Emma Reynolds MP: Rethink urged over apprenticeship levy

Official figures showed there were 194,100 apprenticeship starts in England for the first two quarters of the 2017/18 academic year, compared to 258,800 reported at this time in 2016/17, a drop of 25 per cent.

Ministers insist the levy is working, and point out that there has been an increase in higher level apprenticeships.

• Express & Star comment: Apprentice levy needs rethinking

But critics say the levy fails to encourage top level training and is stifling opportunities for young people.

Emma Reynolds, the Labour MP for Wolverhampton North East, said: "The apprenticeship levy sounds like a good idea in theory, but in practice the Government has mishandled its introduction.

"Local businesses are telling me that it is too complicated and overly bureaucratic, and young people are suffering as there are fewer apprenticeships available to them.

"We should be making it easier for them to start apprenticeships, not more difficult."

Neil Carberry, CBI managing director, said: "This worrying data should be the final wake-up call for the Government that the apprenticeship levy is not working as intended.

"Businesses all agree the levy could be a vital part of the skills system, but its current form does not encourage more investment in high-quality training.

"There is still time to get the Levy right, but this needs action now."

The CBI has called for businesses to be able to draw down up to 50 per cent of the levy pot, enabling them to join together to create centres of excellence for apprenticeship training and improve access for smaller firms.

Apprenticeships and skills minister Anne Milton, said: "Our reforms have fundamentally changed what apprenticeships are, and the long-term opportunities they can provide.

"The apprenticeship levy is an important part of these changes to raise the quality of apprenticeships in this country, creating long-term, sustainable investment in training and education."