Delivering the Digital Apprenticeship Service

RESTRICTED - Policy

Delivering the Digital Apprenticeship Service Keith SmithDirector, Levy Implementation

Funding apprenticeships through the levy

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• The Government is introducing a levy on employers to fund apprenticeships. This will be collected by HMRC through PAYE. Guidance will be provided in Spring 2016.

• Employers who pay the levy and are committed to apprenticeship training will be able to get out more than they pay in.

What is the Digital Apprenticeship Service?

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An online service for employers of all sizesSimplified solution• Enabling employers to make decisions about taking on apprentices (for all

apprenticeships and all employers including the smallest)• Giving employers greater purchasing power and oversight of providers

available• Giving transparency on apprenticeship standards and their costs

To facilitate the management of apprenticeships, including:

Managing levy and funding

Information

Finding a standard, framework and training provider

Recruiting apprentices

Digital Apprenticeship Service timeline

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Jan 14

Apr 14

July 14

Oct 14

Jan 15

Apr 15

July 15

Oct 15

Jan 16

Apr 16

July 16

Oct 16

Jan 17

Apr 17

July 17

Oct 17

Candidate search and apply

Course/Provider search

Levy management

Discovery, alpha, beta, live

Employer vacancy posting

Provider vacancy posting

How the levy will workGo

vern

men

tTr

aini

ng

Prov

ider

Empl

oyer Receive

training for apprentice

Claim funding from

SFA

The objectives: Employer control and simplicity

The objectives: Training provider provides assurance and management / forecasting information

The objectives: Get the machinery right to provide a quality service while protecting public purse

“Double lock”

HMRC collect levy

(PAYE)

Employ Apprentice

Offer apprenticeship

training

Price agreed with

employer

Timely data on training

Pay for training with

account balance

Employer has online

account

Provide training to apprentice

Check training to employer account

Pay provider

Register with SFA

(Ofsted)

Employer and Provider Identity Assurance

Pass data on levy payments from HMRC to BIS

Unused balance expires

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Top up

How will the system change?

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Current

• Providers have contracts and allocations with SFA

• Limited set of lead providers• Providers collect employer

contribution• Providers payments triggered by

monthly data returns (quarterly for 19+ in colleges)

2020

• Providers will have contracts with employers and ancillary agreement with SFA

• Any approved provider can act as a lead

• Employer contribution from levy or co-investment for non-levy payers

• Provider payments released by ‘double lock’ – employer commitment / monthly data return

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DAS screenshots

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DAS screenshots

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DAS screenshots

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DAS screenshots

Questions