How HR will be affected by today's legislative changes

Apprenticeship Levy

The Government’s website simply says: “If you’re an employer with a pay bill over £3million each year (less than two per cent of UK employers), you must pay the Apprenticeship Levy.”

A policy paper on the Levy goes into greater detail: “The Apprenticeship Levy will be a levy on UK employers to fund new apprenticeships. In England, control of apprenticeship funding will be put in the hands of employers through the Digital Apprenticeship Service. The levy will be charged at a rate of 0.5% of an employer’s [payroll]. Each employer will receive an allowance of £15,000 to offset against their levy payment. It will be introduced in April 2017.”

Employing an apprentice, Craige Heaney, Head of Learning and Development Operations at Centrica, tells us, is “a big commitment for any company”.