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The apprenticeship levy

The apprenticeship levy was implemented in April 2017 by the government to encourage employers to commit to growing their employment of apprentices and productivity. It is expected to generate £3bn of funding for apprenticeships by 2019/20.

How is the levy calculated?

Employers with a pay bill over £3 million are required to pay a levy of 0.5% of their annual pay bill, which they will only be able to redeem when they employ and train apprentices.Employers will also receive a £15,000 annual allowance.

The government is also applying a 10% top-up to the funds you have for spending on apprenticeship training in England. Employers that operate across other parts of the UK can find out more about how the levy works here.

Support and advice

To find out what the levy means for your business, get in touch with our team of experts consultants who can help you to maximise your levy investment.


The apprenticeship levy: One year on

Nearly a year since the apprenticeship levy was introduced, our latest pulse report looks at the progress businesses have made to ensure a positive return on investment from their levy contribution.

Access the report

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