Creative Industries: Apprenticeship Levy

Viscount Colville of Culross Excerpts

Tuesday 4th June 2019 Lords Chamber

[Viscount Younger of Leckie]

I completely disagree with the noble Lord—we are engaged with the creative industries to understand their needs. We hear directly from the sector that it is more of a challenge because, as the noble Lord will know, it is taking on apprentices from a standing start. As I said, many people are employed freelance, so there are greater challenges. But one thing that came out of our discussions with the sector is to ask apprenticeship training agencies to employ trainees. That is quite innovative. We are taking that forward and of course, it has to be monitored by the Institute for Apprenticeships.

[Viscount Colville of Culross (CB)]

My Lords, as the noble Lord, Lord Foster, said, 50% of the apprenticeship levy money is not actually spent, but the position cannot be clarified because there is no transparency in the way that the industry’s sectors are broken down. Can the Minister tell us how the levies are spent and break that down by employment sector?

[Viscount Younger of Leckie]

Yes, I can. I will need to write to the noble Viscount to give him the detail on the last part of his question, but the indications are that the change from 10% to 25% has led to some movement. Employers are realising that there is greater flexibility in the system and they are indeed beginning to consider passing funds on, particularly to their supply chains. It makes sense to benefit their sector in terms of taking on more apprentices.