The New Apprenticeship Levy ... get ready!

From this April the new Apprenticeship Levy will come into force which will have an effect on organisations in the Solihull, Birmingham, Coventry and Warwickshire.

There is a lot of information out there ... so we've taken the pain out of wading through to give you a pen picture of what it means and how it may affect you.

1. If your payroll (many have mistaken this for turnover) is over £3m you will be taxed 0.5% (not 5% as has been reported!) of this at source to finance the apprenticeship scheme.

2. There is no tax for businesses with a smaller payroll.

3. All businesses can employ apprentices, whether they are eligible for the levy or not (sole traders might not be but worthwhile checking).

4. The quality of apprenticeship providers varies, so you need to do a beauty parade to select the best match.

5.  Funding is for all levels of apprenticeships (2-7) and for both recruits and existing staff.

6. Funding levels vary according to the levels of the apprenticeship (i.e. more for entry level, less for senior), and it covers up to post graduate degree level.

7.  Apprenticeships need to last at least 12 months and contain a good level of new skill acquisition (it is not about accreditation of prior learning)

8.  There is a matrix on the categories of apprenticeships and what they need to cover. You need to choose the closest to your requirements and, once you have selected your provider, you can get the programme tailored/bespoke to your needs and also have your own trainer/facilitators to contribute to delivery (as long as they are appropriately skilled). This would be negotiated with your chosen provider.

Planning on recruitment? Need some advice or assistance - why not call your local recruitment experts at Plum Personnel - we're here to help - 0121 705 8157