The Learning and Skills Council (LSC) made a commitment that learning for 16 - 18 year olds would be free. The LSC’s role has been taken over by the Skills Finding Agency (SFA) and the same commitment remains. However, there is an expectation that employers will contribute to the training of apprentices over the age of 19 and this is reflected in the funding allocated to college and private training providers. A fee is usually charged for apprentices within the 19 -24 age range and this may differ by institution. As a guide, employers are expected to pay up to 50% of the off-site training costs. Training opportunities for those over the age of 24 is usually addressed through Train to Gain although Adult Apprentices are now being piloted in a number of areas and these will be similar in structure to the existing apprenticeship programmes. In June 2010, the new Government announced an additional £150 million of funding for Adult Apprenticeships, which would be made available to small and medium-sized enterprises. This will be taken from the Train to Gain budget. In order to increase the number of Apprenticeship places, the last Government looked at financial assistance to those employers who ‘over-recruit’; i.e. those who take on more apprentices than their businesses can justify. No details have yet been released.
You will not be able to claim any further costs related to on-the-job training although in some industries, e.g. Construction, there is the potential for employers to access training grants through the CITB.
Because Apprentices have employed status, you will need to pay them a wage, which very much depends on the 'going rate' for your trade although, since 2005 a minimum wage has been introduced, which was increased to £95 per week in 2009 and to a minimum of £2.50 an hour from 1 October 2010 for every hour worked or hour spent on off-the-job training at a college or at the training provider. You can get advice on an appropriate wage from the training provider, but typical rates range from £95 per week in hairdressing to >£120 per week in electrical installation.
If you do decide to send your Apprentice to gain higher-level skills, you will not normally be able to recover the cost of this training, although sometimes fees may be waived to launch a new course. However, those who study on a part-time basis are eligible for grants, if they earn less than £28,066 (for 2010/11 entry), to help cover the cost of fees and course-related materials. For more information on the grants, click here.
If they start their higher education course in the 2011/12 academic year, the grants for part-time higher education will no longer be available and will be replaced, instead, by loans to cover the fees. Regrettably, the fees will also be increased to a maximum of £9,000 for a full-time course.
