Apprenticeships can play an important role in the long-term success of businesses across the country. Whether you are looking to recruit someone new or develop an existing employee, an apprenticeship provides a structured way to develop skills, build capability and create a qualified and motivated workforce.
They can help businesses develop the skills they need internally, pass knowledge to the next generation of employees and address current and future skills gaps.
However, apprenticeship rules and funding arrangements have changed considerably in recent years. If you are considering employing an apprentice, here are 10 things you need to know under the current rules in England.
1. Choosing the Right Apprenticeship Standard
Apprenticeship standards set out the knowledge, skills and behaviours an apprentice needs to develop to become occupationally competent in their chosen role.
Standards are available across a wide range of occupations and at different levels, from entry-level programmes through to higher and degree apprenticeships.
Choosing the correct standard is important. The apprenticeship must be relevant to the apprentice’s job role and provide them with substantial new knowledge and skills.
Before an apprenticeship begins, the training provider will also complete an initial assessment to identify the apprentice’s existing knowledge, skills and experience. Relevant prior learning must be taken into account when developing the training programme.
The length of an apprenticeship varies depending on the standard, the apprentice’s existing knowledge and the way training is delivered.
2. Understanding Apprenticeship Funding
Apprenticeship funding changed significantly from 1 August 2026, making it particularly attractive for employers recruiting younger apprentices.
Employers generally fall into two groups:
Levy-paying employers
Employers with an annual pay bill of more than £3 million are generally required to pay the Apprenticeship Levy. The levy is charged at 0.5% of the employer’s annual pay bill, subject to the £15,000 annual levy allowance.
Levy funds can be used towards eligible apprenticeship training and assessment costs up to the relevant funding band maximum.
From August 2026, the previous automatic 10% government top-up to new levy funds has been removed. New funds entering an employer’s Apprenticeship Service account also expire after 12 months rather than the previous 24 months.
Where a levy-paying employer does not have enough funds remaining in their account:
- for apprentices aged 16–24, the government will fund eligible apprenticeship training and assessment costs up to the funding band maximum;
- for apprentices aged 25 and over, the government will fund 75% of eligible costs and the employer will contribute the remaining 25%.
Non-levy employers
For employers that do not pay the Apprenticeship Levy, the funding available depends on the apprentice’s age.
For new apprenticeship starts from 1 August 2026:
- Apprentices aged 16–24 – the government will fund 100% of eligible apprenticeship training and assessment costs up to the funding band maximum.
- Apprentices aged 25 and over – the government normally funds 95%, with the employer contributing the remaining 5%.
Employers are responsible for any agreed costs above the maximum funding band.
From October 2026, eligible non-levy employers can also receive a £2,000 hiring payment when recruiting a new apprentice aged 16–24, subject to the government’s eligibility requirements.
There are also existing additional payments available in certain circumstances, including a £1,000 payment for employers taking on eligible younger apprentices or apprentices aged 19–24 who have an Education, Health and Care (EHC) plan or have been in care.
Apprenticeship funding is primarily for eligible training and assessment costs. It cannot simply be used towards an apprentice’s salary or other general employment costs.
3. Picking the Right Training Provider
Although apprenticeship providers deliver programmes against nationally approved standards, the way those programmes are delivered can differ considerably.
Providers may offer different approaches to:
- workplace training;
- day or block release;
- practical training;
- online and face-to-face learning;
- employer engagement;
- apprentice support;
- progress monitoring; and
- tailoring delivery to the employer’s workplace.
Finding a provider that understands your industry and your organisation is therefore important.
Rather than simply looking for a provider offering a particular apprenticeship standard, speak to providers about your job role, skills requirements and long-term objectives.
A good training provider should be able to assess your requirements and help identify the apprenticeship standard and delivery model that best fits your business.
4. Recruiting Your Apprentice
Finding the right apprentice is one of the most important parts of establishing a successful apprenticeship programme.
An apprentice is an employee of your business and may remain with the organisation for several years while developing their skills and completing their apprenticeship.
Recruitment should therefore consider both the immediate requirements of the role and the individual’s potential to develop within your organisation.
Training providers may also be able to support employers with recruitment.
The provider will complete an initial assessment before the apprenticeship begins. This considers the individual’s existing knowledge, skills, qualifications and experience and helps determine whether the apprenticeship is suitable.
Any relevant prior learning must be recognised and the apprenticeship training adjusted where appropriate.
5. Paying an Apprentice
Apprentices are employees from day one.
They must receive a wage, employment benefits and the same statutory employment rights that apply to other eligible employees.
From 1 April 2026, the National Minimum Wage apprentice rate is £8.00 per hour.
This rate applies to apprentices who are:
- under 19; or
- aged 19 or over and in the first year of their apprenticeship.
Once an apprentice aged 19 or over has completed the first year of their apprenticeship, they must receive at least the National Minimum Wage or National Living Wage applicable to their age.
Employers are free to pay above the minimum rate, and we encourage businesses to offer competitive apprenticeship salaries wherever possible.
Salary can have a significant impact on recruitment. Candidates will consider the role, training, progression opportunities, working conditions and pay when deciding which apprenticeships to apply for.
