Reform for Apprenticeships

From the 1st of April 2024, changes to apprenticeship funding will be in effect. The Government will fully fund some apprenticeships in small businesses and increase the amount of funding that employers that are paying the Apprenticeship Levy can pass on to other businesses.

The Government will fully fund apprenticeships for small businesses by paying the full cost of training for anyone aged 21 or under. "Small business" in this context refers to any business with fewer than 50 employees.

Also, before the 1st of April 2024, larger businesses could only transfer 25% of their unused funds through the apprenticeship levy. Now, they can transfer up to 50% of their funds.

There are many benefits for employers of hiring apprentices, such as increased staff retention. A study by the Skills Funding Agency has found that 80% of employers reported higher staff retention rates as a result of hiring apprentices. The training opportunities given to apprentices often result in more loyalty to their employer. If you run a small business, you can now receive even more financial support to hire an apprentice, so when recruiting this is an option to explore.

For further HR advice or guidance in relation to the topic above, get in touch with the Lansbury HR Consultants. We are here to support businesses nationally and locally in Burton-on-Trent, Swadlincote, and Derby.