Apprenticeship training now enables new or existing staff to combine working with study to gain skills and knowledge in a specific job at any age.
Types of apprenticeships
Apprenticeship training is available in over 850 different frameworks or standards ranging from health care to digital and creative, construction to rail infrastructure and hospitality to business administration. Frameworks are being replaced by new employer-led 'standards' which will be fully in place by 2021.
Apprenticeship funding bands
Each framework and standard is placed in an apprenticeship funding band; for example:
- an intermediate (level 2) business admin apprenticeship costs up to £2,000
- a degree-level (Level 6) chartered management apprenticeship costs up to £27,000
How apprenticeship training is paid for
Who pays for apprenticeship training has also changed.
If you have an annual pay-bill of:
- less than £3m and have less than 50 members of staff, the government covers all apprenticeship training costs if the apprentice is aged between 16 and 18 on the first day of their apprenticeship (or up to 24 for learners with learning difficulties/disabilities or is a care leaver)
- less than £3m, the government covers 95% of training costs, you cover 5%
- over £3m, you will be a levy payer, where 0.5% of your annual pay bill is automatically placed into your online Apprenticeship Levy pot on a monthly basis by HMRC, topped up by 10% from the government. You access your apprenticeship training fund through the digital Apprenticeship Service.
A £1,000 government grant is available to any business that hires an apprentice between the ages of 16 and 18 (or up to 24 for those with learning difficulties/disabilities or those in care/a care leaver).
Grants of up to £2,500 are available for businesses with 249 or fewer employees. For more information, visit the LEP website.
The benefits of hiring an apprentice
- 76% improvement in productivity reported by employers with an established apprenticeship programme
- 75% of employers reported that apprenticeships improved the quality of their product or service
- 90% of apprentices stay on in their place of work after completing an apprenticeship
York Apprenticeship Hub
Our Apprenticeship Hub offers a free, impartial service designed to support local businesses with apprenticeship training, recruitment, grants and funding.
Download our employer information booklet or contact us if you're considering hiring an apprentice, or using apprenticeship training for an existing member of staff.