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New apprenticeship funding explained by JTL
Published:  16 February, 2017

JTL has put together a guidance package for employers to explain the intricacies of the new funding rules being introduced by the government from May 2017. 

The package includes a dedicated section on its website, leaflets, an explanatory booklet, videos and a customer hotline number.

JTL chief executive, Jon Graham, says that most of the information currently available is very confusing.

“Traditionally JTL has been able to help smaller companies that look to take on perhaps one or two apprentices each year. We know that these are the companies that can be easily put off from taking on apprentices if they feel the burden of paperwork and cost makes taking on young people too onerous. So, we’ve developed a simple to understand way of explaining the process after May 2017, which we believe will be extremely helpful for small employers in particular,” he explained.

“We have a similar raft of information for the larger companies employing 50 people or more and again for the very large companies we work with that have an annual pay bill of over £3 million and will have to pay the new Levy.”

It is vital that employers realise that apprentices who started their apprenticeships before 1 May 2017 will continue under the same financial arrangements agreed at the outset of their apprenticeship and that those apprentices will not be affected by the new rules.

For some employers, there will be benefits to starting their new apprentices prior to the new funding scheme being introduced – for example incentives are greater under the existing funding scheme if you employ less than 50 employees and are looking at taking on an apprentice aged 16 to 18.

In addition, under the existing scheme, JTL is able to give employers additional flexibility in how they pay their contribution towards the apprenticeship than will be the case after 1 May 2017.

Perhaps the most useful element of the guidance package available to employers are the three funding guidance videos that have been developed to explain face to face the implications of the new rules.

JTL director Caroline Turner has recorded a simple explanation for each target audience, which is available on the JTL website and social media outlets and available to other approved web sites that want to take advantage of using these for their own audiences.

These videos, in conjunction with the guidance leaflets which are available to download from the JTL website, or as printed leaflets available from JTL’s Training Officers around the country, or the A5 size booklet being produced, will provide the information every employer needs to be confident of understanding the new rules.

Any employer in the building services engineering sector – in electrical, heating and plumbing businesses – that has concerns about the new funding rules can call 0800 085 2308 for advice.