FUNDING APPRENITCESHIPS

Apprenticeships are real jobs carried out while training towards industry-recognised qualifications. Our aim at Purple Beard Apprenticeships, as a Government approved Apprenticeship provider, is to match motivated tech enthusiasts with forward-thinking employers to introduce new talent into the digital industriesBeard Apprenticeships, as a Government approved Apprenticeship provider, is to match motivated tech enthusiasts with forward-thinking employers to introduce new talent into the digital industries

Funding Apprenticeships Header People

LEVY EMPLOYER

As an employer with a wage bill of more than £3 million, the levy will be charged at a rate of 0.5% of an employer’s paybill. You can manage funds using the apprenticeship service and spend it on training and assessing your apprentices. Each employer will receive an allowance of £15,000 to offset against their levy payment. If you don’t have enough funds, you pay 5% of the apprenticeship cost and the government will top up the rest. There is a funding band allocated to each apprenticeship for which contribution is sought.

For apprentices that started before 1 April 2019, you need to contribute 10%. If you exceed the maximum funding band, you’ll need to pay all the additional costs.

NON-LEVY EMPLOYER

As an employer that doesn’t pay the apprenticeship levy, you pay just 5% towards the cost of training and assessing an apprentice.

The government will pay the rest up to the maximum funding band. You’ll pay the training provider directly and agree on a payment schedule. If you employ fewer than 50 employees, then the government will pay 100% of the costs of apprenticeship training. If you exceed the maximum funding band, you’ll need to pay all the additional costs.

If your apprentice started before 1 April 2019, you pay 10% towards the cost of training and assessing your apprentice and the government pays the rest. 

Funding Apprenticeship Agreement Picture

INCENTIVE PAYMENTS

When you hire new apprentices between 1 August 2020 and 31 January 2021, you can apply for extra funding to give your organisation a boost.

For apprentices aged:

  • 16 to 24, you will receive £2,000
  • 25 and over, you will receive £1,500

The payment is in addition to the existing £1,000 you will already get for taking on an apprentice who is:

  • aged 16 to 18 years old
  • under 25 and has an education, health and care plan or has been in the care of their local authority

You will also get the incentive payment when you hire a redundant apprentice.