Businesses get the lowdown on Apprenticeship Levy and funding reforms

Companies and public bodies welcomed the opportunity to find out more about the forthcoming changes to Apprenticeship funding last week.

The College of Haringey, Enfield and North East London (CONEL) hosted events at its Tottenham and Enfield Centres to give employers the chance to gain a better understanding of the changes.

The Apprenticeship Levy, which comes into effect from May 2017, requires all businesses with an annual pay bill of more than £3million to invest 0.5% of their monthly pay bill in Apprenticeships.

The Government is offering a £15,000 annual allowance to these companies.

Businesses with a pay bill of up to £3million will be required to pay 10% of the cost of the Apprenticeship training, with the Government paying the remaining 90%.

Both Levy and non-Levy employers can also benefit from a £1,000 incentive for apprentices aged 16-18 or those aged 19-24 leaving care or who have a local authority healthcare plan.

Chris Dolby, UK Learning and Development Manager at XPO Logistics, and Suzanne Shutler, Nationa Campaign Manager – Apprenticeships at Pearson, gave presentations.

The Enfield event focused on levy paying employers and included a presentation by XPO Logistics on how it has prepared for the changes, and another by education company Pearson on delivering apprenticeships, training and assessment.

Speaking at the event, Chris Dolby, UK Learning and Development Manager at XPO Logistics, said: “This is a great opportunity for us to provide training to young people. As a business we’re looking at what qualifications we can to turn into apprenticeships, so we can offset the impact of the levy.”

The Tottenham event was aimed at non-levy paying employers and covered potential costs, employer incentives key questions to ask and what you should expect from a training provider.

Both events offered the opportunity for businesses to network and discuss the changes.

Sadia Ahmed, Learning and Skills Co-ordinator at Barts Heatlh NHS Trust, said: “The presentations really focused on what we need to be doing.

“It was good to hear from XPO and how they have prepared for the levy, and get more clarity from the College and Pearson on employee assessments.”

Mary O’Sullivan, Employment and Skills Project Manager at Enfield Council, added: “Today has been great, I found it really helpful and very informative.

“It has also given me the opportunity to meet other employers and training providers and further cement our relationship with CONEL.”

The CONEL Apprenticeship Team can help businesses to:

• Plan and create a successful Apprenticeship scheme.

• Recruit apprentices, including advertising, interviewing, screening and preparing applicants.

• Prepare sample contracts, create job descriptions and coach staff in taking on apprentices.

• Identify existing staff that may need Apprenticeship training to increase skills or further their career

• Provide day release or bespoke onsite training.

• Arrange apprentices’ final assessments.

• Ensure they are kept updated on funding, apprentices’ progress and new opportunities.

Find out more about the changes to Apprenticeship funding in CONEL’s Apprenticeship newsletter Recruit or call the Apprenticeship Team on 020 8442 3442.