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CITB unveils Levy proposal to fund new offer to industry


""CITB is to begin its consultation with industry on a new Levy offer which would see an across the board reduction in the Levy for all firms to fund a new more relevant offer for industry and a reformed grants scheme.

The proposal would see the PAYE Levy on the direct workforce cut from 0.5% to 0.35%. There would be no change in the net (CIS) Levy charged at 1.25% on the subcontract workforce.

The new levy offer has been developed with input from the industry and in agreement with the industry’s Levy Working Party. Subject to agreement from industry, the new Levy would come into effect from April 2018.

Some of the advantages of the levy proposal include:

  • All employers are treated equally, and equally benefit from a reduced CITB Levy
  • It is simple to implement and legislate, requiring only one change in the Levy rate across the board
  • It is based on an approach that employers already know and understand
  • A simple option helps to focus conversations with industry on how CITB can support it better and deliver value for money for the Levy.     

Sarah Beale, CEO at the Construction Industry Training Board (CITB), said: “We have been listening to our industry and are confident that this Levy offer is the best option.

"It will provide the funding required to deliver the support that industry needs, is simple to administer, and is straightforward for levy payers.

“Next month, we kick off the next stage of engaging with our industry. We will discuss with employers our proposals for how we support them better and consult on how we fund this through the Levy. We want to ensure that our offer is relevant, makes a real difference and delivers value for money.

“We want as many as employers as possible to share their views and we will shortly be sharing details on how to get involved in the consultation.”

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