The Apprenticeship Levy

The Government is committed to promoting Apprenticeships for individuals and businesses, now and in the future. This commitment has resulted in the introduction of an ‘Apprenticeship Levy’ in 2017 for businesses with a payroll of over £3 million. This levy will be used by businesses to recruit and train apprentices within their organisations.

Many businesses in Somerset and the South West won’t be charged this levy as their payrolls won’t meet the criteria, however, they will still have access to funds but will be required to co-invest up to 10% of these costs, in most cases this will be as little as £10 per month.  However if employing a young adult aged 16-18, these costs will be waived.

So, if you are a non-levy paying employer, you will still be strongly encouraged to recruit apprentices into your business, or train existing staff via the Apprenticeship route, despite not paying the levy. You will reap the benefit of being able to draw down on training funds for this purpose without having to provide those funds yourself.

Any Business, regardless of the levy,  employing a 16-18 Year old Apprentice can also benefit from a £1,000 bonus payment.  This will be paid to employers in two instalments at 90 days and 365 days, as long as the Apprentice is still employed at that time.

Click here to find out more about the Apprenticeship Levy and what it means for your business or contact us now.