Scrapping BTEC qualifications will lead to “qualifications gap” in key sectors, report finds

A new report has found that the government’s plan to scrap applied general qualifications (AGQs) such as BTECs, in order to direct more 16- to 18-year-olds to study its new T level qualifications, will create a significant “qualifications gap” that will leave tens of thousands of students without a pathway to higher education or skilled employment in key sectors of the economy.  

In December 2024, the government announced a future ban on all diploma (2 A level equivalent) and extended diploma (3 A level equivalent) size AGQs in any subject where there is a T level.

A report published today by the Protect Student Choice campaign - a coalition of 28 employer groups and organisations that represent students, staff and leaders in schools, colleges and universities - found this could lead to:

• 52,000 fewer young people studying Health and Science courses each year, a reduction of 45%
• 11,000 fewer young people studying Digital courses each year, a reduction of 33%

The report, Causing gaps, creating uncertainty: why the government should lift the ban on AGQ diplomas and extended diplomas in T level subjects, notes that Life Sciences and Digital are two of the eight priority sectors identified in the government’s Industrial Strategy and concludes that “reducing the number of students studying these subjects will hamper plans to upskill the workforce and act as a barrier to achieving the government’s key mission to kickstart economic growth”.

The qualifications gap across all sectors is likely to be much higher, as the government estimates that just 91,200 students will be studying a T level in England in 2027 (up from 41,589 students in 2025). In contrast, there are currently 277,380 students studying an AGQ, and 2027 is the last year in which these qualifications will be funded. But Skills Minister Jacqui Smith confirmed in a letter to the Protect Student Choice campaign in June 2025 that “The government remains committed to T Levels being the best large qualification in routes where they are available”.

As a result, today’s report highlights that “popular and well-respected AGQs in subjects such as Health and Social Care, Applied Science and IT will be scrapped in 2026, with highly regarded AGQs in Business and Engineering due to follow in 2027”.

Given that AGQs are disproportionately studied by disadvantaged students, the report suggests that scrapping them “risks reversing the recent progress made in widening access to higher education and could lead to an increase in the number of young people not in education, employment or training (NEET)”. This is described as being “incompatible with one of the government’s other key missions, to break down barriers to opportunity”.

T levels are described as a “welcome development”, but the report suggests they “should sit alongside, rather than replace AGQs”.

The report concludes by urging the independent Curriculum and Assessment Review (CAR) Chaired by Professor Becky Francis to recommend that the government reverses the ban on AGQ diplomas and extended diplomas in T level subjects when it publishes its final report in the autumn. This is “the last chance” to ensure that young people can access these qualifications in the future, but would still require ministers to accept and implement the recommendation.

Commenting on today’s report:

Gareth Snell MP, Chair of the All-Party Parliamentary Group on Sixth Form Education, said: “Today’s report highlights why it is so important to retain AGQ diplomas and extended diplomas alongside T levels. Sixth forms and colleges up and down the country know the vital role that AGQs play in helping students to progress to higher education or skilled employment. Limiting the choice of qualification in certain subjects to T levels will leave some young people without a suitable pathway at the age of 16, and some employers without the skilled workforce they need”.

Professor Martin Green OBE, Chief Executive of Care England, said: “Qualifications like the diploma and extended diploma in Health and Social Care are highly valued by providers of adult social care in England as a source of introducing younger people to a career in social care. Scrapping these qualifications would close off a well-established pathway to entering the profession and exacerbate the workforce crisis in the care sector for a younger population we are keen to promote access to. Our members would welcome an assurance that the diploma and extended diploma in Health and Social Care have a long-term future.”

Nimmi Patel, Head of Skills, Talent, and Diversity at techUK, the UK’s technology trade association, said: “With over 10,000 fewer young people set to study IT and digital subjects each year, the pipeline of future tech talent is under threat. At a time when the government is prioritising growth through innovation, it’s vital that pathways like BTECs are retained to ensure a diverse and skilled workforce for the UK’s digital economy.”

