Education and Skills Funding Agency Funding

What is the Levy?

In May 2017 the way the government will fund apprenticeships in England is changing.

Some larger employers will be required to financially contribute to a new apprenticeship levy, but there will be some form of change to the funding for apprenticeship training for all employers.

The apprenticeship levy requires those businesses with a pay bill of over £3 million each year to make investments in apprenticeships. However, with the right support, you can benefit from this investment by training your current employees, as well as any new staff, putting them all through an appropriate apprenticeship and making the levy valuable for you.

This will encourage managers to have more of an input in ensuring that staff are trained and have meaningful qualifications in health and social care.  The knowledge and understanding gained from doing an apprenticeship in health and social with DH Associates will lead to improve quality and better outcomes for individuals your company supports.

Levy payers | Facts

  • First employer payroll deduction 6 April. First learners – 1st May
  • Will affect employers paying over £3 million per year in wages
  • Includes all sectors/industry
  • 5% of PAYE bill above £3 million will make up the levy bill
  • Achieved by giving everyone a £15,000 allowance (0.5% of £3 million = £15,000)
  • Funding will be kept in a Digital Account, part of the Apprenticeship Service
  • Payments taken monthly via HMRC
  • Employers will choose their own apprenticeship provider
  • An independent organisation will provide end point assessments for standards
  • DH Associates are currently working at the Framework until December 2017 and from the 1st January 2018 will change over to the Standards.
  • Employers can spend more than their levy; the government will pay for 90% of any overspend. This means that once you have used your Levy, you will pay 10% and the government will pay 90%

Non-Levy payers | Facts

  • Starts after 1 May under new rules
  • Payroll is under £3 million
  • Employer will make a 10% cash contribution after the learner has been signed up and been seen on the 7th week an invoice will be sent and you have 21days to pay.

Information, Advice & Guidance

  • Are you aware of the levy and have you planned for this?
  • Do you know about the changes and the impact this will have on your organisation?
  • We are here to help you navigate through the changes
  • We can help with your training analysis to develop and progress staff needs

For more information Contact our Business Development Team for more information on 0151 336 6900 or email Alternatively you can visit –