31 July 2026
Positive changes to employing under-25s as apprentices
The UK Government has exempted all eligible under-25s from apprenticeship costs for levy paying employers. Until now, once their levy funds have been exhausted, levy-paying employers had to contribute towards the cost of apprenticeship training, reducing the attractiveness of taking on additional young people.
As part of a range of announcements aimed at helping more young people into work and training, the UK Government has now said all eligible under-25s will be exempt from these fees.
Taken in conjunction with the removal of co-investment for non-levy payers for apprentices under the age of 25, this effectively makes all training for eligible under-25s free for all employers, regardless of size (other than the general levy payment).
The removal of the charge is a switch from the planned changes which would have increased the employer charge from 5% to 25%.
In addition, smaller employers can access up to £8,000 for each young apprentice, subject to conditions, as well as national insurance relief for apprentices aged under 25. This includes a new £2,000 hiring payment for non-levy employers taking on under-25 apprentices from October.
Read more about the Government announcement on apprenticeship changes.
As part of a range of announcements aimed at helping more young people into work and training, the UK Government has now said all eligible under-25s will be exempt from these fees.
Taken in conjunction with the removal of co-investment for non-levy payers for apprentices under the age of 25, this effectively makes all training for eligible under-25s free for all employers, regardless of size (other than the general levy payment).
The removal of the charge is a switch from the planned changes which would have increased the employer charge from 5% to 25%.
In addition, smaller employers can access up to £8,000 for each young apprentice, subject to conditions, as well as national insurance relief for apprentices aged under 25. This includes a new £2,000 hiring payment for non-levy employers taking on under-25 apprentices from October.
Read more about the Government announcement on apprenticeship changes.
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