The Government announced in the 2015 Summer Budget that in April 2017 the way the apprenticeships in England are funded will change.
Employers operating in the UK, with a pay bill over £3 million per year will be will be required to contribute to a new apprenticeship levy. The apprenticeship levy will be introduced to assist with the pledge to create 3 million new apprenticeships by 2020.
The levy will apply to all employers in the UK across every industry, even public sector bodies. It is a tax of 0.5% of the employers’ total wage bill and it will be paid through PAYE.
Every single employer will receive an allowance of £15,000 to offset against their levy payments. The levy is only paid by employers where the wage bill is in excess of £3 million, which only equates to 2% of UK employers.
Employers who pay the levy and provide apprenticeships will be able to allocate their levy contributions through the Digital Apprenticeship Service to use to train their apprentices
For more information about the levy please visit the following websites:
Our team are perfectly placed to talk you through the changes to apprenticeships and answer any questions you have about the reform and how it impacts employers. It is our aim is to ensure that employers in the region make the most of these changes.
Call us today on 01642 777247 or email firstname.lastname@example.org