5 pointers to help employers prepare for transfers on the apprenticeship service

From April 2018 employers who pay the apprenticeship levy will be able to transfer apprenticeship funds to other organisations to pay for their apprenticeship training and assessment

 So what do you need to think about now to prepare for transfers as a levy-paying employer?

1. Consider how much funding you will be able to transfer

You can transfer up to a maximum of 10% of your annual funds, which will be calculated from the total amount of levy declared during the previous tax year. Read more information about how transfers are calculated here.

2. Consider the total costs of any apprenticeships you would like to support

As the sending employer you are responsible for managing the amount of funding that you transfer and for funding the whole cost of the apprenticeships you are supporting, up to the funding band maximum.

3. Find a receiving employer

This can be any employer. You might want to choose an employer in your supply chain or sector, or perhaps you would like to support a charitable organisation or help your local economy. It is your choice.

The receiving employer can be a levy-paying employer as long as they are not sending any transfers. If you send a transfer you cannot also receive a transfer.

 4. Have detailed conversations with your receiving employer

Discuss the number and type of apprenticeships that you could fund with a transfer. Read Take on an apprentice for general information about employing an apprentice and use Find apprenticeship training to search for different types and levels of apprenticeship.

5. Agree the details in advance with the receiving employer before starting to set up the transfer on the apprenticeship service

 To send and receive a transfer, both employers will need to have an apprenticeship service account. However, it is important that the receiving employer doesn’t rush into registering for an account as they will need to have lots of details in place first.

For instance, a receiving employer shouldn’t register on the apprenticeship service for a transfer until they have agreed the apprenticeship standard and their costs with the employer sending the transfer.

We will provide detailed guidance on how to set up transfers on the apprentice service when the functionality goes live in April.

You can read up-to-date information about transfers here.


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