Advancing Adult Skills through Individual Learning Accounts

2. Designing ILAs

Abstract

This chapter explores the key decisions related to the design of ILAs that policymakers need to make in the early stages of development. It begins by examining potential funding sources for ILAs, then considers the various policy objectives that may drive their introduction, along with the individuals and training programmes that could be eligible. The chapter concludes by analysing how funding is allocated to individuals.

Decision 0: Budget and funding sources – What are the funding sources for ILAs, and what is the total financial envelope?

While effective policy planning should ideally begin with a clear definition of objectives – guiding the scope and direction of interventions – in practice, governments must often reconcile competing priorities within constrained national budgets. As a result, financial considerations frequently – though not always – serve as the de facto “step zero” in the design and implementation of ILAs.

In the six countries examined in this report, ILA initiatives are primarily financed through government budgets, often underpinned by employer levies – as in France, the Netherlands and Singapore – or supported by EU funding, as in Croatia, Czechia and Lithuania (Table 2.1).

Table 2.1. Budget and funding sources for ILAs

	Main source of funding	Instrument name	Annual / total budget	Per capita expenditure*	Frequency
France	National budget	Professional Training Contribution (Contribution à la Formation Professionnelle)	EUR 2 billion (in 2023)	Around EUR 50	Annual allocation
Netherlands		General Unemployment Fund (Algemeen Werkloosheidsfonds)	EUR 190 million (in 2022)	Around EUR 15	Annual allocation (in 2022‑23)
Singapore		-	Not published	-	Annual allocation
Croatia	EU funding	Recovery and Resilience Facility**	EUR 60 million (total for 2022‑26)	Around EUR 25	One‑off
Czechia			CZK 3 billion (EUR 120 million) (total for 2023‑25)	Around EUR 20	One‑off
Lithuania			EUR 12 million (total for 2024‑26)	Around EUR 5	One‑off

Note: *Per capita expenditure refers to the total or annual allocation for ILAs divided by the working-age population (15‑64 years) in each country, based on 2022 data (OECD, 2022[10]). These figures are presented to illustrate the level of funding for the scheme, adjusted for population size.

**In all three cases, the development of ILAs has been further supported through the European Social Fund+ (2021‑27).

Source: Information collected by the OECD project team.

In France, employers are obliged to contribute to professional training (Contribution à la Formation Professionnelle, CFP), which finances various skills development initiatives, including the CPF (see Box 2.1 for more information on employer levies). A dedicated annual budget is earmarked for the CPF to ensure its stability and continuity. In 2023, EUR 2.02 billion was allocated to the CPF, covering both training costs and the operational expenses of the implementation body, Caisse des Dépôts, with a forecasted expenditure for 2024 between EUR 2 billion and EUR 2.3 billion (Caisse des Dépôts, 2024[9]).

In the Netherlands, the STAP scheme was financed through the General Unemployment Fund (Algemeen Werkloosheidsfonds), which is supported by employer contributions and primarily used to fund unemployment benefits　(Dutch Ministry of Social Affairs and Employment, 2023[11]). Drawing on usage data from a previous tax deduction scheme, the initial budget for STAP in 2022 was set at EUR 160 million – excluding implementation costs – but actual spending reached approximately EUR 190 million. In 2023, the budget was first reduced to EUR 170 million and later further cut to around EUR 110 million. As the scheme did not benefit from earmarked funding within the broader fund, no budget was allocated for 2024. This led to the discontinuation of the STAP scheme after just two years, despite its original five‑year plan (Buiskool et al., 2024[12]).

In Singapore, the government supports lifelong learning through several key funding mechanisms, including the Skills Development Fund, the Lifelong Learning Endowment Fund, and the National Productivity Fund. In 2023, they invested approximately SGD 900 million (around EUR 630 million) in continuing education and training, which included spending on the SFC scheme.

Box 2.1. Employer contributions to ILA schemes in France

France’s CPF operates with stable annual budget allocations, primarily financed through employer levies. Employers in France are required to contribute to employee training via the contribution à la formation professionnelle (CFP). The levy rate is calculated based on the number of full-time employees and varies depending on the sector and size of the enterprise*:

• Employers with 11 or more employees: 1% of their gross annual payroll**

• Employers with fewer than 11 employees: 0.55% of their gross annual payroll**

This training levy is declared monthly alongside the apprenticeship tax as a single contribution for professional training and apprenticeships (Contribution Unique à la Formation Professionnelle et à l’Alternance, CUFPA), through the standard social security declaration (declaration social nominative, DSN). Contributions are collected by URSSAF (Unions de Recouvrement des Cotisations de Sécurité Sociale et d’Allocations Familiales), a network of organisations responsible for the collection of social security contributions. Funds raised through this contribution are managed by France compétences and allocated to various skills development initiatives, including the CPF.

Note: *If they have employees on fixed-term rather than permanent contracts, employers pay an additional contribution of 1% of the cumulative gross annual payroll of fixed-term employees in their establishment (CPF-CDD). Self-employed workers and micro‑entrepreneurs pay a smaller contribution depending on their sector of activity, between 0.1 and 0.3%.

