From 2018 businesses that pay the Levy will be able to transfer apprenticeship funding to other businesses, which will be used to pay for training and assessments for apprenticeships.
However employers can transfer a maximum of 10% of annual funds. This is worked out from the total amount of levy declared, with the English % applied, plus the 10% government top-up payment.
Another important factor is that only levy-paying employers can make a transfer. But any employer can receive and use transferred funds, although they have to be registered on the apprenticeship service.
Top facts about transfers
What can I transfer as a levy-paying employer?
- You can transfer a maximum of 10% of your annual funds, which will be calculated from the total amount of levy declared during the previous tax year.
Who can I make a transfer to?
- You can make a transfer to any employer, including employers who pay the apprenticeship levy and Apprenticeship Training Agencies (ATAs). If you send a transfer you cannot also receive a transfer.
What can the transfer be used for?
- You can transfer funds to another employer to pay for the costs of training and assessment for their apprenticeships. These must be for apprenticeship standards. Transfers cannot be used for apprenticeship frameworks.
Why should I consider making a transfer?
- By making a transfer you could support other businesses. For example, by supporting the skills of your supply chains workforce, your own business is also likely to benefit. You could help a charitable organisation or support the skills base within your local economy.