Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

ApprenticeshipsLatest NewsLearning & developmentTraining deliveryTraining methods

Levy-paying employers will be able to transfer apprenticeship funds

by Ashleigh Webber 14 Feb 2018
by Ashleigh Webber 14 Feb 2018

Employers that pay the apprenticeship levy will be able to transfer their apprenticeship funds to other businesses from April 2018.

Guidance released by the Education and Skills Funding Agency (ESFA) said that employers would be able to transfer their apprenticeship fund to any other organisation, such as another employer in their industry or a business in their supply chain, provided that both parties were registered on the apprenticeship service.

The funds for training and assessment for an apprentice at the receiving organisation will be paid every month for the duration of the apprenticeship.

Apprenticeship levy

Learning and development survey 2017: Apprentices and the apprenticeship levy

What is the apprenticeship levy?

A maximum of 10% of an employer’s annual apprenticeship fund can be transferred, which will be worked out from the total amount of levy declared the previous tax year, plus a 10% top-up provided by the Government.

Employers that wish to make a transfer would be expected to fund the total cost of the apprenticeship, and cannot do so if they already employ an apprentice whose training programme is funded by a transfer.

Organisations that receive funding will not have to pay any money back to the donating employer, but if the latter runs out of money then the recipient will be asked to contribute 10% towards the cost of the apprenticeship. The remaining 90% will be funded by the Government.

The ESFA warned employers that hoped to receive transferred funding not to rush into registering for an account. “A receiving employer shouldn’t register on the apprenticeship service for a transfer until they have agreed the apprenticeship standard and their costs with the employer sending the transfer,” it added.

The ESFA is expected to release the rules surrounding funding transfers at a later date.

The CIPD last month said that 53% of employers would prefer a more flexible training levy over the apprenticeship levy to help pay for training that is more suitable for their needs. A fifth expected to write the levy off as a tax as they did not expect to use their apprenticeship allowance at all.

Carolyn Fairbairn, director general at the CBI, has called for the apprenticeship system to be reformed within six months and said businesses needed to be able to decide how money should be spent on skills and training.

“This is the time when we have to get it right – and for businesses not to be able to spend, not to find they can draw down and invest in the skills of the future, is a massive lost opportunity,” she told the BBC.

Ashleigh Webber
Ashleigh Webber

Ashleigh is editor at OHW+ and part of the Personnel Today editorial team. Prior to joining Personnel Today in 2018, she covered the road transport sector for Commercial Motor and Motor Transport.

previous post
PT30: Ten key legal changes since 1988
next post
Neurodiversity ignored by seven in 10 employers

Leave a Comment Cancel Reply

Save my name, email, and website in this browser for the next time I comment.

You may also like

Green energy jobs given lift by new Delivery...

12 May 2022

Future Skills Unit ‘will help learners make better...

8 Apr 2022

Half of employers want to replace apprenticeship levy...

7 Apr 2022

Childcare: Bright Horizons’ mission to elevate the profession

24 Mar 2022

B&Q and Screwfix pay to rise from April

22 Mar 2022

‘Clear market failure’ to meet reskilling needs, say...

15 Mar 2022

Kickstart is ‘chaotic’ and failing employers and young...

25 Feb 2022

How to improve uptake of apprenticeship schemes

22 Feb 2022

Two in five report lack of candidates needed...

14 Feb 2022

Apprenticeships to unlock potential for prisoners

11 Feb 2022
  • Apprenticeships are the solution to your recruitment problems PROMOTED | Apprenticeships have the pulling power...Read more
  • What it really means to be mentally fit PROMOTED | What is mental fitness...Read more
  • How music can help to ease anxiety at work PROMOTED | A lot has happened since March 2020, hasn’t it?...Read more
  • Why now is the time to plug the unhealthy gap PROMOTED | We’ve all heard the term ‘health is wealth’...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2022

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2022 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+