Small businesses across six areas in England are set to benefit from a £190 million expansion of Employer Training Pilots (ETPs) announced in yesterday’s Budget.

The ETPs, created by the government’s Learning and Skills Council, will now be available to small firms in the North East, Lancashire, West Yorkshire, the Black Country, Cambridgeshire and Devon and Cornwall.

Employers in these areas will be able to give time off to staff to train and gain vital new skills, in return for a share of £190 million of government compensation for absent employees.

The ETPs, which will now cover a third of England, were introduced in September 2002 and are seen by ministers as an important way to combat the severe shortage of skills in the UK workforce, which affects an estimated eight million workers.

The announcement by chancellor Gordon Brown to expand the ETPs are an indication of the scheme’s success and a sign that firms from across the UK will soon be able to benefit from the pilots.

Mark Haysom, chief executive of the Learning and Skills Council, said that so far 8,000 employers and 40,000 employees are already benefiting from training, which is tailored to suit business needs.

“The free and flexible training offered by ETPs will come as a welcome bonus to small businesses. I am delighted that HM Treasury has recognised our success and extended funding for our Employer Training Pilots for the third consecutive year.

“We are offering training which has a real impact on the bottom line,” he said.

John Healy, economic secretary to the Treasury, also welcomed the expansion.

“Over 90 per cent of firms involved in the scheme are small or medium sized businesses and over 70 per cent have less than 50 employees.

“I am pleased to see the progress the pilots have made in attracting those traditionally thought of as hard to reach – such as people who left school at or before the age of 16 with no qualifications,” he said.

For more information on ETPs, call the Learning and Skills Council on 0870 900 6800