A freeze on new Scottish Modern Apprenticeships begins on 1 April 2024.
Skills Development Scotland (SDS) – the national skills agency which delivers Modern Apprenticeships – is still waiting for the Scottish Government to approve its budget. Until the budget is approved, SDS is unable to issue contracts to the training providers, colleges and employers who deliver Modern Apprenticeships, resulting in a freeze on new places being available.
Modern Apprentices already in training will not be affected.
Thousands of young people who had expected to start a new Modern Apprenticeship in April have been left in limbo because of the freeze.
Hundreds of employers who had plans to hire new staff have had to put their recruitment plans on hold. And training providers who deliver the apprenticeships are facing cash flow issues, with some facing the prospect of laying off staff.
It is unclear if the delay is due to bureaucratic process or if the Scottish Government is seeking to cut the budget for Modern Apprenticeships.
Whilst the UK Apprenticeship Levy is estimated to generate more than £350 million from Scottish employers, the Scottish Government currently only spends around £100 million on Modern Apprenticeships.
Funding rates for the delivery of apprenticeships are significantly higher in other parts of the UK, due in part to the Scottish funding rates not having been reviewed for more than a decade.
STF Chief Executive, Stuart McKenna, said: “It’s ironic that this week the UK Government has announced 20,000 more apprenticeships and an increase in budget of £60 million for England, but in Scotland we are still struggling to get contracts issued in a timely manner.”
“This freeze will leave many apprentices, training providers and employers in limbo.”
“We urgently need the Scottish Government to agree the SDS budget so that delivery contracts can be issued.”
Press release: Freeze on New Modern Apprenticeships From 1 April 2024 (PDF)
