Chris Bennett

TNPs - learner restarting and new price exceeds remaining funds

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We have a learner starting with us, they started the same apprenticeship standard in 2019 with a previous employer/training provider and subsequently withdrew.

Following IAG and assessment of RPL, our total training and assessment cost is within the maximum funding band but exceeds what is still available after accounting for funding drawn down by the previous provider. Employer is happy to fund the difference.

Given the updates to the 2022/23 funding rules (quoted below) I'm unsure if I should be recording our full programme cost on the ILR (as it is within the funding band maximum, even though we cannot actually draw this amount via the levy) or if we should just record the amount of the funding band maximum remaining on the ILR, and account for the difference 'off-line'.

e.g. (made up numbers for simplicity)

Band maximum - £5,000

Funding to previous provider - £1,000

Our price - £4,500 (£4,000 training plus £500 assessment)

Would you record TNP1 as £4,000 or £3,500 in this case?

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Chris Bennett

Just adding these bits (couldn't fit them in my original post!)

Provider Support Manual

The way total negotiated price (TNP 1) is calculated is changing from 1 August 2022, and will be calculated as follows:

Funding band max - RPL savings - any other employer discount (e.g. large cohort) 

Anything over and above the funding band is dealt with off-line between the provider and employer; the DFE does not need to know about this amount or have it recorded in the ILR or apprenticeship service. The provider also does not need to record that this money was collected from the employer.

Apprenticeship Funding Rules

P106 When you agree a price with the employer, your starting point must be no more than the maximum of the funding band for the standard.
P106.1 If the price you agree with the employer exceeds the maximum of the funding band, then you must agree off-line (outside of the ILR and apprenticeship service) how the employer will pay you any difference. We do not need to know about the amount of this difference. You may charge VAT on the difference.

Martin West

The funding band maximum is reduced due to prior delivery funding of £1000 to £4000 so this is what the employer records in DAS and you record as TNP 1 £3500 / TNP 2 £500 in the ILR.