Review of the economic benefits of training and qualifications, as shown by research based on cross-sectional and administrative data

This report provides evidence on employment and earnings benefits from vocational qualifications, including: the wage and employment benefits which learners gain from different qualifications; and the value of qualifications held in the working age population and how far returns might vary for different individuals and in different circumstances. The report reviewed recent research that took different approaches. These approaches used new matched data which matches learner information with their employment and earnings data from [Her Majesty's] HM Revenue and Customs (HMRC) and their benefit claims from the Department for Work and Pensions (DWP), and applied different well-established techniques to recent labour force survey data. The report concludes that the two approaches answer slightly different questions about the benefits of vocational training, and government should continue to use both. The matched data, because of its large sample size, has great potential to become the main source of future work. However we need to understand some issues with the data before this can happen.

Published abstract. Show less