Elizabeth Barr, Head of the Cisco Networking Academy, said: “BTEC qualifications play a critical role for learners pursuing careers in Computing, IT, and other technical fields. Larger sized BTECs in Digital have established themselves as well-respected and well-recognised qualifications, offering a valuable pathway for thousands of learners each year to progress to higher education or skilled employment.  We strongly encourage the government to reaffirm its commitment to BTEC qualifications and to continue supporting their development and delivery alongside T Levels. This dual approach will provide learners with diverse opportunities while addressing the needs of employers and the broader economy.”

Anne Murdoch, College Leadership Adviser at the Association of School and College Leaders, said: “We strongly urge the government to retain these popular and valued applied general qualifications. We support the introduction of T levels, but we do not understand why this must be at the expense of other tried and trusted vocational qualifications which work well for many students. At a time when we are seeing rising numbers of young people who are not in education, employment or training, it is surely essential that we provide a choice of post-16 pathways rather than narrowing their options and making matters worse.” 

Professor Sir Les Ebdon CBE DL, Chair of the National Education Opportunities Network (NEON) and former Director of Fair Access to Higher Education, said: “NEON remain concerned that the government’s actions around diploma and extended diploma applied general qualifications will not only leave many young people without a suitable route into higher education, but will have a disproportionately negative impact on the under-represented learners we have been working so hard to attract. These qualifications provide proven routes into both employment and further study and their loss will hinder efforts to fill skills gaps and widen access to higher education.”

Heidi Amor, Learning and Development Manager, Royal Devon University Healthcare NHS Foundation Trust, said: “To meet the workforce needs of our NHS Trust, it is essential that large AGQs are retained in Health in Science. We have many former AGQ students who have successfully completed Registered Nurse Degrees, Nursing Associate programmes or Assistant Practitioner programmes that may not have been able to access or achieve a T level. These students have good GCSE grades but may not have the level of science or maths required to access a T level - without the option of an AGQ they would be shut out of a career in this sector. We have been very impressed with T level students but most go onto higher education rather than come to work for us directly from college”.

Professor Vicky Halliwell, Interim Pro Vice Chancellor Dean of the School of Health and Society at the University of Salford, said:

“We know that applied general qualifications play a vital role in widening access to higher education, particularly for disadvantaged students. Many students with BTECs and other AGQs flourish at university before joining the workforce in key sectors of the economy. As today’s report illustrates, removing diplomas and extended diplomas will reduce the number of 16 to 18 year olds studying strategically important subjects such as Health and Social Care, Applied Science, and IT. It is important that students retain the option to choose these qualifications if we are to improve social mobility and boost economic growth.”

Notes

1. The report Causing gaps, creating uncertainty: why the government should lift the ban on AGQ diplomas and extended diplomas in T level subjects can be found here.
2. Young people in England can currently choose between three types of Level 3 qualification at the age of 16: A levels, technical qualifications such as T levels, and applied general qualifications (AGQs) such as BTECs.
3. In December 2024, the government announced a blanket ban on all diploma (2 A level equivalent) and extended diploma (3 A level equivalent) size AGQs in T level subjects. The aim of the ban is to “direct” students away from AGQs to T levels.
4. The government’s ban was confirmed in guidance published in February 2025: “large qualifications in T Level routes…will have funding removed”. In June 2025, Minister for Skills Jacqui Smith reconfirmed the government’s position in response to a letter from the Protect Student Choice campaign: “The government remains committed to T Levels being the best large qualification in routes where they are available”.
5. There are currently 277,380 students studying an AGQ and 2027 is the last year in which these qualifications will be funded. The Department for Education estimates that just 91,200 students will be studying a T level in 2027 - an estimate described by the National Audit Office as “optimistic”.
6. The Protect Student Choice campaign is a coalition of 28 employer groups and organisations that represent students, staff and leaders in schools, colleges and universities. The campaign believes that AGQs should be retained, as for many young people, they provide a more effective route to higher education or skilled employment than studying A levels or T levels. 
7. For more information, please email James Kewin.