April 6, 2017
Find out all of the following at Gov.uk:
Hear from those already getting involved (filmed at The Northbank’s recent ‘Future of Apprenticeships’ event)
What can an apprentice do for you?
According to Hawk Training, “the average apprentice delivers £10,000 in productivity gains each year.” By having a good apprenticeship scheme businesses promote leadership and loyalty. Within your organisation, your apprentice works along-side experienced staff, they learn new skills, specific for work environments, and they study for their qualification during their working week. 77% of employers believe their apprentice makes their business more competitive.
The Apprenticeship Levy
The Apprenticeship Levy was announced in November 2015 and is a mandatory tax for all employers with a wage bill that exceeds £3,000,000. The Government is committed to achieving 3 million Apprenticeship starts by summer 2020 and the introduction of the levy will encourage employers to take on apprentices.
Paying the levy
The rate for the levy will be set at 0.5% of an employer’s wage bill where it exceeds £3,000,000 and will be collected via PAYE. Employers affected by the levy will receive an allowance of £15,000. The levy will only be payable on wage bills in excess of £3,000,000 and will affect less than 2% of UK employers.
Employers who do not pay the levy will be able to access government support via a digital system.
The Levy is a ‘hypothecated tax’; this means the funding can only be used on Apprenticeships. Employers can use training providers registered with the Skills Funding Agency to deliver the Apprenticeship.