FAQs
Introducing the National Skills Academy for Financial Services
1. What is the National Skills Academy for Financial Services?
2. Why do we need a National Skills Academy for Financial Services?
3. What is the aim of the National Skills Academy for Financial Services?
4. What will the National Skills Academy for Financial Services provide?
5. Where will the National Skills Academy for Financial Services be based?
Employers and the National Skills Academy for Financial Services
6. Why does the National Skills Academy for Financial Services want to involve employers?
7. Who is involved in the National Skills Academy for Financial Services?
8. Do all National Skills Academies operate in the same way?
9. Why should employers get involved?
10. Do employers put cash into the Academy: How much money will employers contribute?
Governance and costs
11. How will the National Skills Academy for Financial Services be managed?
12. How many sponsors are involved and what influence do they have?
13. How much will the National Skills Academy for Financial Services cost to establish?
14. Can employers simultaneously run the Academy and be its customers?
Working with providers
15. What relationship will we have with existing schools and colleges?
16. What qualifications will the National Skills Academy for Financial Services offer?
17. Who can be a student with the National Skills Academy for Financial Services?
18. How many learners will there be?
19. What sort of funding is available for learners?
Future development
1. What is the National Skills Academy for Financial Services?
The National Skills Academy for Financial Services will be the new gold standard for training for the sector, aiming to improve productivity and tackle skills shortages across England. It will be led and sponsored by employers in that sector and will have a national reach.
Academies will deliver real world, specialist training, where tutors have the industry experience and knowledge to deliver up to date techniques.
At the National Skills Academy for Financial Services, programmes might include: new education- and work-based routes to employment; flexible opportunities to gain professional qualifications; and short programmes aimed at existing employees.
The Academy will also provide specialist facilities for the delivery of public- and employer-financed courses, and a 'one-stop' approach to help employers to access training and recruits.
2. Why do we need a National Skills Academy for Financial Services
The financial services industry is vital to the UK, but it faces skills challenges to remain globally competitive.
Between 2004 and 2014, because of factors such as retirement, and people moving between occupations or geographical areas, we need more than four hundred thousand people simply to maintain current levels.
If the industry expands as predicted we’ll need even more recruits, bringing the total of new people needed to nearly half-a-million.
Industry research suggests that the highest expected rises in employment will be found in managerial, professional, and sales and customer service roles.
Currently, employers report candidate shortages in areas such as customer service, administrative and back office.
3. What is the aim of the National Skills Academy for Financial Services?
Our vision is that the National Skills Academy for Financial Services will become the leading body for the development and delivery of skills education and training in our sector. Led by employers, it is a unique opportunity to achieve a step change in the relevance and volume of skills delivery, both of publicly and privately financed programmes.
4. What will the National Skills Academy for Financial Services provide?
There are five proposed strands to the work of the Academy:
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New entrant training – training and education to industry standards through school, college and employer-based routes
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Skills development – training for existing staff
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Talent development – continuing personal and professional development
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Innovation – developing new practice in training delivery
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Awareness-raising – information about careers and financial capability.
5. Where will the National Skills Academy for Financial Services be based?
Currently the National Skills Academy for Financial Services has been rolled out in seven regions around England:
London - Tower Hamlets
In London, the hub is a purpose-built flagship National Skills Academy based in Tower Hamlets and operated by the region’s lead provider Tower Hamlets College. Its proximity to both Canary Wharf and the City, means that it is ideally placed to provide financial education to Londoners aspiring to a career in the financial services industry.
London dominates the financial services industry, accounting for more than a third (38 per cent) of total output. In the five years between 1999 and 2004, financial services output in the capital grew by 10 per cent a year, outpacing the rest of London’s economy.
London is the undisputed focal point for the investment and fund management and security broking sectors with more than two-thirds of all employment in each, and is home to all the UK’s major exchanges and financial markets.
East of England - Norwich
The East of England is one of the original partners which submitted a successful bid with the Financial Services Skills Council for a National Skills Academy.
The hub of the Skills Academy is based in Norwich and operated by the region’s lead partner, City College Norwich which is a Centre for Excellence for Finance and Business Services. The College and the skills academy partners have invested approximately £5million in a building, St Andrews House, which originally housed the headquarters of the Norwich and Peterborough Building Society so having its origins in the financial services sector.
Directed by its Board, the region has developed and is implementing plans to enhance the engagement with employers from across the region, developing local links to ensure employers help shape training courses and other programmes of activity. The regional plans will progressively introduce a programme of courses tailored to meet needs; some of which will receive public funding support, to be delivered by a network of accredited training providers from across the region.
North West - Manchester
The National Skills Academy for Financial Services is represented across the financial districts in the North West with a focus on Greater Manchester, Merseyside and Chester.
