T-level qualifications... uptake remains disappointing

Published on 23/04/2025

The NAO has suggested that more popular vocational qualifications should be retained until T-levels can be fully evaluated.

  • 16 of 21 new T Level courses introduced to date were delivered on time.  
  • 25,508 students started a T Level in September 2024: 42% of DfE’s November 2022 estimate, but 1% higher than estimated in October 2023. 
  • DfE has taken steps to increase the availability of industry placements but that, and student awareness, remain a challenge to scaling up T Levels. 
  • 71% of students completed their two-year T Level course in summer 2024 (provisional data).  

The Department for Education (DfE) must address issues surrounding student take-up, awareness and industry placement numbers to cement T Levels as the main technical education qualification for 16 to 19-year-olds, despite making progress since their introduction, according to a new National Audit Office (NAO) report.1 

From September 2020, students have been able to enrol on T Levels, which DfE sees as critical in addressing skills gaps across the economy. Courses offered cover skills including education, engineering, digital and health. 

To date, DfE has introduced 21 T Levels, in phases, with 16 delivered on time despite an ambitious timetable. DfE significantly overestimated student demand initially, but has since revised down its estimates, meeting its most recent estimate for student numbers in September 2024.2 More widely, it has reduced its enrolment ambitions, which fell from 100,000 by September 2025 to 70,000 by September 2027.3 

Lower-than-expected student numbers, the announcement of the Advanced British Standard (now reversed) and delays defunding overlapping qualifications have impacted market interest from organisations contracted to award individual T Levels, with some having made a financial loss.4 Low student numbers have also meant that DfE expects to spend £0.7 billion less introducing T Levels than its June 2021 estimate of £1.94 billion.5  

DfE has recognised that a lack of awareness is a barrier for students, and has introduced various measures to address this.6 It has also considered a shortage of industry placements as a potential future constraint on student numbers, although in March 2025 it downgraded this risk for the current year.7 Of the students completing a T Level in summer 2024, 98% had undertaken an industry placement. DfE has various initiatives to help expand placements but no longer provides employers with financial incentives.  

Fewer students complete their T Levels compared with other level 3 qualifications,8 with pass rates declining year on year, although DfE reports that this is in line with expectations.9 T Levels are also more expensive than other level 3 qualifications due to the cost of additional teaching hours and industry placements, as well as the extra funding needed to support providers. However, DfE has estimated that T Levels are 25% more economically valuable to students than comparable qualifications.10 

Although DfE has developed plans to monitor benefits – including preparing students for work and having the required skills – in the absence of students’ earnings data, and with overall numbers hard to estimate, the anticipated benefits are uncertain. 

DfE has evolved the T Levels programme in response to feedback. The Infrastructure and Projects Authority (IPA) reported in June 2023 that DfE had made good progress against its recommendations, including by strengthening its programme oversight.   

The NAO recommends that DfE develops ways to understand the potential impacts on the demand, benefits and cost of T Levels before making wider strategic decisions around the development of the technical qualifications landscape. 

DfE must also continue efforts to increase industry placements, which are critical to offering T Levels to more students, and monitor the impact of student take-up on revised commercial arrangements with awarding bodies.  

“T Levels were developed to provide crucial qualifications and industry experience to students, allowing them to go on to further education or begin roles in skilled jobs.
“They have the potential to offer new opportunities for young people and address critical skills gaps across the economy.
“Although the Department for Education has made progress in delivering the wide range of courses available, efforts must be made to increase student numbers and realise all the potential benefits of T Levels.”
Gareth Davies, head of the NAO

Read the full National Audit Office report here.