For potential applicants
The cost of the training and assessment of the apprenticeship are covered through employer funding or government support.
You should not be asked to contribute to the cost of your apprenticeship training.
In addition, you should not be requested to pay back any costs by your employer or training provider if you do not complete the programme.
For employers
1. What is the Growth and Skills Levy?
The UK government initiated the Apprenticeship Levy in 2017. It’s for all employers who pay an annual wage bill of over £3 million. These employers must pay 0.5% of their payroll each month as a levy tax. This payment can only be used to pay for training apprentices.
The Growth and Skills levy is the new name for the Apprenticeship levy, and the levy can now we used to pay for Apprenticeship units as well as full apprenticeships.
2. What is covered under the Growth and Skill Levy payments?
All apprenticeship training and assessment up to the funding band is included in the cost of the apprenticeship.
Funds cannot be used for items such as wages, statutory licenses, travel and subsidiary costs and management costs
Please note, apprentices cannot be asked to contribute to the cost of the apprenticeship and cannot be ‘charged’ if they leave the programme early
3. Is extra support available?
Sometimes employers pay into the levy but their funds do not cover the full apprenticeship training costs. In these cases, they can get extra support from the government
The government will pay 75% of the shortfall each month, and the employer will co-invest25%.
If the cost of the training exceeds the amount in your levy account, your organisation will need to pay the 25% co-investment
4. Is there funding available for SMEs?
Government funding is available for SMEs that do not pay the levy. The Government will pay 95% of the training costs and you will be required to co-invest the remaining 5% of the apprenticeship cost. If you need assistance to claim funding, we have a specialist team that can guide you through the process, so please contact us.
5. What are levy transfers?
If you are a large employer who pays the Growth and Skills Levy, you can choose to transfer up to 50% of your levy funds each year to other businesses. These businesses can then use these levy funds to pay for their apprenticeship training and assessment.
With a levy transfer, you can decide which apprenticeships and businesses you would like to support. It is a great way to help other businesses, people and local areas to succeed.
6. Is there help to pay other costs?
There are Government initiatives offering addition support, however information for incentives for the 26/27 funding year have not yet been released.
7. Can you tell me more about the Growth and Skills Levy?
Yes. If you are an employer and want to know more about the Growth and Skills Levy, please contact us today at apprenticeships@greenwich.ac.uk.
