My Lords, I am grateful to the noble Baronesses, Lady Jones and Lady King, for this amendment and for raising the important matter of careers guidance. I hear what the noble Baroness says about not carrying on the economic batting backwards and forwards. I am sorry to hear it, because I was rather enjoying it, but I agree that, in the interests of time, we should stop. However, I must point out that she did say that the Chancellor had failed to reduce the deficit and, of course, it is a clear and unquestionable fact that this Government have substantially reduced the deficit we inherited from the previous Government. We are absolutely committed, also, to ensuring high-quality careers advice and I hope to reassure the noble Baroness that sufficient action is in train.
The Government commissioned Ofsted in 2012 to carry out a thematic review to examine the impact of the statutory duty on schools to secure independent careers guidance during its first year of operation. Ofsted’s report, published in September 2013, found that only one in five schools ensured that all students in years 9 to 11 received sufficient information to consider a wide breadth of career possibilities. This is not surprising. The guidance on careers that this Government took over was in a very poor state: virtually nobody had a good word to say about the Connexions service, including Alan Milburn. That is why we put the responsibility for providing good careers guidance on to schools.
This, however, is only a very recent development and it is not surprising that it has not immediately transformed provision. We have debated careers guidance on many occasions and there seems to be a perception among some noble Lords that we should hark back to some former golden age of careers guidance, which I certainly do not recognise. Careers guidance in schools has, in recent times, been poor and we have taken strong action to improve it. However, in response to the Ofsted findings, we took action, including publishing statutory and non-statutory guidance, strengthening our accountability framework and reshaping the role of the National Careers Service.
The new statutory guidance, effective from September last year, provides a clear framework for schools. It recognises that face-to-face guidance delivered by careers advisers is an important element of a varied programme of high-quality support, alongside other elements including employer contacts, work tasters, mentoring and online provision. Of course, we know that a number of commentators, including McKinsey, have said that active engagement with places of work is of far higher quality than face-to-face career guidance for most pupils.
Improvements to the National Careers Service website and helpline have made it more accessible through a range of digital channels, including Skype, and mobile phone applications. There is new content on the website written specifically for young people. Youth charities and young people are informing further developments. We have continued to listen to a number of respected contributors in this area, including the Gatsby Charitable Foundation and the Education Select Committee of this House. We have listened to schools, colleges, employers, parents and young people themselves. I pay generous tribute to my noble friend Lord Young for his invaluable work in this area. His report, Enterprise for All, has informed our thinking about the way forward. All have made it clear that many schools and colleges still require additional support, so, on 10 December last year, the Government announced the establishment of a new employer-led careers and enterprise company, chaired by Christine Hodgson, Chair of Capgemini UK, who has a strong track record of developing young talent.
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The company will act as an umbrella organisation to help employers, schools and colleges and other organisations navigate their way through the existing landscape. The Government will support the new company with start-up funding in 2015-16, the cost of which will be met from the £20 million announced in the Autumn Statement. The company will also build on the excellent work already going on in some parts of the country, although I accept that it is patchy, and ensure that it is replicated in other parts. My noble friend Lord Stoneham referred to the importance of schools and businesses working together. There are some excellent organisations up and down the country, such as Inspiring the Future, Primary Futures, Make the Grade, Business Class, Made in Sheffield, the Glass Academy and many others. One of the functions of the company will be to co-ordinate that provision so that it is available across the country. The company will also work closely with the National Careers Service.
We anticipate that the changes we have put in place will transform the provision of careers education and advice for young people, over time, and inspire them to take control of and shape their own futures. None the less, we recognise the need to keep this implementation under review. We strengthened the Ofsted framework for 2014-15: Ofsted inspectors now consider the extent to which a school has developed and implemented a
strategy for ensuring that all pupils in years 8 to 13 receive effective careers advice. Ofsted will summarise inspection findings and provide a termly report to the Department for Education. We are also considering the case for a further, in-depth review of careers guidance in 2015-16. I hope that the noble Baroness will be reassured that the spirit of her amendment is being addressed, without the need for legislation, and is therefore content to withdraw it.