Updates on Apprenticeship Reform Policy - EU Skills

Updates on Apprenticeship Reform Policy

As we move into year 2 of the apprenticeship levy and reform implementation, we have seen further refinement to the funding policy and, from August 2018, there will be changes to the funding rules. In addition, the Education Select Committee has been scrutinising and evaluating the advancement made since the introduction of the apprenticeship reforms.


Updates on Apprenticeship Reform Policy

Earlier this month, the Department for Education published its Progress Report on the Apprenticeship Reform Programme which summaries the progress made towards the success measures it committed to. It sets out the policy for apprenticeship funding in England from August 2018 and updates the policy that has been in place since May 2017.

The document also outlines how the apprenticeship funding for employers will work, including details of funding bands and the apprenticeship levy. Click here to access the document.

The changes in the policy are as follows:

  • The current funding band structure, has been amended to a new 30 band structure for new starts from August 2018. This new structure will include more increments between bands, to provide greater clarity around the appropriate funding level for apprenticeships. The ESFA will move existing frameworks and standards into the new band structure at the same level, to ensure that there is no change in the funding available.
  • In recognition of the fact that many providers still deliver frameworks to 16-18 year olds, the transitional 20% uplift for a provider training a 16-18 year old apprentice on a framework will be maintained.
  • Support for apprentices from disadvantaged areas will be continued, so the payments made to providers will be maintained, to support the training of apprentices from the 27% most disadvantaged areas.
  • The funding policy has been updated to provide greater clarity on eligibility and the support available for apprentices who require learning support.
  • The introduction of new £1,000 bursary payment to support care leavers aged 16-24 starting an apprenticeship.
  • The 18/19 policy also includes information on the new capability for employers to transfer up to 10% of their funds to another employer to support an apprenticeship standard.