Government's apprenticeship levy consultation opens

A consultation on the government’s proposal to charge a levy on large companies that neglect to take on enough apprentices opened today.

The levy, announced during this year’s emergency Budget, is part of a series of measures the government is putting in place as part of its target to create 3 million apprenticeships by 2020.

Prime Minister David Cameron said: “The greatest asset any employer has is their workforce. And by investing in them, they are investing in the success and future of their business.”

Skills minister Nick Boles added that for too long UK businesses have invested too little in developing their employees’ skills to meet the demands of a competitive, global market.

The levy, the full details of which have yet to be revealed, has caused some concern in the print industry.

BPIF chief executive Charles Jarrold said he hoped the levy would act as an incentive to companies to take on more apprenticeships but warned that it could become a bureaucratic hinderance.

The Confederation of British Industry (CBI) also expressed concern last month that the policy might mean more apprenticeships are created but that may not be the the high-quality, business-relevant training needed by modern businesses. 

However, managing director of Cornish business KCS Print Terrye Teverson told PrintWeek last month that she welcomed the levy and the government’s apprenticeship drive.

The consultation is due to close on 2 October 2015 and details about the levy will be made available after the government's Spending Review in November. It is expected to be introduced in 2017.

Levy systems already operate in more than 50 countries, including the Netherlands, Denmark and South Korea.

From 1 September, all bids for government contracts worth more than £10m must demonstrate that contractors would have a reasonable proportion of their workforce in an apprenticeship or a formal training programme.