1. New Apprenticeship Regime
Using the UVAC Template Contract
UVAC Workshop – Sheffield Hallam University – 12 June 2017

2. NWL Legal Focus
In-house legal team at North West Leicestershire District Council
Provide legal services externally under Local Authorities (Goods and Services) Act 1970
Other local authorities
FE Colleges
“Public Bodies”
Benefits
Maintains high quality in-house legal team
Lower cost legal services available to external clients
Services
Property
Planning
Litigation (civil and regulatory prosecutions)
Commercial/Procurement

3. Apprenticeship Contracts
The New Structure
Employers pay Apprenticeship Levy to Skills Funding Agency (SFA)
FE colleges become “Providers” of education services to Employers
SFA pays Providers out of Levy funds
Employers enter into a Contract for Services with Providers
Skills Funding Agency
Employers
Providers
Funding Agreement
Levy Agreement
Contract for Services

4. SFA Funding Rules Requirements for contracts
New rules apply from 1 May 2017
Colleges become “main providers”
Must comply with the Funding Rules, the Funding Agreement and the Individualised Learner Record (ILR) Specification
Must have a Contract for Service (Provider/Employer)

5. SFA Funding Rules
What do the Funding Rules say about Service Contracts?
Contract must require payment by Employer (Clause 6.1)
Employer to select assessment organisation (Schedule 1)
Dealing with learner complaints (Clause 7)
Minimum duration of an apprenticeship is 1 year at 30 hrs per week (including off the job training) (Clause and )
Monitoring workplace practice (Clause 4.2.3)
Breaks in learning/unemployment/redundancy (Clause and 10)
Details of sub-contractors (Schedule 1)
Documentary evidence held by employer (Clause 4.1.2)

6. Structuring a Services Contract
Standard Terms
and Conditions
Specification
and
Costs Schedule

7. Terms & Conditions

8. Terms & Conditions Using the UVAC Template Top Sheet Parties
Expiry Date (Longstop) (Clause 2)
Fixed/Multiple Apprenticeships (Clause 5)
Training Provider Administration Service
Schedules
List of Apprenticeship Programmes
Mandatory Policies
College’s Own Complaints Procedure

9. Terms & Conditions Training Provider Obligations
Deliver training in accordance with the specification (Clause 3.1.1)
Compliance with Funding Rules (Clause 3.1.3)
Contracting with assessment organisation (Clause 3.2)
Dealing with learner complaints (Clause 7)
First contact points
Apprenticeship Helpline

10. Terms & Conditions Employer Obligations
Employ and pay the apprentice for duration of apprenticeship (Clause 4.1.1)
Complete Apprenticeship Agreement (Clause 4.1.3)
Confirm eligibility (Clause 4.1.6)
Offer relevant hours of work (Clause 4.1.7(a))
Allow 20% off the job training (Clause 4.1.7(c))

11. Terms & Conditions Employer Obligations
Provide any training/experience allocated to them in the Specification (Clause 4.1.4)
Comply with Employer’s Funding Agreement (Clause 4.1.8)
Assist with Provider’s compliance with Funding Rules (Clause 4.1.2)
Supply documentary evidence held by Employer (Clause , ad 4.1.7)

12. Terms & Conditions Keeping Evidence (P211.1-211.28)
Contract for Services (Provider/Employer)
Signed Commitment Statement (Apprentice/Provider/Employer)
Apprenticeship agreement (Apprentice/Employer)
Details of 20% training and how it will be delivered
Employer to evidence to you that apprenticeship completed during working hours
Evidence of the individual’s eligibility
Evidence that apprentice is employed by the employer, the job role and location of work
Evidence that employer has less than 50 employees (if that is the case)
Initial English and Maths assessments
Evidence of entitlement to additional payments (under 18s, has an EHC Plan, comes from deprived area, a looked after child)

13. Terms & Conditions Other Key Terms Payment (Clause 6)
Dispute resolution (Clause 7)
Termination (Clause 8)
Material breach
Conviction
Insolvency
Reputational risk to College
SFA Funding Agreement terminated

14. Terms & Conditions Other Key Terms
Indemnities and limits of liability (Clause 12)
Reasonable caps based on value of contract/risk
No exclusion for death or personal injury
Insurance (Clause 12.4)
Safeguarding (Clause 13)
Health & Safety (Clause 14)
Confidentiality (Clause 15)
Intellectual Property (Clause 16)
Data Protection/Freedom of Information (Clause 17)
Equality Legislation (Clause 18)
Contract Variations (Clause 19)

15. Specification – Schedule 1

16. Specification Specification – Schedule 1
Training to be delivered and standards to be met
Duration (start/end dates)
Location of delivery and use of assets/equipment
Number of Apprentices
Training to be delivered by Employer
Identity of Assessment Organisation
Use of sub-contractors
Conflicts of Interest
Details of English, Maths and IT provision
Details of aspects that are/are not eligible for funding

17. Specification Specification and Sub-Contracting
Use of subcontractors must be agreed at start
State what training/assessment to be delivered by Provider/sub-contractor and cost of each
Funding kept by Provider for managing sub-contractors details of support given to them in exchange
Provider’s proposed monitoring of sub-contractors
Any conflicts of interest between Provider and the sub- contractor

18. Specification Managing Sub-Contractors
Must have written agreement in place with sub- contractors
Regularly monitor sub-contractors for quality-assurance
Must get legal advice on compliance with Public Contracts Regulations 2015 in buying in training services
Provider remains responsible for delivery and quality
No sub-sub-contractors
Must return Delivery Sub-contractor Declaration to SFA
Subcontractors have their own eligibility rules (P125)
Must carry out DD on sub-contractors so you know they can deliver and make this available

19. Costs Schedule – Schedule 1

20. Costs Schedule Payment
Cost of taking part negotiated between Employer, Training Provider and Assessment Organisation
If cost exceeds maximum funding for that apprenticeship’s funding band then Employer must pay the difference
Must include cost of Assessment Organisation and sub- contractors in price agreed with employer
Contract must require Employer to pay full cost
Payment Schedule
VAT can be charged on sums paid by the Employer that exceed the Funding Band. Training paid for by government funding is exempt from VAT.

21. Further Documents Other Contracts in the structure
Contract with Sub-Contractors
Contract with Assessment Organisation (P114)
Commitment Statement

22. For more information.....