Funding and Grants for Apprenticeships
The Skills Funding Agency is the government body responsible for allocating funds and Grants for Apprenticeships and skills training in England.
Apprentices are not required to pay for their training as the cost is met by either the Skills Funding Agency or the by a combination of the Skills Funding Agency (SFA) and the employer. All apprentices must be employed.
For 16-18 year olds - Full Government funding is available for training 16-18 year old apprentices.
For 19 year olds and over - Funding is available for people over the age of 19, but is dependent on their existing qualifications and the courses and qualifications applied for. An employer contribution maybe required.
If you are aged 24 or over - You may qualify for a 24+ Advanced Learning Loan to cover the cost of tuition fees for study at Level 3 or above. These loans will work in a similar way to the current loan system for Higher Education, meaning that you will only start to pay the loan back once you have completed your study or training and are earning over £21,000 a year. Repayments wont start until April 2016. The loans are administered by the Student Loans Company.
Apprenticeship Grants for Employers
The National Apprenticeship Service (part of the SFA) is providing Apprenticeship Grants to employers recruiting 16 to 24 year olds. The grants have a value of £1,500, and are to encourage businesses to take on a new apprentice.
The Employer is required to sign a declaration to:
Agree to pay the minimum Apprenticeship wage
Confirm that the company has not taken on an apprentice in the previous 12 months
Confirm the number of apprentices being taken on
Confirm that you would not have employed the apprentice without this grant
Commit to employing the apprentice for the time it takes to achieve the Apprenticeship framework.
Confirm that you are aware of and do not breach any state aid rules
From January 2015 the maximum number of grants will be only five grants and 50 employees.
Many employers find that the grant is a key factor in taking on an Apprentice but once they take on the Apprentice they find that the benefits of a young person learning their business far out way previous concerns. Don't miss out get the Apprentice, get the grant, get the benefits for your business before the grant changes.
Check out the employer fact sheets on the AGE Grant on the Apprenticeship pages of the government website here https://www.gov.uk/government/collections/apprenticeship-grant-for-employers-of-16-to-24-year-olds
Call IPS International Business Development advisors on 01634 298808 or email info@ips-International.com