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No increase for construction levy rates

Construction employers are set to get more for their money in 2007 with CITB-ConstructionSkills Levy rates being held for the sixth year running.

The levy threshold will also go up, so now only employers whose wage bill is more than £76,000 will pay the levy – last year the threshold was £73,000.

CITB-ConstructionSkills collects an annual levy from all liable employers. Grants are then given to employers who train. As a general rule it is the smaller firms who train most new entrants. The larger companies can then benefit by hiring these skilled workers later in their career.

The levy rate remains at 0.5 per cent on direct employment and 1.5 per cent on labour-only sub-contractor payments.

All CITB-ConstructionSkills registered employers, even if their wage bill is below the threshold, are eligible to claim CITB-ConstructionSkills Grant for training – and this year there is a £140million available.

Last year saw £113million distributed in training grants to more than 20,000 firms, including almost £27m to registered employers who did not have to pay the levy.

The proposed Levy rates and threshold will be brought before Parliament as part of the Levy Order in early 2008. Information will then be mailed to all construction employers registered with CITB-ConstructionSkills.

For more information on ConstructionSkills visit www.cskills.org