An update to the apprenticeship system which will allow levy-paying organisations to transfer funds to another employer has been welcomed by business leaders.
Transfers are being introduced from next month to give levy-paying employers more flexibility in how they spend their apprenticeship service funds.
It means levy payers can work with other employers to help them take on apprentices, increasing the skills base in their supply chain, sector or local area.
Those who opt to transfer funds will do so on a monthly basis for the duration of the apprenticeship.
At the end of this month, levy-paying employers will have access to their transfers allowance in their apprenticeship service account.
A transfer estimator tool will help them calculate the apprenticeships they could fund through a transfer to another organisation.
They will then be able to agree to fund apprenticeships in one other organisation.
Employers that do not pay the levy will be able to register for an apprenticeship service account, enabling them to receive a transfer and start adding details of their apprenticeships to this account.
In June, once approved by the sending organisation, the first payments will be paid for apprenticeship starts added in May.
Nova Fairbank, Public Affairs Manager at Norfolk Chamber said:
“With an ongoing skills gaps in Norfolk, and many businesses reporting hiring difficulties in the latest Quarterly Economic Survey, we are encouraged by this development. We hope it will mean that more levy funds can be fully utilised in the region. Going forward, we would like to see further flexibility on what organisations can spend their levy funding on.
For more information on Levy-transfers, businesses can:
- Visit the transfers page on GOV.UK here
- Email : [email protected]
