This paper explores the tensions between the UK Government's rhetoric on workforce development and the reality of business practice with reference to the use and implementation of Modern Apprenticeships (MAs). Drawing on a recent research study, which explored the use of MAs in the retail sector, the paper will argue that supply-side interventions alone without a concomitant change in demand-side practices cannot be expected to change business practices relating to the investment in, and utilisation of, workforce skills.Concerns have been expressed for many years about the UK workforce lacking relevant skills that businesses require to compete more effectively in global markets. MAs were introduced in 1994 to strengthen the work-based learning route for young people and to make a contribution to addressing the UK's deficit in intermediate-level skills. However, these expectations have not been fulfilled and the UK continues to lag behind many of its European competitors, including France and Germany. The stark reality is that too few employers use them. This is particularly true in the retail sector which traditionally recruits a lot of young people.The findings reported in this paper are based on research that was carried out by the NFER in England. The study adopted a multi-level approach in order to explore the views and experiences of key stakeholders, including employer-bodies, training, employers, and apprentices, of the challenges and barriers facing the use and completion of MAs in the retail sector. It found that despite the Government's rhetoric on delivering the skills needed by employers, many businesses showed no commitment to such a strategy. Instead, the emphasis on meeting short-term profit targets meant that many employers in the retail sector were reluctant to invest in, or commit themselves to, training which was not clearly linked to their immediate business needs. This meant that MAs were adapted in such a way that they resulted in very little additional training, being essentially based on the accreditation of existing skills. Furthermore, instead of being an employer-led initiative, it is essentially training provider-led – private training providers 'sell' the concept of MAs to employers on the basis that it aids staff recruitment and retention while causing a 'minimum of disruption' to their businesses. The study identifies fundamental barriers to the successful implementation and completion of MAs in the retail sector. These are related to the culture of the sector, including the mobility of young workers who frequently change jobs and the preoccupation with serving the customer which can restrict and fragment training and development opportunities. The stresses and strains of this working environment, which is shaped by the immediate and predominant demands of sales transactions and customer relations, do not provide conditions that are generally conducive to working towards and achieving an MA. This situation has serious implications for the credibility of the qualification as well as for the likely impact on the intermediate level skills of the workforce in this sector. Low completion rates, especially in such a large industrial sector as retailing, will continue to undermine the perceived value of MAs and threaten their perceived importance as a tool for developing young people's skills.The paper argues that supply-side initiatives alone will not change employers' attitudes towards training in general or, more specifically, government initiatives such as MAs. It concludes by exploring some of the steps that need to be taken in order to increase the demand for training and more generic skills among employers in sectors