**Gross annual payroll is the total amount of taxable remuneration and all benefits in kind paid to employees per year.

Source: Service‑Public.fr (2025[13]), Contribution à la formation professionnelle, https://entreprendre.service-public.fr/vosdroits/F22570 (accessed on 15 May 2025).

In contrast, Croatia, Czechia, and Lithuania introduced ILA pilot schemes with temporary EU funding, supplemented by national co-financing. These initiatives were launched under the National Recovery and Resilience Plans, financed through the EU’s temporary financial instrument, Recovery and Resilience Facility, which serves as the centrepiece of NextGenerationEU,1 supporting Europe’s post-pandemic recovery. Funding allocation for ILA pilots varied across these countries, ranging from EUR 12 million to approximately EUR 130 million. In all three cases, the development of ILAs has been further reinforced through the European Social Fund+, which provides funding for the 2021‑27 period.

Variations in funding availability mean that, particularly in the early stages of ILA implementation, policymakers may need to adopt a targeted approach until the initiative gains broader recognition and a stable budget is secured. Given differences in economic conditions and the maturity of ILA schemes, direct comparisons of funding levels across countries are not always feasible. However, a per capita analysis based on the population aged 15‑64 reveals significant disparities in financial support for ILAs (Table 2.1). Ultimately, the available budget determines the scale and scope of these initiatives. When funding is limited or allocated for a fixed period, policymakers may need to prioritise specific target groups or skill areas.

Key policy pointers

• The design of ILA schemes should begin with clearly defined objectives. At the same time, it is essential to identify potential funding sources and establish a budget early in the development process. The available budget plays a critical role in shaping the scale and scope of the scheme, while the source and reliability of funding are key to ensuring its long-term sustainability.

• Long-standing ILA schemes are typically supported by ring-fenced public funding, often underpinned – but not exclusively – by employer levies. While this approach requires engaging employers from the outset, it offers a more sustainable financing model over the long term. For EU Member States, EU funding can serve as a valuable instrument to support the initial phase of ILA development.

Decision 1: Objectives and target groups – What are the primary goals of ILAs, and who are the intended beneficiaries?

Setting objectives

A critical step in designing an ILA scheme is to define its intended impact, while considering budgetary constraints. This foundational decision influences key design elements, including the target group and the types of training eligible for funding. ILA initiatives primarily focused on improving labour market outcomes often prioritise the working-age population and emphasise job-related training. However, ILAs can also serve broader objectives beyond employment, such as equipping individuals with skills for daily life and enhancing overall well-being. In such cases, eligibility may be extended to a wider population, including retirees, and funding may cover training that is not directly linked to employment.

The ILA schemes reviewed in this report pursue goals that broadly fall into two categories:

• Labour market goals – supporting upskilling and reskilling to strengthen employability and workforce adaptability.

• Educational goals – fostering a culture of lifelong learning and empowering individuals to pursue further self-directed or self-funded training.

ILAs play a crucial role in promoting a proactive approach to workforce development, helping individuals upskill and reskill to remain employable in a rapidly evolving labour market. For instance, one of the key objectives of France’s CPF is to help workers maintain their employability and facilitate career transitions. Similarly, the Netherlands’ STAP scheme – as its name, Stimulering Arbeidsmarktpositie (stimulating labour market position), suggests – was designed to enhance job performance while enabling individuals to retrain or transition to new roles. Pilot ILA initiatives often prioritise developing high-demand skills aligned with labour market needs. Croatia, Czechia, and Lithuania – each of which tested ILAs under their National Recovery and Resilience Plans – placed varying degrees of emphasis on training in digital and green skills.

Beyond immediate employment benefits, ILAs can help instil a lifelong learning mindset by empowering individuals to take greater control of their professional and personal development. For instance, one of the key objectives of Lithuania’s pilot is to promote a lifelong learning culture. In Singapore, the SFC scheme is designed to encourage individuals to take ownership of their skills development. Likewise, France’s CPF aims to enhance learner autonomy by allowing individuals to choose what and when to study, regardless of their employment status.

Although not always an explicit objective, ILAs are often introduced as part of broader efforts to improve and strengthen adult learning financing systems. In this case, four main approaches can be identified: filling gaps in public funding where no other support is available, streamlining fragmented financial support for adult learning, supplementing existing financial support mechanisms, and replacing existing funding mechanisms (Box 2.2).

Box 2.2. ILAs and other financial support mechanisms in adult learning

When developing Individual Learning Account (ILA) schemes, it is important to consider their role in relation to existing financial support mechanisms provided by public authorities and employers. A review of the six country cases suggests four main approaches that policymakers may adopt:

Filling gaps in existing financial support

ILAs initially gained significant attention as a means of expanding access to training for individuals underserved by traditional funding schemes – such as self-employed workers, gig workers, and SME employees – by providing financial support directly to individuals rather than employers (OECD, 2019[6]). In France, this principle underpins the broad coverage of the CPF. At the same time, this approach helps define the scope of the ILA scheme: for instance, only employed individuals receive annual CPF credit allocations, while job seekers with insufficient or no credits are supported through alternative support schemes.

