Question
To ask His Majesty's Government what the total receipts from the Apprenticeship Levy were, what was the total expenditure on apprenticeship training, in each of the last five financial years; and what plans they have to increase the proportion of Apprenti
Answer
The UK wide Apprenticeship Levy, which is paid at a rate of 0.5% by employers with an annual pay bill of over £3 million, is not legally hypothecated and, as such, revenues from the levy are paid into the Consolidated Fund and not directly allocated to apprenticeships. HM Treasury separately sets the apprenticeship budget at each Spending Review. When setting the budget, the Government considers its wider investment in skills, ensuring businesses can benefit from a highly skilled workforce. We are investing over £18 billion a year in skills and post-16 education, including record investment in apprenticeships. While the Apprenticeship Levy is UK wide, apprenticeship policy and spending is devolved. This means that the devolved governments receive funding through the Barnett formula in relation to English apprenticeship spending as part of their block grant. It is for the devolved governments to allocate their funding in devolved areas as they see fit, including investing in their skills programmes. The Government is transforming the Apprenticeship Levy into a more flexible Growth and Skills Levy, investing a further £1 billion across the Spending Review period to support more apprenticeships for young people and greater flexibility for employers. On 28 September, the Chancellor announced £100m of investment over two years to expand local apprenticeship services, so that all current mayors are able to deliver tailored local support that helps young people access apprenticeships and supports employers to create apprenticeship opportunities. Monthly and Annual receipts data for the Apprenticeship Levy in the United Kingdom are published by HM Revenue and Customs in their Tax Receipts and National Insurance Contribution publication. [1] The total receipts from the Apprenticeship Levy over the last 5 years are as follows: Financial Year 21-22 22-23 23-24 24-25 25-26 Apprenticeship Levy receipts £3,213m £3,580m £3,841m £4,100m £4,391m The final budget position of the Growth and Skills Levy budget for the last 5 financial years in England is: Financial Year 21-22 22-23 23-24 24-25 25-26 Growth and Skills Levy Budget £2,466m £2,554m £2,585m £2,769m £3,114m [1] HMRC tax receipts and National Insurance contributions for the UK - GOV.UK (www.gov.uk)
Verdict: AMBER (55/100)
The reply fully answers the first part of the question, giving Apprenticeship Levy receipts for each of the last five financial years and pointing to the HMRC data for monthly and annual figures. The second part is only partly answered: the budget figures cover England and the Growth and Skills Levy rather than total apprenticeship training spending, and the reply does not say whether that is all the department holds. The third part is unclear and does not clearly address the proportion of levy receipts spent on apprenticeships, partly because the question as recorded appears incomplete. The person who asked would likely need to follow up for total spending figures and a direct answer on the proportion.
How we got there
| Question item | Coverage | Specificity | Rationale |
|---|---|---|---|
| What were the total receipts from the Apprenticeship Levy in each of the last five financial years? | Addressed | Direct | Statement 13 gives the Apprenticeship Levy receipts for each of the last five financial years (FY 21-22 to 25-26), directly answering the question, with statement 12 pointing to the HMRC publication for monthly and annual data. |
| What was the total expenditure on apprenticeship training in each of the last five financial years? | Partially Addressed | Direct | Statement 14 gives the final budget position for five years, but only for England and for the Growth and Skills Levy budget rather than total apprenticeship training expenditure, and the reply does not say this is all the department holds; statements 2 and 3 only explain how the budget is set. |
| What plans the Government has to increase the proportion of Apprenticeship [the source question is truncated here, so the remainder of this item is not visible]. | Partially Addressed | Direct | The question text is truncated, so the full item is uncertain, but the reply names concrete plans (the Growth and Skills Levy, an extra £1 billion, £100m for local apprenticeship services) without explicitly addressing any change in the proportion of levy receipts spent on apprenticeships, which statement 1 implicitly bears on since the levy is not hypothecated. |