Apprenticeship Funding

Funding for all employers 

There is £1000 incentive for recruiting 16-18 year olds. South Devon College will pay you directly in two instalments.  

The government will fully fund (100%) apprenticeship training for non-levy paying employers for all apprentices aged 16–24.

From 1 October 2026: Non-levy SMEs can also get an additional £2,000 incentive when hiring a new apprentice aged 16-24.

Non-Levy paying employers 

For companies who pay less than £3 million on the payroll, the mandatory cash contribution from companies will be 5% (if the apprentice is 22 or over). If the apprentice is aged between 16-21 or a 22–24-year-old on an EHCP, the training costs are 100% fully funded by the government meaning businesses are exempt from paying the 5% training costs.  

The government is committed to fully paying the costs of Maths and English training. All businesses need to register onto the apprenticeship service to access apprenticeship training.  

Please note, business owners will not have to increase their class 1 National Insurance payments for apprentices, as long as the apprentice is under 25 years old, is on an approved UK government apprenticeship standard or framework and earns less than £967 a week (£50,270k). 

Does the apprenticeship levy apply to my business? 

You will pay the apprenticeship levy if you are an employer with a pay bill of more than £3 million a year. For the purpose of the levy, an employer is someone who is a secondary contributor, with liability to pay class 1 secondary National Insurance contributions for their employees. If you think you are a levy employer please take a look at our levy payer webpage by clicking here

How does a business access their funds? 

• Register your business onto the apprenticeship service via this website.  
• Follow the step-by-step guide on the government website 
• Contact the team at South Devon College to get professional free support and guidance for digital or levy enquiries.