DfE urged to improve T Level delivery

DfE must improve student numbers and placements to secure T Levels’ future, NAO warns

The Department for Education (DfE) must increase student numbers and access to industry placements if T Levels are to deliver their intended long-term benefits, according to a new report from the National Audit Office (NAO).

T Levels are two-year technical qualifications launched in 2020 for students aged 16 to 19. They aim to fill key skills gaps in areas such as engineering, construction, education and health. A core part of the qualification is the inclusion of industry placements.

So far, 21 T Levels have been introduced, with 16 delivered on time. But student uptake remains below initial projections. According to the NAO, 25,508 students started a T Level in September 2024 — only 42% of the DfE’s 2022 target, although slightly higher than estimated in 2023.

The report states that DfE initially overestimated demand and has since revised its forecasts. It now expects 66,100 students by September 2029 — a reduced ambition compared to earlier estimates of 100,000 by 2025.

Gareth Davies, head of the NAO, said:

“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.

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.”

The NAO also highlighted concerns around the availability of industry placements. Although 98% of students finishing in 2024 completed their placement, the DfE had previously rated placement availability as a high risk. That risk was downgraded in March 2025 after the department introduced more flexible placement rules.

The report notes that the T Level programme has cost less than originally expected. Lower student numbers and revised plans mean DfE expects to spend £1.25 billion — £700 million less than the £1.94 billion projected in 2021.

Completion rates and pass rates for T Levels remain below those for other level 3 qualifications. In 2024, 71% of students completed their course and the pass rate fell to 89%, down from 97% in 2022. DfE said this was expected due to the phased rollout of the programme and a wider pool of providers.

While T Levels are more expensive to deliver than other qualifications — due to additional teaching hours, placements, and provider support — DfE believes they are 25% more valuable to students in the long term, with projected lifetime earnings worth around £23,000 more per student.

The NAO concludes that DfE must continue to monitor student demand, industry placement availability, and the value delivered by the programme to inform future decisions. It also recommends improving how DfE estimates long-term benefits and costs of T Levels, especially in the absence of reliable earnings data.

The full report is available on the NAO website.