Since April 2018, employers based in England who pay the apprenticeship levy are able to pay for apprenticeship training and assessments by transferring their apprenticeship service funds to other organisations.
Apprenticeships are a devolved policy, so this change only applies to employers located in England. Each of the nations in the UK has its own rules for managing the apprenticeship programme, including how it funds apprenticeship training. Employers who are based in Wales, Northern Ireland or Scotland should contact their own apprenticeship authority.
In the first phase of this new policy, employers are able to transfer up to 10% of their yearly funds to one other employer. Over time and after receiving feedback from the first phase, the number of employers that they will be able to transfer funds to will increase.
Any employer in England who has unused funds in their apprenticeship accounts can transfer them to another company, such as an employer in their supply chain. They will also be able to transfer funds to companies that they find through regional partners, employers within their industry, or an Apprenticeship Training Agency (ATA). Funds will pay out monthly to the receiving organisation.
From the end of April 2018, employers based in England are able to view their transfer allowance. From May 2018, they can make a transfer to one other organisation. At the same time, the receiving organisation can begin adding their apprentice commitments. The first transfer payments will start in June 2018.