1. The Apprenticeship Reforms
- What you need to know
David Warnes Vice Principal Innovation & Enterprise

2. Key questions to consider
Are you a Levy or Non-Levy employer?
Will depend on your annual wage bill and will determine which how you pay for Apprenticeship training
What training do you need and who needs it?
Will determine the provider you choose and whether you are looking to up-skill existing staff or recruit new Apprentices or both
What are your workforce Development Plans?
How do you currently fund training and development, how do you plan your CPD and use succession planning to fill skill gaps or skills shortages
What support do you need?
Financial incentives
Workforce Planning
HMRC / Payroll
Finding the right provider

3. Employers in the driving seat
What is changing?
Employers in the driving seat
Introduction of the Apprenticeship Levy for some (2%) of employers
Non-levy employers contributing 10% of the funding
Apprenticeships can now be undertaken by those with higher level qualifications
20% of Apprenticeship training has to be off the job and must last min 12 months

4. What is the apprenticeship levy and who pays it?
Starts on 6 April 2017, at a rate of 0.5% of pay bill, paid through PAYE
Applies to all UK employers in all sectors
£15,000 allowance is not a cash payment
Only 2% of employers will pay the levy

5. What can funds be used for?
Digital funds and government funding can be used for:
Digital funds and government funding can not be used for
apprenticeship training and assessment
against an approved framework or standard
with an approved training provider and assessment organisation
up to the funding band maximum for that apprenticeship
wages
travel and subsistence costs
managerial costs
traineeships
work placement programmes
the costs of setting up an apprenticeship programme

6. How much will it cost? Levy employer
Number
Band limit 1
£1,500 2
£2,000 3
£2,500 4
£3,000 5
£3,500 6
£4,000 7
£5,000 8
£6,000 9
£9,000 10
£12,000 11
£15,000 12
£18,000 13
£21,000 14
£24,000 15
£27,000
Levy employer
Employer invest 100% of the band limit from their levy
Non-Levy
Employers pay 10% of the band limit to the provider (Govt pays the other 90%)
Employers can negotiate on price
20% should be retained for the End point assessment
Incentives for age, size of business, characteristic of Apprentice, Framework or Standard, exist

7. Purchasing training – both groups
New funding system comes into effect on 1 May 2017
Apprenticeships started before 1 May will be funded through to completion according to the existing rules
Levied employers buying training from May 2017
Can commit to apprenticeship starts from the beginning of May
Funds will automatically leave the digital account on a monthly basis
The cost will be spread over the lifetime of the apprenticeship
We will hold back 20% of the total cost, to be paid on completion of the apprenticeship.
Non-levied employers buying training from May 2017
Continue to make payments direct to providers
Move onto the digital system at a later date

8. The Apprenticeship Service

13. Apprenticeship Workforce Development Planning

14. Workforce Development Planning
Implementation Plans
Workforce Development Planning
Upskill and re-skill existing staff
Recruit new Apprentice positions

15. Who needs training? Succession planning
Individual CPD and performance plans
Plugging skills gaps
Addressing skills shortages
Brining ‘new blood’ into the organisation

18. Support & Advice from London South East Colleges

19. Levy Support Free Workforce Development Planning consultation
Levy Calculator & Resources
Levy / Non-Levy Workshops & Training
Data management /AS support
In-house administrative
support

20. Associate Partner network
Capacity to deliver
Associate Partner network
STEM
Health, Care, Children’s Services
Business & Management
Construction & built Environment
Digital, Media, ICT
Entry level jobs
(level 2,3)
Supervisory jobs
(Level 3,4)
Management jobs
(Level 5, 6 – Higher / Degree Apprenticeships)
Pre-employment/ pre- Apprenticeship & Traineeships
Employability support

21. Recruitment Online Induction programme Advert design & JD writing
Dedicated recruitment open days
Online Induction programme
Advert design & JD writing
Screening and shortlisting services
Talent Management

22. Flexible delivery all year round (20% off the job requirement)
The Virtual College & Smart Rooms
100 + courses + VRQ’s
E-learning materials and resources
CPD certified

23. Questions?