Co-Investment Model for Non-Levy Payers
For businesses that don’t have to pay the Apprenticeship Levy because their payroll is below £3million or for businesses that wish to purchase additional apprenticeship training after spending their levy funds this is the funding model you will be using.
Thankfully the dark mysteries of Apprenticeship funding have been replaced with a simple and clear model with the Government paying 90% of the cost (up to the maximum limit of the funding band for that apprenticeship), with businesses picking up only the remaining 10%.
While, for many smaller companies and organisations, this will be the first time they have to contribute to the training costs of an apprentice this funding model is applicable all the way up to higher and degree level apprenticeships. This means for the first time smaller businesses have viable and cost effective access to higher skills and qualifications.
If a non-levy paying business wanted a degree level apprentice the most they’d have to contribute is £2,700 under the Apprenticeship Co-Investment Model and what’s more is that this cost can be spread monthly across the life of the apprenticeship.
There’s also additional support for the smallest businesses in our economy. If you have fewer than 50 employees then the Government will pay 100% of the cost of training as long as the apprentice is aged 16-18 or 19-24 formerly in care or with an Education, Health and Care plan.
There’s also £1000 grant to support the additional costs of apprentice when hiring a 16-18 year old which helps make things more financially viable for smaller businesses looking to recruit and train young people via apprenticeships.
To find out more about Apprenticeships and the 2017 reforms:
Alternatively, contact us for more details – email@example.com or call 0113 386 1997.