Autumn Statement puts businesses in charge of apprenticeships
Businesses have been given a boost in the Autumn Statement as an extra £40 million was pledged for a further 20,000 apprenticeships in 2014.
This was welcome news for many businesses who wish to grow and develop the productivity of their company through the use of apprenticeship schemes.
The changes aim to put businesses in charge, since employers will be able to receive funding for training apprenticeships directly through an HMRC-led tax system.
Consultation, due to be opened in 2014 will look for a “simple and accessible” system that would enable employers to pay for the cost of an apprentice upfront and then claim the money back at a later date through their tax return.
The reforms will incentivise employers to take on more apprentices whilst at the same time giving them more control over the training that apprentice’s receive in the workplace.
Allowing employers to buy the training they need or choose the training provider or college they want, will prove more effective for the business in the future.
The reform is intended to improve the quality of an employers’ workforce and fill skills gaps whilst increasing the quantity of apprenticeships in the UK.
At Royds we can advise on all aspects of employment law for employers considering apprenticeship schemes for their business.
It pays to employ the right employment solicitor