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Apprentices: Finance

Question for Department for Education

UIN HL4158, tabled on 6 May 2020

To ask Her Majesty's Government what steps they are taking to ensure sustainable funding for the apprenticeship sector in the light of the COVID-19 pandemic, the Institute for Apprenticeships and Technical Education’s Review of Funding Band methodology and their review of the apprenticeship levy in England as announced in the Budget.

Answered on

21 May 2020

In 2020-21, funding available for investment in apprenticeships in England will remain around £2.5 billion, double what was spent in 2010-11. Budgets for future years will be set by HM Treasury in due course.

Apprenticeships are a valuable route into good quality employment and help to boost employers’ skills – they will play an important role in supporting our economic recovery, post COVID-19.

The government is committed to improving the operation of the apprenticeship levy, as my right hon. Friend, the Chancellor of the Exchequer confirmed in the Budget in March. We continue to engage closely with businesses and listen to their views about the operation of the apprenticeship levy and the programme more broadly, taking into account the impact of COVID-19.

In response to the challenges of COVID-19, the Institute for Apprenticeships and Technical Education’s consultation on changes to the funding band recommendation process was extended six weeks and closed on 18 May. It will launch a second consultation on a refined model later this year.