The Industrial Training Levy (Engineering Construction Industry Training Board) Order 2020

EXPLANATORY NOTE

(This note is not part of the Order)

This Order gives effect to levy proposals of the Engineering Construction Industry Training Board (“the Board”) which were submitted to the Secretary of State under section 11 of the Industrial Training Act 1982 (c. 10) (“the Act”).

The levy proposals were for the imposition of a levy on employers engaged wholly or mainly in the engineering construction industry (as defined in article 2(1)) for the purpose of raising money towards meeting the Board’s expenses.

The levy is to be imposed in respect of three levy periods, one in each of 2020, 2021 and 2022 (article 3).

The amount of levy to be assessed for each leviable establishment is calculated in accordance with article 7. This calculation is carried out with reference to the relevant base period (article 4). The total amount of levy payable by an employer is the aggregate amount of levy for all the employer’s leviable establishments (article 8). An employer assessed to levy will receive a written assessment notice from the Board setting out the amount of levy payable by that employer (article 10). Payment of the levy must usually be made within one month of service of the assessment notice by the Board (article 14). An assessment notice may be withdrawn by the Board and the Board may also serve an amended assessment notice (articles 11 and 12).

Article 9 makes provision for employers employing a small number of employees to be exempt from the levy.

An employer assessed to levy may appeal against that assessment. An appeal must normally be made within one month of the date of service of the relevant assessment notice by the Board (article 15).

A summary of the impact this instrument will have on business has been outlined in the Explanatory Memorandum that accompanies this instrument, which is accessible on www.legislation.gov.uk.