Understanding apprenticeship funding: A simple guide for learners

Since 2020, more than 1.6 million apprentices have begun their journey across diverse industries, including health, digital, engineering and many more. This highlights how people are choosing a practical approach to learning over a purely theoretical one. It is also creating opportunities for those looking to change careers or start fresh from the ground up.

Starting an apprenticeship is an exciting step towards building a rewarding career, but many students hesitate because of worries about fees, loans and hidden costs. Fortunately, apprenticeship funding for apprentices in the UK is designed to make this journey affordable and accessible to everyone aged 16 and above. In this detailed guide, learners can understand how apprenticeship funding in the UK works, how it is fully funded and how apprentices earn while they learn; all without student loans or other financial barriers.

This blog aims to bust common myths and explain UK apprenticeship funding clearly. It also provides reassurance for anyone thinking about starting an apprenticeship. So, let us dive into the facts.

What is apprenticeship funding?

Apprenticeship funding is the financial support available for apprenticeship training programmes in England. Instead of learners paying tuition fees or taking loans like at university, apprenticeships are funded by employers and the government. This means apprentices get hands-on job training, gain qualifications and receive a salary or a wage for their efforts.

Who is eligible for apprenticeship funding?

The eligibility for apprenticeship funding is inclusive and designed to support a wide range of learners. To qualify:

You must be aged 16 or older to start an apprenticeship. There is no upper age limit.

You must live in England (different rules apply to Scotland, Wales and Northern Ireland).

You should not already be in full-time education.

You must meet any specific entry requirements for the apprenticeship programme or the employer.

This openness means apprenticeships are an excellent option for school leavers, adults changing careers and anyone wanting practical experience alongside formal qualifications.

Myths about apprenticeship funding: Busted

Apprenticeship funding in the UK is surrounded by myths. Below, we debunk them to give learners a clear picture of how it really works:

Myth 1: Apprentices have to pay for their training

Truth: No, the learner does not pay an apprenticeship fee in the UK. The entire cost is covered by funding agreements between employers and the government.

For learners aged 16-19: The government funds 100% of training costs, meaning the learner pays absolutely nothing.

For learners aged 19 and above: The employer and government share the costs between them and the learner is not charged.

The UK apprenticeship funding system removes all financial responsibility from learners. Consequently, apprenticeships are an accessible, debt-free route for gaining qualifications and work experience.

Myth 2: Apprentices need loans or grants to pay for fees

Truth: Unlike university students, apprentices do not require loans or grants to pay for course fees. There is no debt involved. Instead, as mentioned earlier, all training costs are covered by the government and employers.

Myth 3: Apprenticeships are only for young people

Truth: Apprenticeship funding covers learners above 16 years of age. This also includes adults changing careers or gaining new skills at any stage of life. In truth, apprenticeship funding in the UK is available to anyone aged 16 or older, and there is no upper age limit for most apprenticeship levels.

Minimum age: 16. Anyone over this age living in England (and not in full-time education) can apply.

No maximum age: Adult learners, including those in their 20s, 30s, 40s, 50s and beyond, can apply to upskill, retrain in a new field or gain qualifications while working. There is a growing trend of mid-career professionals using apprenticeships to launch new careers or improve job prospects.

Myth 4: Apprenticeships are unpaid

Truth: Apprentices are employed and paid a salary at least at the national minimum wage for apprentices, earning while learning valuable skills. Listed below are the minimum hourly wage rates for UK apprentices in 2025:

Age/Apprenticeship status	Minimum hourly wage (2025)
16-18	£7.55
19+ (First year of apprenticeship)	£7.55
19-20 (Second year onwards)	£10.00
21+ (Second year onwards)	£12.21

Source: https://www.gov.uk/national-minimum-wage-rates*

* This may vary each year depending on government regulations, visit official site for the most accurate information.

Myth 5: There are hidden costs (books, exams, uniforms, etc.)

Truth: The funding covers exams, assessments and most learning materials. Employers may provide uniforms if needed, but there are no hidden fees for apprentices. Apprenticeship funding in the UK is designed to cover all the essential costs related to training and assessments so that learners do not face unexpected charges. This includes:

Exams and assessments

Learning materials

Uniforms and equipment are usually supplied by the employer.

Myth 6: Apprenticeships are only for people who aren’t academically strong

Exams and assessments

Learning materials

Uniforms and equipment are usually supplied by the employer.

Myth 7: Apprenticeships don’t lead to long-term careers

Truth: Apprenticeships often lead directly to permanent roles or promotion within a company. Many employers use them to develop skilled talent and completing an apprenticeship can enhance employability and career progression.

