Autumn statement: £200m levy pot reduction forecast by Treasury

The amount of money the apprenticeship levy is expected to raise each year by 2019/20 has dropped by £200m since it was first announced, FE Week has reported.

The Treasury predicted in last year’s autumn statement that the levy would raise £3bn in the financial year 2019/20, but forecasts released by the government today (23/11/16) as part of this year’s autumn statement gave a projected figure of £2.8bn in 2019/20.

The Office for Budgetary Responsibility had already revised down the Treasury’s original figures by £100m in 19/20 as part of its economic and fiscal outlook in March this year and the levy is now not expected to raise £3bn a year until 2021/22 – a full two years later than originally predicted.

*Courtesy of FE Week 23/11/2016