National Apprenticeship Week rightly celebrates the great apprenticeship success in the UK, but it also shines a spotlight on areas where we can improve as an industry.
Apprenticeship levy funding is underutilised in the UK , sitting at under 50%, meaning billions of pounds of funds have been returned to the treasury since the scheme first started! The Voluntary and Charity sector represents a sector where any budget needs to be maximised, but one that also fails to utilise the funding.
Since 2010, Community Matters has been dedicated to enhancing skills, unlocking potential, and building brighter futures. We specialise in workforce planning, program and project management, and skills training, including apprenticeships.
How can I make better use of funding?
Often the challenge for the sector is not being aware of what funding is out there and how it can be combined with other funding streams:
Apprenticeship Levy
Employers with payrolls exceeding £3 million annually contribute to the Apprenticeship Levy. These funds can be used to train apprentices. Importantly, unused levy funds expire after 24 months, underscoring the need to maximise this resource. Smaller employers only pay 5% toward training costs and organisations like Community Matters can organise levy transfer to offset any costs.
Sector-Specific Grants
Local authorities and third-sector organisations often benefit from grants tailored to workforce development. These can be applied to apprenticeship initiatives in fields such as public health, education, and community services.
Another challenge is that organisation misconstrue what apprenticeships actually are and exactly how the funding can be used.
Debunking Apprenticeship Myths
Myth 1: Apprenticeships are only for junior hires
Reality: Apprenticeships span all career stages, from entry-level to senior leadership roles. Higher and degree-level apprenticeships offer advanced qualifications, equivalent to bachelor’s or master’s degrees, providing career progression opportunities for existing employees.
Myth 2: Apprenticeships are lower-level qualifications
Reality: Apprenticeships range from Level 2 (GCSE equivalent) to Level 7 (master’s degree). These programs combine academic learning with practical skills, making them highly relevant to both personal and organisational goals.
Myth 3: Apprenticeships take too long to deliver results
Reality: While apprenticeships typically last 12 months or more, apprentices apply new skills from the outset. Many providers tailor programs to address immediate organisational needs, ensuring timely impact.
Myth 4: Training disrupts operations
Reality: Apprenticeships are designed with flexibility, including online learning, on-site sessions, and modular formats.
Myth 5: Recruiting apprentices is costly and time-consuming
Reality: Training providers and local hubs offer recruitment support, simplifying the process. Additionally, funding options like the Apprenticeship Levy or co-investment schemes reduce financial burdens.
Myth 6: Small organisations can’t afford the 5% training contribution
Reality: Levy-paying organisations often transfer unspent funds to smaller employers. Community Matters, for example, facilitates levy transfers from its public sector partners to ensure cost-effective access to apprenticeships.
Finally, for smaller organisations in the charity and voluntary sectors it can sometimes be difficult to find a training provider to support them as they may have a low number of potential apprentices. Organisations like Community Matters provided dedicated support for this sector and can build cohorts across a number of smaller organisations that is tailored to their needs.
Want to discover how you could use apprenticeships more effectively?
Contact apprenticeships@communitymatters.co.uk
