N E W S E XTRA


universally shared. This may be straightforward for large employers who have a HR team. SMEs will not welcome this extra role to research, compare & negotiate with (and pay) providers.


These new arrangements will undoubtedly be seen as complex, time-consuming and  that SMEs are deterred from taking on apprentices. The BMF argues that more funding bands are necessary to allow for prices to drift towards the top of a funding band until employers are used to negotiating prices.


CO-INVESTMENT Ministers recognise a need to encourage employers who either (a) are not liable for the Levy or (b) who are liable and want to invest more in training. Co-investment is an offer from government that if such employers pay for part of the training and assessment costs, then


Right: BMF Apprentices of the Year Daniel Bartos of Buildbase (right) and Kerry-Lea Woodley of Parker Building Supplies.


the taxpayer will cover the larger proportion. The offer is a proposed ‘co-investment’ ratio of 1:9 - meaning you pay 10% and the taxpayer pays the remaining 90%. This is a change from the current position where costs are met two-thirds by taxpayers and one-third by employers.


ADDITIONAL PAYMENTS Taking on younger apprentices has additional costs for employers - e.g. extra time on supervising and mentoring them. An additional £1,000 payment for each 16-18 year old will go to both employers and training providers (£2,000 in all). This can be claimed when taking on 19-24 year olds who were in social care, or who have an education & health care plan.


SMEs are crucial in helping young people into work  construction currently train two-thirds of all industry apprentices. If they stop, it will exacerbate the skills’ shortage and damage the overall capacity & capability of the available workforce. We are pleased that training costs for 16-18 olds taken on by businesses that employ fewer than 50 people will be met in full by the taxpayer. This also applies when taking on 19-24 year olds who were in social care, or those with an education & health care plan.


It is the responsibility of government (not merchants) to fund English and Maths training from general taxation. We are pleased that government will continue funding these costs - and training providers will be able to claim £471 to help individuals attain the 


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SCOTLAND, WALES & NORTHERN IRELAND The absence of clarity on how the Levy will operate in Scotland, Wales and Northern Ireland continues to give cause for concern. Education and training & skills’ policy is devolved to Edinburgh, Cardiff and Belfast.


Their schemes have different funding


arrangements, procedures  more work to do between the four nations - especially on cross-border rules for BMF members who trade across internal borders. It is imperative that different rules & rates are clear to employers, training providers and training assessors.


10


NEXT STEPS


The change in ministers this summer allowed Mrs May’s Government the latitude to take a fresh look at the policy and funding proposed by her predecessor. The BMF has been at the forefront of lobbying to bring about changes. In addition to Westminster and Whitehall, we were at the Lib Dem, Labour, Tory and SNP Party Conferences to make the case for merchants and suppliers. Last month, the


Department for Education  on policy and the way it will be implemented. Concessions have been won on additional payments and allowing longer for BMF members to spend their Levy contributions. We and British Chambers of Commerce have queried whether there is a communications’ plan ready to support the policy - especially a publicity campaign like last year’s “Get In, Go Far” newspaper adverts.


There was scant


explanation of how the Levy supports the forthcoming Industrial Strategy. But it is early days and ministers will want to take further soundings before saying how 


Please contact your BMF Regional Manager or Richard Ellithorne, BMF Membership Services’ Director (richard. ellithorne@bmf.org. uk) to discuss having apprentices in your business. Additional funding is available to train apprentices via the BMF.


November 2016 BMJ


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