WMCA Apprenticeship Levy Fund tops £32m

An innovative scheme set up by the West Midlands Combined Authority (WMCA) to fund apprenticeship training for small and medium-sized enterprises (SMEs) has secured in excess of £32 million, helping more than 2,280 people learn new skills.

Originally set up in March 2019, The Apprenticeship Levy Transfer Fund allows some of the UK 's biggest businesses to cover 100% of the training cost of apprentices for SMEs by donating their unspent levy to the WMCA rather than see it returned to government.

To date, a total of £32.7m has now been pledged to the scheme with 725 SMEs benefiting from the fund.

The scheme has helped a total of over 2,280 people obtain an apprenticeship with those being supported coming from a variety of backgrounds including school leavers, graduates and those looking for a change of career.

In turn, the region ultimately benefits from more job opportunities and a boost in skills and productivity.

West Midlands mayor Andy Street (pictured) said “Thanks to the generosity of large organisations donating their unspent apprenticeship levy to us, more than £30 million has been raised to boost apprenticeships across the West Midlands.

“That means thousands of people making the first step in their careers, with hundreds of local SMEs taking on staff they wouldn 't otherwise have been able to afford. Young people especially have been benefitting from our levy cash, which is incredibly important given they have been the hardest hit by the pandemic.

“So with National Apprenticeship Week starting today, I would encourage all large employers across the West Midlands to get involved and donate their unspent levy, as well as urge people looking for work and SMEs looking to take on apprenticeships to check out our levy scheme and see how it can benefit them. ”

Pertemps are just some of the of the businesses to pledge their unspent apprenticeship levy to the WMCA transfer fund.

When asked about their involvement in the scheme, Tracy Evans, Group HR & quality director at Pertemps, said: “Working with the WMCA has enabled us to utilise our apprenticeship levy funding to support local SME 's in bringing apprentices into their businesses.

“From social care to plumbers ' electricians to digital and manufacturing, working across all levels of apprenticeships even including West Midlands Police. We 've invested £2 million from our apprenticeship levy fund to support our local communities.

“The WMCA fits our longer strategic objectives of working with the communities in which we operate in and supporting young people who face difficulty in finding work is a key part of that. We strive to break down barriers hampering this group from finding employment and help them on their journey to finding rewarding employment. ”

The recruitment firm has funded 120 learners across a wide variety of sectors including accountancy, business, construction, digital, finance and public service.

The apprenticeship levy is charged by HM Revenue and Customers and held centrally by government. Businesses across the country can apply for funding to pay up to 95 per cent of the costs of training their apprentices.

Unspent levy contributions are 'sunset ' and retained by government after a two-year period.

Under the WMCA 's deal, regional organisations can transfer their unspent levy to the combined authority 's fund - keeping the money within the region and avoiding the risk of it being sunset.

Businesses wishing to register their interest in the West Midlands Apprentice Levy Fund can sign up for more information.

Find out how the WMCA is helping young people gain access to work and training opportunities.