Within the Apprenticeships Levy consultation only one question (of the 23) is relevant to payroll and that is the one asking for comments on the proposal that the levy should be collected through PAYE.
We have also taken the opportunity in our survey to ask for your comments on the new definition of an apprenticeship, as funding will only be available for apprenticeships which meet an approved framework. It will become illegal to call an apprenticeship an apprenticeship that does not meet the criteria.
The survey should take less than 5 minutes to complete and will close on 28 September 2015. Thank you.
Protecting the term apprenticeship 28 September 2015
The government has published their response to the consultation on protecting the term apprenticeship from misuse.
Examples of the apprenticeship term being misused include:
students thinking they had completed an apprenticeship but actually had only taken a low-level technical qualification students having to find other employers to continue to achieve the qualifications required to complete a full apprenticeship employers finding students entering the industry only part-qualified and without adequate learning, work- based experience and practical skills. Following the government’s commitment to protect the term ‘apprenticeship’ from misuse by unauthorised training providers and in light of the consultation responses received, the government has included measures in the Enterprise Bill (introduced to the House of Lords on 16 September 2015). The measures will create an offence for a person, in the course of business, to provide or offer a course or training as an apprenticeship if it is not a statutory apprenticeship. Employers cannot commit the offence in relation to their employees. The government is proposing that the offence is summary only and the maximum penalty is a fine.
The measures do not affect companies who offer their own high-quality internal apprenticeship scheme.
CIPP respond to BIS in respect of the Apprenticeships Levy 1 October 2015
CIPP have submitted their response to the Department for Business, Innovation & Skills (BIS) which confirms the outcome of the survey which ran from 8 to 25 September 2015.
BIS have invited comments on the proposal to introduce an Apprenticeships Levy on large employers which would provide a fund for all employers to choose and pay for apprenticeship training. The proposal is to collect the levy through the employer’s PAYE processes.
The consultation covers the implementation of the levy. More detail on the levy rate and scope is promised for later in the year.
As this isn’t the first time we have called upon members to consider the proposal of collecting funding of apprenticeship training through PAYE processes we were unsurprised that you responded in the majority to reject the proposal that this levy should be collected via the payroll, as one respondent is quoted “Unless the levy is earnings, nothing should go through the payroll including this. A payroll system is just that, it isn't an all function accounting system to communicate and ease the government's burdens!”
Thank you to those of you who responded to this survey, we appreciate your commitment following a long summer of surveys.
To read the full response, please click on the link below.
CIPP Policy News Journal
25/04/2016, Page 21 of 453
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