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Funding for Workforce Development

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Funding overview

Making funding simple to understand 

Apprenticeship funding works slightly differently depending on whether you pay the apprenticeship levy. The good news: most employers can access government support to cover the majority of training and assessment costs.

SMEs (annual wage bill under £3m)

You pay 5% of apprenticeship training and assessment costs, and the government pays the remaining 95%).

Large employers (annual wage bill over £3m)

You pay the apprenticehsip levy - 0.5% of your wage bill -  and can use the funds to pay for apprenticeship training and assessment.

Extra support

Additional payments and support may be available in some cases (for example, for younger apprentices or where additional learning support is needed). We can help you understand what applies.

Talk to us about funding

Request a call back from one of our friendly advisors today.

How does apprenticeship funding work for SMEs?

Guidance for SMEs

Simple, affordable ways to grow your business

If you don’t pay the apprenticeship levy, you can use apprenticeships to build skills, fill vacancies, and develop loyal talent - without covering the full training cost.

Small employer co-investment

You pay 5% and the government pays 95% of training and assessment.

100% Funded for apprentices 25 and under

The government covers the full cost of apprenticeship training for those under 25.

Levy transfers

Levy-paying employers can transfer unused levy funds to cover 100% of your apprenticeship training and assessment costs.

Additional support

There are also additional support packages for SMEs subject to eligibility.

How apprenticeship funding works for levy-paying employers

Making the most of your funds

The apprenticeship levy is designed to encourage large employers to invest in apprenticeships and workforce development.

Accessing your levy funds

Your levy payments go into a digital apprenticeship service account. You can use these funds to pay for apprenticeship training and assessment. Funds usually expire within 12 months if they’re not used.

Apprenticeship levy transfers

You can transfer unused levy funds to other employers (for example, SMEs or organisations in your supply chain) to help pay for their apprenticeship training and assessment. You can transfer up to 50% of your annual funds giving flexibility as to how you use it.

Maximise your investment

Apprenticeships cover a wide range of job roles and levels - from entry-level programmes through to higher and degree apprenticeships. They’re a practical way to upskill existing staff, develop future leaders, and build specialist capability.

A clear guide to apprenticeship funding

Our funding guide is your essential resource for accessing apprenticeship funding through Total People 

It outlines how to reserve funds via the Government’s Apprenticeship Service portal and explains how our expert team can support you with account setup, recruitment, and more.

Download this free resource and take the first step towards upskilling your workforce and driving business success today!

Access apprenticeship funding

Complete the form below and we’ll help you with everything you need to know about funding apprenticeships.

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