LONDON, April 2, 2019 /PRNewswire/ -- Sean McCready, Director of Education and Skills at leading apprenticeship provider ICS Learn, has warned that companies may be "set to lose millions" from their apprenticeship levy fund on April 6th.
As the two-year anniversary of the launch of the controversial scheme approaches, McCready believes that levy-paying employers may lose out, as the UK Government will begin reclaiming unused funds at a rate of £120 million per month.
Apprenticeship funds are valid for just 24 months after being paid into the ringfenced account, meaning the first batch of funds are set to expire next month if unused.
Digital apprenticeship training provider ICS Learn is urging employers to turn their levy into a strategic advantage before it's too late.
"Starting in April 2019, companies may lose millions from their apprenticeship levy," warns Sean McCready. "Apprenticeships can be hugely beneficial to employers, with each apprentice delivering an average of £10,300 in productivity gains per year according to the Centre for Economics and Business Research. Offering training to existing staff through an apprenticeship can also improve morale and retention, as it shows that employers are invested in their further development."
The controversial apprenticeship levy has seen limited uptake by businesses, with £3 billion in levy funding remaining unused.
"Many employers believe that apprentices have to attend college for a day each week, and this inconvenience prevents them from offering apprenticeship training," explains McCready. "However, this is not the case – much of the required 20% off-the-job training can be completed online, making it much easier to fit into a busy working schedule."
McCready cites that other common misconceptions include believing only new, young or inexperienced members of staff can be apprentices. Current employees of any age or experience level can enrol on an apprenticeship, with some programmes being equivalent to a degree or Master's degree.
The diversification of apprenticeships has also enhanced the range of subjects offered, moving away from traditional trades training and into the professions. Apprenticeships are now available for human resources, finance, project management and many other key business roles.
Digital-first apprenticeship training
ICS Learn is the UK's most trusted online learning provider. Their flexible digital apprenticeship training allows apprentices to learn from their office and shape training around their everyday tasks, with minimum disruption to their work or organisation.
SOURCE ICS Learn