It can also be useful to set out how an apprentice’s salary may progress as their competence and contribution to the business increases.
6. How Apprenticeship Training Is Delivered
Training providers can use different delivery models depending on the apprenticeship and the needs of the employer.
Training could include:
- day release;
- block release;
- workplace training;
- practical workshops;
- online learning;
- face-to-face teaching;
- mentoring and shadowing; or
- a combination of different methods.
Before selecting a provider, employers should understand how and where the apprenticeship will be delivered and how much ongoing support the provider will give both the business and the apprentice.
It can be worthwhile speaking to several providers and asking them to explain how they would meet your training requirements before deciding which organisation is the best fit.
7. Supporting Your Apprentice in the Workplace
Workplace support is a major part of a successful apprenticeship.
Having an experienced employee who can support the apprentice helps them apply their learning within the workplace and develop occupational competence.
This person may act as a mentor, supervisor or another experienced member of the team.
Their role can include:
- sharing technical knowledge and experience;
- helping the apprentice develop practical skills;
- monitoring progress;
- providing constructive feedback;
- helping the apprentice understand workplace expectations; and
- supporting their confidence and professional development.
The mentor does not necessarily need to work directly with the apprentice at all times.
In larger organisations, an apprentice may rotate through several departments and work with several experienced employees. However, having someone with overall responsibility for supporting and overseeing their workplace development can be extremely valuable.
8. Off-the-Job Training
One of the biggest changes employers should be aware of is how off-the-job training (OTJT) is calculated.
The previous approach of describing the requirement simply as “20% off-the-job training” or calculating it as a fixed six hours every week should no longer be used for new apprenticeship starts.
Under the current funding rules, the minimum volume of off-the-job training is set for each individual apprenticeship standard and published alongside that standard.
Off-the-job training is training undertaken for the purpose of developing the new knowledge, skills and behaviours required by the apprenticeship.
It can include activities such as:
- classroom or workshop training;
- lectures and theory sessions;
- practical training;
- simulations;
- online learning;
- mentoring and shadowing;
- industry visits;
- writing assignments; and
- relevant revision.
Importantly, off-the-job training normally takes place during the apprentice’s paid working hours.
The exact number of hours will depend on the apprenticeship standard and may also be adjusted where relevant prior learning has been identified.
The employer and training provider should agree how these training hours will be delivered and record them within the apprentice’s training plan.
9. Apprenticeship Assessment
Apprenticeship assessment is currently undergoing significant reform.
Historically, apprenticeship standards concluded with a separate End-Point Assessment (EPA) carried out after the apprentice passed through their final gateway.
During 2026 and 2027, revised apprenticeship assessment plans are being introduced progressively.
Under the new approach, apprenticeship assessment replaces the previous blanket use of the term End-Point Assessment. Depending on the apprenticeship standard and the version of its assessment plan, assessment may take place at different stages of the apprenticeship rather than exclusively at the end.
Assessment arrangements can include methods such as:
- practical observations;
- professional discussions;
- projects;
- presentations;
- tests; and
- other occupationally relevant assessment methods.
Employers should therefore work closely with their training provider to understand the assessment plan that applies to the specific apprenticeship standard and version their apprentice is completing.
Some existing apprenticeship standards will continue to operate under the previous EPA arrangements while revised assessment plans are introduced.
10. Agreements, Training Plans and the Apprenticeship Service
There are several important arrangements that must be in place when employing an apprentice.
Contract of Employment
Your apprentice is an employee and should have appropriate employment arrangements in place in the same way as other members of staff.
Apprenticeship Agreement
An Apprenticeship Agreement must be in place between the employer and apprentice and contain the information required by the apprenticeship funding rules.
Training Plan
The training provider is responsible for developing and agreeing a Training Plan with the employer and apprentice.
The Training Plan sets out important details about the apprenticeship, including:
- the apprentice and their job role;
- the apprenticeship being undertaken;
- planned training;
- off-the-job training;
- how and when training will be delivered;
- who is responsible for different elements of the training; and
- the responsibilities of the employer, apprentice and training provider.
The employer and apprentice must have the opportunity to contribute to the Training Plan.
Regular progress reviews should then take place throughout the practical period of the apprenticeship.
Apprenticeship Service Account
Employers also use the government’s Apprenticeship Service to manage apprenticeship funding and other elements of their apprenticeship programme.
Your training provider should be able to guide you through the process, from identifying the correct apprenticeship and setting up funding through to recruitment, training, progress reviews and completion.
Thinking About Employing an Apprentice?
Apprenticeships can provide businesses with an effective way to recruit new talent, develop existing employees and build the skills their organisation will need in the future.
However, choosing the right apprenticeship, understanding the funding available and finding the right training provider are all important.
At Engineering Trust Training, we work closely with employers to understand their skills requirements and help identify apprenticeship training that fits their workforce.
Whether you’re considering employing your first apprentice, recruiting additional apprentices or developing existing members of staff, our team can help you understand your options and guide you through the process.
Get in touch with Engineering Trust Training to discuss your apprenticeship requirements.