Apprenticeships Levy and support for BMF members
by Richard Ellithorne, BMF Membership Services Director
7 April 2017
The aim of the Apprenticeship Levy is to transfer the focus of training onto employers needs so as to improve the quantity of apprenticeships in England and enable employees across the workforce, from entry level 2 to post graduate level, to access tailored training to benefit the employer’s business. If not used within 24 months of payment your contributions to the levy will be lost. The Levy came into effect in April 2017. Please contact the BMF for more details on the levy and how it may affect your business on 02476 854980.
BMF Apprenticeships Plus Service
The BMF Apprenticeships Plus Service is recognised as a most effective and cost efficient way to train members of your workforce, management team and even directors. This initiative is a tried and tested way to recruit new staff, re-train or upskill existing staff and retain valued members of your team through tailored work-based training programmes.
BMF Apprenticeships lead to nationally recognised qualifications. Merchants can utilise the BMF Apprenticeship Scheme to access funding for at least 90% of the cost of the training in England, with further availability of funding in Scotland and Wales and Northern Ireland. The minimum duration of an entry level BMF Apprenticeship is 12 months, depending on the job role and the qualification.
Some of the favoured qualifications for merchants include: • Trade Supplier (written and tailored by BMF Members and others to mirror precisely the merchant role) • Customer Service • Team Leading • Warehousing and Storage • Business Administration • Management
Whilst the BMF Apprenticeship initiative provides funded and co-funded qualifications from entry level 2 through higher levels, foundation degrees, full degrees and even post graduate and masters levels the majority uptake is through the two entry level apprenticeship grades:
Intermediate Level
Apprenticeships
Apprentices work towards an entry level 2 qualification (equivalent to 5 GCSE’s at A-C) which involves tailored learning with BMF appointed experienced and industry competent training providers across every area of the UK.
Achievement in England is measured through final exam style assessments, again delivered by specialist BMF approved assessors. Achievement in Scotland, Wales and Northern Ireland follows more of a continuous assessment format. New entrants or existing employees will often commence or progress to higher level apprenticeships.
Advanced Level Apprenticeships
Apprentices may work towards a Level 3 qualification. The more commonly chosen advanced level funded and co-funded qualifications include wholesaling, management, IT, logistics, finance, sales and procurement, but here are many more to choose from by simply asking your BMF advisor.
Progression from an advanced level apprenticeship could include a funded qualification at Level 4 or the BMF Diploma in Merchanting.
As BMF Apprenticeships are work-based training programmes, most of the training is ‘on the job’. You must give your apprentices an induction into their role and provide on-the-job training. You are also responsible for paying your apprentices’ wages; for a minimum of 30 hours per week for the duration of the Apprenticeship; and providing training support.
The BMF Apprenticeships Plus programme is managed by the BMF through a consortium of the best providers in the UK and with particular expertise in the merchanting sector. All BMF provision is delivered by providers graded by OFSTED as good or outstanding. BMF Apprenticeships Plus will work with you, the employer, to:
• Help you decide which Apprenticeship is right for your business and your apprentice. • Explain the way that Apprenticeships work and source funding for a minimum of 90% of the cost. (please note that engagement of an apprentice at 16-18 years old (up to 24 years old in certain circumstances) will enable you to claim an employment grant of £1,000, which will greatly exceed the maximum 10% employer contribution. • Agree a training plan with you and your apprentice. • Help you recruit an apprentice or support your existing staff into Apprenticeships • Manage the training, evaluation and end point assessments. • Ensure that national quality standards are met and deliver integrated, coherent training.
BMF Apprenticeships Plus will ensure that builders’ merchants will benefit to the fullest extent from government funding targeted at apprentice training. The size of the contribution is a maximum of 10% of the course cost spread over the length of the course (typically £25 to £40 a month over a 12 to 15 month term).
Training is free to employers with less than 50 employees for apprentices aged 16-18 years old. Employment grants of £1,000 are claimed for all apprentices aged under 19 and for others with care or learning needs up to 24 years old.
At February 2017 the apprentice minimum wage for 16 to 18 year olds is £3.50 per hour and applies to working time and time spent training, albeit this rate increases annually. The rate increases incrementally with age. Employers are free to pay above the new wage and many do so due to regional employment pressures or simply in order to encourage the best possible candidate.
If an existing employee is on a higher wage when commencing their apprenticeship, the employer must continue to pay that for the remainder of the training or until the apprentice becomes eligible for the full national minimum wage.
Apprenticeships are subject to eligibility and funding rules, which are different for each country in the UK. In all cases, please contact by phone or email or email BMF Apprenticeships Plus for information.
27 February 2017