Apprenticeships can often offer much higher pay levels than a degree and hold the key to driving economic growth, according to Logistics UK, which is calling for the education system to help plug the skills gap by putting a much greater focus on apprenticeships rather than prioritising university degrees.
Speaking during National Apprenticeship Week, Bethany Windsor, head of skills policy, highlighted the financial benefits of apprenticeships, pointing to evidence that higher level apprentices can earn almost £5,000 more than an average graduate five years after completing their courses.
“There is a pool of untapped talent of almost one million 16-to-24-year-olds who are not in education, employment or training and, at the same time, there are some 213,000 job vacancies that are attributed to skills shortages.
“It is a massive, missed opportunity and indicative of an education system that has historically prioritised academic achievement over technical pathways, rather than ensuring both are equally valued in preparing young people for the highly skilled careers that drive economic prosperity,” she explained.
She argued for a greater focus on targeted workforce training schemes. “Apprenticeships offer employees hands-on experience, sector-specific skills and professional training – all while earning a salary. And the financial rewards continue: five years after qualifying, higher level apprentices earn £37,300, on average, compared to £32,100 for the average university graduate after the same period.
“In many cases, young people are encouraged to pursue degrees that may not match their talents and interests or align with current economic demand. Currently, 37% of graduates are over-qualified for their jobs and 41% work outside of their field of study.
“ While university education has clear and lasting value, there must also be a sharper focus on training the workforce for the jobs the country needs to thrive and drive growth. The UK needs both world-class universities and world-class technical training if it is to compete globally.
Windsor said Logistics UK supports the government’s plans to replace the Apprenticeship Levy with a Growth and Skills Levy, which she said will provide employers with greater flexibility and allow up to 50% of funds to be invested in high-quality, non-apprenticeship training that meets immediate workforce needs.
She called on Skills England to move quickly to approve a broader range of sector-relevant courses eligible for levy funding, to directly meet the UK’s labour shortages.
“The reformed levy should also back national careers awareness initiatives such as Generation Logistics, which are critical to attracting new talent into essential sectors,” she added.
Logistics UK is a specialist, government-approved apprenticeship provider, offering industry-focused apprenticeship programmes aimed at meeting the business needs of the logistics sector.
Developed by logistics professionals, Logistics UK’s apprenticeships range from Level 2 Traffic Coordinators to Level 5 Operations Managers and are designed to strengthen capability, build confidence, and develop strategic thinking across the workforce. More information on Logistics UK’s apprenticeships can be found here.
