William Eichler 02 March 2018

Apprenticeship system should be ‘fully devolved’, council chiefs say

The Apprenticeship Levy needs to see ‘significant changes’, council chiefs warn as the number of people starting apprenticeships drops dramatically.

The latest figures show there were 195,200 apprenticeship starts between April and November 2017. This represents a 40% drop compared with the corresponding seven months in 2016.

All public and private employers with a wage bill of more than £3m have had to contribute 0.5% of this expenditure to the Apprenticeship Levy since April 2017.

The Government plans for this to fund the creation of 3 million new apprenticeships by the end of the decade.

However, the decrease in the number of starts — a drop in total of 131,500 — suggests ‘significant changes’ need to be made for the Levy to be effective.

The Local Government Association (LGA) argues a more locally coordinated approach would help the Levy reach its potential.

Local areas should be allowed to pool Levy contributions and have greater flexibility on how they are used, the LGA says.

The apprenticeship system — and all non-Levy apprenticeship funding — should be fully devolved and all Levy underspend should be allowed to go back to local areas where it is raised.

The LGA also called for an extension on the two year limit to spend the Levy against key standards for local authority workforces including teaching and social care.

Currently, these cannot be accessed until September 2018 giving councils too little time to spend their Levy.

‘Combined authorities and councils fully support the ambitious target of creating 3 million apprenticeships by 2020 but could do far more if the Government allowed them to pool and plan local provision,’ said Cllr Sir Richard Leese, chair of the LGA’s City Regions Board.

‘Devolving apprenticeship funding to the local areas in which they are used will allow combined authorities and councils, schools, colleges and employers to work together to help people get the skills they need to progress in work, and supply businesses with the right skills at the right time to help local economies grow.’

Skills Pipelines: What local government needs to know image

Skills Pipelines: What local government needs to know

Councils and mayors are to be handed a central role in developing skills pipelines for local industries, as the Government unveils what it calls a ‘fundamental change’ to the education system aimed at tackling youth unemployment. Here's what council leaders and officers need to know.
SIGN UP
For your free daily news bulletin
Highways jobs

Business Support Officer - Children's Residential

Kirklees Metropolitan Council
£26,403 - £28,142
As corporate parents, we are committed to ensuring that Children’s Residential Care is always a positive and nurturing experience. Kirklees, West Yorkshire
Recuriter: Kirklees Metropolitan Council

Group Leader- Planning Policy and Strategy

Kirklees Metropolitan Council
£54,495 to £58,462
Do you want to lead the Councils next Local Plan production? Kirklees, West Yorkshire
Recuriter: Kirklees Metropolitan Council

Technical Support Assistant

Kirklees Metropolitan Council
£26,403 - £28,142
We are looking for a motivated and enthusiastic person to join the Technical Support Team within Homes and Neighbourhoods. Kirklees, West Yorkshire
Recuriter: Kirklees Metropolitan Council

STEPS Senior Outreach Worker

Royal Borough of Greenwich
APT&C Scale SO1 Term Time Only
Are you passionate about supporting children and young people? Greenwich, London (Greater)
Recuriter: Royal Borough of Greenwich

Specialist Autism Teacher

Royal Borough of Greenwich
Teachers Main Professional Scale
Are you passionate about supporting children and young people? Greenwich, London (Greater)
Recuriter: Royal Borough of Greenwich
Linkedin Banner