How have employers responded to the apprenticeship levy?Posted: 13th of June 2016 by
In short, businesses have begged the government to delay the apprenticeship levy, fearing that it is a step in the dark.
The levy has been met with confusion. This confusion has not just arisen over how exactly the apprenticeship levy will work in practice and whether the digital service will be ready in time.
Questions about the levy
But also, many questions that were raised appear to have been answered, such as whether a double levy will apply to those already paying into an industry training board levy and whether funding will be available for the last months of the apprentice year 16/17.
Most of the unanswered questions now seem to be around whether the levy will actually improve the quantity and importantly the quality of apprenticeships in the UK and what effect the levy will have on other training and skills development, given the hypothecated nature of the tax.
Grave concerns about the apprenticeship levy
For example, the Engineering Employers’ Federation (EEF) has expressed grave concerns about the design of the apprenticeship levy as well as its implementation and only 1% of manufacturers support the levy’s roll out in its present form.
According to research, 7 in 10 firms support the government’s plan to deliver more apprenticeships, but only 18% think that the levy will facilitate this target.
If the apprenticeship levy is not delayed, it will come into effect from April 2017, prompting many in business to argue that this will be a step in the dark for them and with so many unanswered questions, many feel unable to prepare for the levy.
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