Monday 15 January 2018

Businesses still in the dark over apprenticeships study finds

More than a third of London businesses say that their company is not aware of the new apprenticeship funding arrangements according to a new survey of more than 500 businesses.

The poll commissioned by the London Chamber of Commerce and Industry (LCCI) found only 9% of London business decision makers say their business has increased the use of apprentices as a result of the apprenticeship funding changes.

In addition just 9% of London businesses say they have employed existing employees as apprentices following the changes to the apprenticeship funding arrangements.

But 57% of London businesses don’t think their business would benefit from increasing the number of apprentices it employs, compared to 14% that think they would benefit.

Chief Executive of LCCI, Colin Stanbridge, said: “Worryingly what is most clear, is that there is a lack of understanding and indeed perceived clarity over the levy and how it can benefit businesses.

“At a time when many companies and industries in the capital facing skills shortages apprenticeships can be a vital tool, but such schemes will only work with increased business understanding and involvement.”

The apprenticeship levy was introduced in April 2017 for employers with a wage bill of over £3 million per annum, in order for them to invest in apprenticeship programmes.

ENDS

Media contact
Katharine Barney
T: +44 (0)20 7203 1897
M: +44 (0)7827 241528
E: kbarney@londonchamber.co.uk

NOTES TO EDITOR:
1. London Chamber of Commerce and Industry (LCCI) is the capital's largest and most representative business organisation, with members ranging in size from multi-national companies to SMEs and sole traders.
2. Colin Stanbridge, Chief Executive, is available for further comment and interview.
3. ComRes online survey for LCCI of 577 London businesses, weighted to be representative of all London businesses by company size and broad industry sector, between 2 and 27 November 2017. Full data tables are available at www.comresglobal.com