“I’d rather see funding helping to kick-start careers or level up skills and opportunities. The levy was introduced to help address the significant skills issues in the UK labour market. It is has proved highly popular since its launch in February 2018. The apprenticeship levy makes UK employers with an annual payroll of more than £3 million pay 0.5% of the total on training. Cookies policy Richmond proposed that the levy should not be used for degree and masters level training. IfATE stated that senior leaders in an organisation are not bound by regulatory requirements to hold an MBA qualification. IfATE, working with a group of employers, Leadership and Management Trailblazer worked together to develop a revamped version of the occupational standard and end-point assessment (EPA) plan without the MBA and have a rather positive take on this development. The government needs to keep an eye on those types of apprenticeships to ensure they are offering the development planned.”. The think tank claims that employers have wasted £1.2bn on “fake apprenticeships”, spending public funds on everything from an “apprenticeship” for CEOs in how to be a “senior leader”, to creating one for people learning to play football.”. This standard is designed for senior leaders, directors, chief operating officers etc. Wellbeing As an approved provider of Apprenticeship Levy Services to the Skills Funding Agency, Loughborough University is proud to have developed a suite of postgraduate apprenticeship programmes at the School of Business and Economics for organisations who wish to develop their talented managers using the Apprenticeship Levy. The course—an MBA apprenticeship—is far removed from most apprenticeships, which tend to provide a path into a first job through in-work training. It is of the utmost importance for the integrity of the programme and the apprenticeships brand that each and every standard meets our highest possible expectations.”. Earlier this month the Institute for Apprenticeships & Technical Education launched a consultation on a revised version of the standard which scrapped all references to MBAs. In a letter to DfE’s Director of Professional & Technical Education for  Institute for Apprenticeships, Jennifer Coupland, Williamson states, “I am unconvinced that having an apprenticeship standard that includes an MBA paid for by the levy is in the spirit of our reformed apprenticeships or provides value for money. So, for example, on graduate schemes that are in effect being ’re-packaged’ as apprenticeships.”. level-seven senior leader occupational standard, questioned the use of the apprenticeship levy, Chartered Institute of Personnel and Development (CIPD). What is the apprenticeship levy? Bringing you the latest news, trending topics and continuing professional education advice about online learning institutions worldwide. He wants to stop firms using the apprenticeship levy to subsidise MBA (Master of Business Administration) courses for "highly paid" managers. Employment Law And with each start worth £18,000 from the apprenticeship levy pot, it is calculated that well over £100m has been spent on this standard. In response, IfATE worked with the Leadership and Management Trailblazer (a group of employers) to develop a revamped version of the occupational standard and end-point assessment (EPA) plan without the MBA. Organisational Development Compensation & Benefits There were 393,400 apprenticeship starts in 2018/19, up 5% on the year before but down significantly from the 564,800 starts prior to the levy’s introduction. As of May last year, 15 percent of apprenticeship levy spending had been on higher level programs, including master’s degrees. This is a flexible option, as it allows the MBA to be fitted around any career or personal obligations. Privacy policy Advertising specifications This report also comes following UK’s education secretary, Gavin Williamson’s ordered review of the level seven senior leader MBA apprenticeship standard. The first Executive MBA programme in England to use the Apprenticeship Levy has started today at Cranfield School of Management. RSS feeds The report also contained warnings that many employers will simply use the levy to re-badge existing learning and pass it off as apprenticeship training. At the time of the apprenticeship levy’s launch, the CIPD warned there was evidence that many employers would simply use it to re-badge existing learning and pass it off as apprenticeship training. Contact us The Institute for Apprenticeships, the agency created by the Department for Education to administer the levy, has ruled that no more than £18,000 can be spent on master’s level degree courses. 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