being withheld where companies are stopping their apprentices completing apprenticeship work remotely. This would result in a ‘break in learning’, meaning no funds can be withdrawn from the apprenticeship levy account.

"Our providers have said, contrary to apprenticeships being on the brink of collapse, they are actually seeing more work going into apprenticeships, as people have more time to focus on these at the present time.”

The DfE said where the Covid-19 outbreak results in loss of income due to ceased or reduced delivery of training, training providers should apply for financial support announced by the Treasury for businesses, including the government’s Coronavirus Business Interruption Loan Scheme.

A DfE spokesperson said: “Our top priority is making sure all apprentices can continue studying and complete their apprenticeships, and many providers are offering online learning to ensure apprentices get the skills they need.

“We are continuing to fund apprenticeship providers for training they are delivering, and will make payments in April for that delivery as scheduled. We have also published guidance for apprentices, employers and training providers about online learning, additional flexibilities around breaks in learning and how and when end point assessments can be conducted.”

Last week, the Association of Employment and Learning Providers launched a survey of its members, which includes 279 training providers and 12 colleges, to see how they expect coronavirus to impact their funding.

It found due to the lack of funding, 49 providers may have to close altogether, while 79 will pause business for the foreseeable future and 154 will downsize.

Only a handful were confident that they would be able to operate as normal.

Due to this, the AELP said 52,000 young people will lose their apprenticeship across a range of industries and another 60,000 students could be adversely affected by reduced training capabilities.

Mr Richards said: “That said, we are pleased to see that many of the partner organisations we work with have been quick to adapt their delivery model to focus more on virtual training in line with the needs of trainees to help minimise impact. 

“New learners are also still being signed up by our preferred providers through the Aspire programme.

“However, we would be remiss to ignore how what chancellor Rishi Sunak identified as an economic crisis evolves day-to-day and so we will do all we can to support partner organisations, to ensure apprentices continue to receive world-leading training in both insurance and personal finance.”

amy.austin@ft.com