The Apprenticeship Funding Reforms

Information for employers

What you need to know

In 2017, the Government has changed the way apprenticeships are funded.

The Apprenticeship Funding Reforms came into effect on 1 May 2017 and will impact all employers looking for apprenticeship training for their staff. Progress to Excellence are here to help.

Below are some key facts about the levy:

  • Those larger employers (who have an annual wage bill of £3 million or more) will automatically start paying in to the Apprenticeship Levy from May 2017. Larger employers will invest 0.5% of their total wage bill
  • Levy paying employers will access their apprenticeship training and assessment via their online Apprenticeship Service (AS) account. Here employers will be able to select an apprenticeship, choose the training provider(s) who they want to work with, choose the organisation who will assess their apprentices and post vacancies. Employers will use their AS account to set the price agreed with the training provider, pay for their apprenticeship training and assessment and pause/stop payments if their learner takes a gap in learning etc.
  • Employers with a wage bill less than £3 million pounds (approximately 98% of companies) will have 90% of the cost of apprenticeship training funded by the Government, with the employer contributing the remaining 10%. Employers will pay between £150 and £2,700 depending on the type and level of the apprenticeship

We offer employers a complete, end-to-end apprentice recruitment and training service designed to help make their life easier. Tell us about your bespoke training needs, and we will do the rest.

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