"The CIPD has welcomed the plans, with senior skills policy adviser Lizzie Crowley highlighting that, to “rebalance” the apprenticeships system towards young people, the government “will be seeking employers to co-invest in higher-level apprenticeships for already skilled and experienced employees”. “This will hopefully reduce the burden of expensive rebadging of existing training as apprenticeships and free up resources to invest in young people – those who see the most benefit from apprenticeships,” she said. However, Crowley added that more action was required to support SMEs, which do not contribute to the current levy, to “unlock more apprenticeships for young people”. “The collapse in SME participation in the system has driven the overall decline in apprenticeship numbers, and a lack of opportunities for young people in particular,” she pointed out. To fund the changes, the government is asking employers to “rebalance” their apprenticeship funding, invest in younger workers and fund more of their level 7 apprenticeships outside of the levy – a move Ben Rowland, chief executive of the Association of Employers and Learning Providers, called “disappointing”. “While it may not be surprising given underfunding throughout the apprenticeship system, this could have been avoided if the £800m gap between the amount taken in by the apprenticeship levy and the actual programme budget was plugged – or even by looking at an alternative funding model,” he said. If you are seeking professional advice and guidance call Schofield & Associates 01564 739 103 Read the full article: https://lnkd.in/dZBFtpyX
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"The CIPD has welcomed the plans, with senior skills policy adviser Lizzie Crowley highlighting that, to “rebalance” the apprenticeships system towards young people, the government “will be seeking employers to co-invest in higher-level apprenticeships for already skilled and experienced employees”. “This will hopefully reduce the burden of expensive rebadging of existing training as apprenticeships and free up resources to invest in young people – those who see the most benefit from apprenticeships,” she said. However, Crowley added that more action was required to support SMEs, which do not contribute to the current levy, to “unlock more apprenticeships for young people”. “The collapse in SME participation in the system has driven the overall decline in apprenticeship numbers, and a lack of opportunities for young people in particular,” she pointed out. To fund the changes, the government is asking employers to “rebalance” their apprenticeship funding, invest in younger workers and fund more of their level 7 apprenticeships outside of the levy – a move Ben Rowland, chief executive of the Association of Employers and Learning Providers, called “disappointing”. “While it may not be surprising given underfunding throughout the apprenticeship system, this could have been avoided if the £800m gap between the amount taken in by the apprenticeship levy and the actual programme budget was plugged – or even by looking at an alternative funding model,” he said. If you are seeking professional advice and guidance call Schofield & Associates 01564 739 103 Read the full article: https://lnkd.in/esb77jRF
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Are you ready to take the next step in your career with a Level 7 Apprenticeship? ✨ The UK government recently announced upcoming reforms to the Apprenticeship Levy, which are set to impact Level 7 qualifications. Multiple sources indicate that part of these changes will include restricting employers’ ability to use their levy contributions to fund Level 7 apprenticeships. While the specifics are still being finalised, these reforms could take effect soon. Since its launch in 2021, the Level 7 Senior People Professional (SPP) apprenticeship has offered many professionals a route to Chartered MCIPD status. However, with Skills England emphasizing Levels 2-6, we may see fewer opportunities for Level 7 apprenticeships going forward. If you’re considering boosting your career, now may be the perfect time to pursue Chartered MCIPD status through our 24-month programme while funding via the apprenticeship levy is still available. The Advanced CIPD Diploma comes as added value at no extra cost! 👇 Give me a call on 0113 543 6018 or email me at [email protected] to discuss further.
