The ESFA has made several changes to the 2022/2023 apprenticeship funding rules, one area relating to how apprenticeships are priced and reported to the ESFA.
As a result, we are updating our Schedule 10 pricing document for each programme to reflect these changes. These will form part of the final training plan for the apprenticeship enrolment documentation.
Below is some more information about the apprenticeship funding rules and what is changing.
Apprenticeship Funding Rules – What’s changing:
- Initial Assessment
- Recognition of Prior Learning
- OTJ Calculation
- Frequency of learning activity
- Progress Reviews
- Further changes to the Digital Apprenticeship Service (DAS)
There is a prescriptive list explaining what needs to be discussed with the employer and apprentice during the initial assessment.
Previously we have needed evidence that a comprehensive initial assessment of the apprentices’ prior learning and experience had taken place.
Recognition of Prior Learning
This is a technical term for assessing the apprentice’s prior qualifications, work experience and previous training.
A new section of the funding rules has been created stipulating how they expect prior learning (RPL) to be assessed and how to alter our programme content, duration and price according to the assessed RPL.
There is now a calculation that we must use to reduce the cost of the apprenticeship in line with how much RPL the apprentice has.
From 1st August 2022 we no longer include any over-cap amounts on the Individual Learner Record (ILR) or Digital Apprenticeship Service (DAS).
We need to agree on the total price of each apprenticeship programme with each employer. If this is over the cap, this is charged commercially.
Any deductions (individual apprentice RPL) will be taken from the cap amount.
The ESFA want to make sure that reductions in price due to RPL are applied to the amount of funding that comes from the ESFA.
There are additional fees payable outside of the apprenticeship that is not covered within the apprenticeship funding such as professional body registration, membership and ongoing subscriptions, exams fees, travel, and any additional attempts at the End Point Assessment (1st attempt at both elements is covered within the apprenticeship funding).
Out of funding/programme extension
When an extension to an apprenticeship programme is agreed upon, and the result is that the apprenticeship will exceed the original planned end date as documented on the original Schedule 10 Pricing & Study Planner, the applicable monthly support fee will be charged for each month of the agreed extension passed the original planned end date. This support fee is invoiced at the point the original planned end date is passed. The full amount for the agreed extension length is invoiced at this point.
Off The Job (OTJ) Calculation
A further update as part of the 2022/2023 ESFA funding rules is a change to the way Off the Job training is calculated, usually, we have seen this reduce the minimum requirement for each apprentice. A mandatory requirement of any apprenticeship is to meet the planned off-the-job requirement. OTJ will be calculated differently for apprentices starting after the 1st of August 2022.
Instead of using their actual working hours, we will attribute 6 hours of OTJ for each week of the apprenticeship duration (minus statutory annual leave).
The total OTJ can still be delivered flexibly (we don’t need to deliver 6 hours per week).
For most learners this will result in a small reduction in the minimum OTJ requirement.
You can find further information about what contributes towards the 20% requirement here.
Frequency of learning activity
Learning activity must take place at least once every 4 weeks and this must be evident on our OTJ log.
The ESFA has confirmed that progress reviews must take place every 12 weeks throughout the whole apprenticeship.
NEW apprentice: All progress reviews are planned to be delivered remotely. After the apprentice’s introduction session, they will have an initial progress review normally 2 weeks after the introduction session, then 6 weeks and then every 10 to 12 weeks thereafter. Once all enrolment activity has been completed, the apprentices’ designated skills and development coach will make contact with the apprentice and the training manager to arrange the initial progress reviews.
Progression apprentice: All progress reviews were delivered remotely. For apprentices’ progressing onto a further apprenticeship, they will receive a progress review normally 2 weeks after the start of their apprenticeship (normally first course), then every 10 to 12 weeks thereafter. Once all enrolment activity has been completed, the apprentices’ designated skills and development coach will make contact with the apprentice and the training manager to arrange the initial progress reviews.
Digital Apprenticeship Service (DAS)
RPL Details Required
Every learner must have the following added to DAS in addition to the price and date details
- Does the apprentice have RPL? (yes/no)
- If yes, what reduction in £ has been made
- If yes, what reduction in duration has been made (in weeks)
Non-Levy DAS – exempt where needed
Reserving funding via the Digital Apprenticeship Service (DAS) is a mandatory requirement for any non-levy employers wishing to enrol an apprentice on an apprenticeship programme. This means that any employer who does not pay into the apprenticeship levy scheme must reserve funding for each apprentice in advance to ensure that the employer has the funds available to support the cost of training.
You can reserve funding by logging into your Digital Apprenticeship Service account. Then go to the ‘Your funding reservations’ in the Finances section on the dashboard.
For more information about the changes to the apprenticeship funding rules please contact email@example.com or speak to your local centre.
You can also find more information on the government website.