The Enterprise Bill & Apprenticeship Levy
The Government’s Enterprise Bill, currently being debated in the House of Lords, is set to shake up the way apprenticeships are funded and to increase the number of apprenticeships employed across all job sectors. The chief aim of this Bill is to help the Government reach its target of delivering 3 million apprenticeship starts in the current Parliament.
The Government is particularly keen for the public sector to employ more apprentices, so to be a model in this regard. They believe that expanding the number of apprenticeships in the public sector will support growth and show clearly that the Government is investing in apprenticeships. As a result of this, certain public bodies, including Local Authorities, will be obligated to set targets for apprentice numbers.
The London Borough of Bromley is expecting to be set a target to recruit a certain number of apprentices to match a percentage of its workforce. To help achieve the target the Council is set, Bromley EBP expects to be working closely with departments in the future to increase the number of apprenticeships available.
The Chancellor has also recently announced that a new Apprenticeship Levy means that all employers with a wage bill higher than £3m will pay the sum of 0.5% of their wage bill into a national apprenticeship fund. Organisations will be able to recoup these funds if they recruit their target number of apprentices (which will be set under the terms of the Enterprise Bill). This legislation will take effect as from April 2017.
Bromley EBP is working on the Youth Employment Scheme (YES), which aims to place 100 young people into contracted employment over two years. If your business is thinking of hiring an apprentice and you would like to discuss your options or find a talented young person, get in touch with us by calling 020 8462 5046.