Under proposals put forward by Lord Heseltine in his comprehensive review of the UK economy, which was published in October, the Tory peer called for 59 Government funding streams to be devolved into a single fund.
From 2015/16, for a four-year period, thirty-nine local enterprise partnerships (LEP) would then be able to bid funds from the pot to back projects designed to boost their local economies.
Of the total £58bn earmarked to come from Government departments, £14bn would come from the Department for Business, Innovation and Skills' adult skills funding with a further £3bn of apprenticeship training funds from the Department of Education.
John Bray, director of education at national print training provider Learn 2 Print said that if backing the proposals would mean that colleges or businesses could no longer have access to the same level of apprenticeship funding then such a move by the Chancellor would be very damaging for the industry.
"If they are forced to bid or if the amount they can access is reduced because the rest has gone into a pot that they won’t benefit from, then it could have disastrous consequences. There are other companies and organisations with better resources that would stand a better chance of getting the money," he added.
Bray said another concern would be that removing the ring fence for skills training could also have a negative effect on the standard of programme delivery.
"Print training is in serious decline and if you start putting this money into one pot you are going to start seeing even more of an impact on this industry and other vocational areas that are in decline," he added.
Sidney Bobb, chairman of the British Association for Print and Communication, said that although the proposals could may mean that money would be available for other areas of business development any restrictions to skills funding was unhelpful.
"We need fresh skilled workers in print so that the sector can progress. The more things that are ring-fenced the better for us because as soon people can bid, then areas where it is perceived that the need is greater may take priority."
He added: "Micro and small businesses often don’t bid for funds because they don’t feel they will get it anyway and this will just make them more reticent to try."
Concern over skills funding ahead of Autumn Statement
Concerns have arisen over proposals, expected to be backed by the Chancellor in the Autumn Statment, that could see billions of pounds of ring-fenced skills funding devolved to a single pot.
