Apprenticeship Levy Scheme hits £50m - supporting over 4,800 apprentices into training

A scheme set up by the West Midlands Combined Authority (WMCA) to help cover the costs of apprenticeship training for small and medium-sized enterprises (SMEs) has now funded more than 4,800 apprentices.

Nearly 2,000 SMEs have benefited from more than £50.5 million of pledged donations from larger, levy paying companies, through the Apprenticeship Levy Transfer Fund.

Through the scheme some of the UK's biggest businesses to cover 100 per cent of the training cost of apprentices for SMEs by donating their unspent apprenticeship levy, which is charged annually by Government, to the WMCA rather than having to give it back to HM Revenue and Customs.

Since May 2024, 12 large employers including HSBC, Amazon, Lloyds Banking Group and the BBC have donated nearly £3 million, supporting 176 SMEs and 411 apprentices.

West Midlands mayor, Richard Parker launched a pledge in June last year to create 20,000 work experience, training and apprenticeship places for the region as part of his Jobs for Everyone Priority and is encouraging even more SME employers to recruit apprentices so that they can benefit from the scheme.

The mayor, said: “This scheme is giving people the training they need to get good jobs and helping small businesses grow their workforce. Thanks to £50.5 million pledged by businesses in the region, more than 4,800 apprentices have been supported, and nearly 2,000 SMEs have been able to take on apprentices and upskill their employees.

“It is a great way for big businesses to step up and support smaller local firms by helping them take on apprentices they otherwise couldn’t afford. I encourage more to get involved.”

Apprenticeships provide a great way for SMEs to attract future talent as well as upskilling and reskilling their existing workforce.

Those SMEs accessing the scheme see their training costs reduced to zero, enabling them to reinvest that money to in recruiting additional apprentices or increasing apprenticeship pay to attract more candidates.

Ian Browne at Lloyds Banking Group said: “Working with the WMCA, we’ve been able to support nearly 600 apprentices since 2019 by sharing £5.5m of our levy funds.

“We’re proud to support funding in key industries and sectors in the West Midlands, where skilled workers are essential to the economy of the region and providing key services to its citizens.”

Businesses wishing to register their interest can sign up for more information at: Apprenticeship Levy Fund.

To find out more about the Mayor’s Youth Plan and pledge to create 20,000 work experience, training and apprenticeship places visit: Youth Employment Plan

People considering starting an apprenticeship can find out more on the website.

Pictured: Ayoola Akinola (left), an adult care apprentice with Jo Ainge, Regional Trainer at Restful Homes Group