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The apprenticeship Levy requires reform. As it currently stands, the Apprenticeship Levy scheme has not succeeded in reversing the decline in employer investment in training, addressing poor productivity, nor enhancing the quantity and quality of apprenticeships. In reconsidering this area of policy, the next UK Government should aim at: 1. Rebalancing the apprenticeship system to primarily benefit young people, particularly those who experience socio-economic disadvantage, and 2. Boosting employer investment in training and tackling critical skills shortages and skills. This will require changes to the apprenticeship as well as the broader skills ecosystem as a whole. The CIPD recommends targeted action by the UK Government in the following areas: 1. Reforming the Apprenticeship Levy into a more flexible skills levy 2. Establishing an Apprenticeship Guarantee for young people aged 16-24 3. Rebalancing incentives to encourage increased investment in youth apprenticeships 4. Developing 'pathway' apprenticeships through a refreshed pre-apprenticeship programme 5. Offering financial incentives to boost apprenticeship opportunities in small firms 6. Strengthening sector institutions to help employers collectively identify and address emerging skills gaps and shortages at an industry level, as part of a renewed approach to industrial strategy. You can download the report here : - Youth apprenticeships and the case for a flexible skills levy | CIPD
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Okay lets try and understanding the Apprenticeship Levy: Have you heard about the Apprenticeship Levy but aren't quite sure what it entails? Let's break it down! The Apprenticeship Levy is a UK government initiative designed to fund apprenticeship training. It aims to encourage businesses to invest in developing the skills of their employees, fostering a culture of learning and growth within the workplace. So How does it work? 😕 Who Pays the Levy? Employers with an annual pay bill exceeding £3 million are required to pay the Levy. This is calculated at 0.5% of their total wage bill, with an annual allowance of £15,000 to offset against the Levy payment. Levy Funds: The funds collected through the Levy are available for employers to spend on apprenticeship training. This is facilitated through the Digital Apprenticeship Service (DAS) account, where employers can manage and allocate their Levy funds. Expiration of Funds: It’s important to note that Levy funds expire after 24 months if not used. This encourages timely investment in training and development. Using the Funds: Levy funds can be used for a wide range of apprenticeship training programs, from entry-level to advanced skills development. This includes both new hires and existing employees looking to enhance their skills. Attached are the programmes e-Careers offer, get in touch 📞 Non-Levy Paying Employers: Smaller businesses that do not meet the £3 million pay bill threshold can still benefit from apprenticeship training. They are required to co-invest just 5% of the training costs, with the government covering the remaining 95%, but if you are taking on an apprentice aged between 16 – 21 then the training will be fully funded. #ApprenticeshipLevy #WorkforceDevelopment #SkillsTraining #BusinessGrowth #EmployeeDevelopment
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Genuinely brilliant news. The apprenticeship reforms over the last 7 years have been transformative in terms of quality & the breadth of professions IfATE (Institute for Apprenticeships and Technical Education) apprenticeship standards lead to. BUT, if there's part of the system that still struggles, it's smaller firms. Removing the 5% 'co-investment' for apprentices under 22 will really help: https://lnkd.in/eWRwhFnK It's equates to an extra £60 million for apprenticeships, with an estimated 20,000 more apprentices as a result. Side story: the 'co-investment' used to be 10%, until myself & colleagues (esp. Rain Newton-Smith) at CBI (Confederation of British Industry) campaigned for it to be cut to 5% in 2018: https://lnkd.in/ez_FdhBx
Sunak to scrap SME co-investment for young apprentices
https://feweek.co.uk
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The new changes to the Apprenticeship Levy and Government funding On the 1st April the government unveiled ground-breaking changes to reshape the Apprenticeship landscape in the UK. From 1st April small and medium-sized (SME) employers who aren’t levy payers are relieved of Apprenticeship training costs for 16-21 year olds, with the government now funding 100% of their training! From 6th April levy-paying employers, now benefit from increased flexibility, able to transfer up to 50% of their funds to support Apprenticeships in other businesses, doubling the previous limit of 25%. Sunak stated that these changes will be supported with an additional £60 million new investment to enable up to 20,000 more Apprenticeships for young people and small businesses. At Poultec Training we fully embrace this initiative as it will facilitate SMEs in recruiting additional Apprentices by lowering expenses, allowing more employers to access the skilled workforce they require. It also opens up opportunities for young individuals across various sectors, industries, and professions. Whether you're looking to upskill existing employees, exploring the idea of hiring a new apprentice or navigating these recent developments, we're here to help. Contact us today at 01362 850983. If you're not using your levy funds, email us at [email protected] to discuss how you can maximize this funding for your business or support other smaller employers.
