Apprenticeship Reforms

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Apprenticeship Reforms

Whether you’re aware or not from April 2017 Apprenticeships have changed for everyone, not just Levy payers.

So What’s Changed?

Employer Led – Employers are leading in the development of the new Apprenticeship Standards so the programmes on offer reflect industry and occupational skills, knowledge and attitudes need to be fully competent in role. Employers are also being given the scope to negotiate on the delivery and the associated costs creating more competitive and bespoke packages. Link to more information on standards

Funding Bands – Each Apprenticeship Standard or Framework will be assigned to one of 15 new funding bands setting a maximum cost. For example the most a 3yr degree level apprenticeship can cost is £27,000. This also sets the maximum government co-investment for non-levy payers at £24,300 leaving £2,700 to be paid for by the employer. Employers will be able to negotiate the cost within the funding band for their chosen apprenticeship.

Degree & Higher Level Apprenticeships – Previously any apprenticeship at level 4 or above had to be either completely funded by the employer or heavily subsidised. Under the reforms higher and degree level provision will be fundable either via your DAS (Digital Apprenticeship Service) account for levy payers or at 10% of the cost for non-levy payers via the co-investment model. Link to more information on higher level and degree apprenticeships.

Apprenticeship Levy – All employers with a domestic wage bill exceeding £3million will have 0.5% of their total wage bill deducted on a monthly basis. These funds can then be drawn down to pay for apprenticeship provision along with the 10% government top up applied to your monthly contributions. Link to more information on the apprenticeship levy.

Co-Investment Model – For all employers with a domestic wage bill under £3million you will fund apprenticeship training through co-investment with the government. Employers will be required to pay for 10% of the total cost, while the government will pick up the remaining 90%. For companies with fewer than 50 employees there is additional funding support. Link to more information on the co-investment model

Up-skill Existing Staff – This has actually always been possible, however some of the other changes are making this much simpler and more accessible. Literally any current member of staff can be put onto an apprenticeship for retraining, up-skilling and career progression instead of traditional courses and training. Link to more information on the up-skilling existing employees with apprenticeships

End Point Assessment – The move to independent end point assessment from the continuous assessment model we currently have will help drive quality and success rates. By having a holistic assessment at the end of the programme apprentices are assessed after they have gained the maximum knowledge, skills and experience possible. It also gives more control and flexibility to providers and employers in the design and structure of their training.

Contact us for more details – or call 0113 386 1997