Streamlining fragmented financial support

ILAs can also be used to consolidate multiple sources of funding within a single, user-friendly system. In France, both public authorities and employers can provide additional financial contributions through the digital platform Mon Compte Formation, allowing individuals to combine baseline CPF credits with additional support. This includes funding from the public employment service and local governments, particularly for job seekers.

Supplementing existing financial support mechanisms

In some countries, ILAs function as an additional layer of support that complements existing funding structures. In Singapore, for example, the government subsidises up to 90% of course fees for Skills-Framework-aligned courses. SFCs are intended to offset the remaining out-of-pocket costs, providing individuals with more affordable access to training. In addition, a range of training subsidies is available to employers. This includes the SkillsFuture Enterprise Credit, a one‑time credit of SGD 10 000 provided to eligible businesses to support workforce transformation.

Replacing existing financial support models

ILAs may also be introduced as a substitute for other funding mechanisms. In the Netherlands, the now-suspended STAP scheme – designed as a broadly accessible training voucher system – replaced a tax deduction model that had disproportionately benefited high-income earners. The shift aimed to create a more equitable system of financial support for adult learning.

Defining target groups

ILA schemes can be designed to be open to all, serving as a one‑stop shop that pools funding from multiple sources and offers access to a curated catalogue of learning opportunities (see Decision 5).

However, when allocating public funding through ILAs, policymakers should clearly define target groups to maximise policy effectiveness. Targeting decisions should be aligned with the scheme’s primary objectives. For instance, if the goal is to improve labour market outcomes, countries may choose to restrict eligibility to the working-age population or individuals active in the labour force.

The scope of eligibility should reflect a careful assessment of whether the benefits of broad access outweigh the associated costs. In contexts of constrained budgets – and where certain groups, such as individuals with higher education qualifications, already participate in training at significantly higher rates than others – policymakers may prioritise those more likely to underinvest in skills development. Eligibility criteria can also be adjusted to avoid duplication with existing schemes, such as employer-sponsored training or support for unemployed individuals.

At the same time, narrowly targeting ILA schemes may, in some cases, be perceived as socially or politically contentious. Policymakers must therefore strike a careful balance between efficiency and equity, ensuring that ILAs deliver their intended impact while retaining broad public support.

The reviewed countries adopt three main approaches to defining eligibility and access to ILAs (Table 2.2).

Table 2.2. ILAs’ target groups

		Legal status	Age	Employment status	Education level	Participation cap
Broad eligibility and access	France	Residents in France	Aged 16 to the state pension age	All, but only the employed accumulate credits*	All	None
	Singapore	Singaporean citizens	Aged 25 and above	All	All	None
Broad eligibility but limited access	Czechia	Czech citizens and residents**	Aged 15 and above	All	All	60 000
	Netherlands	EU citizens and their families***	Aged 18 to the state pension age	All, subject to the inclusion in the national insurance system***	All	214 500 (in 2022)
Limited eligibility and access	Croatia	Croatian citizens****	Aged 15 and above, excluding the retired	All, excluding students, with a priority given to the unemployed and inactive	At least basic education	40 000
	Lithuania	Lithuanian citizens and permanent residents	Aged 18 to the state pension age	Employed	At least a vocational qualification	24 000*****

Note: *All individuals are assigned a CPF account from the age of 16. However, only those who are employed accumulate annual credits. Accumulated credits can still be used while unemployed or inactive.

**Foreign residents must hold a valid residence permit or, if required, a valid work permit or temporary protection status (e.g. for Ukrainian nationals).

***To be eligible for the STAP scheme, applicants must be an EU citizen or their family member, or a citizen of another country within the European Economic Area or Switzerland. Additionally, they must have been covered by the Dutch national insurance system for at least six months within the 27 months preceding their application.

****Vouchers for Croatian language courses are exceptionally available to foreign workers planning to stay in Croatia for more than a year.

*****In Lithuania, the ILA budget is EUR 12 million. Assuming that all individuals use the maximum available amount per person, which is EUR 500, the maximum number of participants is 24 000.

Source: Information collected by the OECD project team.

The broad eligibility and access model is exemplified by France and Singapore, where ILAs are supported through earmarked annual budget allocations. In Singapore, the SFC is available to all Singapore citizens aged 25 and above, including retired individuals. In France, all residents aged 16 and above – excluding those who are retired or have reached the legal retirement age of 67 – are assigned a CPF account. However, only employed individuals accumulate annual credits. These credits can still be used while unemployed or inactive. For job seekers without prior employment history or sufficient CPF credits, the public employment service, France Travail, may provide financial support through the CPF portal in the form of a top-up. This support is financed from a separate budget and is not considered CPF funding (see Decision 3 for more information).

When financial resources are constrained, policymakers face a trade‑off between maintaining broad eligibility on a first-come, first-served basis and adopting a more targeted approach. The broad eligibility but limited access model applies when countries aim to keep ILAs accessible to a wide population while managing limited funding. For instance, Czechia’s pilot is open to all individuals aged 15 and above, including retirees, but participation is capped at 60 000 individuals. Similarly, the Netherlands’ now-suspended STAP voucher scheme was available to all individuals aged 18 up to the state pension age; however, the number of beneficiaries was restricted by the allocated budget. Funding was distributed through six application rounds per year, in a randomised way, with funds typically being depleted almost immediately after each round opened due to high demand. In 2022, a total of 214 500 individuals benefited from the scheme (UWV, 2022[14]).

