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Market principles have been introduced into the training system in England and Wales through the creation of Training and Enterprise Councils (TECs) and their funding arrangement. The specific focus is on two forms of government-funded training, namely initial vocational training provided through youth training and modern apprenticeships, and vocational training for adults who are unemployed.

The first part of this article is largely descriptive and gives some background to the reforms that have taken place. It goes on to describe the introduction of the TECs, the current funding arrangements and the system of training credits for young people. The second part of the article discusses the extent to which the structures and mechanisms that have been introduced have provided for a training system that is effective and equitable. Show less