The role of subnational governments in adult skills systems: United Kingdom

This country note provides an overview of the governance of the adult skills system in the United Kingdom. While the UK Government sets overall policies in England, education and skills responsibilities are fully devolved in Scotland, Wales, and Northern Ireland. The note focuses primarily on the English adult skills system, where the UK government retains a role in adult education, particularly in policy direction and allocation of funding. It is part of an extensive review of all 38 OECD countries. The main findings across all countries are summarised in the OECD policy paper The Role of Subnational Governments in Adult Skills Systems. Representatives from the UK government reviewed the country note in March 2025, and it was published in June 2025.

Table 1. Overall governance and expenditure structure

Governance structure	Levels of governance	% of general government expenditure at the sub-national level
Unitary	National: United Kingdom (devolved administrations in Scotland, Wales, Northern Ireland) Regional: Combined Authorities (11), Greater London Authority Local: Local Authorities (374)	20.7%
How is the adult skills system governed?
Centralised	Combined system ✓	Decentralised

Note: For more information on the definitions of the governance models, please see (OECD, 2025[1]).

Source: (OECD/UCLG, 2022[2])

How is the adult skills system governed?

The United Kingdom (UK) has a combined adult skills system, with responsibilities divided between national government, devolved administrations, regional bodies, local authorities, and social partners:

• At the national level, the UK government is responsible for setting education and skills strategies, regulating qualifications, and funding training and employment support programmes. In particular, the Department for Education oversees Vocational Education (VET), Higher Vocational Education and Training (HVET), Adult Education (AE), Continuing Education and Training (CET), while the Department for Work and Pensions oversees Active Labour Market Policies (ALMPs), providing funding for further education colleges, training providers, and employment services. While the Department for Work and Pensions oversees ALMPs across the UK (not only England), the Department for Education only oversees adult skills funding in non-devolved areas, while in devolved areas Strategic Authorities are responsible for this.

• At the regional level, England operates a system of asymmetric decentralisation. with responsibilities devolved to Strategic Authorities, including 11 Combined Authorities and the Greater London Authority, which allocate funding and manage adult training provision.

• At the local level, Local Authorities and local training providers are responsible for delivering employment and adult education services. Local Authorities support basic skills training and career guidance, while employment services at the local level focus on job search assistance, training referrals, and targeted support for disadvantaged groups.

• Social partners influence workforce training by providing labour market intelligence, funding sector-specific skills programmes, and shaping policy discussions.

Table 2. Allocation of responsibilities across policy areas and levels of government

		Strategy	Intelligence	Implementation	Funding	Delivery
Policy area	National level
	VET, HVET	✓	✓	✓	✓	✓
	CET	✓	✓	✓	✓	-
	AE	✓	✓	✓	✓	-
	ALMP	✓	✓	✓	✓	✓
	Regional level
	VET, HVET	✓	✓	✓	✓	-
	CET	✓	✓	✓	✓	-
	AE	✓	✓	✓	✓	-
	ALMP	✓	✓	✓	✓	-
	Local level
	VET, HVET	-	✓	✓	-	✓
	CET	-	✓	✓	✓	✓
	AE	-	-	✓	✓	✓
	ALMP	-	✓	-	-	✓

Legend: ✓ = Yes; - = No

Note: For more information on exact definitions of policy areas and responsibilities, please see (OECD, 2025[1]).

Infographic 1. Overview of the adult skills system

Note: Colour code: Dark blue → government/national/subnational agencies, Green → social partners, Lighter blue → private actors and education providers, Yellow → Expert councils/foundations/associations/research institutions. For more information, please see (OECD, 2025[1])

Source: OECD compilation based on available information.

Stakeholders and responsibilities at the national level

At the national level, the adult skills system in the United Kingdom is characterised by a decentralised governance structure, with responsibilities divided between the UK Government and the devolved administrations of Scotland, Wales, and Northern Ireland. In England, the national government retains a role in adult education, particularly in policy direction and allocation of funding:

• The Devolved Administrations have full legislative power over VET, HVET, CET and AE. They manage funding for apprenticeships, retraining schemes, employability programmes, and workforce planning. Skills Development Scotland, Skills Strategy Wales, and Northern Ireland’s Department for the Economy oversee workforce training and lifelong learning strategies in their nations. While the devolved administrations have developed various measures to support the long-term unemployed and economically inactive (e.g. the No One Left Behind Programme in Scotland), the UK Department for Work and Pensions (see below) oversees ALMPs across the UK

• In England:

  • The HM Treasury influences the overall funding and fiscal decisions that affect adult skills.

