CITB Consensus 2021 Timeline
Every three years, the CITB must ask construction employers about its plans to deliver skills and training to the industry, and whether the Levy rates are sufficient to achieve this objective. This consultation process is called Consensus.
In summer 2020, the Construction Industry Training Board (CITB) announced that the planned Consensus process would be suspended, to allow it to focus efforts on supporting the construction industry through the impact of COVID-19. A one-year Levy Order, for 2021, was submitted to the Department for Education (DfE). A longer-term Consensus process is now planned to take place from May 2021 onwards.
What is being proposed?
The CITB has put forward the following Levy rates for 2022 to 2025:
- To replicate the pre-COVID Levy rates, as assessed in 2018 – 2020:
- PAYE 0.35%
- Net paid (Taxable) CIS Sub-contractors: 1.25%
- To maintain the Levy Exemption Threshold of £120,000 applied in the 2021 one-year Levy Order, which was an increase of 50% from £80,000 used in 2018-2020.
- To retain the 50% Reduction in Levy for employers with a wage bill of £120,000 or more, but below £400,000.
Who is consulted?
The CITB will consult with industry through two methods:
- It will ask the 14 Prescribed Organisations to consult with their Levy-paying members and offer their responses to the Levy Proposals; and
- It will consult a group of employers not represented by Prescribed Organisations for their response on the Proposals.
If you are a CITB Levy payer, you are more likely to be consulted – and therefore have your voice heard – through membership of a Prescribed Organisation, such as the NAS.
When will the consultation take place?
The NAS will be consulting its members later this year and will offer an industry-wide response. We have set out brief timeline below:
CITB to engage with Prescribed Organisations on their consultation process (i.e. reasonable steps)
CITB Board meets to approve Levy Proposals. Proposals shared with Prescribed Organisations and announced externally. Prescribed Organisations can commence consultation with Levy-paying members.
14 June 2021 - Consensus formally starts
Prescribed Organisation consultation with members should have commenced across industry.
15 August 2021 - Consensus closes. Prescribed Organisations to submit response to Consensus question to CITB.
W/c 6 September 2021 - Levy Proposals and Consensus results submitted to DfE/Secretary of State. Outcome confirmed to Prescribed Organisations and industry.
Once Secretary of State satisfied with Consensus result/ evidence - Formal confirmation of Consensus result and next steps.
How does the consultation take place?
The NAS will be working in partnership with Build UK to coordinate the Consensus process. We will also need to satisfy the CITB that we have adhere to a number of ‘reasonable steps’ to ensure the process is fair and accurate. These include:
- Accuracy – This means we will only invite likely Levy Payers to respond to the consultation and ensure that a suitably senior person completes the response
- Transparency – This means that we will ensure that our members are aware and understand what they are being ask their view on
- Timing – This means we will give our members adequate time to consider and respond to the consultation
- Proportionality – This means that we will make efforts to maximise our Member’s responses to the consultation
- Governance – This means we will ensure that our response is in keeping with the NAS’ governance processes
Have something to say now?
The NAS is always keen to hear from its membership and beyond on any subject effecting the industry.
If you have something to say about the CITB Consensus process, please let us know by emailing: email@example.com.