In contrast, some countries have opted for a more selective approach, characterised by limited eligibility and access. This is often driven not only by financial constraints but also by an intentional effort to distinguish ILAs from other support mechanisms aimed at low-skilled individuals. Croatia’s pilot targets individuals aged 15 and above, excluding students and retirees, and requires participants to have at least completed basic education. Participation is capped at 40 000 individuals. In Lithuania, while anyone can access the ILA platform, create an account, and enrol in listed training courses, access to government financial support is restricted. Only Lithuanian citizens or residence permit holders aged 18 to 65 with at least vocational education, who are employed – either as employees or self-employed – at the start of the training are eligible. These restrictions are intended to avoid overlap with funding provided by the public employment service.

Even when ILAs are widely available, some schemes prioritise vulnerable learner groups. In Croatia, 40% of available funding is reserved for long-term unemployed individuals, NEETs (Not in Education, Employment, or Training), and inactive individuals. France and Singapore also provide more generous funding to specific groups. In France, individuals with low educational attainment and those with disabilities receive higher CPF allocations. In Singapore, individuals aged 40 and above receive higher top-up funding.

Key policy pointers

• Setting clear objectives is the most critical decision influencing the overall design of ILAs, including the identification of target groups and eligible training programmes. It is essential to determine whether the scheme is intended to pursue labour market goals, educational goals, or a combination of both.

• While the ideal ILA model would provide universal access, policymakers are often faced with the need to restrict eligibility and access – either due to budgetary constraints or to differentiate ILAs from other funding mechanisms. In such cases, countries typically adopt one of two approaches: (a) maintaining broad eligibility and allocating ILAs on a first-come, first-served basis, or (b) targeting specific groups that are less likely to participate in adult learning without additional support. While the first approach may be more equitable in principle, the second helps ensure that limited funds reach those who need them most.

Decision 2: Eligible training programmes – What types of training and learning activities can be funded through ILAs?

Given that ILAs typically allow individuals to choose their own training pathways without prior validation from a counsellor, a well-curated catalogue of fundable training offers is an essential element of an effective ILA system. Such a catalogue ensures that learners have access to quality-assured, relevant, and up-to-date courses and services, enabling informed decision-making while maintaining accountability and alignment with labour market needs.

Countries differ in the scope of education and training activities eligible for ILAs, ranging from a broad approach that encompasses the development of both job-specific technical skills and general soft skills to a more targeted approach, prioritising specific learning areas (Table 2.3). In most cases, however, there is a growing emphasis on labour market-relevant training.

Table 2.3. Education and training provisions eligible for the use of ILAs

	Coverage	Scope	Provider	Duration requirements	Delivery mode*
France	Broad	Priority on regulated qualifications and certifications	Both public and private	No	Any
Singapore		Priority on technical and transversal skills		No
Netherlands		Priority for courses offered by Ministry-recognised providers**		No
Lithuania	Medium	Eight key competencies for lifelong learning, with a focus on digital skills		Minimum 54 hours
Croatia	Targeted	Digital and green skills, as well as other key skill areas starting in 2023		No
Czechia		Digital skills		Minimum 16 hours

Note: *The category “Any” includes in-person, online, and hybrid learning formats.

**Providers recognised by the Ministry of Education, Culture and Science include primary and secondary schools, as well as higher education institutions. This narrower training scope applied only during the final two rounds of the ten‑round implementation. In earlier rounds, a broader scope was in place, which also included courses offered by non-formal private providers. For details, see Decision 6.

Source: Information collected by the OECD project team.

France exemplifies a country with a broad approach to the coverage of education and training programmes. The CPF can be used for a wide range of learning activities, including:

• education and training leading to partial or full professional qualifications registered in the National Register of Professional Qualifications (Répertoire National des Certifications Professionnelles, RNCP) (Box 2.3);

• training leading to a certification listed in the Specific Register (Répertoire Spécifique, RS) (Box 2.3);

• validation of prior learning and experience (validation des acquis de l’expérience), which leads to a qualification registered in the RNCP (see Decision 7);

• skills assessments (bilan de compétences) (see Decision 7); and

• preparation and training to acquire a driver’s licence.

A 2025 update tightened the eligibility criteria for CPF funding for entrepreneurship training. Previously, CPF funds could be used for training on starting and managing a business, even if the programme was not linked to the RNCP or RS. However, from 2025 onward, CPF funding will only be available for entrepreneurship training that leads to a qualification or certification registered in either the RNCP or RS (Mon Compte Formation, 2025[15]).

Box 2.3. Qualification registers in France and Croatia

Eligibility for training programmes under ILAs is often shaped by national qualification registers, which establish standards for training programmes. This is the case in France and Croatia, where only programmes aligned with national qualification registers qualify for funding.

France: National Register of Professional Qualifications and Specific Register

In France, the répertoire national des certifications professionnelles (National Register of Professional Qualifications, RNCP) and the répertoire spécifique (Specific Register, RS) define which training programmes are eligible for CPF funding, with some exceptions.* Managed and regularly updated by France Compétences, these registers ensure that professional qualifications align with occupational standards.

