We can help take away some of the confusion about what funding and incentives you may be eligible for. From understanding the apprenticeship levy to explaining off the job training. Read more below, or get in touch with our Business Training Solutions Team or completing this enquiry form.
£1000 Apprenticeship Incentive
The Apprenticeship Levy
In April 2017, the government launched its Apprenticeship Levy. The Levy is a ‘payroll tax’ designed to support the government’s commitment to deliver 3 million apprenticeships by 2020.
Regardless of the size of your business, Walsall College is perfectly placed to provide you with up-to-date advice on how the Levy impacts your business and if you need to contribute.
| Payroll bill | Over £3m | Below £3m, above 50 employees | Below £3m, under 50 employess | |
| Your business | Is a Levy payer | is ‘Co-funded’ for Apprenticeships Training | Is fully funded for Apprenticeship Training of 16-18 yr olds Or/And 19-24 yr olds care leavers, or 19-24 yr old with an education and healthcare plan | is ‘Co-funded’ for Apprenticeship Training of people 19+ |
| What you pay | 0.5% of total payroll bill | 5% of the cost of training | You do not need to pay for Apprenticeship Training | 5% of the cost of training |
If your payroll bill exceeds £3m, your business is classed as a Levy payer and you will be required to contribute. The Levy is charged at 0.5% of your total pay bill and is deducted from your PAYE.
The government is providing an Apprenticeship Levy allowance of £15,000 for employers who are not connected to another company or charity. Connected companies or charities will have £15,000 allowance to share between them.
Example: An employer with an annual pay bill of £5 million:
Levy sum: 0.5% x £5,000,000 = £25,000
Allowance: £25,000 – £15,000 = £10,000 annual payment
One of the benefits of the scheme is that it places control of Apprenticeship Funding into the hands of the employer. This allows you to invest in your current apprentices, take on more and upskill existing staff to help secure the future of your organisation.
As long as you are offering recognised Apprenticeship Training, typically bought in from a college or independent training provider, you can take advantage of the allowance.
If you have a payroll bill of less than £3m and over 50 employees, you will be co-funded for Apprenticeship Training. The government will pay 95% of the cost of Apprenticeship Training, whilst you will need to pay the remaining 5% to the training provider. The training provider will then request the remaining 95% from the Government.
As well as taking on new apprentices, this funding can also be put towards training existing staff, if the Apprenticeship Training is relevant to their job and will assist in their career development.
For more information about the Levy and how it affects your business, contact our team on businesstrainingsolutions@walsallcollege.ac.uk
Non-Levy paying companies with less than 50 employees do not need to make a contribution towards the cost of training and assessment of any apprentices aged 16-18, as the government will pay 100% of the costs. This also applies to apprentices aged 19-24 who have been in care or have a Local Authority Education, Health and Care plan.
For training that applies to anyone that is aged 19 or over, you will be required to pay 5% of the cost of training, whilst the government will pay the remaining 95%.
For more information about the Levy and how it affects your business, contact our team on businesstrainingsolutions@walsallcollege.ac.uk
T Level £1,000 Incentive for Employers
Employers will be able to claim a £1,000 cash boost for every T Level student they host on a high-quality industry placement.
The new technical qualifications – co-created with over 250 employers including Fujitsu and Amazon – are equivalent to three A Levels and uniquely combine classroom study with industry placements.
T Levels are a key part of the government’s reforms to revolutionise skills and technical education, generating the skilled workforce that businesses need for the future and giving students the experience they need to progress into well-paid jobs, further study or an apprenticeship.
Industry placements form a key component of T Level courses, with students spending at least 45 days (or 315 hours) with an employer.
The incentive fund is designed to offer support to employers impacted by the pandemic, to ensure they can continue to host placements. Employers will be able to claim for up to 20 students for the available T Level subject areas from 27 May 2021 until 31 July 2022.
Find out more:
T Level industry placements employer guide
Employer incentive payments for employers offering a T Level industry placement
Employers can only claim for T Level industry placements that have a start date between 27 May 2021 and 31 July 2022.
All employers are eligible to claim an incentive payment, with the exception of government departments and arm’s length bodies. This is to encourage as many employers as possible to get involved.
Employers cannot claim for an existing placement that had already begun before 27 May 2021; however, employers can make a claim for any additional placements offered within the eligible period.
Employers can claim for up to 20 placements per region, so the maximum funding any one employer (in a single region) will be eligible for, across all providers, is £20,000.
Placements must be delivered in the workplace and cannot be offered through a remote-working model. Employers cannot receive an incentive payment in addition to an Employer Support Fund payment for the same placement. It will be down to the provider to work with the employer to decide which payment is appropriate.
Employers need to complete and sign the Employer Declaration Form and submit this back to us on businesstrainingsolutions@walsallcollege.ac.uk
Discounted Travel Scheme for newly employed people including Apprentices
Workwise offers eligible newly employed applicants 50% off the full cost price on selected travel passes across the West Midlands network for the first 3 months of a new job. This includes Apprenticeships.
Tickets available over bus, train and tram. For more information about the scheme, eligibility and how to apply, visit Workwise.
Download the Workwise Travel Support Information Pack.
Travel to Train Grant
CITB is widening the support offer for employers with apprentices who have to ‘Travel to Train’.
CITB will fund 80% of accommodation costs for eligible apprentices of grant eligible employers who attend colleges or training providers where overnight stays and travel to and from a hotel to a place of training, are required. Employers can also claim excess costs for apprentice travel where the cost exceeds £30 per week.
Who can apply for funding?
Travel to Train funding is available to all eligible Apprentices, with grant eligible employers, in training on or after 1 April 2021, in England, Scotland and Wales.
What this fund is for
The funding for Apprenticeship travel and accommodation covers:
- 80% of accommodation and subsistence costs for apprentices staying away for block training. The employer will be required to pay 20% of the total cost
- Travel claims will only be paid where the cost of travel for the Apprentice exceeds £30 per week and only the excess amount will be claimable.
The accommodation will be sourced by our approved hotel provider, in order to safeguard apprentices and achieve volume booking discounts. Accommodation will be booked on a Dinner, Bed and Breakfast basis.
Accommodation funding and/or travel costs can only be claimed for Apprentices employed by CITB registered, grant eligible employers in England, Scotland and Wales.
Find out more here or email us on info@constructioncollege.co.uk or call 01922 663600.
Into Work Grant
To help employers recruit and retain talent within the construction industry, we have introduced the Into Work grant. This grant offers financial support to employers who offer an initial work experience placement through to employment. It is expected to help with the costs of hiring and mentoring new entrants and increase the number of new entrants progressing from Further Education (FE) through to employment.
There are two elements to the Into Work grant:
• A £500 work experience grant paid on the completion of the work experience element of an FE course. The list of eligible FE courses is available on our website.
• A £1000 employment grant paid following three-months completed direct employment for an individual who has previously completed the work experience element with the same employer. This can include employment as part of an apprenticeship.
. There is a 30 hour minimum for the placement
This grant is available where the work experience started from 1 September 2023 and is initially a pilot until 31 March 2025.
There is 30 hour minimum duration for the work experience element of this grant, the duration is determined by the college from whom the employer must provide evidence along with their application. The application form will become available on our website for employers within the next few weeks.
Full details and rules for this grant, including employer cap information, how to apply and evidence requirements can be found on the Into Work grant webpage.