Key policy areas for 2022: Further education funding, rising living costs and the next phase of ‘the Great Resignation’


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Last week, Mel Wilkes, Heather Taylor and Rebecca Florisson shared their key policy moments of 2021 and what they think we should be looking out for in 2022. This week, other members of the team share their take.

Trinley Walker – Policy Advisor

Key moment of the 2021: Government’s new strategy for further and technical education

In January 2021 Government published its strategy for further and technical education in the White Paper - Skills for Jobs: lifelong learning for opportunity and growth. We have been exploring what the White Paper will mean for skills policy, over the past year, including a briefing published last December on employer engagement - one of the key tenants of the strategy. The White Paper represents a new policy focus for further education, through the recognition of the importance of technical and vocational education, in a vision which represents parity of esteem with higher education.

What to look out for in 2022: Will the further education sector receive the funding needed?

Despite the ambitious reform agenda set out in the White Paper, the further education sector remains underfunded and it remains to see whether extra investment will be earmarked for the sector in the upcoming Budget.

Olivia Gable – Policy Analyst

Key moment of 2021: Steps forward for reforming adult social care

The adult social care workforce remained in the spotlight during 2021, with reports throughout the year of employers’ difficulties filling the more than 1000,000 vacancies. In May, we published a guide for care providers with recommendations for improving recruitment, retention and progression within the sector, and we highlighted the role Government needed to play in developing a long-term funding solution and workforce strategy for the sector.

Late in the year, Government took some key steps forward, with the Migration Advisory Committee’s consultation on the effects of Brexit on the workforce, and the Health and Social Care Select Committee’s inquiry into recruitment, training and retention for health and care workers. The year was then capped off with a long awaited White Paper on adult social care reform, which outlined a 10-year plan including funding for a Knowledge and Skills Framework to support learning, development and progression.

What to look out for in 2022: The next phase of the ‘Great Resignation’

With talk of ‘the Great Resignation’ and the UK labour market hitting a new vacancies record in October 2021, many sectors in the economy are likely to continue facing challenges recruiting. In some cases, the pandemic gave people time to re-assess their career goals or rethink how they’d like to work, and steep competition for workers suddenly gave some people more choices. Whether these current dynamics between workers and employers will persist and usher in more permanent and prevalent instances of hybrid or remote working, higher wages and more comprehensive benefits packages remains to be seen.

Jon Fitzmaurice – Head of Engagement

Key moment of 2021: Omicron uncertainty

2021 ended as it as it started, with uncertainty for employers and employees. The roll-out of the UK Government’s Plan B to combat the Omicron variant left some workplaces empty, rail stations 20% less busy, and shops and pubs quiet at one of their busiest times of year.

What to look out for in 2022: Will the Chancellor’s £1billion support package work as well as furlough?

The Plan for Jobs and furlough scheme has arguably been successful for the UK economy, although it has not worked for everyone. The impact of the Chancellor’s £1 billion support package for businesses affected by the Omicron variant will be seen in the first half of 2022. Will it have supported employees in the most vulnerable and insecure jobs? Or will we see a rise in unemployment and less businesses in our towns and cities?

Ben Harrison – Director

Key moment of 2021: Smaller hit to the economy than initially feared

The 2021 Autumn Statement brought welcome news that the OBR believes the enduring hit to the economy of Covid 19 is likely to be smaller than feared and that we are likely to emerge from the pandemic with a stronger labour market and far lower unemployment than the worst-case scenarios predicted.

What to look out for in 2022: Rising living costs combined with stalling real wage growth

Last autumn also brought grim tidings in terms of the cost of living pressures to come in 2022 and beyond. Notwithstanding the potential for further disruption due to the pandemic, dealing with the impact of high inflation and stalling real wage and income growth will be crucial in the year ahead, and will almost certainly mean the Government has to do more to support low income households as 2022 progresses.


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