SHADOW Education and Employment Secretary David Blunkett stressed the importance of vocational qualifications to Britain's economic competitiveness in the next century at a two-day North West Education Conference in St Helens.

Speaking at the high-profile event at St Helens College town centre campus in Brook Street, the Labour MP, said: "One of the key aims of the European Year of Lifelong Learning is to make vocational training available to all young people to give them a smooth transition to working life."

And Mr Blunkett, who had earlier performed the official opening ceremony of the newly-refurbished Newton Campus, revealed that the Labour Party are working on policies to make vocational qualifications as acceptable to employers as traditional academic qualifications.

The former lecturer said: "Many employers misunderstand the nature of higher education and fail to recognise that vocational qualifications may equip students better for employment. Many universities misunderstand the make-up of qualifications such as the BTec diploma. Until these misunderstandings are corrected, there is little hope of Britain catching up with our European and East Asian counterparts.

"It is time to stop denigrating the vocational route and instead, by raising the standard of vocational qualifications.

"Germany has narrowed the gap between those at the top and bottom of the qualification scale by increasing both the number of those with higher qualifications and those with intermediate qualifications. In Britain, however, alongside the expansion of university education there has tragically been an increase in youngsters leaving school without any qualifications whatsoever.

"In a time of great insecurity, we must provide our young people with portable skills - via both vocational and knowledge-based training.

"Morale is particularly low in further education colleges, where cuts have left more than a third in severe financial difficulty. Further education capital spending is to be cut by two-thirds - a massive £100 million - over the next three years, and in the meantime colleges have to continue to find steep efficiency gains under recurrent funding plans.

"Higher education institutions face a seven per cent cut in recurrent and capital resources in 1996/7, rising to a staggering £550 million gap in 1998/9. Equally, training budgets have been slashed, with nearly £200 million - 12 per cent - cut in 1995/6 financial year, and a further four per cent cut in the year ahead."

He continued: "The Labour Party will shortly be publishing both proposals for the 14 to 19 curriculum and our policy of training. The policy on further and higher education - looking particularly at the central question of funding - will be submitted to the Dearing review this summer, as a key part of Labour's consultation on developing policy."

Mr Blunkett revealed that the alternative proposals to be put forward by Labour will include:

Relaxing the 16-hour rule that currently limits the learning opportunities for those on social security benefits.

A new deal for the under-25s, offering opportunities to young unemployed people. The Labour Party will use the windfall tax on the profits of the privatised utilities to fund a £1billion programme of education, training and employment.

A University of Industry harnessing the latest technologies to bring lifelong learning into the workplace and home.

Measures to encourage and support people at work who want to acquire new skills and improve their career.

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