The RNCP lists recognised professional qualifications, as well as national and state diplomas. Examples include “camera operator” (Level 5) and “Master in Automation and Robotics” (Level 7). The RS covers certifications for complementary competencies and transversal skills, such as “using a drone for professional purposes” or “professional wine tasting” (France Compétences, 2025[16]).**

Any education or training provider can propose a new qualification or certification. Once approved by France Compétences and included in the RNCP or RS, it can be offered by any quality-assured training provider on the Mon Compte Formation platform, subject to authorisation from the qualification-holding organisation (France Compétences, 2020[17]).

Croatia: Croatian Qualifications Framework Register

Croatia’s ILA pilot is closely linked to the Croatian Qualifications Framework (CROQF) Register, a recently developed national register. As of March 2025, the public CROQF Register included approximately 600 occupational standards, 4 900 sets of competencies, and over 550 qualification standards with 15 000 associated sets of learning outcomes (Ministry of Science, Education and Youth of the Republic of Croatia, 2025[18]). Vouchers are only available for adult education programmes that align with the CROQF Register, including micro- and partial qualifications covering specific competencies or learning outcomes. Providers can propose new standards for inclusion in the register.

Green and digital skills, the initial focus of the ILA pilot, were compiled into a catalogue derived from the CROQF Register and listed on the ILA portal. As of February 2025, approximately 3 900 digital skills and 1 100 green skills were included (Vještine, n.d.[19]). Training programmes covering at least one of these skills qualify for ILA funding.***

Note: *Training activities that can be funded through the CPF and are not part of the RNCP or RS include skills assessments, and preparation and training to acquire a driver’s licence.

**The six criteria used to determine whether a certification can be included in the RS are as follows. First, the certified skills and knowledge must address identified labour market needs. Second, the skills taught and the methods used to assess them must be clearly defined. Third, there must be a robust process in place to ensure the quality and integrity of the assessment methods. Fourth, if the certification is linked to any legal or regulatory requirements – such as safety standards – these must be respected. Fifth, where applicable, the certification should align with those already listed in the RNCP. Finally, if relevant, the certification content should be developed in collaboration with employer organisations.

***Beginning in 2023, the eligibility criteria were expanded to include additional key skill areas. However, these programmes must still align with the CROQF Register.

According to 2023 data, nearly two‑thirds of CPF users used their entitlements for training leading to a qualification registered in the RNCP or RS. Around one in four accessed CPF funding for driving licence training. The remaining 13% used CPF for other purposes, including skills assessments (6%), entrepreneurship training (5%), and validation of prior learning and experience (2%) (Caisse des Dépôts, 2024[9]).

Box 2.4. Skills Framework and examples of courses eligible for the use of ILAs in Singapore

In Singapore, the Skills Framework – developed by SkillsFuture Singapore in collaboration with employers, unions and training providers – offers detailed information on the key technical and generic skills and competencies required for each occupation within an industry. For example, it specifies that a Technical Ramp Officer in the air transport industry is expected to have accident and incident response management skills (Level 2) and intermediate decision-making skills, alongside 22 other skills and competencies. These lists of skills needed for the job are available for occupations in 36 industries. Courses eligible for the use of SFC must typically be aligned with the Skills Framework.

Eligible courses are listed on MySkillsFuture, a comprehensive one‑stop portal designed to support lifelong learning. As of February 2025, the most viewed courses on MySkillsFuture span a diverse range of topics, including technical skills such as big data analytics, food safety, as well as more general skills like private hire driving and foreign languages (Table 2.4).

Table 2.4. Courses with high learner interest – Singapore

Courses that were “most viewed” and received 4‑5 star participant ratings on MySkillsFuture

Course	Provider	Duration	Course subsides*
Big Data Analytics and AI / Machine Learning with Python Coding / Programming (Beginner to Intermediate)	Apps Pte. Ltd.	24 hours	Up to 50% covered
Python Applications for Big Data Analytics and AI / Machine Learning and API and Computer Vision	Apps Pte. Ltd.	40 hours	Up to 50% covered
NCSF Certified Personal Trainer	Edu Pt Pte. Ltd.	11 hours	Not eligible
Food Safety Course Level 1	Ntuc LearningHub Pte. Ltd.	7.5 hours	Up to 50% covered
Private Hire Car Driver Vocational Licence Course	Ntuc LearningHub pte Ltd.	8 hours	Not eligible
PWM-Food Service: Food Safety Course Level 1	Eduquest International Institute Pte. Ltd.	7.5 hours	Up to 50% covered
(SCTP) Certificate in Healthcare Administration	Singapore University of Social Sciences	80 hours	Up to 70% covered
Conversational Japanese Beginner 1 Course	Learning Explorer Language Centre Pte. Ltd.	24 hours	Not eligible
(SCTP) WSQ Diploma in Social Service	Tsao Foundation	313.5 hours	Up to 70% covered
Basic Dog Grooming	Ngee Ann Polytechnic	7 hours	Not eligible

Note: Data as of February 2025.