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The UK Prime Minister will today announce a major reform package aimed at boosting apprenticeships and reducing regulatory burdens for small businesses. Key points include; - £60 million investment for up to 20,000 new apprenticeships - full funding of apprenticeship training costs for individuals up to age 21 by the government - a doubling of the apprenticeship levy transfer limit from 25% to 50%. Additionally, deregulatory measures will save SMEs around £150 million annually. - a new taskforce will also be created to enhance private investment in women-led businesses. For more details, you can read the full article here- https://lnkd.in/e-dCYMDa
Prime Minister to announce major reform package to boost apprenticeships and cut red tape for thousands of small businesses
gov.uk
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In a joint letter to UK Chancellor, Rachel Reeves, ARA has joined forces with 600+ organisations to send the message loud and clear: #KeepFundingL7Apprenticeships. ARA has joined a coalition of employers and apprentices spanning sectors including healthcare, science, construction, manufacturing, creative, business and local government to write to the Chancellor to express deep concern over the planned defunding of level 7 apprenticeships. Over 600 signatories have backed the letter, organised by the University Alliance, including representatives from over 60 NHS Trusts, 29 local authorities and sector representative groups such as the CBI, GAMBICA, RIBA and The Royal Town Planning Institute. The signatories argue that level 7 apprenticeships are integral to recruitment, retention and skills strategies across a range of essential sectors. The government has indicated that it plans to prevent employers from using the Apprenticeship Levy to fund level 7 apprenticeships – the highest level of apprenticeship. All employers with a turnover of over £3 million are charged at 0.5% of their annual pay bill for the Levy, which will soon become the Growth & Skills Levy. Part of what is raised through the Levy is used to fund apprenticeships in employers of all sizes, including SMEs. Employers argue the levy should be used to fund the qualifications that best meet their skills needs, including level 7 apprenticeships. https://lnkd.in/dNZVEyRu
ARA signs joint letter opposing defunding Level 7 apprenticeships — Archives & Records Association
archives.org.uk
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Delighted to share my latest Aldersgate Group briefing on #apprenticeships. Apprenticeships have a crucial role to play in tackling skills shortages, driving economic growth, and advancing the UK’s net zero and environmental objectives. However, we’ve seen a significant decline in apprenticeship starts in England over the past decade, reflecting a broader trend of falling employer investment in skills and training. While the Apprenticeship Levy is often cited as a key factor behind this drop, my briefing highlights that there are deeper, structural barriers affecting both the uptake and provision of apprenticeships that must be addressed. The government has proposed a substantial overhaul of the apprenticeship system, transforming the Apprenticeship Levy into a more flexible Growth and Skills Levy. This change will allow employers to allocate levy funds toward a wider range of training courses. For this reform to be successful, it must be accompanied by complementary policy measures that tackle the broader barriers to apprenticeships. Our recommendations to government include: 1. Provide policy certainty to give employers confidence to invest in skills for their workforce, and for training providers to offer new courses. 2. Boost careers advice and awareness of apprenticeship delivery options. 3. Offer greater financial support to SMEs and apprentices. 4. Make the apprenticeship funding model more transparent. You can view the full report here: https://shorturl.at/Q5Gnq On a related note, I was great to see our submission to the Industry and Regulators Committee’s inquiry on apprenticeships and training referenced in the Committee's letter to the Minister for Skills earlier this week: https://shorturl.at/A15ej
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Government Announces Groundbreaking Reforms to Support Apprenticeships and Small Businesses In a landmark announcement today, the UK government unveiled sweeping reforms aimed at revolutionizing apprenticeships and easing the burden on small businesses. Among these changes is the full funding of training for young people and a significant reduction in bureaucratic hurdles for small enterprises. Effective from April 1st, the government will embark on a pioneering initiative to cover the entire cost of apprenticeships for individuals aged 21 or younger at small firms. This ambitious move, supported by a substantial £60 million investment, aims to remove financial barriers and empower young people to pursue career opportunities through apprenticeship programs. Moreover, as part of the reforms, adjustments to the apprenticeship levy will be implemented to stimulate greater participation in apprenticeships. Businesses will now have the flexibility to share up to 50% of unspent funds, thereby encouraging the creation of more apprenticeship opportunities across various sectors. These groundbreaking reforms signify a paradigm shift in the government's approach to skills development and small business support, heralding a new era of opportunity and growth for both individuals and enterprises. Commenting on the announcement, Academy Training emphasised the importance of seizing this opportunity to invest in staff development. Academy Training Ltd’s Executive Director Anthony Bromirski stated "Academy Training stands ready to assist businesses in harnessing these funding opportunities, offering a specialised training programme tailored to the needs of small businesses. With expertise in the multi-channel marketer level 3 apprenticeship qualification, Academy Training is well-positioned to guide businesses through the process of maximizing the benefits of these reforms". The government's commitment to fostering a skilled workforce and supporting small businesses has been met with widespread acclaim from industry leaders and stakeholders. With these transformative reforms in place, the future looks brighter than ever for apprenticeships and small businesses across the UK. Anthony Bromirski Kelly Goddard #AcademyTrainingLtd #Skills #Apprenticeships #reform #smebusiness #multichannelmarketing #traininganddevelopment
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