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ThinkTank Reveals Companies Not Convinced by Apprenticeship Levy

ThinkTank members have been asked if their companies would benefit from a delayed introduction of the Apprenticeship Levy in order to have more preparation time.

The Apprenticeship Levy is set to come into force in April next year and the government last month outlined its guidelines for employers.

The Department for Business Innovation and Skills released the document which will apply to all employers in all sectors who have a pay bill in excess of £3 million per year.

In its latest report – ‘BIFM’s FM Business Confidence Monitor’ – managing director of Mitie FM, Martyn Freeman, said that there is much more information needed on how the levy will work and how it will be delivered and funded.

He said that they are still in the opening stages of any potential changes to legislation and that there is much work ahead in order to fully comprehend how it will affect employers.

The report also suggests that the FM sector is not sure about the new levy, therefore indicating that the government still has a lot to do to make sure the legislation is accepted.

Among those to express serious concerns about the design of the scheme are the Engineering Employers’ Federation.

A 77% majority of ThinkTank participants said that they do not feel adequately prepared for the introduction of the levy and that there are numerous problems associated with the policy.

The research shows that there is still a long way to go before employers come to terms with apprenticeship schemes in the sector.

However, 23% of those surveyed said that they saw no problems with the levy and that they feel adequately prepared for its introduction.

One respondent commented that there are no problems with the principle of the idea and that they welcome the proposal, before admitting that there are flaws in the scheme that must be addressed.

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BDC 315 : Apr 2024