{"id":78193,"date":"2020-06-25T12:34:21","date_gmt":"2020-06-25T11:34:21","guid":{"rendered":"https:\/\/www.pbctoday.co.uk\/news\/?p=78193"},"modified":"2020-06-25T12:34:21","modified_gmt":"2020-06-25T11:34:21","slug":"citb-sets-out-plan","status":"publish","type":"post","link":"https:\/\/www.pbctoday.co.uk\/news\/hr-skills-news\/citb-sets-out-plan\/78193\/","title":{"rendered":"CITB cuts 2021-22 Levy bill by 50%"},"content":{"rendered":"

CITB<\/a> has announced its \u2018Skills Stability Plan 2020-21\u2019 to help employers recover from the impact of Covid-19, including a reduction in Levy bills<\/h2>\n

The Skills Stability plan aims to protect apprenticeships and provides direct funding to employers to adopt new ways of working needed in the wake of Covid-19<\/a>.<\/p>\n

Employers will continue to have a payment holiday on the CITB Levy<\/a> until September and then up to a full year to pay the 2020\/21 levy.<\/p>\n

The CITB will propose a 50% discount on the 2021\/22 Levy rate. This means employers will pay 18 months\u2019 Levy out of 24, making an overall saving of 25% across two years, providing help when it is most needed.<\/p>\n

Direct funding<\/h3>\n

An employer with an average annual levy bill of \u00a31,200 would normally pay \u00a32,400 over 2020-22. Instead, they will pay nothing from April to August this year and then take advantage of spreading the costs \u2013 \u00a3100 per month up to February 2022, paying \u00a31,800 overall.<\/p>\n

The plan has prioritised direct funding for employers through the Skills and Training Funds<\/a>, with \u00a38m earmarked for small and micro businesses, \u00a33.5m for medium-sized businesses, with a \u00a33m Leadership and Management Fund for large firms. This will help employers train to adapt to the new working environment and update the skills of their workforce.<\/p>\n

These changes will see CITB\u2019s forecast Levy income drop by \u00a3166m across two financial years. Despite this large drop in income, the\u00a0Skills Stability Plan\u00a0<\/em>will protect apprenticeships, direct funding to employers and the Grants Scheme<\/a>.<\/p>\n

CITB is also cutting costs and using its reserves to support employers\u2019 skills needs.<\/p>\n

CITB will work with other industry partners to support workers who have lost their jobs or seen their apprenticeship disrupted, matching them with a new employer, including through exploring a talent retention scheme.<\/p>\n

This will build on the support already provided to help apprentices complete their programmes through up-front grant payments to current year 2 and 3 apprentices, training materials being made available online and support from Apprenticeship Officers to allow learning to continue remotely.<\/p>\n

Meeting the sector’s needs<\/h3>\n

CITB chief executive Sarah Beale, said:\u00a0<\/strong>\u201cThis represents a radical plan of action that balances the need for a reduction in the Levy<\/a> at this time, alongside vital investment in the skills needed by employers now and in the future.<\/p>\n

\u201cIt is the result of hundreds of conversations with employers across the length and breadth of Britain and I\u2019m confident it meets the sector\u2019s immediate needs.<\/p>\n

“We are committed to making the Levy work hard to protect apprenticeships and support hard-pressed employers as they equip themselves for the challenges and opportunities ahead.<\/p>\n

\u201cWe have spoken to employers and federations and most have suggested that they want us to focus full-time on helping the industry meet the challenges posed by Covid. We have confirmed with the Department for Education<\/a> that we will not run the usual Consensus process and instead we will speak to employers and industry groups to seek their views on our plans for next year.<\/p>\n

\u201cWe will continue to be responsive and collaborative, working closely with the sector and\u00a0Government to return the industry to growth.<\/p>\n

“We will listen to industry and respond to its priorities and give every employer the confidence that we wish to understand and learn from their concerns and ambitions.\u201d<\/p>\n

\n<\/div>","protected":false},"excerpt":{"rendered":"

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