CPA Bulletin

www.cpa.uk.net CPA Bulletin > May 2021 17 POLICY: 2 Other points from the Budget: • The Ministry of Housing, Communities and Local Government (MHCLG) has been allocated £10m to launch a Modern Methods of Construction (MMC) taskforce • Corporation Tax will go up to 25% from 2023 for businesses with profits of £250,000 or more • The Job Retention Scheme has been extended until the end of September this year • Self-Employment Income Support Scheme continues, with a fourth and fifth grant - this is planned to run until the end of September • A new Recovery Loan Scheme came into effect from 6th April 2021. This replaced the loan scheme that closed on 31st March. The new scheme offers Government guaranteed loans of up to £10m per business • The minimumwage increases to £8.91, from 1st April 2021 • Fuel Duty was frozen for the 11th year in succession. The Government has repeatedly cited construction, through its ‘Build Back Better’ initiative, as a key driver of growth, business investment and job creation. While this attention from Government is welcome, we will continue to assess the impact of the plans for business investment, especially through widening the scope of the super deduction allowance so it benefits all plant-hire companies. The rhetoric makes sense - but the policies must work. CITB Consensus 2021 - What it is and why it matters Over the course of the last few weeks, the CPA has been contacting members to encourage them to complete a member research survey which asks members two questions: 1. Is your organisation currently liable to pay the CITB Levy? 2.Who in your organisation, is the right person to contact to answer the CITB Consensus question with regards the Levy? Members are then asked to complete the details for the person best placed to deal with this question. But - why are we doing this - and what is the CITB consensus? The CITB Consensus Every three years, the Construction Industry Training Board (CITB) is required to show it has sufficient industry support across construction, to raise a Levy, as the CITB collects and distributes this money on behalf of the industry. The Levy is used by the CITB to invest in the training and skills needs of the construction industry. All but the smallest companies pay the Levy. This process is called the CITB Consensus and this year it will run from 14th June to 15th August 2021. The result will determine what levels of support are there in the construction industry, for the Levy in the years 2022 - 2025. Once the responses from the Consensus are in, the Department for Education (DfE) will consider the final results and make a decision on the continuance of the Levy and of the CITB’s role in collecting it and supporting construction’s training needs. We would expect to hear the outcome in September 2021, with any changes taking effect from April 2022. For further information on the CITB and the 2021 Consensus, please visit https://www.citb.co.uk/consensus2021 What is the CPA doing ahead of the CITB Consensus? And why do I keep getting these emails asking for my details and if we pay the Levy? The CPA acts as one of 14 Prescribed Organisations (POs) who report to the CITB on the views of their members. Our role during the Consensus, will be to survey the level of support amongst our Levy paying members on the future of the Levy over the course of the next three years. These proposals are normally called the ‘Levy Question’ and forms the main part of Consensus. Throughout the pre-Consensus planning, we as an organisation, are expected to show we have taken reasonable steps to meet the demands and expectations of the CITB, while also making sure we are in line with our own governance and procedural requirements. In short, it is important that we make sure we have given members every opportunity to answer the Levy question. The research survey we are currently doing is designed to make sure that when Consensus starts in June, we can contact the members it applies to, ensuring they can tell us if they agree with the proposals. This is important as they will be the ones affected by it. To complete the research survey, please visit https://www.surveymonkey.co.uk/r/CPACITBCONSENSUS Members should be assured that all responses will be treated in the strictest confidence. If you do have any questions on what we are doing for this year’s Consensus, please do contact Chris Cassley directly on 07399 490322 or email chris@cpa.uk.net