This welcome change will enable employers to recruit additional apprentices with the certainty that the government will support their training. This will provide greater flexibility and reassurance for employers when planning their apprenticeship programmes.
From 1 April 2021, all non-levy employer reservation levels have been reset to 0, enabling each employer who does not pay the apprenticeship levy to make up to 10 new reservations to fund new starts in the financial year 2021-22. Any reservations made before 1 April 2021 can be converted to starts within the reservations period. These will not count towards the number of reservations made in the financial year 2021-22.
Gareth John, Chief Executive of accountancy training provider First Intuition Cambridge, comments on why employers should be taking advantage of the extended funding reservation period:
“The extension and increase of the apprenticeship incentives to £3,000 per learner recruited up until 30 September 2021 has been well publicised and will give employers the confidence to make job offers to their next intake of new apprentices.
"Another significant recent change is less well known. From 1 April the period in advance for which apprenticeship funding reservations can be made on the Apprenticeship Service has increased from three months to six months. This means that non-levy employers can already reserve funding for their planned starts through to September. They can therefore ensure they will be able to take full advantage of the Chancellor’s generous incentives.
"There are many current uncertainties facing government finances as we move into a second year of extensive fiscal support for the economy. I would strongly recommend that employers are proactive in reserving apprenticeship funding as soon as their recruitment plans for this Autumn are confirmed.”
Find more information on the non-levy employer reservation levels here, and how to reserve funding here.