Labour would reform the apprenticeship levy so that it can be spent on other types of training if the party comes into power.
The party plans to turn the policy into a “growth and skills levy” if it wins the next election. It would allow organisations could use up to half of their contributions to fund non-apprenticeship training, such as modular courses.
Full details of the policy are set to be published in a report produced by Labour’s Council for Skills Advisers – led by former education secretary Lord Blunkett – in the coming weeks.
The apprenticeship levy is paid by academies and trusts with a payroll bill of £3 million or more, and by councils on behalf of local authority-maintained schools. Schools can then draw down funds from the levy to pay for apprentice training.