Now business can transfer apprenticeship levy

In a bid to increase the take-up of the apprenticeship levy, a major change has been made to the way in which levy-paying businesses can spend their budgets.

In the first quarter after the levy was introduced in April 2017, the number of people signing up for the vocational training saw a 60pc year-on-year collapse to 69,800.

Now employers are allowed to transfer up to 10% of their apprenticeship funding to other organisations, a move which provides greater choice and simplicity in the system.

Businesses which pay the levy can transfer a maximum of 10% of the annual funds in their apprenticeship service account to any other employer, initially one other business, and later to more than one.

The transferred funds can be used to pay for the costs of training and assessment for apprenticeships.

Employers who pay the levy and are considering making a transfer should read information on GOV.UK and talk to a potential receiving employer.Employers who don’t pay the levy can now register on the service in order to receive a transfer.

You can see short videos on using the apprenticeship service and find useful information on the transfers page on GOV.UK.