The covonavirus pandemic and the lack of support for providers offering apprenticeship training funded by the levy is likely to result in “mass redundancies”, the chief executive of the Association of Employment and Learning Providers (AELP) has said. 

Speaking in front of the House of Commons Education Select Committee on the impact of Covid-19 on education and children’s services, Mark Dawe said while there had been some support from the government for non-levy provision, there had been none for provision funded by the levy.

“Most providers do both,” he said, explaining this meant many could not even access the help for non-levy, due to the proportion of levy-funded provision in their business being too high. 

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Many providers had furloughed a large number of employers, he said, adding: “We will see mass redundancies in the provider market now.”

David Marsh, chair of the St Martin’s Group, whose members include some of the UK’s largest employers, said organisations were “talking about massive reductions now”. Employers needed support, he stressed, and members of the group were supportive of the idea of an apprenticeship guarantee, raised by the prime minister earlier this month. 

Speaking in the daily Downing Street briefing on 3 June, Boris Johnson said: “For young people in particular, for whom the risk is highest of losing a job, I think it is going to be vital that we guarantee apprenticeships. We have to look after people across the board, but young people, I believe, should be guaranteed an apprenticeship.”

In a submission to government a fortnight ago, AELP called for £8.6bn in funding from the government - £5bn for skills training and £3.6bn in apprentice wage subsidies to encourage employers to make opportunities available for young people aged 16 to 24.