  • The Department for Education is responsible for education and skills policy, including VET, HVET, CET, and AE. It leads on apprenticeships, further education policy, and technical qualifications and collaborates with employers, local authorities, and training providers. The Department for Education only oversee skills funding in non-devolved areas.

  • The Department for Work and Pensions oversees ALMPs across the UK. It designs and funds initiatives to reduce economic inactivity, support unemployed individuals, and help workers reskill and upskill. It works closely with employers and local authorities to enhance workforce participation. National Careers Service provide intelligence and career guidance to help individuals access education, training, and employment opportunities.

  • The current government is planning a significant reform of the governance of education and skills policies, with the current Education and Skills Funding Agency being dissolved and a new agency – Skills England – will be established before the end of 2025. Skills England will have three core objectives: 1) provide an authoritative assessment of national and regional skills needs in the economy now and in the future, 2) ensure that there is a comprehensive suite of apprenticeships, training and technical qualifications and employers to access, and 3) work together with Combined Authorities and regional organisations to ensure that regional and national skills needs are met.

  • Key regulatory bodies include the Office for Standards in Education, Children's Services and Skills (Ofsted), the Office for Students (OfS) and the Office of Qualifications and Examinations Regulation (Ofqual), which play crucial roles in quality assurance, oversight of higher education and qualifications regulations.

  • Employer representative bodies, trade unions, professional bodies, trade associations, research and academic institutions and awarding bodies play a central role in the adult skills system.

