What Is The New Apprenticeship Levy?
What is the new apprenticeship levy?
As of the 6th April 2017, the new apprenticeship levy set by the government will be implemented which has been set at 0.5% of the total wage bill for all businesses whose payroll exceeds £3 million a year.
The government is committed to developing vocational skills, and to increasing the quantity and quality of Apprenticeships. It has committed to an additional 3 million Apprenticeship starts in England by 2020. The Levy will help to deliver new Apprenticeships and support quality training by putting employers at the centre of the system.
“The concept of the Apprenticeship Levy is fundamentally sound after all large employers with a PAYE bill of over £3m should be investing in the future of all skills. However, there is so much confusion by employers and a lack of quality pertinent information available to the training providers. We found out only yesterday how the funding bands work for employers and we are the largest training provider in England for level 3 apprenticeships in Garment Technology. Anything new takes time... I'm sure it will settle down!” states CEO, Jenny Holloway.
In addition to the new levy, apprenticeships will now also be based on standards set by employers in an aim to see the qualifications become more relevant to the needs of the brand and the industry. In a bid to improve the quality of apprenticeships and ensure that the apprentices are industry ready upon completing the qualification, it has also been confirmed that more rigorous testing will be introduced at the end of the apprenticeship.
Whilst this means a change for employers and apprenticeship providers, the standards, qualifications and testing will ensure that the students of today, who are the future of the industry, are more prepared, confident and work-ready.
Fashion Enter is England’s leading training provider for the Fashion and Textiles Apprenticeship programme level 3. Our team of experts are well placed to help you understand the impact of the Levy and to help you plan, develop and deliver your Apprenticeship programmes, ensuring you maximise the return on your Levy payments.
We offer flexible Apprenticeships in a range of subjects and we’ll work with your organisation to identify the right mix of training / qualifications to meet your business needs. We’re also playing a key role in developing new Trailblazer Apprenticeship standards.
We already deliver apprenticeships for many leading organisations including ASOS, Marks & Spencer, New Look, Topshop, Topman, Jigsaw, Hobbs, M&Co, People Tree, Moseley Road, N16 Vintage, Lipstick Boutique, Finery of London and many more. To find out more about how Fashion Enter can help you click here