It’s been nine months since the Apprenticeship Levy came into force and as a New Year starts, businesses are facing the pressures of using their funds before time runs out.
The Levy ‘sunsetting process’ means that employers have 24 months in which to spend their Levy funds before they leave their Apprenticeship Service Account and are transferred into the general apprenticeship funding pot.
Sir Richard Leese, of the Local Government Association, has called for the time limit to be extended until the right courses can be accredited - although as it stands, the 24 month time limit still applies.
The Apprenticeship Levy aims to raise £3bn a year to fund better training for businesses, but not everyone is on board with the initiative. Many companies are complaining that the funds don’t cover training costs and think the Levy is just another business tax. Other businesses are finding it too difficult to navigate their Digital Account.
However, a study from Pareto Law found that decision makers are overcoming their initial concerns - with 76 per cent of leaders stating that the Levy is positive for business.
In this guide, we’ll explore how you can organise your Levy plan for 2018 - how to use your Apprenticeship Service Account, new apprenticeship standards available and time limits on funding.
How to use your Apprenticeship Service Account
To get started with your Apprenticeship Service Account (ASA), you’ll need to get your organisation set up on the Apprenticeship Service. Once that’s ticked off the list, head to the Apprenticeship Service login page to sign in to your account.
On your ASA account you can:
- Set up other users
- Manage your apprenticeship delivery
- Review your training spend.
Take a look at our step-by-step illustrative guide here on how to use your ASA account.
If you’re a small or medium business (SME), you don’t need to create an Apprenticeship Service Account - the 10 per cent contribution is agreed with your training provider and they will then invoice you for the agreed amount.
New and approved standards
The new apprenticeship reforms mean that course content can be tailored specifically to an apprentice’s role – enabling employers to customise standards to suit the needs of their business. This can be a huge benefit to employers as they will be able to see direct results from the apprentice’s training which will be more relevant and focused on the company they are working in.
To make the most of your Levy spend, here are some high-value apprenticeship standards that are now approved for delivery:
- Level 3 HR support apprenticeship standard
- Level 5 HR consultant/partner apprenticeship standard
- Level 4 project management apprenticeship standard
- Chartered Manager Degree Apprenticeship
We have an extensive range of apprenticeship standards to offer - from insurance professional to laboratory technician. Take a look at the full list here.
Time limits on funding
As we’ve already mentioned, employers only have 24 months to spend their Levy funds. The countdown started when the first set of contributions arrived in your ASA account. We’ve explained everything you need to know about the time limits in our handy guide here.
Over to you
We’re here to help and we hope we’ve clarified how you can benefit from the Apprenticeship Levy and take advantage of your funds. If you’ve got any questions or simply want to find out more - don’t hesitate to reach out to us on Twitter, LinkedIn or email.
And if you’re looking for further information about the Apprenticeship Levy, be sure to download our free, comprehensive eBook guide: