The Times published an article today, ‘Trainees’ levy used to fund top executives‘ and as a result, we have a few calls this morning about this, so we thought it might be useful to explain.
What is the Apprenticeship Levy MBA Programme?
This standard is designed for senior leaders, directors, chief operating officers etc. The typical duration is 2 – 2.5 years and successful candidates will receive an MBA and be eligible to Fellowship of the Institute of Leadership & Management of Chartered Fellow of the Chartered Management Institute.
The skills and knowledge elements of this programme are:
- Innovation and change
- Enterprise and risk
- Leading and Developing People
- Developing Collaborative Relationships
Can the Apprenticeship Levy be used for MBA programmes?
In a nutshell – Yes. Any business that pays into the apprenticeship levy can use their funds to not only recruit and train new talent but also upskill existing members of staff. Any level of staff can benefit from upskilling. There are a few eligibility criteria for staff that need to be considered and essentially, they are:
- Be employed for at least 30 hours per week (there are additional rules for part-time staff)
- Have a contract of employment and be able to complete the apprenticeship within the time of their contract
- Not be enrolled on another funded programme
- Not personally contribute to the cost of their apprenticeship
- Spend at least 50% of their time working in England
- Have the right to work in the UK and be either a citizen of a country within the European Economic Area (EEA) or a nonEEA citizen with permission from the UK government to live in the UK, (not for educational purposes) and have been ordinarily resident in the UK for at least the previous three years before the start of learning
What happens if we do not pay the Apprenticeship Levy?
Well, there is good and bad news. The good news is that senior managers of organisations that do not pay the Apprenticeship Levy can also embark on this MBA programme. It just means finding a training provider that has available funding and are prepared to support this programme as part of their core delivery. The bad news is that non-levy businesses will need to contribute 10% to the cost of the programme.
Need to know more?
Please feel free to contact our advisors to discuss this further.