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T Levels: Up to £25k up for grabs in latest employer incentive

Employers can now claim up to £25,000 towards “legitimate costs” for industry placements that begin between April 1, 2023, and March 31, 2024, as part of the Department for Education’s (DfE) efforts to enhance the quantity and quality of industry placements for T Levels. The DfE set aside £12 million for the T Level employer support fund in February, and additional guidance has been issued days before the new financial year begins, outlining what costs employers can claim for. Employers can claim the maximum amount without being required to repay the funds if a placement ends abruptly or there is a change in plans.

Colleges and T Level providers are responsible for distributing the payments to employers, while T Level providers have been allocated specific amounts based on the number of T Levels students they have enrolled. Any unspent funds will be recovered in August 2024.

Organisations that provide placements are eligible to make a claim, with the exception of government departments and their associated bodies. This implies that schools, colleges, and NHS trusts are all eligible.

The costs that can be claimed by employers include administrative costs, training for existing staff, equipment, insurance, and transport for students. Claims cannot be made for expenses that could be covered by other funding streams, such as T Level revenue funding. Providers are accountable for the funding they distribute, and a six-weekly data return will be required, including a self-declaration form signed by the employer, indicating the funding they have requested.

DfE has stated that random spot checks on providers and employers will be conducted to ensure that the funding claimed is legitimate, although employers will not be required to provide evidence for their claims. If a student drops out of the placement early, or the placement ends abruptly, employers are not expected to repay any money to the provider, although they may do so if they wish.

The T Level employer support fund evaluation report published in 2022 showed that only 843 placements were backed, compared to a target of 32,466, leading employer organisations such as the Federation of Small Businesses to request the reintroduction of employer cash bonuses for T Levels. Research from earlier in 2022 revealed that just 7% of employers who are not interested in providing T Level placements would reconsider if offered a £1,000 incentive.

Voluntary and Community Sector (VCS) grant

Apply for a VCS grant

The Voluntary and Community Sector (VCS) grant is now open for applications. This grant has been established to provide support to charities, community organisations, and community interest companies that are experiencing financial strain due to the rising cost of living, particularly those who serve individuals living in poverty.

The scheme was launched on February 1, 2023 and will accept applications until March 10, 2023 at 5 pm. There may be an additional bidding round depending on the number of applications received and the amount of funding allocated.

A total of £120,000 is available, and grants ranging from £2,000 to £10,000 will be awarded to assist organisations with their increased operating costs for the coming year.

To qualify for this fund, charities, constituted community organisations, or community interest companies limited by guarantee, with an annual income of up to £600,000 are eligible to apply.

Eligibility criteria

To be eligible:

• your organisation must be a charity, a constituted community organisation or a community interest company
• your organisation must be based in or have a focus and connection to Central Bedfordshire
• your organisation’s annual income is less than £600,000
• you need to supply evidence of the impact of the increase in the cost of living on the applicant organisation

What the grant can be used for

This VCS grant scheme will provide funding as a one-off grant to help fund increases in any of the following costs, which can be used towards an organisation’s increased running costs for the next year:

• staff and volunteer costs
• utility costs, such as energy
• rent
• food and drink
• increased transport costs

You can also apply to fund other running costs if you have seen and can evidence that these costs have increased significantly recently.

Details of the costs should be set out in your application.

What the grant can’t be used for

The grant won’t fund:

• organisations that do not meet our eligibility criteria
• responsibilities of statutory agencies
• profit-making work
• party political activity
• activities promoting religious beliefs
• work outside the UK
• applications from individuals
• overseas travel
• interest payments on loans
• building purchase
• costs that your organisation has already incurred (‘retrospective costs’)

Who can apply

A wide range of groups can apply, but they must have a Central Bedfordshire focus and connection. These include:

• voluntary and community groups
• not-for-profit organisations
• formally constituted groups
• community groups/associations
• charities
• community interest companies
• community benefit societies
• faith groups (in relation to their wider community role)

Applicants must have a UK bank account. It cannot be a personal bank account used for personal finances.

We will prioritise:

• smaller organisations with lower annual income levels
• organisations that are significantly impacted by increasing costs (those organisations which have running costs that have increased significantly and where the organisation’s reserves are low)
• organisations which are supporting residents facing cost-of-living pressures and poverty with access to food and support

Who can’t apply

People who can’t apply include:

• individuals for personal benefit
• anyone delivering statutory functions
• organisations with no local connection

Match funding

Match funding isn’t required for this grant.

Decision making

Each application will be checked for eligibility (see sections above on eligibility criteria, who can apply, what the grant is for and what it is not for).

Once an application has completed and passed its eligibility check, a panel will review each application and prioritise organisations:

• with lower annual income levels
• that are significantly impacted by increasing costs (those organisations which have running costs that have increased significantly and where the organisation’s reserves are low)
• which are supporting residents who are facing cost-of-living pressures and poverty with access to food and support

The panel will contain officers from the following teams:

• community and voluntary service
• Beds RCC
• public health
• community engagement
• finance

The panel will recommend the organisations for funding to our Director of Resources who will make the final decision.

Feedback will be given to unsuccessful applicants but, subject to funds being available for a further bidding round, unsuccessful applicants can re-apply.

Payment

Approved projects will receive an offer letter to confirm their application was successful, setting out the payment terms and conditions. A grant payment via a purchase order will follow.

The minimum grant award is £2,000 and the maximum grant award is £10,000.

Monitoring and accountability

Projects in receipt of a VCS grant are accountable to us and must keep us informed with:

• evidence that the funding has been devoted to the specific areas proposed in the application
• an end of project report

DfE announces new £12m T Level employer placement fund

A new funding effort is aimed at boosting employer engagement in T Level placement opportunities, despite the previous underinvestment in similar initiatives.

The Department for Education has announced a £12 million fund to incentivise employers to participate in T Level placements for the 2023/24 financial year. The fund will be used to cover costs such as set-up expenses, equipment, and staff training. In addition, providers delivering T Levels during the 2023/24 academic year will receive a one-time grant of up to £10,000 for student career guidance. The funding will be paid through T Level providers and will be allocated based on student numbers. Providers will be responsible for validating claims from employers, making payments, and reporting claims via an online tool provided by the Department for Education. The guidance for the fund will be published in March 2023.

Previous employer support funds, such as the £7 million scheme offered from 2019-2022, have seen low utilisation, with only 8% of the funds being used to support 843 placements against a target of 32,466. Research has shown that 75% of employers have not heard of T Levels and only 7% would change their stance if offered an incentive. The Skills Minister has stated that this new funding support will provide a boost to training providers and businesses, and will help set students on a path to success, regardless of their future plans for higher education, apprenticeships, or employment. The announcement follows a 10% uplift in funding for T Levels for the 2023/24 academic year. The Institute for Apprenticeships and Technical Education and the Association of Colleges have welcomed the funding announcement and hope to see increased engagement from businesses to meet their own skill needs. However, concerns remain that the funding may not address the needs of students who have lower starting points.