Employers who recruits apprentices into their business are split into two funding categories: Levy Payers and Non-Levy Payers.
| Levy Payer | Non-Levy Payer (Less than 49 employees) | Non-Levy Payer (More than 49 employees) |
- The annual wage bill is over £3 million
- The company pays in to the Apprenticeship Levy which is 0.5% on anything above the £3 million. Payment is to HMRC.
- The Apprenticeship Levy can be spent on training new or existing staff on an Apprenticeship.
- Any unspent Levy Funds are taken by HMRC 24 months after it arrives in your account.
- You will manage your Levy Funds through a digital account
- If you recruit a 16-18 year old apprentice you will receive a £1,000 incentive
|
- The wage bill is less than £3 million
- Apprenticeship training is 100% funded by the Government for 16-18 year olds
- For those apprentice who are 19+ you will contribute 5% towards the cost of the apprenticeship training. The Government will fund 95%.
- If you recruit a 16-18 year old you will receive a £1,000 incentive.
|
- The wage bill is less than £3 million
- All apprenticeship training requires a 5% contribution from the company irrespective of the apprentice’s age. The Government will fund 95%.
- If you recruit a 16-18 year old you will receive a £1,000 incentive.
|
| Levy Payer |
- The annual wage bill is over £3 million
- The company pays in to the Apprenticeship Levy which is 0.5% on anything above the £3 million. Payment is to HMRC.
- The Apprenticeship Levy can be spent on training new or existing staff on an Apprenticeship.
- Any unspent Levy Funds are taken by HMRC 24 months after it arrives in your account.
- You will manage your Levy Funds through a digital account
- If you recruit a 16-18 year old apprentice you will receive a £1,000 incentive
|
| Non-Levy Payer (Less than 49 employees) |
- The wage bill is less than £3 million
- Apprenticeship training is 100% funded by the Government for 16-18 year olds
- For those apprentice who are 19+ you will contribute 5% towards the cost of the apprenticeship training. The Government will fund 95%.
- If you recruit a 16-18 year old you will receive a £1,000 incentive.
|
| Non-Levy Payer (More than 49 employees) |
- The wage bill is less than £3 million
- All apprenticeship training requires a 5% contribution from the company irrespective of the apprentice’s age. The Government will fund 95%.
- If you recruit a 16-18 year old you will receive a £1,000 incentive.
|
