The Prime Minister has announced a huge reform to boost Apprenticeships for SME businesses and future Apprentices!

The Prime Minister has announced a groundbreaking reform package aimed at turbocharging Apprenticeships and slashing red tape for thousands of small businesses. 💼📈

According to the latest article from the UK government, this reform package includes measures such as simplifying the process for small businesses to take on Apprentices and making it easier for them to access the necessary funds and support (finally!) . This overhaul aims to create a more streamlined system, reducing administrative burdens and allowing businesses to focus more on nurturing talent and driving growth. (again, finally!)

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Comment from TDM's Managing Director and Director of Studies, Derrin Kent:

"The Development Manager welcomes this positivity and support for our work. It is great for us to see that the incumbent Prime Minister personally values apprenticeships within small businesses as an economic driver which also creates career and social mobility for individuals. The ability for large employers to transfer across a higher percentage of their Levy underspend, allows more of the levy raised to be spent on what it was originally raised for: Skills Development. The waiving of 5% fees for under 21s is also helpful for small employers. Moving forwards, we would still like the government to:

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▪︎ Increase low funding for providers
▪︎ Reduce cumbersome beaurocracy for employers on sign up
▪︎ Redistribute back to providers some of the disproportionate allocation, (at a massive 20%), for end point assessment organisations
▪︎ Require apprenticeship providers to deliver apprenticeships, not just courses: ie requiring a monthly coaching session over work-based learning deliverables which thereby steers a tripartite-negotiated and employer-responsive, individualised learning plan."

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This is a significant step forward in fostering an environment where businesses can thrive, grow, and innovate. By prioritising Apprenticeships, we're investing in the workforce of tomorrow while simultaneously supporting small businesses, the backbone of our economy. 💪

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Main points:

• Large employers who pay the apprenticeship levy will be able to transfer up to 50% of their funds to support other businesses
• Goal of 20,000 more Apprenticeships for young people and SME's
• Removal of co-investment costs from non-levy paying employers from April 2024 for apprentices under the age of 22
• An increase in the levy transfer cap from 25% to 50%
• DfE budget for apprenticeships increasing to “over £2.7 billion” from next year
• New industry led Invest in Women Taskforce - private investment in female business leaders

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Kudos to the government for recognising the importance of these initiatives and taking concrete steps to make them a reality, in order to bridge skills gaps and empower individuals to embark on fulfilling careers through Apprenticeship programs.

Let's continue to champion initiatives that drive economic growth, empower businesses, and create opportunities for all! Read the full article in FE News, here - https://www.fenews.co.uk/skills/prime-minister-to-announce-apprenticeship-levy-reforms-with-60m-investment-for-young-people-and-smes/