---

Budget Resolutions and Economic Situation

I am grateful to my hon. Friend for highlighting the importance of this provision, and for describing it much better than I could have done. It is one of the most exciting developments in state schools. In relation to the theme of this part of my speech, the provision that is now available in state schools matches what has always been available in independent schools. The fourth point is that private schools are free to build links with other organisations and to develop their own ethos. The new trust status makes it easier for state schools to nurture those relationships. I am delighted that we have exceeded our target for schools in trust pathfinders, and I am confident that we will hit 300 by the end of the year. All those measures combined will enable us to make dramatic progress in closing the attainment gap between those from deprived backgrounds and those from more affluent homes. In the past, education was predominantly a matter of social progress with an economic dimension; now, it is primarily a matter of economic stability with an important social dimension. I have today published a Green Paper setting out our proposals that every child remain in education or training, full or part-time, in school, college or the workplace, until the age of 18. That is an historic proposal in more ways than one. It is a crucial step forward in meeting the challenges of the 21st century, as Lord Leitch so ably identified in his recent report, but the measure has been incorporated into legislation for most of the past 80 years, without being invoked. It was originally included in Foster’s Education Act 1918—Foster was a Liberal in the days when Liberals won elections. It was then carried into the great Butler reforms of 1944, before finally being revoked by the Tories in 1988. Today, the question of staying in education is more pertinent than ever before. In the past, it was possible for millions of school leavers with no qualifications to find work. In the face of increased globalisation, with economic expansion in the east and technological advance in the west, those days are drawing to an end. As Lord Leitch pointed out, there will be only approximately 600,000 unskilled jobs in Britain by 2020 compared with 3.6 million today, and 40 per cent. of jobs in 2020 will require graduate qualifications. Of course, we must ensure that there is an exciting and inspiring offer for each child to pursue in key stage 4.