Only 200 apprenticeship levy transfers have been made since greater flexibilities were introduced for employers last April.

As of the beginning of February, there were 200 approvals for levy funds to be transferred to other companies, with a further 20 commitments pending approval. Of the 220 transferred commitments, just 130 led to apprenticeship starts.

In April 2018, it became possible for levy-paying organisations to transfer up to 10 per cent of the annual value of funds entering their apprenticeship service account to other organisations in the apprenticeship service. This will increase to 25 per cent from April 2019.

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In the statistical release, the Department for Education stated that it was too early to draw meaningful conclusions from the data, adding: “Employers are still responding to this new functionality, which we continue to develop.

“The ability for levy-paying organisations to transfer apprenticeship funds has only recently been introduced and initial restrictions were in place while we tested the service to ensure it worked for.”

More to follow