WIREDGOV

The CBI has responded to the Department for Education’s confirmation of Apprenticeship Levy funding rules, which includes the technical detail and full explanation of the new policy.

CBI Director, People and Skills, Neil Carberry, said:

“Businesses are committed to creating quality apprenticeships and working together with the Government to get our skills systems right.  It’s this commitment that has driven the widespread concern about the design and timetable of the Apprenticeship Levy.

“The confirmation of the Apprenticeship Levy funding rules demonstrates that the Government has listened to some of business’ concerns, and will now enable firms to better plan their training and recruitment.

“Employers will be encouraged that they now have 24 months, rather than 18 to spend their levy fund.  This is something the CBI has called for and will help the companies through the transition to the new system. It’s also promising that the Government has committed to working together with business on a new approach where they can pay for training in their supply chain. 

“However six months out from the new levy going live, major questions remain about its readiness. Going ahead with introduction in 2017, it is vital that Ministers and officials work closely with companies to ensure the transition is as smooth as possible. 

“With business investment in apprenticeship training only one piece of the skills puzzle, the lack of flexibility in spending through the levy remains a genuine concern to companies.  Nevertheless, firms stand ready to step up and work with the Government to put in place transitional arrangements, to make sure no apprentice or sector is disadvantaged by the new rules.”