RSM urges businesses to understand the upcoming Apprenticeship Levy

 
 
 
 
 
The Apprenticeship Levy will apply from 6 April 2017, and as mentioned during the WEAF annual conference, is of particular interest to WEAF members with apprenticeship programmes.  The Levy represents an additional charge on all businesses at 0.5% of the total wage bill.  As there is an allowance of £15,000 available, in real terms this cost will only apply to a business with a wage bill of over £3 million OR those who are connected to other companies with a combined total wage bill in excess of £3 million. If steps haven’t already been taken, businesses should review and fully understand the charge and accrue for this .  Equally as important is how the fund is managed and utilised, with a 24 month ‘use it or lose it’ provision and rules regarding which schemes can be used, and when. Employers should start planning the process now to ensure maximum use of the fund.  More detail can be found in the factsheet which can be downloaded here.