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.
If you do not pay the apprenticeship levy, you contribute 5% of the training costs if you take someone who is over 19. However, if you take someone under 19 and you employ less than 50 people, the training is free and you receive an extra grant of £1000.
Find out more on the Government website here.