Apprentices: Taxation

Question

The previous year has seen significant changes for employers and understandably, it will take them time to adjust and respond. We must, however, not lose sight of why we introduced our reforms – to put quality at the heart of the programme for apprentices, and putting control in the hands of employers.

Employers are right to take their time to plan high quality, well thought through apprenticeship provision that meets their specific needs, and maximises the opportunities an apprenticeship can bring for both the apprentice and employer. Feedback from levy payers has shown they plan to increase their demand for apprenticeships and that they are positive about the benefits that apprenticeships can bring to their business.

We are supporting employers to help them plan their future programmes, including through the account management of over 1,000 of the largest levy-paying employers. We have recently announced initial awards totalling around £485 million to hundreds of providers across the country to provide apprenticeship training to non-levy paying employers.

We are undertaking communications and engagement activity to encourage the take-up of apprenticeships. A new phase of our communications campaign started on 26 January 2018, encouraging employers to offer apprenticeships and promote them to potential apprentices. This will build on the National Apprenticeship Service’s ongoing communications and engagement activity to increase awareness and promote the benefits of apprenticeships among employers and learners.