UPDATE: Published on 13th March 2019
During the Chancellor of the Exchequer, Philip Hammond’s Spring statement on the 13th March 2019, he said: “To help small businesses take on more Apprentices I can announce that I am bringing forward the £700 million package of reforms I announced at the budget to the start of the new financial year in April.”
The Treasury later confirmed this with this statement:
“From April 1st employers will see the co-investment rate they pay cut by half from 10 percent to 5 percent, at the same time as levy-paying employers can share more levy funds across their supply chains, with the maximum amount rising from 10 percent to 25 percent.”
Published: 30th October 2018
The Chancellor of the Exchequer, Philip Hammond announced in his Autumn Budget on the 29th October 2018 new updates for Apprenticeships in 2019. Here’s a roundup of what this could mean…
Levy-paying employers to be able to transfer up to 25% of their funds
From April, the government will make up to £450 million available to enable levy paying employers to transfer up to 25% of their funds to pay for Apprenticeship Training in their supply chains.
The amount small and medium-sized employers must contribute towards apprenticeships could be reduced from 10% to 5%, a provision of up to £240 million for smaller employers.
A consultation on the future of the Apprenticeship Levy will be launched to understand how providers are responding to the programme across the UK, with a focus on strengthening the role of Apprenticeships in the post-2020 skills and Brexit landscape.
Training provision gaps
The Institute of Apprenticeship and National Apprenticeship Service will be granted an additional £5million to further identify training provision gaps and increase the availability of employer designed Apprenticeships Standards.
National Retraining Scheme (NRS)
£100 million has been allocated for the NRS. This will include a new careers guidance service, including sourcing work opportunities and courses to further develop transferable skills.
The chancellor also outlined the government’s other priorities for further education, including a recommitment to creating 3 million new apprenticeships by 2020.
Mark Dawe, chief executive of the Association of Employment and Learning Providers (AELP), said: “This is a major and positive shift, which the AELP has been pushing hard for since before the levy was introduced and it should enable providers to work with smaller businesses to start getting back to offering Apprenticeships to young people and local communities. “
Please keep visiting our website for further updates when they are announced.