In April 2017, The Government is changing how apprenticeships work in England.
The Government is introducing two major apprenticeship reforms:
- The apprenticeship levy – all employers with an annual pay bill over £3 million will be charged a 0.5% levy to fund apprenticeship training.
- The new apprenticeship standards – the new employer-led standards will replace old frameworks for all qualifications.
These changes will have a major impact for employers across the country – but many people are still confused about how the reforms will affect them.
That's why we've taken a detailed look into each reform, how it will work, who it will affect, what you can do to prepare and how OneFile can help.
The apprenticeship levy
How will it work?
On April 6th 2017, around 2% of all employers will have to contribute 0.5% of their annual wage bill towards the levy. The payments will be collected each month by HMRC, topped up 10% by the Government and stored for 24 months in a DAS (Digital Apprenticeship Service) account.
Employers will be able to use their levy funds to pay for apprenticeship training. They will access apprenticeships via The New Register of Apprenticeship Training Providers (RoATP) and pay the provider directly using the funds in their DAS account.
The RoATP can be confusing, so read our in-depth overview of the RoATP to find out how it will affect you.
Who will it affect?
All employers with an annual pay bill over £3 million will be required to pay the levy. All other employers will co-invest 1:9 with the Government.
When the levy comes into action, all employers will have dedicated funding allowance to spend on apprenticeships – dramatically increasing the number of new apprenticeships in England.
The funding reforms will affect everyone – learners, assessors, employers, training providers. Read our guide to find out how the reforms will affect your business.
What you can do to prepare?
In April 2017, your levy payment will be automatically collected and transferred to your DAS account. So you've got two options – use it or lose it!
How can OneFile help?
As you increase the number of apprentices in your business, choosing an interactive, easy-to-use, digital portfolio is absolute crucial.
Find out how OneFile can benefit your organisation.
OneFile is the UK's leading eportfolio for learning and development. With our software, your apprentices can access their portfolio on-the-go, track their progress in real-time and upload audio, videos and photographs as evidence.
The new apprenticeship standards
How will they work?
The new apprenticeship standards will replace the old frameworks.
The standards are written by employer-led 'trailblazer' groups and designed to ensure apprentices learn the specific vocational skills required for each qualification.
The new standards will also include a mandatory end-point assessment (EPA) for each qualification. The EPA can take a range of forms – from written exams to practical tests – and is assessed by an independent EPA provider.
Who will they affect?
The new apprenticeship standards will affect everyone - from employers to learners.
Employers will have more control, training providers will have more choice, assessors will have a simpler assessment plan and learners will gain the vocational skills they need for a specific occupation.
What you can do to prepare?
Many qualifications already use the new apprenticeship standards so its important you start planning today! You can start by finding an eportfolio provider
How can OneFile help?
Our software is already ready for the reforms. We have a dedicated standards team who are experts in the new apprenticeship standards. We’ve already built learning aims for the new standards and are here to offer specialist support whenever you need us.
Our vocational training experts also host webinars all about the reforms – from the EPA to the levy. Book your free place today.
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Learn all about our leading learning and development software.
Find out why OneFile is the best eportfolio on the market.
Find out how the changes will affect employers, assessors and learners.
We talk to the experts about the new end-point assessment.
The benefits of OneFile for your organisation and your apprentices
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Everything you need to know about the new apprenticeship standards
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This article includes research and opinion sourced by OneFile at the time of publication. Things may have changed since then,
so this research is to be used at the reader's discretion. OneFile is not liable for any action taken based on this research.