Laura Sharman 02 December 2020

Apprenticeship levy is 'flawed' says London Councils

’Flaws’ in the apprenticeship levy are stopping councils from making use of the funds, London Councils has warned today.

A survey found that between April 2018 and March 2020, London boroughs only spent 26% of their levy, meaning nearly £38m was returned to the Government.

London Councils said this is due to various barriers within the current level system that prevent employers from making use of the funds, such as bearing the costs of the apprentice’s wages.

It is calling for the levy to be reformed to allow for pooling and joint purchasing of transferred apprenticeships, 10% of the levy funding to cover administration costs, and some funding to be used for pre-employment training.

Cllr Clare Coghill, London Councils’ executive member for skills and employment, said: ‘While the apprenticeship levy is a welcome financial boost, the system used to obtain these funds is flawed. The government needs to give employers more flexibility to allow our citizens to get the skills they need to succeed. They provide vital learning for talented Londoners to succeed as an alternative to academic programmes.

’The COVID-19 pandemic has already had a severe impact on apprenticeships with a huge drop in apprenticeship starts this financial year. This is a time when apprenticeships should be used to alleviate the risk of long-term unemployment.

'Because of these unnecessary barriers to the levy, Londoners are missing out on vital opportunities to gain skills and experience – skills that are essential to London’s recovery.’

SIGN UP
For your free daily news bulletin
Highways jobs

Interim Head of Finance - Transactional Services and Systems

Essex County Council
£0.0000 - £700.0000 per day
Interim Head of Finance - Transactional Services and SystemsTemporary, Full TimeUp to £700 per day (Umbrella, Inside IR35) 4 days per weekLocation
Recuriter: Essex County Council

Social Worker (Hospital Team)

The Royal Borough of Windsor & Maidenhead
£40,192 - £44,012 per annum
We have an exciting opportunity for an experienced Social Worker to join us! Maidenhead, Berkshire
Recuriter: The Royal Borough of Windsor & Maidenhead

Environmental Health Officer

North Yorkshire Council
£42,839 - £47,181 per annum
Are you passionate about protecting the environment and promoting public health? Skipton, North Yorkshire
Recuriter: North Yorkshire Council

Assistant Director (Financial Management and Accountancy)

Calderdale Metropolitan Borough Council
£103,464 | 37 hours per week | Permanent
We will be celebrated for our distinctive heritage, nature and creativity that everyone can enjoy. Calderdale, West Yorkshire
Recuriter: Calderdale Metropolitan Borough Council

Assistant Director (ICT and Digital Transformation)

Calderdale Metropolitan Borough Council
£103,464 | 37 hours per week | Permanent
We will be celebrated for our distinctive heritage, nature and creativity that everyone can enjoy. Calderdale, West Yorkshire
Recuriter: Calderdale Metropolitan Borough Council
Linkedin Banner