HC Deb 01 May 2002 vol 384 cc802-3W
Mr. Sheerman

To ask the Secretary of State for Education and Skills (1) what steps she is taking to ensure that delays in the establishment of sector skills councils do not result in the loss of key staff of national training organisations to the training sector; [53523]

(2) when (a) the sector skills councils for the construction, engineering and hospitality sectors and (b) all sector skills councils will be fully operational. [53524]

John Healey

The ending of Government recognition of national training organisations (NTOs) and the licensing of sector skills councils are separate issues. Organisations formerly with NTO status are independent bodies led by employers, often with responsibilities wider than those which were required for NTO recognition. The continued funding and operation of these organisations is therefore a decision for the board of each body. New contracts have been awarded by my Department to 62 former NTOs from April 2002 for the delivery of specific essential work in support of occupational development. These contracts will conclude on 31 August 2002. The new Sector Skills Development Agency (SSDA), working with other public agencies, will make arrangements for the delivery of essential work to support occupational development from September 2002.

Sector Skills Councils (SSCs) represent a new deal with employers across the UK to improve skills and productivity performance in significant industry and business sectors. SSCs provide the opportunity for collective action by employers, in partnership and with the support of Government, to identify sector skills priorities and lead action to meet them. There is no timetable for introducing the new network as the decision to form a SSC rests with employers. Where employers want to form a SSC, and can meet the published SSC standard for the award of a licence, my Department will supplement employers' investment by contributing up to £1 million each year to support the Council's core work.

Employers in the construction, engineering and hospitality sectors have yet to make a formal expression of interest to the SSDA about forming a SSC for their sectors. Informal discussions have been taking place and formal expressions of interest from these sectors are expected in the next few weeks when invited by the SSDA.