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  • International Workplace
  • 19 November 2018
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Further changes to the apprenticeship levy to support employers

From April 2019, large businesses will be able to invest up to 25% of their apprenticeship levy to support apprentices in their supply chain, the Budget 2018 announced.

Some employers will pay half of what they currently pay for apprenticeship training – from 10% to 5%. The government will pay the remaining 95%. Further details on when this will be available will be announced in early 2019.

Commenting on the Apprenticeship Levy just after its one-year anniversary, HR Consultant for International Workplace, Terry Hayward said:

“You could still be forgiven for considering it to be a new initiative and one that some businesses haven’t quite got their corporate heads around yet. However, it appears to be here to stay and, whilst there may be some fine tuning needed to make it an easy-to-follow process, the early signs from those businesses that have developed schemes are encouraging and future developments are bound to promote apprenticeships as an important route for effective career development.

“The government’s target is three million apprenticeships in the UK by 2020 and the Chartered Management Institute reported that managers they surveyed were mostly confident that could be achieved, with a larger number in broad support of the opportunities that the levy brings. With university tuition fees being unreachable for some, the apprenticeship levy is allowing schemes to be seen as a viable and equal option to that of university by young people.

“The striking benefit of the levy is that it has focused companies’ minds to think about how they can make use of it and consider whether roles within their organisations could accommodate an apprenticeship scheme. This has enabled a change in thinking about apprenticeships away from purely manual or low-skilled roles to anything and everything.”