Support for training

Learn more about accessing the Apprenticeship levy

What is the Apprenticeship Levy?

The Apprenticeship Levy, is payable by companies who have an annual payroll of over £3 million, at a rate of 0.5% of the payroll total.If this includes you, then your money will be placed and protected in a digital account for 24 months, to be used on apprenticeships only.

What opportunity does it offer?

Some businesses draw from the Apprenticeship Levy to fund their existing Apprenticeship programmes, while some have just written it off as an expense – but people and development so important, this is a wasted opportunity.Why not grab the chance to become a market leader in the implementation of apprenticeships?. Take advantage of your money available through the Apprenticeship Levy and start to build an effective workforce for your future.

Where can I use it?

There are currently 710 Apprenticeship Standards either being delivered or in development, with no llimitation on the age of apprentice, role-type or industry sector.
If you can think of a developmental need, there is likely an apprenticeship programme available to support it.
And if there isn’t, you’ll be welcomed by the Institute of Apprenticeships to form a group with other like-minded employers. Together you’ll create a brand-new Apprenticeship Standard that does.

Can I use the levy as an alternative to non-apprenticeship employee training?

Yes, you can. Instead of investing your own money in non-apprenticeship training, you could instead invest your Levy on Apprenticeship Standards. There are a few criteria you need to meet to make this happen:

the training meets an approved Apprenticeship Standard or framework
the training allows your employee to acquire substantive new skills
the content of the training is materially different from any prior training or a previous apprenticeship

These same rules apply for employers seeking to put employees on an equivalent or lower level qualification than one they’ve already achieved*.

_{*Between 1st August 2020 and 31st Jan 2021 employers can claim an additional Apprenticeship Incentive to be used as they wish (salary support, uniform, resources etc). This must be for newly recruited apprentices into the organisation (i.e. cannot be an existing employee placed on an Apprenticeship programme) payable at Day 90 and Day 365 of that individuals programme.}

Could a course of learning or a qualification be turned in to an apprenticeship?

Again, yes! Here’s a couple of examples of how you could take advantage of the Apprenticeship Levy to fund learning courses or qualifications:

Example 1

You want to develop an employee by placing them on a Leadership and Management course, which costs £7000.
Placing them on a Leadership and Management Apprenticeship Standard instead will enable you to fund this training through the Levy.

Example 2

You want to fund your employee’s Foundation Degree in Chemical Science at a cost of £21k to your business.Instead you put them on a Laboratory Scientist Apprenticeship Standard, using £27k from the Levy.And the benefits extend beyond the purely financial. Apprenticeship learning means that your employee’s education will be completed in the workplace, rather than somewhere like a college or university. So you can enjoy greater management involvement and greater transparency over what’s being taught.

How do I access my Apprenticeship Levy?

First, your organisation needs to be a Levy payer. If you are unsure, contact your finance or payroll departments to clarify. Remember, any company with an annual payroll of over £3m currently pays a 0.5% tax on this figure into the levy.

If you are a Levy payer you can instruct for your apprenticeship funds to be paid to a Training Provider of your choice for the apprenticeship training required. You must have an Apprenticeship Service account to manage this transaction.

You’ll still be able to access Government funding via a Funding Request. This is also made via the Apprenticeship Service so it is important all employers seeking Apprenticeship Training have a digital account. We’re happy to advise you on how to do this.Here’s a good resource to learn everything you need to register for and access your money.

Outsource your learning programme to the experts.

Taking advantage of the expertise of an experienced organisation can relieve you of a significant headache – and offer you the best of both worlds.A partner can take responsibility for a range of learning, mentoring and apprenticeship requirements – from managing your programme, to individual employment requirements .