The government plans to fund 7.5m training places in England in a bid to raise the skills of the least qualified.
Just under half of the places, 3.5m, will be in basic skills, while 120,000 will be apprenticeships for young people while 30,000 new places for the over-25s.
There will be another 95,000 training places to help people get a level 2 qualification – equivalent to five good GCSEs, while there are also plans to increase level 3 courses by 310,000 places by the end of the decade.
Skills Secretary John Denham said the aim was to ensure more work for British people.
"For millions of people, skills and learning are the key to improving their lives - whether getting into and on at work, improving job prospects or simply putting more money into their pockets,” he said.
"It will also help ensure that nobody here is unable to get a job because it is easier to employ a skilled or better qualified migrant worker."
Almost seven million people in the UK are estimated to have problems with numeracy or literacy.