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A Briefing Document on the ESFA Apprenticeship Non-Levy ITT

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Current Non-Levy ITT Maximum Contracting Values - some information for all interested parties

Only open to organisations that are Main Providers as approved at the PQQ stage for the Provision of Non-Levy Apprenticeships

ITT Submission by the 4th September 2017

Awards and contracting to be in place by December 2017
Delivery running from January 18 for 15 months with possible extensions

Please ensure you read the ITT specification and fully understand the requirements and utilise the ESFA QA’s within Bravo as this is our interpretation only and we have only created this to be helpful!

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A Briefing Document on the ESFA Apprenticeship Non-Levy ITT

  1. 1. A briefing document on the ESFA Non-Levy ITT Maximum Contracting Values Eddie Cottis and Safaraz Ali
  2. 2. • Only open to organisations that are Main Providers as approved at the PQQ stage for the Provision of Non-Levy Apprenticeships • ITT Submission by the 4th September 2017 • Awards and contracting to be in place by December 2017 • Delivery running from January 18 for 15 months with possible extensions • Table below based on funding cap as per ITT with examples and simplification
  3. 3. NEW PROVIDER TO APPRENTICESHIPS Tender Cap • Turnover 2015-2016 financial year multiplied by 1.25 or £750,000; whichever is lower Example • Cap Based on Company Turnover • New apprenticeship provider to apprenticeships market with Turnover £500K turnover x 1.25 = • £625K Maximum Contract Allocation based on Max financial year turnover • New apprenticeship provider with a turnover of £2Million = • £750K Maximum Contract Allocation based on Max lower limit
  4. 4. SUBCONTRACTOR Tender Cap • Turnover 2015-2016 financial year multiplied by 1.25 or £750,000; whichever is lower, Example • Cap Based on Company Turnover • Existing Subcontractor with a turnover of £180K x 1.25 = £225K Maximum Contract Allocation based on Max financial year turnover • With a turnover of £2Million = £750K Maximum Contract Allocation based on Max lower limit
  5. 5. EXISTING APPRENTICESHIP PROVIDER WITH NON-LEVY HISTORICAL DELIVERY AT OR BELOW £1.5M FOR 2015-2016 Tender Cap • Turnover 2015-2016 financial year multiplied by 1.25 or £1.5m; whichever is lower Example • Cap Based on Company Turnover • Existing provider that delivers below £1.5m worth of apprenticeships to Non-Levy employers (a notice was issued by the ESFA in May outlining these figures) • Exiting Contract with a turnover of £1,400,000 = £1,400,000 x 1.25 =£1,750,000 however the maximum is restricted to £1,500,000 for the Contract Allocation
  6. 6. EXISTING APPRENTICESHIP PROVIDER WITH NON-LEVY HISTORICAL DELIVERY ABOVE £1.5M FOR 2015-2016 Tender Cap • 110% of non-levy historical delivery for 2015/2016 funding year (1st August 2015 – 31st July 2016), multiplied by 1.25 Example • Cap Based on historical Non Levy Turnover • Exiting Contract delivering £1,510,000 of apprenticeships to Non-Levy employers £ 1,510,000 x 110% = £1,661,000 £1,661,000 x 1.25 = £2,076,250 for the Contract Allocation based on existing delivery • Exiting Contract delivering £2,000,000 of apprenticeships to Non-Levy employers £2,000,000 of, x 110% = £2,200,000 £ 2,200,000 of x 1.25 = £2,750,000 for the Contract Allocation based on existing delivery Please ensure you read the ITT specification and fully understand the requirements and utilise the ESFA QA’s within Bravo as this is our interpretation only and we have only created this to be helpful!
  7. 7. KEEP IN TOUCH: https://uk.linkedin.com/in/safaraz https://www.linkedin.com/in/eddiecottis/ https://www.facebook.com/pathwaygroup/ @pathwaygroup @SafarazAli @eddie_pathway Safaraz Ali (Saf) Safaraz@pathwaygroup.co.uk Eddie Cottis (Eddie) Eddie.cottis@pathwaygroup.co.uk Alternatively phone: 0121 707 0550 https://www.linkedin.com/company/pathwaygroup

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