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CHRIS JAMES CEO at WAMITAB WAMITAB provides an end-to-end solution - from operative to management level qualifi cations in resource management and recycling, cleaning, street cleansing, facilities management and parking.
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A welcome change in apprenticeship funding
THE Apprenticeship Levy was launched in 2017, and required employers with a payroll bill of over £3m a year to pay the 0.5% levy. In 2018/2019 it is estimated that this raised around £2.5 billion. The initial concept was that the large employers would effectively support their own skills development through apprenticeships as well as amongst smaller employers.
However, it has become clear that this theory has not worked in practice as there are now fewer apprenticeship starts than before the levy was introduced; with numbers amongst SMEs being especially affected. At the same time, the age profile of apprentices has gotten older as more companies have adopted the apprenticeship model for existing staff to try to recoup some of the levy they have paid out.
The good news is that in January 2020 the government announced a key
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change to accessibility to apprenticeship funding, to take effect immediately. Now non-apprenticeship levy payers will be able to begin arranging their own apprenticeships accessing the apprenticeship service that was previously only available to those paying the levy (or those in receipt of a transfer of funds).
Additional funding has been made available up to the end of March 2020, to support non-levy paying employers to access apprenticeships, with a few restrictions: • Up to three apprenticeships starts per employer only;
• Apprenticeship standards only; frameworks are excluded;
• Up to 15,000 apprenticeship starts nationally across all sectors (January and March 2020).
Non-levy employers are now able to access the digital apprenticeship service in order to:
• choose from a range of apprenticeship standards;
• choose a provider from the Register of Apprenticeship Training Providers (RoATP) to deliver apprenticeship training;
• find an End-Point Assessment Organisation (EPAO);
• reserve access to funding for apprenticeship training and assessment;
• agree contracts with providers; and • benefit from collaborative relationships by delegating permissions to providers to service their accounts.
From January 2020 employers will be able to reserve funding for an apprenticeship in advance of recruitment or an offer of an apprenticeship being made to an existing employee. This reservation ensures that employers can plan and that funds will be available to pay for the training from the point
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