APPRENTICESHIP
LEVY
The Apprenticeship Levy applies to employers in the UK with an annual pay bill of over £3 million. It is charged at a rate of 0.5% of your annual pay bill, minus a £15,000 annual allowance, and is reported and paid through PAYE. This means that if your annual payroll is less than £3 million, you will not pay the levy, but you can still access government funding for apprenticeship training in England. For most non‑levy employers, the government funds up to 95% of the agreed training cost, and in some cases up to 100% of training costs for eligible small employers and younger apprentices, subject to current funding rules.
If you are an employer with an annual payroll greater than £3 million, your apprenticeship levy payment will be 0.5% of your annual pay bill minus the £15,000 allowance, deducted via PAYE on a monthly basis. Your levy contributions are added to your digital apprenticeship service (DAS) account, which you can then use to pay for apprenticeship training and assessment with approved providers. JBC Skills Training is a RoATP‑listed, government‑approved apprenticeship training provider funded by the Department for Education, so you can use your levy funds to invest in high‑quality digital and tech apprenticeships with us.
Training solutions for levy paying employers
Levy paying employers are not restricted to working with a sole training provider; we can provide technical IT, software and digital marketing apprenticeships to you even if you use other providers for different types of apprenticeships. It is better to use a specialist provider for your technical apprenticeships, plus you don‘t need to give over control of your Levy Pot to one provider
The government has produced detailed information for employers, which can be accessed here. Sometimes it is easier to just talk things through – so if your organisation is paying the Apprenticeship Levy get in touch and we can arrange a chat to discuss how you can recoup the maximum benefit from your levy contributions.
