Over 900 construction firms will be affected as charge is rolled out from today

Industy leaders have raised concerns about the government鈥檚 all-sector apprenticeship levy, as the charge comes into force.

Over 900 construction firms are to be charged the levy, which is due to be rolled out from today and which will help fund the government鈥檚 target of creating 3 million apprenticeships by 2020.

But industry figures warned questions remained unanswered about the policy, after an influential committee of MPs warned ministers of the danger of pursuing 鈥渜uantity over quality鈥.

The Civil Engineering Contractors Association (CECA) argued the 3 million target would be 鈥渆xtremely challenging鈥 and called for ministers to 鈥渃onsult with the construction industry as a matter of urgency, to ensure that the levy is implemented in such a way that allows our sector to invest in skills through different qualifications and training methods applicable to their specific needs鈥.

CECA鈥檚 director of external affairs Marie-Claude Hemming said the body was 鈥済enerally supportive鈥 of the government鈥檚 training agenda, but warned it was 鈥渟eriously concerned about the potentially negative impact the levy would have on the quality of apprenticeships, existing apprenticeship programmes, and wider skills development鈥.

Meanwhile, Chris Jones, director of learning and development at contractor Bam, said that while he approved of the apprenticeship drive, he was concerned it may not fit all employers: 鈥淭he amount of work available to justify taking on an apprentice might be an issue for some firms, while smaller companies might underestimate what鈥檚 involved.鈥

But he welcomed 鈥渁 focus on bringing more young people, more home-grown talent in the wake of Brexit into the sector and making what will be an employer-led project more relevant to the industry鈥.

The apprenticeship levy roll-out comes as construction employers prepare to vote on the future of the sector鈥檚 own levy-funded training body, the CITB, later this year.

The CITB unveiled plans to cut its levy by almost a third at the start of the year, as part of plans to win round large firms angered by the prospect of having to 鈥渄ouble-pay鈥.

Last Friday the Commons鈥 education, skills and economy subcommittee welcomed the government鈥檚 efforts to improve the 鈥減restige of apprenticeships鈥, but said ministers 鈥渕ust ensure apprenticeships are not seen to be the solution to every skills problem鈥.

The public sector should employ more apprentices, its report added, 鈥渂ut a blanket target risks incentivising quantity over quality and the rebadging of existing training programmes鈥. MPs recommended the government 鈥渒eep the public sector target under review and enable increased participation in areas of the public sector with clear skills shortages鈥.