'Employers may have to pay more for training post-Brexit'

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Eluned Morgan
Image caption,

The minister for lifelong learning Eluned Morgan says losing EU money will be challenging for colleges

Employers may have to contribute more towards training workers after Brexit, the minister in charge of lifelong learning has said.

Eluned Morgan said there has been "a dependency" by employers on European funding to train up workers.

The minister also called on the UK government to guarantee Welsh colleges receive the same money after Brexit.

The Welsh Conservatives said the UK is a net contributor to the EU and will have more money after leaving the EU.

CBI Wales said employers would not object to funding more of their training.

Further education institutions in Wales have been involved in EU-funded projects with a total value of £600m over the past decade, according to Colleges Wales.

'Dependency'

On a visit to Coleg Gwent in Newport Ms Morgan said the sector is "hugely dependent" on EU funds, with 250,000 people supported to gain qualifications over the past 10 years.

"Our further education sector faces a double Brexit whammy - losing EU funding and having to meet the challenge of meeting potential skills gaps and changes to our economy as we leave the EU... the UK government needs to meet the promise made that Wales would not lose a penny due to Brexit," she said.

Students on laptops sitting round a table
Image caption,

Coleg Newport learners on an EU-funded course

"We are very, very concerned [about] the people who we are helping here who have been helped by European funding - people who perhaps will never make it to university but need those technical vocational skills that keep the economy working, people who need extra support.

"That funding has come from European sources in the past and the question is where are we going to get that funding from if it's not passed on to us by the UK government?"

Leader of the Welsh Conservatives, Andrew RT Davies, said it was "beneath contempt" for a Welsh Government Minister "to attempt to whip up fear with nonsense and propaganda of this kind".

"The referendum was held in 2016, and instead of using Brexit as a shield for Labour cuts to further education, they should be working constructively to ensure that we have the best possible schemes to improve education and training in the new era...

"The UK is a net contributor to the EU, and when we have left the European Union we will have more money to spend on a range of priorities - including education and training."

Ms Morgan said contingency plans were being made for any loss in funding.

"We will be engaging with employers to make sure that they understand that they also have to make a contribution to the skills development of their future employees in Wales," she said.

"At the moment I think that's part of the problem that there's been a dependency by employers for European funding to upskill our workers that may not be there in future."

Bottom line

CBI Wales director Ian Price said most employers do not object to part funding training.

"I don't think there's been a dependency," he said. "Culturally, that's been the approach".

"Most employers don't object at all to part funding training because it improves their bottom line", he said.

Iestyn Davies, chief executive of Colleges Wales, said: "There has never been a more important time to make sure that further education colleges continue to receive the levels of funding that allow them to invest in learners, communities and facilities to face the challenges ahead."

The Treasury has been contacted for comment.