It works in partnership with schools, colleges, training providers and universities and by using accredited, quality training providers, ensures consistent quality of training across the region and establish best practice in training to disseminate this to the wider skills network.
The North West Regional Academy works closely with the local Learning & Skills Councils (LSC) and the North West Development Agency (NWDA). The Academy is currently represented in the North West by three providers: Skills Solutions, Kaplan Financial and The Oldham College.
Yorkshire and Humber - Leeds
The Skills Academy in this region is represented by it's Lead Academic Provider Park Lane College Leeds and Providers Craven College, Skipton, York College and Kaplan Financial.
The Shadow Regional Employer board includes representatives from Leeds Building Society, Yorkshire Bank, Norwich Union, Engage Mutual Assurance, HBOS, LSC, Yorkshire Forward, Leeds Financial Services Initiative and is chaired by Clive Leach of yfm group.
Currently the College Providers are looking to offer the suite of Apprenticeships/Advanced Apprenticeships to meet the needs of the organisations in the region (mainly banks, building society, insurance, contact centres and financial advice) with a progression route to the Financial Services Foundation Degree awarded by Leeds Metropolitan University.
South West - Bristol
City of Bristol College is the Lead Provider for the Skills Academy in the region and will bring to bear their significant resource and wealth of experience to help ensure the success of our mission.
In addition we are working with Cirencester College who already have a strong track record of meeting the needs of employers in our sector and Cornwall College who sees becoming part of the Skills Academy network as a development opportunity to further meet the needs of their local employers and learners.
As the Bournemouth and Poole area of Dorset is so important a cluster of Financial Services (FS) activity we will also be ensuring full coverage in this sub-region. It is expected that other providers will join this network to meet specific needs.
West Midlands - Birmingham
The National Skills Academy for Financial Services in the West Midlands is represented by it's Lead ProviderSutton Coldfield College and Babington Business College.
Financial Services sector employers are represented by a shadow Regional Employer board which includes representatives from Hanley Building Society, Coventry Building Society, Tipton & Coseley Building Society, Paragon Group, HBOS, RBS, Islamic Bank of Britain, edeus, Allied Irish Bank, LSC and Advantage West Midlands, and is chaired by Stephen Karle, Chief Executive of the West Bromwich Building Society.
South East - Farnborough
The Skills Academy in the South East is in its infancy and is represented by it's Lead Provider Farnborough College of Technology.
Further provision is being identified and Expressions of Interest have been received from both private and public providers.
During the Autumn of 2008 a shadow Employers’Board will be established, chaired by an employer and comprised of employers from the various sub sectors of financial services plus the lead Provider, the SE LSC(Learning and Skills Council) and SEEDA (the RegionalDevelopment Agency), the latter two agencies have financial services as one of their priority sectors.
The Employers’ Board will direct the development and delivery of the appropriate learning to meet the skills needs required by employers for both their current and prospective workforce.
6. Why does the National Skills Academy for Financial Services want to involve employers?
Employers bring:
- an understanding of businesses operating in the sector
- first hand knowledge of the needs of employers for vocational education and training, and how that supports performance and productivity
- financial resources o a commitment to high quality vocational education and training and continuous improvement
- fresh ideas, an enthusiasm for innovation, and a challenge to traditional ways of thinking.
7. Who is involved in the development of the National Skills Academy for Financial Services?
In summary Employers, Stakeholders and Learning Providers all play a key role in the development of the Skills Academies.
Employers across the whole of financial services – large or small, from wholesale to retail – can influence the curriculum. They will ensure it reflects their needs and get involved in the leadership and development of the Skills Academy, helping to set standards and influence its strategic direction. Delivery is undertaken by our quality private and public learning providers in our network.
Our stakeholders have also and will continue to play a key part in our development.
Our National Stakeholders include:
• Department for Innovation, Universities and Skills-DIUS
• Department for Children, Schools and Families- DCSF
• UK Commission for Employment and Skills-UKCES
• The Alliance of Sector Skills Councils
• Financial Services Skills Council- FSSC
• Learning and Skills Council
• National Skills Academies
• Regional Development Agency- RDA
Our Regional Stakeholders include:
• Financial Industry Group- FIG
• Leeds Financial Services Initiative- LFSI
• Pro Manchester
• West at Work
• Regional Development Agencies:
o London Regional Development Agency- LDA
o East of England Development Agency- EEDA
o North West Regional Development Agency- NWDA
o Yorkshire Forward
o South West Development Agency- SWDA
o Advantage- West Midlands
o South East Development Agency- SEEDA
8. Do all National Skills Academies operate in the same way?
The structure of the National Skills Academies and partnerships that run them vary from sector to sector.