Table 3. Stakeholders and responsibilities at the national level

Name of institution	Responsibilities					Organisation type	Areas	Description
	Strategy	Intelligence	Implementation	Funding	Delivery
Devolved Administrations (Scotland, Wales, Northern Ireland)	✓	✓	✓	✓	✓	Devolved Government	VET HVET CET AE ALMP	Scotland, Wales, and Northern Ireland fully control their education and skills policies, including apprenticeships, further education, adult learning, and workforce development. Skills Development Scotland, Skills Strategy Wales, and Northern Ireland’s Department for the Economy lead workforce development and training programmes. These administrations manage funding for adult education, retraining programmes, employability schemes, and sector-specific workforce planning while working closely with businesses, colleges, and regional agencies.
ENGLAND
HM Treasury	✓	✓				Ministry		The Ministry has significant influence on the overall funding and fiscal decisions affecting adult skills policies.
Department for Education	✓	✓	-	✓	-	Ministry	VET HVET CET AE	The Department for Education leads the development of education and skills policy in England, covering children’s services, early years, primary, secondary, further, and higher education. The adult skills system is responsible for designing and implementing strategies for apprenticeships, traineeships, and CET, as well as VET and HVET pathways. The Department focuses on improving the skills pipeline to drive economic growth, support disadvantaged and vulnerable groups, and address regional inequalities. It works closely with local authorities, further education providers, higher education institutions, and other government departments to deliver programmes to enhance employability, promote lifelong learning, and levelling up productivity across the country. It also provides support to professionals working in education and skills development.
Department for Work and Pensions	✓	✓	-	✓	-	Ministry	ALMP	The Department for Work and Pensions is responsible for welfare, pensions, and child maintenance policy and plays a significant role in skills development through its employment services. The Department works to maximise employment and reduce economic inactivity, aiming to increase workforce participation across the UK. It provides employment services through Jobcentre Plus, which helps individuals move from benefits into work by offering career counselling, job-matching services, and connections to training programmes. It also supports ALMP by funding and implementing initiatives that address economic inactivity and provide retraining opportunities, particularly for disabled individuals, long-term unemployed persons, and those with health conditions.
National Careers Service	-	✓	✓	✓	✓	National Agency	VET HVET AE CET ALMP	The National Careers Service provides free, impartial career advice to adults and young people by helping them make informed career and education decisions. It connects users with VET, HVET and CET programmes and apprenticeships, guiding individuals toward relevant resources, programmes, and providers. It also helps unemployed individuals re-enter the workforce through tools such as skills assessments, career exploration resources, and personalised advice through individual consultations, group webinars, and online support.
Institute for Apprenticeships and Technical Education	-	✓	✓	-	-	National Agency	VET HVET	The Institute for Apprenticeships and Technical Education is a non-departmental public body responsible for developing and approving apprenticeship standards and technical education qualifications in England. It works with employers to develop, approve, review and revise apprenticeships and technical qualifications and to create high-quality, employer-led training pathways that meet the skills requirements of key economic sectors. It oversees the design and maintenance of technical qualifications, such as T Levels1, and provides occupational maps to equip learners with practical, job-ready skills. The government is currently taking forward legislation that would lead to the closure of the Institute to transfer most of its functions to a new organisation – Skills England (see below).
Skills England	-	✓	✓	✓	-	National Agency	VET HVET CET	Skills England, set to be fully established in 2025, is a new national agency under the Department for Education. It has three core objectives: 1)Provide an authoritative assessment of national and regional skills needs in the economy now and in the future, 2) Ensure that there is a comprehensive suite of apprenticeships, training and technical qualifications for individuals and employers to access, and which are aligned with skills gaps and what employers need, 3) Work together with Combined Authorities and regional organisations (such as employer representative bodies) to ensure that regional and national skills needs are met in line with the government's Industrial Strategy.
Office for Students (OfS)			✓			National agency	HVET	The Office for Students is the independent regulator for higher education in England. Its primary role is to ensure students receive a high-quality education and access fair, transparent, and value-for-money higher education opportunities. The authority monitors and regulates universities and higher education providers to uphold teaching standards, student outcomes and financial sustainability. It also safeguards student interests by monitoring university governance, overseeing tuition fees and intervening when providers fail to meet required standards.
Office for Standards in Education, Children's Services and Skills (Ofsted)	-	✓	✓	-	-	National Agency	VET HVET AE CET	The Office for Standards in Education, Children's Services and Skills is the UK's independent inspector and regulator of education and training providers, including adult learning institutions. It evaluates the quality and effectiveness of VET, HVET, AE and CET. By providing detailed reports and ratings, the Office helps maintain high standards across providers and create accountability in delivering skills and training.
Office of Qualifications and Examinations Regulation (Ofqual)	-	✓	✓	-	-	National Agency	VET HVET AE CET	The Office of Qualifications and Examinations Regulation regulates the UK's qualifications, examinations, and assessments to maintain standards and public confidence in the education system. It helps adult education programmes align with industry needs and assess learners' knowledge and skills effectively. It works with awarding organisations to monitor compliance, promote innovation in assessment methods, and maintain consistency across qualifications.
Federation of Awarding Bodies	-	✓	✓	-	-	Expert Council	VET HVET CET	The Federation of Awarding Bodies represents organisations that design and deliver VET, HVET, and CET qualifications. The Federation works to create qualification frameworks aligned with industry needs and government policies. It advocates for awarding bodies, supports compliance with regulatory requirements, and promotes innovation in qualification development. By working closely with policymakers, education providers, and employers, it aims to create qualifications that maintain high standards and relevance to the labour market.
Social partners	-	✓	✓	✓	-	Social Partner	VET CET AE ALMP	Social partners, including employer representative bodies, trade unions, professional bodies and trade associations, play a central role in the adult skills system.

Legend: ✓ = Yes; - = No

Source: OECD compilation based on (Welsh Government, 2022[3]), (Federation of Awarding Bodies, 2024[4]), (Department for the Economy Northern Ireland, 2025[5]), (IfATE, 2025[6]), (GOV.UK, 2025[7]), (GOV.UK, 2025[8]), (National Careers Service, 2025[9]), (GOV.UK, 2025[10]), (GOV.UK, 2025[11]), (TUC, 2025[12]), (CBI, 2025[13]), (GOV.UK, 2025[14]), (GOV.UK, 2025[15]), (Skills Development Scotland, 2025[16]).

Stakeholders and responsibilities at the regional level

At the regional level, England operates a system of asymmetric decentralisation, meaning different regions have varying degrees of responsibility over skills, employment, and training policies. The system is formed by:

• 11 Combined Authorities which are regional governing bodies formed by multiple local councils that have voluntarily come together under devolution agreements. Combined Authorities receive devolved powers from the central government, including control over the Adult Education Budget. Their responsibilities include funding and overseeing AE, VET, HVET, and CET programmes and supporting workforce retraining, job-matching services, and employment activation programmes through ALMPs. These bodies play a significant role in allocating the Adult Sills Fund, shaping delivery and ensuring provision aligns with local economic needs.

