Apprenticeship reform and what it means to your business

There has never been a better time to employ an apprentice:

  • 90% of employers report employing an apprentice has helped their business improve the quality of their product or service
  • 80% of companies who invest in apprentices report a significant increase in staff retention
  • 81% of consumers favour using a company who employ apprentices
  • 76% of employers who employ apprentices agree the company is more productive

Apprenticeship Levy

Funding and delivery of apprenticeships is changing. For employers who have an annual payroll of more than £3 million, from 6th April 2017 you will pay 0.5% ‘apprenticeship levy’. Your levy can be utilised on apprenticeship training programmes which our business development team will align to your key business objectives.

Non Levy paying employers

For businesses with a payroll of less than £3 million you will not be subject to ‘apprenticeship levy’. The government will pay for 90% of apprenticeship training with a 10% contribution from you the employer. The cost will be between £150 and £2,700 depending on the apprenticeship type and level, our team will discuss with you a payment schedule which meets your business needs.

Incentive payments

If you employ less than 50 staff and employ a 16-18 year old apprentice 100% of the cost will be covered by the government.  An incentive of £1,000 is paid to the employer when employing a 16-18 year old or 19-24 year old who is a care leaver or has an educational health care plan.

If you require any further information you can contact one of our business development advisors on 0151 709 4640 or e mail recruitment@modetraining.co.uk

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