Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether the Growth and Skills Levy will be of the same value as the Apprenticeship Levy; and whether that levy will apply to companies paying over £3 million in wages.

The Government is reforming the Apprenticeship Levy into a Growth and Skills Levy. Alongside existing high-quality apprenticeship routes, this will enable employers in England to invest in a broader range of high-quality training, including foundation apprenticeships and short courses in priority sectors. Skills England, a new national skills organisation, will consult a wide range of partners to ensure that levy-funded training meets the needs of employers, providers, and learners, and delivers good value for money.

These reforms focus on expanding the types of training that employers in England can fund through the Levy. There are no plans to change the way employers pay the UK-wide Apprenticeship Levy. The levy will continue to be paid by all UK employers with an annual pay bill over £3 million, at a rate of 0.5 per cent.

All taxes are kept under review as part of the Government’s tax policy making process.