Page 18 - Regional Employment & Skills Plan 2018

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d) Access to services
Rurality and in particular deep rurality places significant pressures on the delivery of services due to a number of different factors which include;
• Lower population densities which make achieving relative economies of scale difficult, this can include a low number of clients for services to support, making costs expensive for delivery bodies as well as limiting potential engagement opportunities.
• Large travel distances between conurbations increases time and cost for accessing services, this can hinder the skills development of individuals within rural areas who may encounter these barriers.
• Poor digital connectivity remains a challenge due to the cost of installing fibre broadband, issues with ‘the last mile of connectivity’ remain a significant challenge for many in rural areas.
2.2.4 Apprenticeships
5,635 learners studied through apprenticeship programmes in South West Wales in academic year 2016/17, this is a very small decrease of 1% compared with figures for academic year 2015/16. From a Mid Wales perspective 1,280 learners studied through apprenticeship programmes in academic year 2016/17, this is a 5% decrease on figures for academic year 2015/16. To view this data in detail, click here. Given the economic and social value apprenticeships hold more can be done to see a greater level of take up. Employer evidence highlights many issues which could be addressed by an increased level of workplace experience and learning which apprenticeships can provide. There are many benefits to both employer and learner and in turn the economy as a whole.
Benefits to Business:
A typical apprenticeship completer is understood to raise productivity by £214 per week. At a sectoral level, apprenticeships are estimated to raise the productivity5 of a typical completer by:
• £83 per week in the retail sector
• £114 in the healthcare, public services and care sector
• £268 in the business, administration & legal sector
• £401 in the construction and planning sector; and
• £414 in the engineering and manufacturing sector
Further benefits include improvements in product or service quality, productivity and staff morale.
Benefits to the Economy:
An evaluation report of Work-based Learning in Wales, 2007-2011 (Welsh Government, 2014) illustrates the economic and social value of apprenticeships in Wales. In terms of the economic value of apprenticeships, the report provides an estimate of the value of apprentices to the Welsh economy:
• Foundation Apprenticeship (Level 2) annually generates around £510 million value to the Welsh economy (based on latest participation levels).
• Apprenticeship (Level 3) annually generates a similar £500 million value’.6,7
5 the above productivity gains are only achieved upon completion, and in most sectors, there is an initial negative net gain to employers, due to the level of training required before an apprentice’s productive capacity approaches that of a skilled worker. 6 NTfW – The Value of Apprenticeships to Wales (2015)
7 This estimate of the value of apprentices to the Welsh economy was calculated by assuming a return of £16 to each pound of public money spent on a Level 2 Apprenticeship and £21 on a Level 3 Apprenticeship (National Audit Office, 2012). The estimate also assumed that expenditure on Level 2 Apprenticeships was £32-£36 million and Level 3 Apprenticeship was £24-28 million (Welsh Government, 2014).
Regional Employment & Skills Plan South West & Mid Wales Policy Context