The Budget announced by Chancellor George Osborne last week has attracted a high amount of controversy, however one area that wasn’t expanded on as expected was further detail on the apprenticeship levy.
The government last year announced that from April 2017, businesses who have a wage bill of over £3million a year will be required to pay a levy of 0.5% of their wage bill on a monthly basis. This is to fund new apprentices, particularly the growing Chartered Manager degree apprentices. These higher level apprentices are expected to bring significant return on investments for employers as they train and develop employees at a management level.
A report published by the Treasury to coincide with the Budget on Wednesday 16th March did go on to confirm that a 10% top-up payment will be made to the monthly funds coming from employers which will be available in their digital account for them to spend on apprenticeship training. Employers will also receive a £15,000 allowance to offset against their levy payments.
Further details on this are due in April 2016. If you are considering hiring an apprentice, you can contact the Aspire Training Team on 01202 551553, or email email@example.com.