A group of industry bodies has called for the introduction of the Government’s apprenticeship levy to be postponed across the UK.
Following a meeting led by oil-and-gas industry skills organisation OPITO at Holyrood on 14 September, senior leaders in OPITO, Aberdeen & Grampian Chamber of Commerce and Oil & Gas UK warned that “without more clarity and the resolution of out-standing issues,” the levy should be delayed across the country until 2018.
From April next year, all employers in the UK with an annual wage bill of more than £3 million will have to contribute 0.5% of these wages as a commitment to increasing apprenticeships. The Government estimates that the levy will raise £3 billion annually over the first five years following its introduction.
John McDonald, UK managing director of OPITO, said that with less than 2% of companies across the UK falling into the scope of the levy, the size and complexity of companies in oil and gas means the industry is likely to be disproportionately affected by its introduction.
“The oil and gas industry needs a clear understanding of how the Government intends to implement the policy, and the levy itself needs to be aligned and consistent across the four nations,” he said. “Without that in place, the policy needs to be delayed.”