New analysis from The Open University (6 Feb) suggests that UK businesses could be at risk of losing £3 billion in funding that could be used to increase skills and boost productivity.
Organisations have only drawn down 14 per cent of available funding from the apprenticeship levy – and from April the government will start to anything left over month by month, so The Open University is encouraging businesses to act now before they miss out on an opportunity to build skills they desperately need.
The data, secured by The Open University through a Freedom of Information Act request1, reveals that employers have earned back just £480 million of the total funding available since May 2017. So far, only one in five (19%) levy-paying employers have made apprenticeship commitments, with many reporting some kind of frustration with the scheme.
Additional market research undertaken by the University shows that the vast majority (94%) of employers are supportive of the apprenticeship levy in principle, but two in five (42%) would like to see changes to make the apprenticeship levy work more effectively for their organisation. Read more