A recent independent study that showed that only 40 per cent of graduates and school-leavers are completing modern apprenticeships -  that's 35 per cent less than the government's target.  Commenting, Impact, an experiential learning organisation, said that the most important reason for the high drop out rate is that many companies are failing to offer stimulating and challenging learning programmes which appeal to young people.

The report which was carried out by Key Note, looked at staff training and found that only 30 per cent is budgeted as part of the overall business planning process.

Andy Dickson, Head of Impact UK, said:

"In 76 per cent of UK organisations, training appears to be a reflexive notion, determined during performance appraisals rather than as a considered business investment.

"The most effective staff training is achieved through a proactive and engaging development programme - and most notably through experiential learning.

"Our experience is that organisations that have a reactive approach to people development are far less likely to build effective training programmes into their business models - and they are the least likely to prosper and build a sustainable enterprise.

"In addition, businesses need to find ways to make their organisations appealing - particularly to graduates, who are increasingly more selective about where they want to work. If a business is investing time and money into its employees, offering exciting and innovative training programmes that really make a difference to both the company and the community - be it locally or in another country - a graduate is more likely to choose that company over another - and is more likely to stay long term."

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