To ask Her Majesty's Government what plans they have to reform the apprenticeship levy to (1) ensure companies spend more on training, and (2) broaden the levy to include a greater number of companies.
29 July 2019
The former Chancellor of the Exchequer (Philip Hammond), my right hon. Friend for Runnymede and Weybridge, announced in his budget speech in October 2018, that we have been seeking views from a range of employers on the operation of the levy after 2020.
Over the past few months, we have used a number of channels, including a survey and regional roundtables across England, to work with a range of different employers, providers and representative organisations. We will continue to listen to the views of employers and providers, and use this evidence to support our planning for the forthcoming Spending Review.
To further support employers to make a long-term, sustainable investment in training, we have increased the amount that levy-paying employers can transfer to other employers from 10% to 25%. Almost 480 high-quality apprenticeship standards are now approved for delivery at a range of levels and sectors, giving employers more choice than ever over the training that meets their skills needs.
There are no current plans to broaden the apprenticeship levy to include more companies but we continue to keep this policy under review.