Apprenticeship Levy

The apprenticeship levy; built to provide large and small employers with funding.

The Apprenticeship Levy was introduced on 6th April 2017. From this date employers with a pay bill of over £3 Million have to pay their monthly Levy bill and can access these funds to pay for Apprenticeship training. These Employers will be required to pay 0.5% of their annual payroll less the £15,000 allowance.

The Levy is there so you can invest into an apprenticeship programme to develop the skills that your workforce requires to help improve your business. We have experienced staff that can help you understand what Levy entitlement you have and to help with the administration of your claim should you require.

If you are an Apprenticeship Levy payer you will be required to do the below before you can employ an apprentice through the scheme.

 

✔ Create an account on the Digital Apprenticeship Service
✔ Add your organisation
✔ Link your PAYE schemes

What can I spend my Levy funds on?

You can only use funds in your account to pay for apprenticeship training and assessment for apprentices that work at least 50% of the time in England, and only up to the funding band maximum for that apprenticeship. Our team will make all this clear to you when signing your apprentice up to the program.

 

If the costs of training and assessment go over the funding band maximum, you will need to pay the difference with other funds from your own budget.

What can’t I spend my Levy fund on?

  • Apprentice wages
  • Statutory licences to practise
  • Travel and subsidiary costs
  • Work placement programmes
  • Setting up of an apprenticeship program

 

Read the apprenticeship funding rules for full details of what you can and can’t pay for with funds from your apprenticeship service account.