Register to get 3 free articles
Register to unlock the article and receive our free newsletter. Join 26,000 other hotel leaders and stay in the know.
Want unlimited access? View Plans
Already have an account? Sign in
Jill Whittaker, managing director of HIT Training, has advised businesses to carry on as normal with regards to plans for the Apprenticeship Levy in the wake of the Brexit result.
Whittaker said there was “no denying” that the decision to leave the EU last month is going to have implications for the hospitality industry, but added businesses must still plan for the Apprenticeship Levy.
The levy, which will be 0.5% of an employer’s wage bill and will be paid by organisation with annual wage bills in excess of £3m, will be introduced from April 2017 as confirmed by skills minister, Nick Boles, at the AELP Conference on 28 June.
Every employer will receive a £15,000 allowance to offset against the levy and spend on apprenticeship training.
It is hoped that contributions by large employers will help to generate £3bn in funds and create three million new apprenticeships by 2020.
Whittaker said: “Although the planned government announcement to release further details on the Levy has been pushed back from mid-June to mid-July, as a result of Brexit, what remains clear is that there will be new funding frameworks for apprenticeships from April 2017 and businesses need to take steps now to prepare for this
“One of the first things we advise levy paying companies to do, is to take a look at their current staff training and development budget to ensure that most of the apprenticeship training budget can be reclaimed through the levy.
“This will also highlight gaps in the training structure and identify areas which the legislation enables funding for.”
One of the biggest benefits of the levy, she said, is that the funding isn’t just limited to apprenticeships for new staff members and can be used right across an organisation to up-skill the whole team – including senior management and supervisory positions.
It is believe the Apprenticeship Levy will bring an extra £1bn a year to pay for apprenticeships in England, increasing spend from £1.5bn to £2.5bn annually.
She added, of maximised by employers, the funding can be used to up-skill the whole industry, ensuring businesses have “highly trained workforces”.
