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Apprenticeship Levy — [Dr Rupa Huq in the Chair]

22 November 2023

Lead MP

Jonathan Gullis

Responding Minister

Robert Halfon

Tags

EconomyEmploymentBrexitBusiness & Trade
Word Count: 13468
Other Contributors: 6

At a Glance

Jonathan Gullis raised concerns about apprenticeship levy — [dr rupa huq in the chair] in Westminster Hall. A government minister responded.

Key Requests to Government:

I urge the Government to reform the apprenticeship levy to make it more accessible for SMEs and to increase the flexibility of the levy to support shorter courses that meet specific labour market demands. This includes raising the current transfer from 25% to 35%, supporting off-the-job training with £2,500 per apprentice under 25 years old, and exploring ways to use unspent levy funding to back SMEs.

How the Debate Unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said:

Lead Contributor

Opened the debate
I am concerned about the decline in apprenticeship starts since the introduction of the apprenticeship levy in 2017. The number of new apprenticeship starts has fallen from half a million in 2016-17 to just over a quarter of a million in 2022-23, with significant reductions for different age groups: 41% for 16 to 18-year-olds, 31% for 19 to 24-year-olds, and 26% for those aged over 25. Additionally, small and medium-sized enterprises (SMEs) find it difficult to access the levy funding due to bureaucratic processes.

Government Response

Robert Halfon
Government Response
Responded to points raised by Members, highlighted the increase in apprenticeship starts from 2021 to 2022, emphasised the focus on quality rather than quantity, discussed career starter apprenticeships and bootcamps. He mentioned spending £98% of the apprenticeship budget given by Treasury, giving hundreds of millions under Barnett consequentials, introduced not only nursing but also doctor apprenticeships, spent over £3 billion on apprenticeships by 2025, gave £1,000 to every provider and business employing an apprentice, and reduced regulation for small businesses when starting to employ apprentices.
Assessment & feedback
Summary accuracy

About Westminster Hall Debates

Westminster Hall debates are a chance for MPs to raise important issues affecting their constituents and get a response from a government minister. Unlike Prime Minister's Questions, these debates are more in-depth and collaborative. The MP who secured the debate speaks first, other MPs can contribute, and a minister responds with the government's position.