Government set to rethink training levy

The government has signalled that it is ready to rethink the way industry support for the statutory construction training levy is measured. It is also set to drop the requirement that the levy be subject to annual rubber stamping by Parliament. Future levies may now be granted on a three-year basis.

Changes to the levy system are enabled by the Further Education and Training Bill, published at the end of November.

The legal status of the levy has been in jeopardy in recent years. This is because current legislation requires industry to show that it is supported by more than 50% of those liable to pay. And that support has been measured through certain employer federations, whose membership has been on the decline.

Peter Lobban, chief executive of the CITB, said the board was pleased that the government had recognised in the Bill a need for a fresh look at how industry support for the levy is demonstrated.