CBI calls for a radical rethink of the Apprenticeship Levy design

29 April 2016

The Confederation of British Industry (CBI) is calling on the Government to take the time to draw on business' vast experience to make sure that the levy works for everyone.

CBI Director-General Carolyn Fairbairn, highlights that businesses are committed to raising skill levels and support the Government’s ambition to boost apprentice numbers, but that there are growing concerns among firms about the current design and viability of the system.

The DG says that the Government has the opportunity to create a “once-in-a-generation revolution” in skills, but it is currently only likely to deliver another “once-in-an-administration shake-up.”

The CBI is calling for:

  • A stronger role for the new Institute for Apprenticeships - include measuring and managing the system around the levy;
  • More flexibility in how firms can spend the levy – including on existing training and high-quality support for apprentices;
  • The digital system which manages levy spend must be ready and able to support the delivery of apprenticeship training which businesses need, in full and from the start.

For further details read the full press release from the CBI.

CIPP comment

Operational guidance on the levy was recently published by the Department for Business, Innovation and Skills (BIS). Details are still being worked on and the guidance includes a welcome timeline of when updates will take place over the next few months ahead of implementation in April 2017.

BIS will continue to talk to employers and stakeholders through further development and to implementation and beyond and the CIPP Policy Team is involved in these discussions. Please email us at policy with ‘Apprenticeship Levy’ in the subject box if you have any areas of concern you would like us to address on your behalf.