Levy-paying employers are now able to share their funds with other employers, meaning their supply chain or smaller businesses within their sector or community can benefit from funded training.
In this guide, we’ll show you how to transfer Levy funds to another business through your apprenticeship service account.
How to transfer funds
Employers who haven’t used all of their funds in their apprenticeship service account can now transfer unused funds to one other company. There are plans to increase the number of businesses an employer can transfer to once the system has been tested.
Check your transfer allowance: You can access this on your apprenticeship service account. Click on Finance and Transfers - there you’ll be able to see your transfer allowance, which is 10% of your annual funds.
Plan how much to transfer: As the sending employer, you will need to consider the total costs of any apprenticeships you would like to support. To help you with your planning, you can use the new transfers estimator tool in the apprenticeship service.
Find a receiving employer: This can be any employer. You can choose a Levy-paying employer as long as they aren’t sending a transfer as well. You might want to choose a company in your industry or supply chain - the choice is yours as long as the funding is spent on apprenticeships.
Take a look at the funding rules: The apprenticeship funding rules have been updated with the rules for transferring apprenticeship service funds. Read paragraphs E173 to E207 for the rules on transfers.
Employer agreement: Review and sign the employer agreement on your account. Any employer that wants to send or receive a transfer needs to digitally sign the new employer agreement first. View the agreement here.
Set up transfer: To make that all-important transfer, the sending employer will need to connect with the receiving employer on the apprenticeship service account. They will need the receiving employer’s account ID (which is displayed in their account) in order to make the transfer.
For more information on setting up a transfer, take a look at Education & Skills Funding Agency’s video here.
Over to you
Transferring funds to other businesses and apprenticeship training providers can be a useful way to share unused funds and help other organisations develop.
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, get in touch with our expert team today: