Apprenticeship funding for SMEs and Levy-payers explained
How apprenticeship funding works for employers
Whether you’re a Levy-paying or Non-Levy employer, government funding can support your training costs. We’ll help you understand your funding options and the support available to your organisation.
Funding for employers
Apprenticeship funding, simplified
Apprenticeships are funded through a government funding model designed to help employers invest in workforce development.
The funding available depends on factors including:
- Whether your organisation pays the Apprenticeship Levy
- The age of your apprentices
- Your available Levy funds
- Your organisation’s eligibility for government support
Our funding specialists will guide you through the process and ensure you access the most appropriate funding available.
Levy-paying employers
If your organisation has an annual payroll of over £3 million, you contribute to the Apprenticeship Levy through PAYE.
- Levy funds can be used to pay for apprenticeship training and assessment
If your Levy funds are running low or have been used:
- Plan ahead: Once your Levy funds are exhausted, different co-investment rules apply depending on the apprentice’s age.
- Apprentices aged 16–24: Eligible new apprentices can be fully funded by government when your Levy funds have been exhausted.
- Apprentices aged 25+: Your organisation will generally need to contribute 25% of the training and assessment costs once your Levy funds have been used.
We’ll help you:
- Check available Levy balance
- Allocate funds correctly
- Add us as your provider
- Manage approvals and enrolment
- Transfer your Levy
Non-Levy employers
If your organisation does not pay the Apprenticeship Levy, government funding is available to help reduce the cost of apprenticeship training.
Funding depends on the apprentice’s age and your eligibility. In many cases:
- Apprentices aged 16-24 may be fully funded
- Apprentices aged 25+, employers may contribute towards training costs
- Additional financial incentives may be available when recruiting younger apprentices
We’ll help you identify the funding available and guide you through every step of the process
We’ll support you with:
- Apprenticeship Service account setup
- Funding reservation
- Eligibility checks
- Ongoing compliance requirements
Funding doesn’t need to feel complex
From initial eligibility checks through to enrolment and approvals, our team will support you throughout the process, giving you clarity and confidence in your apprenticeship investment.
Have more questions?
Funding FAQs
Looking for quick answers? Explore our FAQs for guidance and support on key topics.
Yes. Levy funds can be used to train both new and existing employees, provided the apprenticeship meets the relevant eligibility requirements.
Yes. Apprenticeship funding can be used for both new and existing employees.
Yes. Apprenticeship funding changed in 2026, with new rules depending on your organisation, available Levy funds, and the age of the apprentice. Our funding specialists will explain exactly what applies to your organisation and guide you through the process.
Government funding has increased to encourage more employers to recruit younger apprentices. Eligibility depends on your organisation and funding circumstances, and our team can advise you on the support available.
If you’ve exhausted your Levy funds, you may still be able to access government funding. The amount your organisation contributes depends on factors such as the apprentice’s age and current funding rules. We’ll help you understand the options available before enrolment.
Yes. Levy-paying employers can transfer a proportion of their unused Levy funds to other employers, subject to government rules. If this is something you’re interested in, our team can explain how the process works.
Get in touch
Speak to our funding advisors
Not sure about your funding options? Share a few details and we’ll get back to you with advice based on your team and your goals.
