Published Thursday, 26 January 2017
The Government is introducing an Apprenticeship Levy from 6 April 2017 and the changes will have implications for all businesses in the UK.
Businesses can use the levy to up skill existing employees or recruit new employees working towards an apprenticeship standard.
Employers with a payroll of more than £3m will be required to invest in apprenticeships at a rate of 0.5%. If a business has a wage bill of under £3m they will not pay the levy, but they will be required to make a 10% contribution to the cost of any apprenticeship training.
Changes to the funding for apprenticeship training will take place from 1 May. It will not affect funding of training for apprentices who started before this date.
Once businesses have registered and paid the levy they will be able to access funding through a digital apprenticeship service account where Government approved training providers can be selected and paid.