Apprenticeship Reform

What this Means To Your Business

There has never been a better time to employ an apprentice:

  • 90% of employers report employing an apprentice has helped their business improve the quality of their product or service
  • 80% of companies who invest in apprentices report a significant increase in staff retention
  • 81% of consumers favour using a company who employ apprentices
  • 76% of employers who employ apprentices agree the company is more productive


Funding and delivery of apprenticeships is changing. For employers who have an annual payroll of more than £3 million, from 6th April 2017 you will pay 0.5% ‘apprenticeship levy’. Your levy can be utilized on apprenticeship training programmes which our business development team will align to your key business objectives.


For businesses with a payroll of less than £3 million you will not be subject to ‘apprenticeship levy’. If you employ less than 50 staff and employ a 16-18 year old apprentice 95% of the cost will be covered by the government. The government will pay for 90% for Adults (19+) apprenticeship training with a 5% contribution from you the employer. Depending on the apprenticeship type and level, our team will discuss with you a payment schedule which meets your business needs.


An incentive of £1,000 is paid to the employer when employing a 16-18 year old or 19-24 year old who is a care leaver or has an educational health care plan. This will replace the current AGE Grant from 1st May 2017.

If you require any further information you can contact one of our business development advisors on 0191 2619636 or email