The UK has suffered a long-term and substantial decline in employer investment in training over past decades. Figures show declining employee participation in workplace training, and that a substantial portion of the training done is only induction or compliance-based.
As part of an attempt to reverse the trend, the government introduced the Apprenticeship Levy in 2017. The focus of the levy was to increase both the quantity of UK apprenticeships and the quality of new apprenticeships, in addition to spurring employer spending on training. Yet the initiative is not having the desired effect.
It is clear that the levy in its current form should be reviewed and revised. To this end, the CIPD recommends:
- Reforming the existing levy into a broader, ringfenced Training Levy. It’s increased scope will include other forms of accredited training, aligned to sector priorities.
- Ensure the levy is sustainably funded, allowing it to responsively address local skills supply and demands.
Chosen excerpts by Job Market Monitor. Read the whole story at Addressing employer underinvestment in training | CIPD Report
This report shines a light on the impact of the apprenticeship reforms on small businesses in England. It should inform Government decision-making to improve the system, feeding into the ongoing Review of the Apprenticeship Levy and the upcoming Spending Review. This report is based on quantitative and qualitative data collated from FSB members. It is … Continue reading
The purpose of this research is to understand the early impact of the apprenticeship levy on employer behaviour and assess the likely future impact on the quality and quantity of apprenticeships, as well as on broader investment in workforce skills development and training. Before summarising the key findings, it’s important to note that there is still … Continue reading
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 … Continue reading
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