Apprenticeship Levy 2017 – Latest News on the Government Proposal
The Government is proposing to launch a new Apprenticeship Levy in April 2017 to help support the delivery of apprenticeships nationwide.
Latest news from the Department for Education confirms that the majority of employers will only have to contribute 10 per cent to the cost of an apprenticeship from April 2017.
This means the government will pay 90 per cent of the costs for 98 per cent of employers, those with annual wage bills below £3m and therefore not paying the levy.
This 10 per cent arrangement is a tremendous boost for small employers who can continue to benefit from developing their workforce through the apprenticeship scheme.
Levy paying employers, those with annual payroll bills over £3m, will receive a 10 per cent monthly top-up. However, if their levy account has insufficient funds, 90 per cent of their additional apprenticeship training costs will be subsidised by the Government.
What is the Apprenticeship Levy?
How much will my levy payment be?
If you are an employer with a pay bill above £3m you will have to pay an annual apprenticeship levy of 0.5% of your total PAYE bill.
Benefits for businesses
The funds raised from the levy will help to deliver new apprenticeships nationally and will support quality training which your business can benefit from. Employers will also have the opportunity to claim the following additional financial support:
To help employers see how the levy and funding system would work for them, the government has launched a new online calculator, which can be seen here.
For more information on the Government’s apprenticeship levy, click here.
Get in touch
We have an experienced team of Advisers available to help you maximise your apprenticeship levy payment. We specialise in conducting workforce skills analyses and creating apprenticeship strategies.
Whether you’re new to apprenticeships or already delivering them, our team of experts can work with you to:
We support employers and apprentices to create a service which combines support, training and valuable transferable employment skills. We can guide you through the new process to help your business maximise the benefits of the levy.
For further information on the apprenticeship levy and how we can support you please enquire here.
If you would like to discuss how you can benefit by taking on an apprentice, call our Business Solutions team on 0161 280 8650 or email us at: firstname.lastname@example.org