Non-levy income for training set to rise significantly

Non-levy income to support training is expected to increase by just over a third from £153m to £208m in the period 2008-12, according to CITB-ConstructionSkills.

The figure is revealed as the training board launches its latest industry consultation process on the statutory levy proposals.

For the first time the proposals will cover a three-year period of levy payable in 2009, 2010 and 2011. Firms are being asked to support a levy, which will remain fixed at 0.5% of PAYE and 1.5% of labour-only subcontracting payments for all three years.

The training board has now revised its earlier forecasts of a swing back to direct employment over the next two years. It had anticipated a swing of 5% this year and 10% in 2009, but the forecasts have been downgraded to 3% and 5% respectively.

The latest consultation document proposes a single small firms exclusion level over the three years.