Apprenticeships and how they are funded are changing fundamentally in 2017.
Levy Paying Employers (ie those with a monthly payroll of over £3m)
Levy-paying employers are now able to register to access their apprenticeship service levy account.
Following registration you will be required to sign a contract with the apprenticeship service.
This step-by-step guide provides you with information and more importantly, links to Government documents and websites where you will be able to register for your accounts and manage your apprenticeships.
If you require further information, please contact Madeleine Hill on 01324 466704.
Employers that don’t pay the levy
If you do not pay the levy, you won’t need to use the apprenticeship service to pay for apprenticeship training and assessment until at least 2018.
When the new funding system begins in May 2017, you will make a 10% contribution to the cost of this training and government will pay the rest (90%), up to the maximum amount of government funding available for that apprenticeship. As both you and the government will make a payment, this is called ‘co-investment’.
Every individual apprenticeship framework and standard is allocated to a funding band. The upper limit of the funding band caps the maximum price that government will ‘co-invest’ towards. You will have to meet in full any cost which is above the funding band maximum, although it is anticipated that TICA will not set the cost of the apprenticeship training any higher than the maximum funding cap. You will pay your contribution directly to the training provider (TICA) and you will be able to spread it over the lifetime of the apprenticeship and agree a payment schedule with us.
TICA will provide proof to the SFA to show us that you have paid your contributions as a condition of government paying its contribution. We are currently moving into consultation with the Insulation and Environment Training Trust (IETTL) to look at a method of allowing off-set grants through TICA membership to compensate for the upfront 10% costs as part of your TICA membership. More information should be available in the coming months.
