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Written question asked by Nicholas Dakin (Labour) on Friday, 26 April 2019, in the House of Commons. It was due for an answer on Tuesday, 30 April 2019. It was answered by Anne Milton (Conservative) on Tuesday, 7 May 2019 on behalf of the Department for Education.

Apprenticeship Levy

Question

To ask the Secretary of State for Education, with reference to the National Audit Office report, The apprenticeships programme, published on 6 March 2019, HC 1987, what assessment he has made of the future financial sustainability of the apprenticeship levy; and if he will make a statement.

Answer

The apprenticeship levy is collected by HM Revenue and Customs from all UK employers with a pay bill above £3 million.

Separately, HM Treasury have set the Department for Education a budget for apprenticeships in England for the current Spending Review period (to 2019-20). This budget is distinct from the levy and is not dependent on receipts from the levy. This budget is used to fund new apprenticeship starts for both levy and non-levy paying employers and must also cover the ongoing costs of apprentices that are already in training.

In 2019-20 funding available for investment in apprenticeships in England is over £2.5 billion, double what was spent in 2010-11.

Currently, we expect to remain within budget in this spending review period to the end of the 2019-20 financial year. A detailed breakdown of spending for 2018-19 will be published in the Education and Skills Funding Agency Annual Report and Accounts.

The level of funding for the apprenticeship programme beyond 2019-20 will be determined by the forthcoming Spending Review.

Secondary information

Type
Written question
Reference
248020
Session
2017-19
Related items
Grouped for answer
Yes
Subjects
Apprenticeship levy
Link
View this Written question on www.parliament.uk