*Courses aligned with the Skills Framework are eligible for course fee subsidies, which are separate from the SFC. The table indicates baseline course fee subsidies reflected on MySkillsFuture course directory. Singapore Citizens aged 40 and above receive an additional 20% course fee subsidy on top of baseline funding indicated in ‘Course subsidies’ column.

Source: Government of Singapore (2025[20]), MySkillsFuture, www.myskillsfuture.gov.sg/content/portal/en/training-exchange/course-landing.html (accessed on 15 May 2025).

In Singapore, the SFC can be used to pay for courses that are either aligned with the Skills Framework – which identifies key occupation-specific and transversal skills – or endorsed by relevant public agencies. Priority is given to Skills Framework-aligned courses, which are eligible for course fee subsidies covering up to 90% of the course fees. This policy is to shape the orientation of the funding mechanism, reinforcing its focus on labour-market relevant skills development (Government of Singapore, 2022[21]). SFC-eligible courses span a wide range, from short courses on basic pet grooming to certificate programmes in healthcare administration (Box 2.4). The SFC can also be used to pay for approved career guidance programmes (see Decision 7).

In the Netherlands, the now-discontinued STAP budget required eligible courses to have a vocational focus. However, the definition of vocational training was initially interpreted broadly, allowing courses such as wine tasting and cryptocurrency to qualify (Cedefop, 2024[22]). Over time, the Dutch Government gradually narrowed the scope of eligible training, removing thousands of courses from the training registry. In the final two rounds before its discontinuation, only education and training recognised by the Ministry of Education, Culture and Science remained eligible for funding (Buiskool et al., 2024[12]).

In Croatia, Czechia, and Lithuania, the scope of eligible training is largely shaped by the funding source – the EU’s Recovery and Resilience Facility – which supports Member States in preparing for the digital and green transitions. As a result, these countries have adopted a more targeted approach, with training programmes placing a strong emphasis on digital and green skills. In Croatia, the ILA pilot initially focused on digital and green skills, as defined in the Croatian Qualifications Framework Register (see Box 2.3). From 2023, eligibility expanded to include other key skill areas, broadening access to a wider range of training opportunities. In Lithuania, 50% of the available budget is allocated specifically to digital skills training, while the remaining half supports courses aligned with the EU Council Recommendation on Key Competences for Lifelong Learning. These courses cover eight key competence areas: literacy, multilingualism, STEM, digital skills, personal and social development, citizenship, entrepreneurship, and cultural awareness. In Czechia, the ILA pilot supports the development of digital skills in information technology and Industry 4.0, including robotisation, digitisation, and the use of autonomous systems and artificial intelligence. As of February 2025, data indicates that three‑quarters of completed courses under this scheme fall within Industry 4.0, while the remaining quarter are in information technology.

While the ILAs discussed in this report often aim to improve individuals’ labour market outcomes by offering labour-market-relevant courses, this does not necessarily guarantee that the eligible courses are job-relevant for each individual. Courses that are generally aligned with labour market needs may be directly applicable to one person’s job, while being pursued for entirely different reasons by another. For example, a language course might be essential for someone in a customer-facing role to improve communication and service quality, whereas another individual might take the same course purely for personal interest or leisure. This variability is an inherent feature of ILAs, where training courses are not approved on a case‑by-case basis but are instead selected from a pre‑approved catalogue of offers.

Beyond the type of training, the reviewed initiatives support programmes of widely varying duration. In Singapore, for instance, the shortest courses eligible for SFC funding can last just a few hours, while degree programmes spanning several years are also covered. Similarly, in the Netherlands, the STAP budget was available for programmes of different lengths. During implementation, a revision to the rules governing multi-year programmes was proposed but was not enacted due to the scheme’s early discontinuation. Under the original framework, the STAP budget could only be applied to the first year of study. However, the government had planned to extend eligibility to subsequent years as well. In contrast, Czechia and Lithuania have established minimum course duration requirements of 16 and 54 hours, respectively, to prevent the inclusion of inauthentic or non-substantive courses.

Participation data suggest gaps between provision and demand, as well as differences across learner characteristics. In France, the average duration of eligible training courses listed on the Mon Compte Formation digital platform was 113 hours in 2023, while the average duration of courses funded through CPF was 61 hours. A slight variation was observed between job seekers (89 hours) and employees (49 hours) (Caisse des Dépôts, 2024[9]). In the Netherlands, more than half of the training programmes eligible for STAP funding in the first eight rounds lasted less than a week. However, actual usage was more concentrated on longer courses, with 46% of vouchers used for programmes lasting three months or more. Additionally, data from the Dutch case indicate that the higher a learner’s prior education level, the shorter the duration of training they tend to pursue (Buiskool et al., 2024[12]). In Czechia, nearly one‑third of all courses completed as of February 2025 lasted 16 hours, which is the minimum duration required for funding eligibility.

All initiatives support a range of delivery modes, from fully in-person formats to hybrid and online learning models. In France, job seekers have generally favoured in-person training, while employees have shown a slight preference for distance learning. In 2023, among CPF users, half of job seekers chose in-person training, 30% opted for distance learning, and 20% selected blended formats. Among employees, two in five preferred distance learning, one‑third chose in-person training, and one‑quarter opted for blended learning (Caisse des Dépôts, 2024[9]).

