Understanding the Apprenticeship Levy 

The Apprenticeship Levy is a UK tax on employers which is used to fund apprenticeship training. 

Apprenticeship Levy is an amount paid at a rate of 0.5% of an employer’s annual pay bill.

As an employer, you have to pay Apprenticeship Levy each month if you:

• Have an annual pay bill of more than £3 million
• Are connected to any companies or charities for Employment Allowance purposes and have a combined annual pay bill of more than £3 million

You must report and pay Apprenticeship Levy monthly through your Employee Payment Summary.

All sectors must pay the levy if they have an annual pay bill of over £3 million (including any connected companies or charities).

The sectors that have specific rules for paying Apprenticeship Levy are:

• Franchises
• Off-payroll working
• Short-lived companies
• Managed service companies
• Employment or recruitment agencies
• Joint ventures
• Schools

Upskill and develop your current staff

Have you considered using the levy to increase your employee engagement?

As an approved training provider, we can provide your staff with the high-quality training they need to flourish and succeed.

The new Teaching Assistant standard offers clear routes of career progression, enabling your Teaching Assistants to further their careers and take on more responsibility within a school.

Gain funding for an apprenticeship

Increase capacity in your school or setting to support and deliver health and wellbeing across your curriculum, through the addition of a Teaching Assistant apprentice or PE apprentice. 

You can access the Apprentice Levy to gain funding towards the cost of training and assessment of an apprentice.