An unwise target to set for students and their employers

Many of the complaints about the employability of British graduates made by the Institute of Directors are so blimpish it is surprising it did not add the demand that ministers ensure the lyrics of popular music be clearly audible. The IoD thinks exam standards are slipping, it does not like modular degrees and it says too many students take "soft" subjects such as media studies. So far, so predictable.

The one criticism which ought to be taken seriously is that of the Government's target of getting 50 per cent of school leavers into higher education by 2010, which the IoD describes as "ludicrous". That is too strong. The target is a bad idea, but for reasons which have little to do with the snobbery of Britain's directors.

Targets can be a useful tool of accountability, if they are not adhered to religiously. The problem with the target for higher education is that – even though it applies to a date beyond the next election – it was in Labour's manifesto. It therefore becomes a matter of political honour to fulfil it, whereas the sensible approach would be to have it as an aspiration, but one which can be adapted in the light of events or evidence.

Margaret Hodge, the higher education minister, was right to draw attention to the forecast that 80 per cent of new jobs over the next decade will require graduate-level skills. The Government might have a role in saying a certain trend is a good thing and in devising policy to encourage it. If more Britons are educated to a higher level, that is likely to maintain our competitive edge in the information economy.

However, setting a specific target distracts from the autonomy of the individual: this policy is not going to work unless young people themselves feel strongly that it is in their interest to go to university. Much of the trouble with the Government's policy on tuition fees and student loans arises from its failure to persuade students of their direct financial interest in higher education.

As 2010 approaches, empahsis in policy will begin to shift towards cutting standards in order to fulfil the target. This is in the interests neither of young people nor of their prospective employers. The Institute of Directors is at least right about that.