Most operate with a national co-ordinating centre (a hub) with a range of training delivery points (spokes) at which employers and learners can access training.
Governance of National Skills Academies also varies, depending on the model and corporate structures developed.
9. Why should employers get involved?
The benefits for employers in supporting the National Skills Academy for Financial Services include:
- an opportunity to design sector specific training in the areas where it’s needed
- an opportunity to have direct influence on the running of the Academy
- consistent quality across England
- more highly motivated and trained staff joining their sector
- improved training and up-skilling of existing workforce
- an opportunity to influence wider educational networks in schools
- an opportunity to influence planning and funding of training
10. Do employers put cash into the Academy? How much money will employers contribute?
All National Skills Academies need to attract investment from employers. Business plans written by each National Skills Academy need to set out the level of public funding and employer investment required.
This investment will include to help set up Academy, fund development costs (including capital) and ensure that it is sustainable.
In addition to financial backing, employers can contribute through ‘in-kind’ support. For example employers can contribute their expertise, products or time.
For a list of employers currently involved go to the sponsors page.
11. How will the National Skills Academy for Financial Services be managed?
The governance structure will consist of a National Skills Academy Network with:
- A national company, with a board, made up mainly of employers
- Regional employer boards
- Academy support partners
- Learning providers
- An operational management group
- A curriculum development group.
The National Skills Academy for Financial Services will also have close relationships with the Financial Services Skills Council.
The National Skills Academy for Financial Services will be represented on the FSSC Board by the Chief Executive of the FSSC who will provide hands on support to the National Director of the National Skills Academy and sit on the Academy Board.
12. How many sponsors are involved and what influence do they have?
The National Skills Academy for Financial Services needs finance and other support from employers at both national and regional level. It requires 10-12 employers to be major sponsors.
National Sponsors have places on the National and Regional Boards, giving them substantial influence over the academy’s business plans and course offer.
13. How much will the National Skills Academy for Financial Services cost to establish?
Around £10m is be needed to set up the new flagship centres. £3.75million will come from employers. This leverages more than £7.5m of public sector capital and development funding for the new centres plus public revenue funding rising to over £12m per year.
14. Can employers simultaneously run the Academy and be its customers?
Yes. There is no conflict. In fact it is desirable that the Academy is run by employers who demonstrate commitment to it by using its services.
15. What relationship will we have with existing schools and colleges?
The National Skills Academy for Financial Services will link with existing colleges, schools and training providers (see also Where will the National Skills Academy for Financial Services be based? above).
The National Skills Academy network also has engagement with schools built into their remit. For example, the National Skills Academy for Financial Services will offer full time qualifications at levels 2 and 3 in schools and colleges.
This is likely to include involvement in the development of the new Business, Administration and Finance Specialised Diploma for 14–19-year-olds, which goes live in 2009.
16. What qualifications will the National Skills Academy for Financial Services offer?
The National Skills Academy for Financial Services will offer a wide range of learning options. Though many will lead to a qualification, not all will need to do so. Programmes will include:
- new entry routes to employment for young people, including Apprenticeships
- pre-employment training for adults to broaden the recruitment pool
- full time and work based routes and qualifications, including flexible, part-time and bite-sized learning, designed specifically by and for employers.
17. Who can be a student with the National Skills Academy for Financial Services?
Most people with aspirations to join or already working in the sector – young learners, employees, adults returners to work. The Academy will work to fill gaps in provision – for example, creating new qualifications at Level 2 that can provide a route into careers in financial services.
18. How many learners will there be?
In the first year, the National Skills Academy for Financial Services will have a relatively modest number of learners, but aims to grow rapidly to have nearly 15,000 learners by 2010.
19. What sort of funding is available for learners?
Academies are not grant-making bodies but grants do exist elsewhere, and it will be possible for employers and individuals to obtain grants to pay for training provided by an academy.
Funding could come from a variety of public sources including the Learning and Skills Council (LSC). For example, employed people might access support through Train to Gain – SEE www.traintogain.gov.uk. Full time students may be funded through schools, the LSC or Higher Education Funding Council. Some employees will be fully funded by their employers.
20. Who decides which provider joins the National Skills Academy for Financial Services and what will they offer?
The National Board of the National Skills Academy for Financial Services will plan the roll-out to other regions. The Regional Employer Boards will lead the development and planning of regional strategies and plan the roll-out from the flagship centres within the four initial regions. The current regional strategies are set out in more detail in regional business plans.
21. What quality assurance measures will the National Skills Academy for Financial Services put in place?
The National Skills Academy for Financial Services will be subject to quality assurance measures including Financial Services Skills Council Accreditation of training providers, regular public inspection and monitoring of performance data.