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BRC urges government flexibility to Apprenticeship Levy to create 8,000 new retail opportunities

Tom Bottomley
15 March 2022

The British Retail Consortium (BRC) has written to Secretary of State for Education, Nadhim Zahawi MP, calling on the government to use the upcoming Spring Statement to introduce flexibility to the Apprenticeship Levy which could create “upwards of 8,000 additional apprenticeship places.”

The BRC has outlined three main changes which would make a real difference, allowing more training to take place while reducing the huge amount of unused funds currently sitting in retailer Levy accounts.

The recommendations are:

  1. Allow high-quality short courses in functional skills - current Levy fund rules mean courses have to be a minimum of one year in duration. Short courses are crucial to improving productivity in retail.
  2. Allow Levy funds to cover associated training costs – these include transport, or backfilling roles to free up staff for off-site training.
  3. Allow a wider range of courses to be supported through Levy funds – allow funds to be used to support more young people through vital pre-employment and pre-apprenticeship programmes.

The BRC hopes to meet Zahawi to discuss the possible changes to the apprenticeship scheme, and as the letter states “we urge you and the Chancellor to take the opportunity this Spring Statement to follow through on the commitment to bring forward positive changes in the system.”

Helen Dickinson, Chief Executive of the BRC, commented: “Bringing about more flexibility in the Apprenticeship Levy would not cost the government or businesses a penny but could help bring about an estimated 8,000 new apprenticeship places across the retail industry. To deliver on government commitments to upskilling the UK workforce, we need the Apprenticeship Levy to work for both businesses and apprentices.”

The figure of over 8,000 apprenticeships comes from the Tesco report ‘Serving Communities A Little Better Every Day’.

The Government's Spring Statement for 2022 will be delivered by Chancellor Rishi Sunak on Wednesday 23 March.

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