Key policy pointers

• One of the key advantages of ILAs is the autonomy they provide individuals to choose training from a catalogue of eligible options. This learner-centred approach empowers people to tailor their upskilling and reskilling journeys to their needs, while also reducing administrative burdens for public authorities.

• However, this flexibility poses challenges for policymakers in determining which types of training should be eligible for support. Even when the objective is to prioritise labour-market-relevant learning, defining what qualifies as “job-relevant” can be subjective and context-dependent – for example, a language course may be essential in one profession but considered personal development in another.

• One approach is to limit the catalogue of fundable training to areas linked to labour market shortages, which can help ensure that public investment supports economic priorities. However, this requires robust skills assessment and anticipation systems and risks excluding individuals from pursuing training that is relevant to their career goals but lies outside current shortage areas – highlighting an inherent trade‑off between efficiency and inclusiveness.

Decision 3: Financial support for individuals – What level of financial assistance is provided, and how is it distributed?

When determining financial support to provide through ILAs, policymakers must consider several key factors. These include the amount of support; whether the amount should be the same for all learners or tailored to different learner groups; whether entitlements can be accumulated over time; and the extent to which co-financing by individuals and employers should be promoted (Table 2.5).

In both France and Singapore, the amount of ILA credits is tailored to different groups of learners. In France, private sector employees and self-employed individuals working full-time typically receive EUR 500 annually, while low-skilled workers2 or workers with disabilities receive EUR 800 per year. Part-time workers who are employed at 50% or more of a full-time schedule are eligible for the full allowance, while those working less than 50% receive a proportionate amount based on their working hours. Public sector employees follow a different system, receiving their learning entitlement in hours instead of euros. They accumulate 25 hours per year, with low-skilled employees entitled to 50 hours annually.

While all residents in France are assigned a CPF account, only those who are employed receive annual credit allocations. Job seekers with prior work experience can use previously accumulated training credits, and if their balance is insufficient, they may request financial support from France Travail – the public employment service – and/or local authorities to support upskilling or reskilling. Job seekers without prior work experience can also apply for support to access training opportunities. Since the CPF’s launch in 2015, more than 2.2 million training applications from job seekers have been approved, with approximately 15% receiving additional support from France Travail, at an average amount of around EUR 1 700 (Caisse des Dépôts, 2024[9]).

Singapore operates a two‑tiered ILA system, providing a SGD 500 (around EUR 360) opening credit to all Singaporeans aged 25 and above, known as the SkillsFuture Credit (Base Tier). Additionally, at age 40, individuals receive an SGD 4 000 (around EUR 2 800) credit under the SkillsFuture Credit (Mid-Career Tier) to support their upskilling and reskilling efforts.

In other cases, all eligible individuals receive the same entitlement, provided either as a lump-sum payment or funding for a single training programme within a defined budget. This budget may vary depending on the type or duration of training.

In Czechia and Lithuania, individuals receive a one‑time fixed payment on a first-come, first-served basis. In Lithuania, the amount is EUR 500, while in Czechia, it is CZK 50 000 (around EUR 2000). Individuals can enrol in multiple courses within the allocated budget.

In Croatia and the Netherlands, where the initiatives were introduced as voucher schemes, entitlements are limited to one training per person, also on a first-come, first-served basis, within a set budget. In the Netherlands, all eligible individuals could apply for funding for one training programme per year, up to EUR 1 000. In Croatia, individuals can apply for one training voucher, with financial support depending on the selected programme. The average voucher amount has been around EUR 1 500, with most recipients receiving EUR 1 000. Those enrolling in longer programmes may receive higher amounts, with a maximum of EUR 3 000 for 12‑month courses and EUR 4 000 for 24‑month courses.

Table 2.5. Financial support provided under the ILA schemes

	Target group	Amount	Frequency	Credit validity	Possibility of co-financing
France	Mid- and high-skilled employed*	EUR 500**	Annual allocation	No expiration, but accumulation is capped at EUR 5 000 and EUR 8 000, respectively	Co-financing possible, including mandatory co-financing at a flat rate of EUR 102.23 (as of 2025)
	Low-skilled employed*	EUR 800**
	Job seekers	-	No annual allocation	-	Co-financing possible, including support from the public employment service
Singapore	Aged 25 and above	SGD 500 (EUR 360)	Two-time allocation (at ages 25 and 40)***	No expiration***	Co-financing possible; the government also provides course fee subsidies for most courses
	Aged 40 and above	SGD 4 000 (EUR 2 800)
Czechia	All eligible individuals (first-come, first-served basis up to a set budget)	CZK 50 000 (EUR 2000)	One‑time allocation	Valid between 2023 and 2025	Co-financing possible, including mandatory co-financing – 18% of course fees must be covered by individuals****
Lithuania		EUR 500	Once in five years	Valid between 2024 and 2026	Co-financing possible
Netherlands		Maximum EUR 1 000	One training per year	-	Co-financing possible
Croatia		Varies by programme, with an average of EUR 1 500	One training per person	-	Co-financing possible

Note: *Public sector employees follow a slightly different system, accumulating CPF credits in hours rather than euros. They earn 25 hours per year, up to a maximum of 150 hours over six years. For low-skilled employees, this can be increased to 50 hours per year. Self-employed individuals are eligible for the CPF if they pay the professional training contribution. For each year of full-time activity, their account is credited with up to EUR 500, capped at a total of EUR 5 000.

