Secretarial Jobs Board

Lammy: Employers could face new tax

13/10/2008

David Lammy has warned employers they could face a new skills tax.

Now higher education and intellectual property minister, the former skills minister said a levy has yet to be ruled out.

He recently told a government select committee: "We have stopped short of levies - but we will revisit that decision when appropriate. That's a future discussion that the committee might want to explore."

By introducing a training or skills tax, the government would be asking employers to put aside funds to ensure the training of their workforce – a method not favored by some.

Head of employment policy at manufacturers' body EFF, David Yeandle, told Personnel Today any such tax was unwelcome.

"We are strongly opposed to a levy. Our members have very bad memories of the old training levies of the 1970s and 1980s and we don't want to go back to those days," he said.

Mr Lammy has been replaced as skills minister by Lord Tony Young, a former union chief.

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