The Apprenticeship Levy in relation to LLTN
Since the introduction of the Apprenticeship Levy in 2017 £11.5 billion has been collected by HMRC yet only £3.6 billion has been utilised directly by the levy paying employers with £3 billion handed back to the Treasury according to a recent publication.
Unspent levy funds that aren’t used within 2 years are ‘lost’ and allocated to the national pot for other means… maybe ringfenced for the government’s contribution to apprenticeship training for SMEs!
Currently non-levy paying employers must reserve apprenticeship funds at a cap of 10 apprenticeships per employer. Many employers have reached the maximum of 10 and the only way these employers can support further apprenticeship programmes, either to upskill their existing workforce or to recruit new talent with an apprenticeship is from transferred unutilised levy.