Over half of today’s 19-year-olds are engaged in either work, training, vocational study or an apprenticeship, the last of which being a government priority. This morning, the Department for Education published figures outlining the number of people who started an apprenticeship in May, with May marking one year since the apprenticeship levy and its associated training rules first made their effect. Here are five points to take away from the first year.
Substantial reduction in apprenticeship numbers
This will come as no surprise to even the casual observer. Last autumn, when figures for the first quarter post-apprenticeship levy came out, the education sector was taken aback by a year-on-year fall in starts of roughly 60 per cent. Today’s figures tell a more nuanced story. While more people started an apprenticeship this May (provisional figures note that 22,300 did) than in May 2017 (final figures show that only 12,900 did), May 2017 was the first month in which the levy sat in place and, as such, it marked a shock to the system.
It is perhaps more accurate to compare the academic years to date. Here, the narrative of falling starts persists: when we compare August to May 2017 with August to May 2018, we find that the number of people starting an apprenticeship was down by 157,000, or 34 per cent.
Chosen excerpts by Job Market Monitor. Read the whole story at The apprenticeship levy a year on: lessons learned – Resolution Foundation
The First Full Year of the Apprenticeships Levy in UK – The number of people starting an apprenticeship over 40 per cent lower
Now that the apprenticeship levy has completed its first full year of operation, this report reviews the available evidence to determine whether the levy will, as the Government hopes, “incentivise more employers to provide quality apprenticeships” and “transform the lives of young people who secure them”. The levy itself is, in effect, a tax of … Continue reading
From April 2017, large employers in the UK will be required to pay an apprenticeship levy based on their total pay bill. This study, undertaken by the Institute for Employment Research and IFF Research, was commissioned by the Department for Business, Innovation and Skills (though the policy responsibility for FE and apprenticeships has now shifted … Continue reading
Although consultation on the Levy closes today, it’s clear that some questions have already been answered. The Levy will see ‘large’ employers (probably those with over 250 employees), paying a percentage (probably around 0.5%) of their payroll costs to the government, to be spent on apprenticeship creation. It’s not yet clear how the system will … Continue reading
The government has outlined a package of plans to increase the number of quality apprenticeships across England. Employers are being consulted for their views on the introduction of an apprenticeship levy, planned for 2017 and designed to increase investment in training and apprenticeships. Other proposed steps include a requirement to take a company’s apprenticeship provision … Continue reading