• The Greater London Authority is a one-tier local government, combining a regional authority's strategic responsibilities and a municipal government's local service delivery. The Greater London Authority manages the devolved Adult Education Budget for London, funds Further Education colleges and Institutes of Technology (AE, VET, HVET and CET), and develops ALMPs working with borough councils, employers, and training providers.

Table 4. Stakeholders and responsibilities at the regional level

Name of institution	Responsibilities					Organisation type	Areas	Description
	Strategy	Intelligence	Implementation	Funding	Delivery
Mayoral Combined Authorities	✓	✓	✓	✓	-	Subnational Government	VET HVET CET AE ALMP	Mayoral Combined Authorities are a legal body that enables a group of two or more councils to collaborate and make/collective decisions across council boundaries. They play an important role in shaping regional skills and employment policies through devolution agreements. They manage devolved Adult Education Budget funding and work closely with local councils, businesses, and training providers. Combined Authority's responsibilities include overseeing AE, technical education at the VET and HVET levels, and retraining initiatives, including CET and ALMPs, to drive regional economic growth.
Greater London Authority - Skills and Employment Unit	✓	✓	✓	✓	-	Subnational Government	VET HVET CET AE ALMP	The Greater London Authority oversees skills and employment policies at the regional and local levels in London. The Greater London Authority manages devolved Adult Education Budget funding and invests in further education infrastructure through initiatives like the GBP 158 million Further Education Capital fund. It also leverages European Social Fund programmes to enhance employment opportunities, equip the workforce with in-demand skills, and help businesses find skilled talent. Through partnerships with colleges, businesses, and training providers, the Greater London Authority helps workers, particularly those from disadvantaged backgrounds, access high-quality training and employment opportunities.
Regional Trades Union Councils	-	✓	-	-	-	Social Partner	VET CET AE ALMP	Regional trade union bodies, such as the London, East & South East Regional Council, represent trade unions at the regional level. These councils bring together union representatives to discuss national policies while addressing specific regional workforce issues. They provide labour market intelligence, advise on workforce development, and advocate for workers' rights in employment and skills policies. These bodies also coordinate sub-groups focused on sectoral, equality, and employment issues which influence regional policies on AE, VET, CET, just transition, and workplace rights. They work with employers, training providers, and policymakers to shape regional workforce strategies, promote upskilling initiatives, and protect workers' interests in skills development.

Legend: ✓ = Yes; - = No

Source: OECD compilation based on (Greater Lincolnshire, 2019[17]), (GOV.UK, 2021[18]), (County Councils Network, 2025[19]), (Department for the Economy, 2025[20]), (GOV.UK, 2025[21]), (Local Government Association, 2025[22]), (Mayor of London, 2025[23]), (NiDirect Government Services, 2025[24]), (North Yorkshire Council, 2025[25]), (TUC, 2025[26]).

Stakeholders and responsibilities at the local level

The local authorities in the United Kingdom are the 374 municipalities.

• Local Governments operate within a two-tier local government system, meaning that responsibilities for local services are split between County Councils (upper-tier) and District, Borough, or City Councils (lower-tier). The County Councils are responsible for certain adult and community learning aspects within their jurisdictions. The District, Borough and City Councils fund community-based adult learning centres, job support programmes, and upskilling initiatives in partnership with colleges, charities, and employers. Many municipalities also offer career guidance, digital skills training, and work-readiness programmes to improve employability and support social inclusion. However, their main focus is community learning and English for Speakers of Other Languages (ESOL).

• Operated by the Department for Work and Pensions, Local Jobcentre Plus Offices, provide employment support, job-matching services, and access to skills training, helping jobseekers access career advice, referrals to training programmes, and financial assistance. The physical offices are a complement to the Jobcentre Plus digital-first approach, which means that most services are accessed online, with local offices primarily used for specific in-person support.

• Designated employer representative bodies lead the development, review and implementation of Local Skills Improvement Plans, working closely with employers, providers and other stakeholders.

• Local Further Education Colleges and Institutes of Technology are the primary providers of VET and HVET, with some also delivering AE and CET programmes. These institutes are collaborative partnerships between Further Education colleagues, universities and employers. Meanwhile, Local Adult and Community Learning Providers, including local authority AE services, charities, and independent training providers, offer basic skills training, digital literacy courses, English for Speakers of Other Languages, and CET programmes. Many Higher Education Institutions also deliver HVEt, including degree apprenticeships.

