Prepare for apprenticeship levy and minimum wage hike, warn trade bodies

03-Feb-2017 - Last updated on 03-Feb-2017 at 10:26 GMT

Kate Nicholls: the ALMR's chief executive is looking for stability

The pub trade must come together over the upcoming apprenticeship levy, the increased national living wage and a potentially hard Brexit, according to leading industry groups.

The industry found itself united at a central London event on preparing for the upcoming challenges and changes in employment law jointly hosted by the ALMR (Association of Licensed Multiple Retailers), BBPA (British Beer & Pub Association), BII (British Institute of Innkeeping) and People 1st.

ALMR's chief executive Kate Nicholls said: "With the publication today (2 February) of the Government’s Brexit white paper and forthcoming wage and property cost increases, licensed hospitality businesses are looking for some stability and guidance. Today’s event has provided the wider sector with the support and leadership required to address these challenges and continue to grow.

"Today’s event is also a fantastic example of joint working across an industry that is vital to the UK’s economy. We are speaking with one voice to address the sector’s challenges; challenges that have too often gone overlooked by the Government.

"We have good apprenticeship standards and a huge champion in the BII who can accredit our qualifications so that there is a benchmark across the sector with transferable skills. Collectively we are powerful enough to upskill our personnel to make sure that we are equipped."

Designated assessor

It has recently been confirmed that the BII will be an end-point assessment organisation, meaning that it will be able to conduct final apprenticeship assessments for the pub trade.

At the event, the group's managing director, Mike Clist, said: "Today has provided licensees with valuable advice that will ensure they are best placed to achieve their potential. If pubs are to continue to evolve and succeed they need the right training and qualifications in place to achieve success.

"Recruiting the best possible staff members and encouraging them to grow will also enable us to counter the perception that we are a low-skilled sector and show the Government we are essential to the wider economy."

'Critical that businesses are aware'

The apprenticeship levy is one of the most pressing employment changes in the coming months, as all businesses with a wage bill over £3m will have to contribute to the levy from April. Employment consultancy People 1st's director of strategic policy, Annette Allmark, said: "Today we heard some fantastic examples of how employers are using apprenticeships as part of their talent strategy to develop skilled and committed staff. With the levy fast approaching, it is critical that businesses are aware of how it will affect them and how they can maximise their levy investment."

Meanwhile, Brigid Simmonds, chief executive of the BBPA, spoke of the importance in the Brexit negotiations of securing a deal that benefits the pub industry.

"In initial findings from a BBPA member survey, 27% of BBPA members’ workforce are from overseas, and this rises to 40% and more in metropolitan areas. Kitchen staff are a particular area of concern, and there is a need to avoid any ‘cliff edge’, as mentioned by the Prime Minister in her recent speech," Simmonds said.