Correspondence

Business Update - Issue 68 (June 2021)

Updated 1 November 2021

This correspondence was withdrawn on 21 September 2023

This page has been withdrawn as it is out of date.

You can read more about apprenticeships on GOV.UK.

You can find the latest from ESFA in our weekly newsletter, ESFA Update.

Applies to England

In this edition of Business Update, our round-up of business-critical news and information from the Education and Skills Funding Agency (ESFA):

Please share Business Update with your colleagues who might like to register for web alerts. This will notify them by email when we add new editions of Business Update to GOV.UK.

For more information about apprenticeships, you can visit apprenticeships.gov.uk or call 08000 150 600.

1. Apply now: incentive payment for hiring a new apprentice

Employers will receive £3,000 for new apprentices of any age who join their organisation from 1 April 2021 to 30 September 2021.

You can apply for incentive payments for these apprentices from 1 June 2021 to 30 November 2021.

1.1 Eligibility

Employers with apprentices who have an employment start date between 1 April 2021 and 30 September 2021 and who also have a practical period (training) start date between 1 April 2021 and 30 November 2021 are eligible for an incentive payment.

1.2 How to apply

You can apply for the incentive payment through the ‘Finances’ section in your apprenticeship service account, under ‘Your hire a new apprentice payments’.

1.3 Reminder: steps to take before you apply

There are 6 steps you need to have completed before you apply for an incentive payment for hiring a new apprentice:

1. You need to have registered an account on the apprenticeship service
2. If you do not pay the apprenticeship levy, you need to have reserved funds in your apprenticeship service account
3. You need to have recruited an apprentice
4. You need to have added your apprentice to your apprenticeship service account
5. You need to have agreed a start date for apprenticeship training to begin with your training provider
6. You need to have accepted the latest version of the ESFA employer agreement

If you require support with any of these steps, please watch our how-to videos or visit our help portal where you can access help articles, webchat with an adviser, call or text our helpline, or email our helpdesk.

2. New publication: The road to a quality apprenticeship

A new guide called the road to a quality apprenticeship has been published. It aims to help employers understand the steps involved in delivering high quality, successful apprenticeships in their businesses.

The guide provides links to information and tools at different stages of an apprenticeship journey that employers can use to help them ensure a quality experience for their apprentices aiding retention, achievement and therefore the returns that apprentices deliver.

The guide is a practical guide to aid employers of any size. It can also be used by providers to help them understand the role employers play in the apprenticeship journey.

The road to a quality apprenticeship will be followed by similar guides for end-point assessment organisations and apprentices. Together with the provider guide to delivering high quality apprenticeships, they demonstrate the collaborative approach involved in delivering apprenticeships

Please share The road to a quality apprenticeship with your colleagues and contacts.

3. £1000 cash boost for employers to support T Level industry placements

Employers will be able to claim £1000 for every T Level student they host on a high-quality industry placement, as part of a new incentive scheme.

The T Level employer incentive fund, launched in recognition of the impact the pandemic has had on many businesses, is designed to help cover financial constraints employers may face as a barrier to hosting placements in the short term.

Employers will be able to claim £1000 for each T Level student they host on a 45-day (315 hour) industry placement, and offers businesses an excellent opportunity tap into the emerging talent pipeline, whilst supporting the skilled workforce of the future.

Uniquely combining classroom study with industry placements, T Levels generate the skilled workforce that businesses need for the future. Students undertaking a T Level course gain the skills and experience they need to progress into work, further study or an apprenticeship.  

Employers will be able to claim for up to 20 students, starting their T Level placements from now until July 2022 and those interested in accessing the incentive payments and offering T Level industry placements should contact: 08000 150 600 (choose option 4) or fill out an industry placement contact form online: Next steps T Levels.

Also announced, a procurement exercise, of up to £350,000, for an Employer Support Package, will taking place in the summer, for an organisation to offer employers T Levels support. Such support will include delivering webinars, and support sessions across England.

4. New T Levels employer guide

A window for applications to the Institute’s new employer directory is due to open in June.

The Institute set up the directory of professional and employer-led organisations for Ofqual and the Office for Students (OfS) to draw on industry expertise as external quality assurance (EQA) responsibilities are transferred over to them.

Thousands of incredible employers already play a critical role in designing apprenticeships and end point assessment plans to meet the skills needs of their sectors, with support from the Institute.

Now, the Institute is looking for professional and employer led bodies to sit on our new employer directory. This directory will ensure industry voice remains at the centre of the EQA process for apprenticeship end point assessment, so that apprentices are best prepared for the real-life world of work.

You can see details about the employer directory, as well as how to apply, on the Institute’s website. No deadline for applications has been set yet.

5. Levy Transfers Update

For levy-paying employers, your 2021/22 transfer allowance will now be showing in your Apprenticeship Service account.

Levy payers are able to transfer up to 25% of their levy funds to other employers of their choice. A transfer can help support other employers within your sector, location or supply chain to take on an apprentice.

For more information on transfers please refer to the Transfer Pages on GOV.UK

In August, we will be launching a new online matching service (on GOV.UK) where levy employers can advertise their intent to transfer to other employers. This will give organisations further opportunity to reduce skills gaps within their sector/location by enabling them to easily identify other employers who wish to take on apprentices with transferred funds.

Other employers will be able to access the new service, this will enable them to see available transfer opportunities. Employers can then apply for a transfer from within their apprenticeship service account.

We will be share further information on the new matching service soon.

6. Support

The Business Support Helpline number in England is:

Freephone :0800 998 1098

The helpline provides free, impartial business support and signposting services to businesses in England – which currently includes business advice on COVID-19.

You can also find free support, advice and sources of finance through your local growth hub or speak to an advisor on webchat about support for your business.

DfE coronavirus helpline: 0800 046 8687