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Apprenticeship funding reforms for employers

In May 2017 the way apprenticeships are paid for changed.

The Government has introduced an apprenticeship levy which aims to promote apprenticeships as an effective way for young people and adults to enter the workforce equipped with the necessary skills and relevant work experience.

The cost of apprenticeships will be split into 15 funding bands ranging from £1,500 to £27,000. The prices will depend on the type of apprenticeship and the level it is taught at, and are negotiable with your training provider.

For 98% of employers, the reforms mean that employing an apprentice will be better value for money than ever before. Small businesses will only have to pay 5% of the training costs, with the Government picking up the remaining 95%. In some cases, the Government will fully fund apprenticeships for small businesses.

If your company is in the 2% of employers which has an annual payroll of over £3 million a year, you’ll have to pay 0.5% of that amount into the levy. This amount will be topped up by 10% and given back to your company through the new digital apprenticeship service. You can then use these funds on apprentice training. Click here for more information about how the reforms will affect your company.

Whether you have to pay the levy or not, Weston College can work with your business to ensure that you are maximising the potential benefits of the reforms and work with you to create bespoke and personalised training solutions.

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