Gradvert Team
Katie

Conservatives increase percentage of Apprenticeship Levy organisations can share with supply chain

04 October 2018 |

Phillip Hammond is speaking at the Conservative Conference Today, sharing that the Government are seemingly making the apprenticeship levy more flexible by allowing larger organisations to share up to 25% of their levy pot with any number of organisations in their supply chain. This is an increase from the original 10% sharable amount that was announced in April of this year.

This is great news for organisations who are still struggling to fully understand the true apprenticeship opportunity, so they can at least use their own levy payments to upskill their talent pipeline rather than surrender it fully to the Government after 24 months. However, I fear that large organisations may avoid addressing their own talent and development strategy instead of realising the benefits that the apprenticeship levy could bring to their business.

This still does not address the fundamental issue organisations face, even those who have experience of ‘old school’ apprenticeships. Organisations are struggling to understand the ‘New World’ Apprenticeship Opportunity - where you can upskill and future proof existing employees and support them to be prepared for the Future of Work. The processes and regulations surrounding the levy are complex and vague. I am meeting more companies who are experiencing ‘buyers remorse’ for what they thought were quick win apprenticeship programmes. Many of these programmes were started last year in order to spend the monies as soon as possible yet are not proving to be either successful or strategic.

It is great to hear that the government are trying to help organisations understand and maximise this opportunity however I don’t feel it goes far enough.

Kate Temple-Brown has significant experience of the Apprenticeship Levy and helping organisations to realise its full value and the benefits it can bring.

To find out more about the apprenticeship levy and how it impacts your business, visit www.gradvert.com/apprenticeship-levy.

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