The Apprenticeship Levy: Implications and Opportunities

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1 The Apprenticeship Levy: Implications and Opportunities

2 National Apprenticeship Policy Key Aspects To create and support 3 million apprenticeship starts by 2020 An improved experience cutting the burden Apprenticeships at all levels including degree, (Higher apprenticeships to be included on UCAS applications from September 2016) Greater employment involvement, control and investment Aim to create an approach where apprenticeships become an integral part of a wider educational and workforce development package. Apprentice give value by awarding status as a protected title. Focus on educational and skills outcome and not just process Greater use of end point assessment Improved IAG and greater support for recognised. Key Message: For anyone in training either on a Professional/Education programme or an Apprenticeship Think Apprenticeship

3 About the Apprenticeship Levy The levy will apply to employers across all sectors and will come into effect in April Levy will be payable on pay bill in excess of 3 million per year at 0.5% All employers will receive an allowance of 15,000 to offset against payment of the levy. The levy will be payable monthly through Pay As You Earn (PAYE) Legislation to permit the imposition and collection of the apprenticeship levy will be introduced in the Finance Bill 2016 Enterprise Bill also allow powers for secretary of state to set targets for apprenticeship starts. Funding rates for apprenticeships will be based upon the complexity and costs of provision. Apprenticeship providers will need to be registered if they are to receive funding.

4 Apprenticeships: National & North West National NHS: 200 million NHS Apprenticeship Starts Per Year: 28,000 North West (Estimated) Summary GM CM CL NWAS Total Apprenticeship Levy (Million) Apprenticeship Starts

5 Think Apprenticeship All services All functions All Professions More than just Business Admin and Healthcare

6 Art of the Possible Promoting Higher Skills Co designed / Integrated support roles Introduction of the Associate Nurse Role Subject to consultation and piloting 1,000 people in ,000 people in ,000 people in ,000 people in 2019 Sustainable Transformation Plans Nearly 600 applications received (51%) Assistant Practitioner being supported under existing funding model Higher apprenticeships likely to be high training value

7 Develop and secure an agreed Talent Pipeline & Pathway School/College Engagement (Commitment) Work Experience & Internships Pre employment Volunteer Career Engagement Hub** Securing our Future Healthy Workforce Project Career Ready (Internships) Princes Trust Skills for Health Academy Streamlining Programme Care Certificate Bands 1-4 development programme CPD potential for all non medical roles

8 Issues, Risks and Opportunities Issues Levels of awareness, potential impact versus lack of information from Government Drive is for new apprenticeships, particularly for year olds Quality and availability of provision Most apprenticeships in NW have been from within the workforce and aged over 25 potential issue of saturation and eligibility. Who will monitor and support for the NHS HEE or individual organisations Risk Perceived as a Pay Tax Potential impact for North West NHS Employers impact exacerbated as levy based upon pay but target upon workforce headcount There is a risk that employers may divert training from other areas to take account of levy costs or potential double funding whammy where employers have to pay for training for elements that can t be gained/eligible through an apprenticeship Despite favourable support some NHS organisations have not progressed apprenticeships significantly

9 Opportunities Overwhelmed or Engaged Response Health economy working no one organisation is an island Get involved in shaping Trailblazers Untapped Potential : Further Education Providers and HEI s - Particularly Higher Level Apprenticeships Collaborative developments - Shared commitment, effort and risk Development of Health Economy Paths: by the economy for the economy Making the most of education and learning resources

10 Support for a local Health Economy Apprenticeship Strategy Allocate investment in 1 st qtr. for organisations to commission/host project to develop a locally owned, relevant apprenticeship strategy Some issues to consider Workforce priorities Vision for supporting local delivery/procurement Range and type of provision (Entry level to Higher Levels) Priorities for Apprenticeship standards development Assets and resources already available Assessor capacity Availability of Functional Skills Support

11 Next Steps Clarity of role/expectations at national level Modelling of potential impact Series of briefing communications/engagement for local System (including Directors of Finance) Collaboration with NAS joint presentations at LWEGs Local health Economy Patch Planning Assess ability for any Internal vacancies in Bands 1-4 roles as a an apprenticeship opportunity Align expectations with all educational /transformational activities particularly potential pipeline activities Use some of the allocated budget to prepare the system for the changes i.e. investment in developments/mechanisms to ensure they can maximise internal action. Prepare for implementation

12 Final Thought Value of Apprenticeships Long history of apprenticeship the value and accepted way to mastery in a craft Learning through doing is real Learning through doing is not a lesser option it is a vital option Apprenticeships shouldn t be easy but they should and can be worth it How we approach the implications of the Levy will be our testimony or otherwise to what value we place on apprenticeships

13 Some Key Links Apprenticeship Policy England 2015 (House of Commons Briefing) Apprenticeship Levy Employer Owned Apprenticeship Training Apprenticeship Targets for the Public Sector Government Response To The Consultation On Protecting The Term Apprenticeship From Misuse English Apprenticeships: Our 2020 Vision (Executive Summary) International Evidence Review on Co-funding for Training Greater Manchester Apprenticeship Hub

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