From August 2026, new government apprenticeship funding rules take effect across England. For employers growing technical teams, they make it materially easier to bring new talent into the lab and onto the plant floor.
Funding policy changes every year. Your capability plan shouldn’t have to start again every time, so we build it with you.
At Tiro, we deliver rigorous science and technical training, while managing the funding compliance and portal administration that comes with it.
Following the latest guidance from Skills England, the government will fund 100% of eligible apprenticeship training and assessment costs for 16 to 24-year-olds for non-levy employers and, where levy funds are insufficient, for levy-paying employers, up to the funding band maximum.
Here’s what changes, and what it means for your next cohort.
The funding breakdown at a glance
For levy-paying employers:
- 16–24: Training and assessment costs are paid from available levy funds first. Where those funds are insufficient, the government will fund 100% of eligible training and assessment costs, up to the funding band maximum.
- 16–18: £1,000 employer incentive payment (available now). This is also available for eligible 19–24-year-olds who have an Education, Health and Care (EHC) plan or who are, or have been, in care. The training provider will receive the incentive from the government and pass it onto the employer in two instalments: £500, 90 days after the apprenticeship starts, and a further £500 at 12 months.
- Under 25: 0% employer secondary National Insurance contributions on earnings up to the Apprentice Upper Secondary Threshold, currently £50,270 a year, for qualifying apprentices.
- 25+: Training and assessment costs can be paid from available levy funds. Where levy funds are insufficient, the government funds 75% of eligible costs up to the funding band maximum and the employer contributes 25%.
For non-levy employers:
- 16–24: 100% government-funded training and assessment costs, up to the funding band maximum, from August 2026.
- 16–18: £1,000 employer incentive payment (available now). This is also available for eligible 19–24-year-olds who have an EHC plan or who are, or have been, in care.
- 16–24: £2,000 hiring payment for eligible non-levy employers where the apprentice has a practical period start date from 1 October 2026 and has not been employed by the employer for more than 90 days before that date.
- Under 25: 0% employer secondary National Insurance contributions on earnings up to the Apprentice Upper Secondary Threshold, currently £50,270 a year, for qualifying apprentices.
- 25+: Training heavily subsidised through co-investment — you cover 5%, the government covers 95% of eligible training and assessment costs, up to the funding band maximum.
What this means for your team
Recruit at the right moment. We map the changes onto your hiring timeline so your cohort starts when it suits your operation and can take advantage of the October hiring payment where the eligibility criteria are met.
Build the process once, together. We support you to set up and manage your Apprenticeship Service account, track eligibility and administer eligible incentive payments, agreeing with your team how it runs so it fits the way you already work.
Develop the people you already have. Levy funds and co-investment pathways can also let you upskill and reskill staff already within your business, alongside new starters, helping you build the skills you need without pulling internal resources.
Policy shouldn’t slow your strategy. Tiro acts as your apprenticeship partner: absorbing the administrative complexity while working alongside you to co-create the ideal intake approach for your business.