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The Credit Services Association (CSA)
Member companies in Scotland – Apprenticeship Levy update
We have been asked by a number of our members for clarity around the operation of the Apprenticeship Levy in Scotland. CSA Head of Learning & Development Fiona Macaskill contacted our Financial Services Sector strategic lead at Skills Development Scotland to get the accurate picture.
Please see below for responses to questions asked by members.
We operate across both Scotland and England and the majority of our staff are in Scotland, will we still have to pay the levy?
Yes, the levy is a UK tax which is levied on your whole payroll at 0.5% on annual costs above £3m.
How do I know how much levy will be available in my digital account for staff based in England?
To be eligible to use funding for staff they must spend at least 50% of their time based in England. A calculation will be made by HMRC who will allocate funds into your digital account according to where staff are based.
How do I access the levy for staff based in Scotland?
The money raised by the levy is being transferred to the Scottish Government as part of a block grant and they will use it to pay for apprenticeships. Follow this link to the Scottish Government report on how they are responding to the apprenticeship levy. If you want to support apprenticeships in Scotland you will need to contact an approved apprenticeship training provider.
Will I need to make a financial contribution towards the cost of apprenticeships?
The funding model in Scotland is designed to ensure employers make a financial contribution to the costs of apprenticeships. Some of the funding levels, particularly for older apprentices is low. For a high quality apprenticeship you may expect to make a contribution. This will be in addition to any levy payment you are making.
I am planning to support the Credit and Collections and Compliance Apprenticeships for staff in England, can we have the same apprenticeships for staff in Scotland?
The Scottish apprenticeships are Modern Apprenticeships and are designed differently. CSA qualifications can be included in apprenticeships but you would have to contribute to the additional costs incurred. We do keep up to date with funding opportunities though and some of our members have been able to access funding through their local authorities to support access to CSA qualifications.
Learn more about apprenticeships and the Apprenticeship Levy within our dedicated section.