CIPP survey: Consultation on apprenticeship levy
07 September 2015
In the Summer Budget, the Government announced the introduction of a levy on large employers to help fund 3 million new, high quality apprenticeships
The Government wants to ensure that paying the levy is as straightforward as possible and therefore intends for the levy to be calculated on the basis of employee earnings and for employers to pay the levy through their PAYE return to HMRC.
The levy will apply to employers in all sectors, but only to larger employers. Details about how employers who are outside of the scope of the levy can access apprenticeships funding will be set out at a later date.
Last year the Government consulted on various options for reforming how apprenticeships should be funded. You were unequivocal in your response that funding through PAYE was not the answer.
Within the Apprenticeships Levy consultation only one question (of the 23) is relevant to payroll and that is the one asking for comments on the proposal that the levy should be collected through PAYE.
We have also taken the opportunity in our survey to ask for your comments on the new definition of an apprenticeship, as funding will only be available for apprenticeships which meet an approved framework. It will become illegal to call an apprenticeship an apprenticeship that does not meet the criteria.
The survey should take less than 5 minutes to complete and will close on 28 September 2015. Thank you.