“The NFDA supports recent calls by businesses to the government to delay the apprenticeship levy”, said Sue Robinson, Director of the National Franchised Dealers Association which represents commercial vehicle and franchised car retailers across the UK.
The new apprenticeship levy due to start in April 2017 will be applied to employers with a wage-bill of over £3million who will contribute with a tax of 0.5% of their wage-bill.
Robinson continued, “Following the decision to leave the EU and considering the short term economic uncertainty that the country is likely to face, many businesses are now in the process of adapting to the current situation.
“Although apprenticeships will positively benefit employers addressing skills shortages through targeted training, with the new levy coming into force in April 2017, businesses might struggle with this additional cost.
“The NFDA urges the government to delay the levy by at least one year to allow businesses to cope with changes and avoid unintended consequences such as job losses and pay cuts.”
ENDS
NOTES TO EDITORS:
Rupal Rawal, RMI Press Officer Tel: 020 7307 3412 Mob: 07528 977 157 Press Office direct line: 020 7307 3422 Press Office fax: 020 7307 3406 Web: www.rmif.co.uk Email: rupal.rawal@rmif.co.uk
The Retail Motor Industry represents the interests of operators in England, Wales, Northern Ireland and the Isle of Man providing sales and services to motorists and businesses. The RMI has a formal association with the independent Scottish Motor Trade Association which represents the retail motor industry in Scotland.
