WIREDGOV

Funding for careers advisors will be reformed, the Government has confirmed, following criticism of the current model in a report by a cross-party Committee of MPs.

• Read the Government response
• Read our report
• Inquiry: Get Britain Working: Reforming Jobcentres
• Work and Pensions Committee

The Work and Pensions Committee’s Creating a new jobs and careers service report said that a combination of poor funding and badly designed targets had led to the service spending too little time with people and focusing too much on low impact interventions.

In its response to the report, the Government said that bringing “careers advice in England in house will end the current incentivised model and enable the development of a more integrated service”. Careers advice in the UK is devolved, so these changes will not automatically apply in Scotland, Wales and Northern Ireland.

The Government also agreed with the Committee on the importance of recognising the distinct roles of work coaches and careers advisors. It added that it was looking into a “dedicated training pathway” for advisors in addition to the planned Coaching Academy for work coaches.  MPs on the Committee made their recommendation following fears that the planned Jobcentre-careers service merger would eliminate the distinction between Work Coaches and Careers Advisors, which they thought would reduce the effectiveness of the service.

The DWP also committed to providing certainty to staff at the National Careers Service by publishing a transition plan in the next 6 months. Since publication of the report, the Government has moved to bring the contracts for careers advisors in-house, sparking concerns among advisors over what will happen when their contracts run out on 30 September 2026. 

Comment from Chair

Committee Chair, Debbie Abrahams said, “We welcome the Government’s recognition that the careers service funding model was broken and that it must be reformed. Budgeting, as it does now, for just one meeting between jobseekers and advisors a year is like trying to fill an ocean with a teaspoon. The job is about finding out enough about people, their ambitions and interests, their skills, the barriers they face, what drives them, their needs, in order for them to be effective. A new, less exclusive, model would help meet the goals of Government and get people into work that suits them; benefitting jobseekers, employers and ultimately, the economy.

“The recent brief shake-up will help. Giving the DWP sole responsibility over the adult skills brief, instead of sharing with the Department for Education, should help to reduce the incoherent patchwork of services that are available. And bringing the careers service in house, rather than outsourcing, will in time provide clearer lines of accountability, and greater efficiency.

“But we have to recognise that pressing on with little detail on what will happen after current contracts end in September 2026 has caused significant worry among careers advisors. Certainty on this could be the solid foundation that ensures the new system gets off to the best start. So, the Government really needs to crack on with fleshing out the detail of the service from 2027 to boost the confidence of advisors and in the new system.”