Myth 8: Apprenticeships are only in traditional trades

Truth: Apprenticeships now cover a wide range of sectors, from digital, finance, and law to healthcare and engineering. They are no longer limited to manual or technical trades and provide pathways into professional and highly skilled careers.

Myth 9: You can’t earn a degree through an apprenticeship

Truth: Degree apprenticeships allow learners to earn a full bachelor’s or master’s degree while being employed. Tuition fees are covered by the funding system, and learners gain practical experience alongside academic study.

Myth 10: Apprenticeships are only for young people starting their careers

Truth: Apprenticeships are available to anyone aged 16 and over. Adults seeking to upskill, retrain, or change careers are fully eligible, making apprenticeships a flexible option at any stage of life.

Now the main question is, how exactly does apprenticeship funding work in the UK?

How is apprenticeship training funded in the UK?

One of the biggest myths is that apprentices or their families must pay for training or borrow money to cover fees. The truth is apprenticeships in England are fully funded for apprentices.

The funding breakdown:

Employers’ role: Large employers pay an apprenticeship levy, a tax that contributes to apprenticeship funding. Smaller employers pay a smaller share or nothing, depending on their size.

Government support: The government matches employer contributions up to a set limit or covers the entire cost where employers pay nothing.

Training providers: The training programme itself, including qualifications, assessments and learning resources, is fully covered.

This system ensures apprentices never pay tuition fees or hidden charges. No loans, no grants, just fully funded training paid jointly by employers and the government.

How does the funding process work?

The funding is arranged between employers and government agencies through training providers. The following is a step-by-step guide for learners:

Step	Description
Find an apprenticeship	Search for apprenticeship vacancies online or through colleges and employers.
Apply and get employed	Once accepted, you become a contract and salary apprentice employee.
Training provider agreement	The employer arranges training through an approved provider who delivers the course.
Funding covers costs	Government and employer payments fully cover training costs; the learner pays nothing.
Ongoing support	Provider supports the learner with learning, assessments and progress until completion.

Note: Learners do not arrange funding or pay fees; this is managed by the employer and provider. Most apprentices have all core costs covered, allowing them to focus on learning and work experience.

How apprenticeship funding has changed for 2025

The UK government continually updates apprenticeship funding to increase access and improve standards. For 2025, key points include:

Ongoing full funding for apprentices aged 16 to 18 or 19 to 24, who have an Education, Health and Care (EHC) plan.

Funding caps and maximum contributions are set for each apprenticeship standard to control training costs.

As of 2025, funding is still widely available for adults, except for some very advanced apprenticeships (Level 7), which will see age restrictions beginning in January 2026.

Support for adults (over 24) and career changers remains available through the existing levy and co-investment model.

Incentives persist, including £1,000-£3,000 payments for hiring 16–18-year-olds or 19–24-year-olds with EHCPs (via the apprenticeship service).

These updates ensure apprenticeship funding remains a cost-free and viable route for learners of all ages.

If cost concerns hold back your apprenticeship dreams, remember:

You don’t pay for training.

You earn a wage while you learn.

You avoid debt and loans.

You join a supported, government-backed programme.

Apprenticeships are one of the most accessible and affordable ways to gain qualifications and valuable work experience in the UK in 2025. Learners from all backgrounds and ages can explore apprenticeships as a debt-free, practical career-building opportunity.

Shape your career with hands-on experience.

Want to enrol for an apprenticeship and start your career?

FAQs about apprenticeship funding in the UK

1. Will I be paid during my apprenticeship?

Yes, as an apprentice, you will earn a salary at least equal to the National Minimum Wage and receive dedicated time for training or studying as part of your apprenticeship.

2. Can I apprentice for free?

Yes, apprenticeships are free for learners. The cost of an apprenticeship is borne by the UK government and the employer. In fact, as an apprentice, you will also be eligible for minimum wages. So, unlike a full degree course, where you have to pay from your pocket, an apprenticeship pays you.

3. Do I need loans or grants like at university?

No loans or grants are needed for apprenticeships. It is a debt-free way to train and earn a qualification that employers value.

4. Can I combine an apprenticeship with studying elsewhere?

Apprenticeships require you not to be in full-time education elsewhere. You will be learning on the job and studying part-time with a training provider.

5. What if I am unsure if an apprenticeship is right for me?

You are welcome to ask questions. Contact apprenticeship advisers or providers for guidance and explore vacancy listings to find roles that interest you. Apprenticeships are flexible and designed to help you grow your skills while giving you hands-on experience.