Table 5. Responsibilities at the local level

Name of institution	Responsibilities					Organisation type	Areas	Description
	Strategy	Intelligence	Implementation	Funding	Delivery
Local Authorities	-	-	✓	✓	✓-	Subnational Government	CET AE ALMP	Local Governments operate within a two-tier local government system, meaning that responsibilities for local services are split between County Councils (upper-tier) and District, Borough, or City Councils (lower-tier). The County Councils are responsible for certain adult and community learning aspects within their jurisdictions. The District, Borough and City Councils fund community-based adult learning centres, job support programmes, and upskilling initiatives in partnership with colleges, charities, and employers. Many municipalities also offer career guidance, digital skills training, and work-readiness programmes to improve employability and support social inclusion. However, their main focus is community learning and English for Speakers of Other Languages (ESOL).
Local Jobcentre Plus Offices	-	✓	-	-	✓	Government Agency	CET ALMP	Local Jobcentre Plus Offices, operated by the Department for Work and Pensions, provide employment support and benefits administration. They complement online services, which form the UK's main part of ALMP provision.
Designated Employer Representative Bodies.	-	✓	✓	-	-	Social Partner	VET HVET CET	Designated employer representative bodies (ERBs) lead the development, review and implementation of Local Skills Improvement Plans, working closely with employers, providers and other stakeholders. They provide an agreed set of actional priorities that help better align the local training offer with the skills needs of local businesses. As part of this, ERBs support and encourage employers to engage and invest in the skills system
Further Education Colleges and Institutes of Technology	-	-	-	-	✓	Education provider	VET HVET CET AE	Further Education Colleges provide a broad range of qualifications, including T Levels, Business and Technology Education Council qualifications, National Vocational qualifications, Access to Higher Education Diplomas, and apprenticeships, catering to school leavers, adult learners, and employees looking to upskill or retrain. Institutes of Technology bring together Further Education Colleges, universities, and employers to deliver high-quality technical education at Levels 4 and 5 (HVET). They specialise in advanced STEM subjects such as engineering, digital technologies, advanced manufacturing, and life sciences to meet high-demand skill shortages. Both receive funding from the Education and Skills Funding Agency, local and regional government sources, and employer contributions. They also support lifelong learning through CET courses. These institutes are collaborative partnerships between Further Education colleagues, universities and employers.
Local Adult and Community Learning Providers	-	-	-	-	✓	Education provider	CET AE	Local Adult and Community Learning Providers include local authority adult education services, community colleges, charities, voluntary organisations, and independent training providers. They deliver a broad range of education and training opportunities for adult learners, particularly those seeking to improve basic skills, re-enter the workforce, or engage in lifelong learning. Many programmes are designed to support social inclusion, personal development, and workforce participation, particularly for disadvantaged groups. Funding is typically provided through the Adult Education Budget, which is allocated by local authorities or devolved administrations, with some additional funding from charitable grants or employer contributions. These providers often work in partnership with local councils, Jobcentres, further education colleges, and community organisations to offer flexible learning opportunities.
Private Education providers	-	-	-	-	✓		VET CET AE	Private providers provide most education outside the conventional education system. This includes AE, and CET. They also provide most of the education to adults inside the conventional system, including VET.

Legend: ✓ = Yes; - = No

Source: OECD compilation based on (Local Government Association, 2020[27]), (GOV.UK, 2021[18]), (OECD, 2021[28]), (OECD/Eurochambres/ICC, 2024[29]), (Department for Education, 2025[30]), (HOLEX, 2021[31]), (Institutes of Technology, 2025[32]), (GOV.UK, 2025[21]).

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You must not use the OECD logo, visual identity or cover image without express permission or suggest the OECD endorses your use of the work.

Any dispute arising under this licence shall be settled by arbitration in accordance with the Permanent Court of Arbitration (PCA) Arbitration Rules 2012. The seat of arbitration shall be Paris (France). The number of arbitrators shall be one.

Note

← 1.  “T Levels” are technical qualifications in the UK designed to provide students with a mix of classroom learning and industry placements, preparing them for skilled employment, apprenticeships, or further study.