Construction Industry Training Board/ Construction Skills levy-grant scheme

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Name of the instrument - Local language
Construction Industry Training Board/ Construction Skills levy-grant scheme
Name of the instrument - English translation
Construction Industry Training Board/ Construction Skills levy-grant scheme
Scheme ID
207
Country
United Kingdom
Reporting year
2020
Type of instrument
Training fund
Sub-type of instrument
Sectoral level collection and sectoral level distribution
Type of entry
Single instrument
Short description

Companies of the construction sector with a total wage bill of over GBP 80 000 (approx. EUR 95 031) must contribute 0.5% of their payroll and 1.5% of their sub-contractor payroll to a training fund. In return, training costs of employers (including those not liable to pay the training levy) are refunded. The grant is GBP 50 (approx. EUR 59) per person for each full day of training. Eligible education and training activities include apprenticeships, professional courses, technological management, short-duration training, vocational courses, and some e-learning/modular training programmes. Only CITB-registered firms can benefit from the fund.

Level of operation
Sectoral
Name of a part of the country
Not applicable
Name of the region (for regional instruments)
Not applicable
Name of the sector (for sectoral instruments)
Construction
Relevance
Key instrument
Industrial Training Act 1964 (giving the government the power to set up Industrial Training Boards (ITB)), Industrial Training Act 1982, as amended (setting out functions and powers of ITB) Order 2009, originating from Industrial Training Act 1982.
Objective(s) and target(s)
To guarantee that the industry invests enough in attracting and training new entrants and equips its existing workforce with the skills needed to ensure construction projects are completed safely, on time, to cost and to the highest standards.
Year of implementation
1964
Operation/management
Construction Industry Training Board (CITB) is responsible for collecting the levy and admistering the funding. The levy rates are submitted to Parliament for formal approval each year.
Eligible group(s)
Eligiblity for the range of different types of funds and grants supported through the levy are employers registered with CITB that have either paid a levy for the relevant year (November - November) or CITB-registered small employers that don't need to pay the levy.
Group(s) with preferential treatment
No
Education and training eligible
Any training is eligible for the levy, providing employers can demonstrate it relates to employees' current or future work in the industry. Eligible activities include: apprenticeships, professional courses, technological management, short duration training, vocational courses, some e-learning/modular training programmes.
Source of financing and collection mechanism
Levy on companies of the construction sector. Employers with a total wage bill of over GBP 80 000 must contribute a 0.5% of their payment and 1.5% of their sub-contractor payroll to the Construction Industry Training Board (CITB).
Financing formula and allocation mechanisms
The grant is GBP 50 (approx. EUR 59) per person for each full day of training and is paid in instalments throughout the year. This is available to a maximum number of days, based on the number of Pay as You Earn (PAYE) staff a company employs and labour-only sub-contractors.
Eligible costs
Fees only
Volumes of funding
2018-19: Collected: GBP 188 700 000 (approx. EUR 211 701 352 ). Disbursed: GBP 91 800 000 (approx. EUR 102 989 848) 2017-18: Collected: GBP 211 400 000 (approx. EUR 239 430 079). Disbursed: GBP 181 900 000 (approx. EUR 206 018 597) 2016-17: Collected: GBP 198 246 000 (approx. EUR 233 739 315). Disbursed: GBP 140 600 000 (approx. EUR 165 772 564)
Beneficiaries/take up
Individuals:2018-19: 63 866 2017-18: 79 685 2016-17: 70 030
Organisation responsible for monitoring/evaluation
Construction Industry Training Board
Most relevant webpage - in English
http://www.citb.co.uk/levy-grant/about-levy/
Most relevant webpage - local language
http://www.citb.co.uk/levy-grant/about-levy/
Recent changes

No recent amendment

Recent changes in response to COVID-19

The volume of funding collected has drastically fallen due to the collapse of activity in the construction sector over the course of the pandemic and lockdowns. This has severely reduced the volumes of funding both collected and distributed.

Sources
CITB
CITB
CITB
CITB
CITB
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