The report into the Draft Apprenticeships Bill, which was set out last week in the Queen's speech, warned that MPs have "grave doubts" about the Government's ability to supply enough apprenticeships in the current economic climate.
The cross-party group of MPs welcomed the Government's attempts to raise standards in apprenticeships, but said they were unconvinced "that legislation is strictly necessary to achieve this".
The report also raised concerns about the transfer of funding for 16 to 18 education and training from the Learning and Skills Council to local authorities.
MPs describe the shift of funds, worth £7bn annually, as "a dramatic change" and urge the Government to "proceed with caution" to avoid an administrative disaster.
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