Employ An Apprentice

Find out how to access business funding for Apprenticeships.

What funding is available?

If your business is one of the many paying the Levy, Higher Futures can advise you on accessing this funding to train existing and new apprentices to a higher level. Our team can help you to navigate through the online portal (DAS) and select a provider to meet your needs. See our guide for more information.

To help you navigate the available options, the Higher Futures team provide a complimentary service to your business at no cost.

How Apprenticeships are funded

The way apprenticeships are funded has changed since May 2017.

If you are an employer with an annual pay bill of less than £3 million you will not have to pay the levy. The UK Government will fund 90% of your apprenticeship training.
Find out more at www.gov.uk/take-on-an-apprentice/get-funding

If you are an employer with an annual pay bill over £3 million each year, you will pay the apprenticeship levy.

You can read the official guidance at www.gov.uk/guidance/pay-apprenticeship-levy


If you are interested in transferring your levy to another employer to help fund an apprentice through training, watch the video below to see how you can do this:

From April 2018 employers who pay the apprenticeship levy will be able to transfer apprenticeship funds to other organisations to pay for their apprenticeship training and assessment. For the first phase, employers who have unused funds in their apprenticeship account will be able to transfer some of those funds to another employer. The number of employers that you will be able to transfer funds to will increase over time and after user feedback from the first phase.

This ESFA blog will help you to prepare for transfers as a levy-paying employer.

Additional support

If you take on an apprentice aged 16-18 the government will pay an additional £1,000 to you over two equal payments, one at 3 months and the other at 12 months. Initially, these payments to you would be made via your training provider. Over time, the Government intends to improve this system where you will receive the funds directly.

If, on enrolment, the apprentice is 16-18, and you employ less than 50 staff, the Government will fund 100% of the Apprenticeship training costs.

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Employer's Guide to Apprentice Recruitment

Read our guide

How Higher Futures can help

The Higher Futures team can help you to make sense of and navigate the Apprenticeship Levy in the following ways:

  • Providing advice on how this works in practice
  • Assess current training provision to see how this can be mapped to apprenticeships
  • Plan future training progression pathways using the levy
  • Look at new opportunities for training to fill skills gaps
  • Facilitate the creation of new trailblazer standards with you and others in your industry
  • Provide you with an overview of various training solutions to meet your needs

Contact the team

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Common Questions

How much is the levy?

This depends on the size of your company's' payroll bill. The calculation is based on 0.5% of the total payroll (including wages, bonuses, commissions and pension contributions), minus a £15,000 levy allowance.

The Government will then apply a 10% top-up to the funds' you as the employer has for spending on Apprenticeship training, meaning for every £1 paid into the digital account you will receive £1.10. The levy is paid to HMRC through the PAYE process.

How can I access the levy funds?

All levy employers will have a new digital apprenticeship service account which they can access to enable them to select an apprenticeship framework or standard and choose an approved training provider

Do I pay the training provider directly?

The funds to pay for apprenticeship training will be taken from your digital account each month. The Apprenticeship training provider must be a Government-approved provider on the registered list.

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Need advice on staff training, courses or opportunities?
Talk to an expert at Higher Futures or call us on 01225 756174.

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