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The government pays. Here’s how.

Training is funded up to the £10,000 band for this apprenticeship. Most small businesses pay nothing at all.

Who pays what

Three situations cover almost every business. The apprentice’s wage is yours in all of them — they are your employee.

  • Apprentice aged 16 to 24

    Any business that does not pay the levy

    Government pays 100%

    You pay

    £0

    The government pays all of the training. New hires can also bring a £2,000 hiring payment.

  • Apprentice aged 25 or over

    Businesses that do not pay the levy

    Government pays 95%

    You pay

    5% — up to £500

    The government pays 95%. Your 5% is spread over the programme.

  • Levy-paying employers

    Pay bill over £3 million

    Paid from your levy funds

    You pay

    £0 out of pocket

    Training is paid from your apprenticeship levy account while it has funds.

£2,000

To hire a new apprentice aged 16 to 24

The £2,000 hiring payment is for non-levy employers hiring a new apprentice aged 16 to 24, from 1 October 2026. Paid through the training provider in instalments; conditions apply. There is a further £1,000 for apprentices aged 16 to 18.

Check if you qualify

Work out your cost

Three questions.

Your business
The apprentice’s age when they start
Who will it be?

Training (£10,000 band)

Government pays
£10,000
You pay
£0

You could receive

  • £2,000 hiring payment (new apprentice aged 16–24)£2,000
  • £1,000 additional payment (16–18, or under 25 with an EHC plan or care-leaver status)£1,000

Your net cost

£0

and £3,000 back

The government pays 100% of the training for apprentices aged 16 to 24 at non-levy employers. The apprentice’s wage is separate.

Based on the government’s current funding and incentives (official page, opens in a new tab). Conditions apply; we confirm your exact position before you commit.

Questions about cost

How much does it cost — really?

For most small businesses, nothing for the training. If you do not pay the apprenticeship levy, the government pays 100% of the training for apprentices aged 16 to 24, and 95% for apprentices aged 25 and over (you pay 5%, up to £500 on the £10,000 band). Levy-paying employers pay from their levy account. You pay the apprentice’s wage either way.

What is the £2,000 incentive?

From 1 October 2026, non-levy employers can receive a £2,000 hiring payment for a new apprentice aged 16 to 24. There is a further £1,000 payment for apprentices aged 16 to 18 (or under 25 for care leavers and those with an EHC plan). Payments go through the training provider in instalments and conditions apply — we check your eligibility for you.

Not sure if you qualify?

Tell us about your business and we will check the funding for you — free, with no obligation.

Enquire