Brexit and the Apprenticeship Levy

In the wake of last week’s shock Brexit verdict, businesses across the Hospitality Industry are experiencing many uncertainties. However, despite the multitude of unanswered questions, Jill Whittaker, Managing Director of HIT Training, advises businesses to carry on as normal with regards to plans for the Apprenticeship Levy.

“There is no denying that the decision to leave the EU is one which is going to have implications for businesses in the Hospitality Industry. In this period of unease, there is one thing which we do know – the Apprenticeship Levy is still planned to be introduced from April 2017, as confirmed by Skills Minister, Nick Boles, at the AELP Conference on 28th June.

“Although the planned Government announcement to release further details on the Levy has been pushed back from mid-June to mid-July, as a result of Brexit, what remains clear is that there will be new funding frameworks for apprenticeships from April 2017 and businesses need to take steps now to prepare for this.

“One of the first things we advise Levy paying companies to do, is to take a look at their current staff training and development budget to ensure that most of the apprenticeship training budget can be reclaimed through the Levy.  This will also highlight gaps in the training structure and identify areas which the legislation enables funding for.  One of the biggest benefits of the Levy, is that the funding isn’t just limited to apprenticeships for new staff members, it can be used right across an organisation to up-skill the whole team – even through to senior management and supervisory positions.

“The Apprenticeship Levy will bring an extra £1 billion a year to pay for apprenticeships in England, increasing spend from £1.5 billion to £2.5 billion annually.  If maximised by employers, the funding can be used to up-skill the whole Industry, ensuring businesses have highly trained workforces – something which will be essential when it comes to reacting to any associated implications of the referendum.”

For more information on HIT Training and to download the Apprenticeship Levy Handbook, please visit: