Apprenticeship Levy How it will work…..

Upskill Shropshire Board – School Representatives Lorraine Edwards – Senior HR Business Partner Jacqui Carter – Primary Headteacher Representative Richard Langford – Primary Headteacher Vacant – Secondary Headteacher Representative HR Project Group – School Representative Louise Smith – HR Business Partner Other HR Colleagues

Information Pack Upskill Shropshire Useful Information for Schools Process for applying - CPD & Recruitment Templates & examples Information for staff Information on Apprenticeships & Standards List of Providers Copy of slides

What is the Levy? Budget November 2015 / Enterprise Bill 0.5% of Employers Pay bill (<£3m) (approx. £327,000 for schools) paid to HRMC monthly Levy can be used to fund apprenticeship training and assessment (not salary costs). Target of 2.3% apprentices in the workforce by 2020 in the public sector Part of wider Apprenticeship Reforms George Osborne’s budget statement in November and the Enterprise Bill outlined that from April 2017 the way apprenticeships are funded is changing as part of a series of wider reforms to the apprenticeships system in England. This will be funded from the employer’s pay bill –0.50 % for paybills over £3m. In England employers who pay the levy will be able to access funding for apprenticeships training and assessment via the new Digital apprenticeship service Those under £3m (non-levy paying) will still be able to access funds for training through their Digital Apprentice Service Account (although guidance not available) Available funding an be used to meet the costs of apprenticeship training and assessment.. The Levy can only be used to fund training and assessment, not salary costs. Comes into effect from April 2017 Apprenticeships are now seen as the cornerstone of the skills system and provide opportunities for all sectors, including education., and at all levels. The apprenticeship levy is intended to boost our economic productivity, while increasing the country’s skills base and giving millions a step on the ladder of opportunity. The intention is that LA’s and schools work together, using the levy to meet skills gaps and plan future workforce needs and expands the number of apprenticeships in the public sector. This is intended to improve capacity and capability of the public sector so that it benefits fro the same positive impacts as in the rest of the economy and enable more people to achieve their potential.

How will it work? Levy paid into our Digital Apprenticeship Service Account (DAS) with 10% top up – available from next week 24 months to use levy or we lose it ! National Register of Providers Not just for new recruits….also staff training Funding limits will apply Levy automatically taken by HMRC via PAYE on a monthly basis (paybill at that month, so will fluctuate) via the new Digital Apprenticeship Service Shropshire Council annual – approx. £750k (including schools) Money will sit in our digital account First £15,000 allowance off-set against the liability The government will top it up by 10% each month so can access more training. Funds expire after 18 months if not used (including the 10%) – will fund non-levy paying employers to access training. The funding an be used to meet the cost of apprenticeship and training against an approved apprenticeship framework or standard. The training provider must be on the Register of apprenticeship training Providers that we will be able to use (via our own framework)

How does the levy affect schools Local Authority’s Levy includes: Community Schools Voluntary Controlled Schools Local Authority’s Levy excludes: Foundation & Voluntary Aided Schools Academies & MAT’s LA’s typically responsible for paying the levy in community schools and must be included in the LA’s calculation regardless of whether the school uses the Council for payroll services. The Levy must be passed on to schools in the same way that NI And pension is. If this is the case for a community/ VC school then the school will need to liaise with its payroll provider and the LA on this to ensure the correct payment is made. (HRMC have recently produced detailed guidance to support payment of the levy) Community /VA schools will therefore have to make provision for the relevant cost of the levy in their individual budgets, in the same way as other payroll costs e.g NI. Schools finance will be bale to support this. ( the operation guidance fo schools revenue funding in 2017/18 does not make any provision for the DSG to be top slicing in this way)

Schools not eligible for levy… Pay 10% of the cost of apprenticeship training and assessment The government pays the remaining 90% These include : Employers with pay bill of less than £3m Schools that have used all their funds in their digital account

Apprenticeship roles available for schools Teaching Assistants Business Administration & Management Science & ICT Technicians Currently under development: Teaching Apprenticeships School Business Management These are not exhaustive, Early work on developing a Teacher apprenticeship standard is also underway, led by a group of school coordinated by the teaching Schools councils. No firm timescale for its introduction though. In addition a consortium of schools led by Hughenden Primary in Buckinghamshire are developing a Teaching assistant apprenticeship standard and assessment with the aim of having this in place by the end of 2017,

Progress so far …… Apprenticeship Levy Board (includes Schools representatives) Confirmed Branding – Procured Framework of Providers – 15 in total Accessing the funding & selection process Communications Developing Apprenticeships HR Leading the project – So far: Set up an Apprenticeship Board – Sponsor George Candler Representatives from across the organisation 2 representatives from schools following invitation to all heads; These are Jacqui Carter and Kay Redknap – Ideally 2 more required!! Range of activities currently being undertaken to be ready for April: Procurement – a framework of providers which can also be accessed by third parties Selection Process – ensuring fair access to training Communications – with staff/managers and schools - roadshows in the new year Development of Apprenticeships – links to workforce planning and meeting the needs of council and schools (Trailblazers) Commercial Offer – how we can generate income by administering this for others ie. Academy Trusts and other organisations Supporting local employers – if we don’t use our pot how could we provide training to local employers (we would need to employ individuals but could draw down funding for training).

Next Steps (for schools) How to access the levy funding….. Agree communication strategy for staff to include: Information on Apprenticeships and removing the myth about only for young people! How to access information on the training available How to access professional development Tender notice published last week for Shropshire Framework of Training Providers and selection will take during February Communication Plan has been agreed and includes CPG, Headteacher Briefings, Roadshows for staff, including guidance. Confirm application and selection process – Set up selection panel with school representatives Create guidance and application packs for both applicants and existing staff who are seeking professional development

How to access the funding? Secondary Funding Primary Funding Training need identified Professional Development Recruitment – New Post

Continued Professional Development Upskill Shropshire Application Form – Staff Complete business case – Pro-forma Consideration by Schools Levy Funding Approval Committee Approach to Providers for “best provision” Provider confirmed by AL Selection Board DAS account updated – provider signs agreement and paid….

Recruitment - Option 1 (school completes recruitment admin) Complete business case and consideration by Schools LF Approval Committee Schools Recruitment Process – school undertaking Placing advert, shortlisting, interviews, Myview starter process - Approach to Providers for “best provision” Provider confirmed by Selection Board DAS account updated – provider signs agreement and paid….

Recruitment - Option 2 (HR completes recruitment admin) Complete business case and consideration by Schools LF Approval Committee Recruitment Process – LA undertaking via E-recruitment Placing advert, applicants apply on-line, HR to shortlist against agreed criteria School to carry out interviews & complete the Myview starter process

Recruitment - Option 2 cont.. Approach to Providers for “best provision” Provider confirmed by Selection Board DAS account updated – provider signs agreement and paid….

Recruitment - Option 3 (No access to levy funding) Schools Recruitment Process – school undertaking Placing advert, shortlisting, interviews Offer subject to selection of training provider Approach to training providers for “best provision” Provider confirmed by AL Selection Board 90% of training costs funded by ESFA and 10% by school, plus any other costs – provider signs agreement and is paid….

Questions ?