Update
Employer Responsive Programme – large employer factor funding calculation error
Two errors have been identified with the application of the large employer factor within the funding calculation for Employer Responsive provision. This only affects the funding for apprentices who are with an identified large employer.
Firstly, where Individualised Learner Record (ILR) field A44 is left blank then the large employer factor is not being applied in cases where it is a requirement. In the 2010/11 ILR Specification, issued by the Information Authority, it states that a value in ILR field A44 is not required for subsidiary aims for Apprenticeships.
The consequence of this is, where A44 is blank, the large employer factor is not being applied to subsidiary aims resulting in no discount affecting applicable learning aims. We are aware that some providers are continuing to fill in A44 for all aims and for those providers the correct funding is being calculated. However, some provider software and Provider On-line (POL) does not have the facility to give a value for A44 for subsidiary aims. Where A44 is available, providers can fill this field in where an apprentice works for a large employer as this will result in the correct funding being paid.
Secondly, 16-18 Apprenticeships are incorrectly having the large employer factor applied where an employer is identified on the large employer list. This issue is in addition to the first, so for the majority of providers this only affects the competency or NVQ aim.
Providers affected will find that higher than expected funding is being paid for 19+ apprentices, and less for 16-18 apprentices who are employed by identified large employers. This will affect monthly instalment payments, achievement payments and balancing payments for all new starts and carryover learners in 2010/11.
Action is being taken to correct these errors. A system solution will be place for November 2010 when funding for those affected apprentices will be corrected. Providers should raise any queries with their Account Manager.
