Your funding reservationsEmployerThis article sits within the Employer section
Smaller employers that do not pay the apprenticeship levy can reserve apprenticeship funding for training and assessment in their apprenticeship service account.
How it works
The funding will cover 95% of the cost of the apprenticeship (up to the funding band maximum), smaller employers will need to pay the remaining 5% directly to the training provider. The 95% funding is paid directly by the government to the training provider. This is also called ‘co-investment’.
There are some exemptions for co-investment in the apprenticeship funding rules.
What you can reserve
Employers that do not pay the apprenticeship levy can reserve funds for up to 10 apprenticeship starts.
From 1 April 2021, all non-levy employer reservation levels will be reset to 0, enabling each employer who does not pay the Apprenticeship Levy to make up to 10 new reservations to fund new starts in the financial year 2021-22.
Any reservations made before 1 April 2021 can be converted to starts within the reservations period. These will not count towards the number of reservations made in the financial year 2021-22.
To reserve funding, you will need to enter the apprenticeship start date and standard. We will fund up to the funding band maximum, but you must negotiate the cost of the training and assessment with the training provider.
If you agree a training cost that is above the funding band maximum, your organisation will have to fund the additional cost.
You can change the apprenticeship start date and standard when you add the apprentice’s details, without losing the reservation.