Payroll: need to know (Latest version)


New consultation on the creation of flexible apprenticeships published 21 April 2021

A new consultation has been launched, which requests views on how new flexi-job apprenticeship schemes could potentially work.

The flexible apprenticeship opportunities will be available to certain sectors, including the creative, agriculture and construction industries.

Apprenticeships last for a minimum period of 12 months, so some sectors which offer flexible employment patterns and short-term roles have found creating enough opportunities to be problematic.

Flexi-job apprenticeships were initially introduced by the Chancellor of the Exchequer, Rishi Sunak, within the Budget, delivered on 3 March 2021. The new flexi-job apprenticeships would mean that an apprentice would be able to work across a range of projects, with a variety of employers to gain the full skills and experience they require to complete the apprenticeship programme. As an example, an apprentice who worked within film, TV or theatre production would now have the opportunity to work on a variety of productions throughout their apprenticeship. In July 2021, employers will have the opportunity to apply for a portion of the £7 million fund which will be made available to both create and test new flexi-apprenticeship schemes, with the intention of the first approved flexi-job apprenticeships commencing in January 2022. The £7 million will be available across the periods of 2021-22 and 2022-23.

The flexi-job apprenticeship consultation will close on 1 June 2021, after running for a period of six weeks. It requests views from employers, apprentices, sector bodies and existing apprenticeship training agencies.

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Employers of apprentices can now apply for £3,000 incentive payment 2 June 2021

Employers who hire apprentices between 1 April 2021 and 30 September 2021 can apply for a £3,000 incentive payment from 1 June 2021.

Businesses intending to claim the payment must set up an apprenticeship service account. The apprenticeship start date must be between 1 April 2021 and 30 November 2021. Applications cannot be made for existing employees who joined the business prior to 1 April 2021, irrespective of whether they started an apprenticeship after this date. The payment will be in addition to the £1,000 that employers are already entitled to for hiring an apprentice who is between the ages of 16 and 18 years old, or who are under 25 with an education, health and care plan or who have been in the care of their local authority. To be eligible for the full amount, the apprenticeship must last for a minimum period of one year.

The £3,000 payment will be made in two parts, in equal instalments. The first payment is submitted once an apprentice completes 90 days of their apprenticeship, and the second amount gets sent after a year (365 days).

Businesses can view submitted applications, proposed payment dates and payment statuses via their apprenticeship service account.

Further help is available online.

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The Chartered Institute of Payroll Professionals

Payroll: need to know

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