The government has set out plans to reform higher education and expand apprenticeship opportunities for young people, arguing that too many young people are pursuing degrees that do not lead to strong employment outcomes while apprenticeship starts among 16–24-year-olds have declined by 40% over the past decade.

  • Around 1 in 7 young people currently not in employment, education or training hold a university degree, according to the Alan Milburn review, which the government has cited as evidence of the need for higher education reform
  • A £3.3bn investment in apprenticeships has been announced for this year, with a target of 50,000 more apprenticeship starts for young people by 2029
  • Small and medium-sized businesses will be offered £2,000 for every apprentice they take on under the age of 25 from autumn, with full training costs covered
  • New foundation apprenticeships, exclusively for young people, will expand into sectors including hospitality and retail, with Skills England directed to review funding rates
  • Targeted maintenance grants will be reintroduced from 2028/29 for people from low-income households studying in priority subject areas, alongside new oversight requirements for franchised higher education providers

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