**The amount is proportional to the time worked if less than half-time.

***Depending on the country’s economic situation, the government may choose to provide one‑time additional top-ups that are valid for a limited period. For example, in 2020, the Singapore Government granted a one‑time SFC top-up of SGD 500 for Singapore citizens aged 25 and above. In the same year, an additional SGD 500 top-up was provided to those aged 40 to 60. The one‑time top-up for citizens aged 25 and above will expire in 2025, while the credits given to those aged 40 and above have been merged into the new SkillsFuture Credit (Mid-Career Tier) launched in 2024.

****This 18% reflects the VAT amount that is excluded from coverage under the applicable EU funding scheme.

Source: Information collected by the OECD project team.

The accumulation and top-up of training entitlements over time are key features that distinguish ILAs from other adult learning funding mechanisms. In France, employed individuals receive annual credits that can be accumulated, up to a cap of EUR 5 000 to EUR 8 000. In Lithuania, eligible individuals are granted EUR 500 in training credits every five years. In Singapore, all citizens receive lifetime‑valid credits on at least two occasions – once at age 25 and again at age 40. The Singaporean Government may also choose to provide top-ups in response to economic conditions. For example, in 2020, a one‑time, time‑limited top-up of SGD 500 was provided to all citizens aged 25 and above, with an additional SGD 500 top-up for those aged 40 to 60 in the same year.

ILAs are also used as a mechanism to promote co-financing by individuals and employers, and to streamline funding from other public bodies, such as employment services and local governments. In some countries, co-financing is mandatory, aiming to encourage shared responsibility and alignment with labour market needs. In Czechia, individuals are required to co-finance their training by covering the value‑added tax (VAT) on course fees, which amounts to 18% of the total cost. In France, a mandatory flat-rate contribution of EUR 100 was introduced in 2024 for individuals using their CPF. This contribution is indexed to inflation and adjusted annually by ministerial decree (EUR 102.23 in 2025). Exemptions apply to specific groups, such as unemployed individuals and those receiving employer co-financing.

In other countries, co-financing is optional, typically applying when training costs exceed the ILA entitlement. In such cases, the remaining costs may be covered by the individual or their employer. In the Netherlands, one‑third of funded cases involved co-financing, with 77% of these contributions coming from individuals (Buiskool et al., 2024[12]). In France, before the introduction of the mandatory contribution, co-financing was less common, with only 13% of cases involving co-financing in 2023. For those courses that were co-financed, additional funding primarily came from individuals (77%), followed by France Travail, which provided co-financing for the unemployed (15%), and other sources, such as employers and regional councils (8%) (Dares, 2024[23]).

As illustrated, ILA schemes differ significantly in design – some offer one‑off payments, while others allow for annual allocation and accumulation over time – making direct comparisons of generosity across countries challenging. Nevertheless, benchmarking ILA amounts against average annual wages can provide a useful approximation of the relative level of support provided by each scheme. In Croatia, Czechia, and Lithuania – where ILAs are financed through EU funds and distributed as a one‑time grant during the funding period – the generosity varies, from approximately 2% of the average annual salary in Lithuania to around 9% in Croatia and Czechia. In Singapore, the one‑off baseline credit represents around 1% of the average annual salary, while the mid-career top-up adds a further 5%. However, this is part of a broader and more generous adult learning subsidy system. In France and the Netherlands, annual allocations represent about 1‑2% of the average annual salary and are available on a yearly basis. The French CPF also allows for the accumulation of unused entitlements, up to a cap equivalent to 11% of the average annual salary – or 18% for low-skilled individuals.3

Key policy pointers

• Policymakers may consider differentiating the level of funding based on individual characteristics, taking into account national priorities and individuals’ access to other financial support.

• Accumulation and top-ups are key features of ILAs. Policymakers are encouraged to design schemes that go beyond one‑time support, creating a platform that individuals can draw on repeatedly to support their learning throughout adult life.

• ILA schemes should also be designed to encourage co-financing by individuals and employers, which can foster stronger engagement and ensure training is aligned with the needs of both learners and the labour market. In addition, linking ILAs to other public funding schemes – such as those offered by local governments and public employment services – can help facilitate co-funding and improve overall system coherence.

Notes

← 1.  Next Generation EU is an economic recovery package launched by the European Commission to help EU Member States recover from the COVID‑19 pandemic.

← 2.  Low-skilled individuals are considered people without a secondary level of education, below Level 3 of the French National Qualifications Framework. A Level 3 qualification in France includes diplomas such as the Certificat d’Aptitude Professionnelle (CAP) and Brevet d’Études Professionnelles (BEP), which are secondary-level qualifications obtained after completing specific vocational training programmes.

← 3.  These calculations provide an approximate indication of the schemes’ generosity and do not account for differences in the cost of training courses across countries. Annual salary data are based on Trading Economics (2025[59]; 2025[60]) for Croatia and Singapore and OECD (2023[58]) for the remaining countries.