The way apprenticeships are funded changed when the UK apprenticeship levy came into effect in April 2017. The apprenticeship levy is 0.5% of a company payroll, paid by all employers with a payroll in excess of £3 million per annum. The objectives of the apprenticeship levy are as follows:
- Put the control of apprenticeship funding in the hands of employers
- Enable employers to decide where, and how, the apprenticeship money is spent
- Give employers, who commit to apprenticeships, the opportunity to get more out of the levy fund than they put in
- Encourage the recruitment of more apprentices and the investment in apprenticeship programmes to upskill existing workforces
- Through the additional employer incentive, encourage the employment of 16-18-year-olds
- Fund the ambition for raising both the quality and quantity of apprenticeships in England and assist the government in achieving its ambition to deliver 3 million apprenticeships by 2020
- Further change the perception of apprenticeships to be regarded as a viable alternative to university
We work closely with our employer partners to ensure the levy is being utilised effectively and is returning the best possible value. Our dedicated approach recognises each individual client’s requirements and we develop tailored apprenticeship solutions that drive the maximum benefits for your organisation. Find out more about our employer partnership approach or contact us for more information.