Employers in England could have to cover a quarter of the training costs for older apprentices under proposals being considered by ministers, according to the Guardian. The reported plan would direct more funding towards young people taking apprenticeships, which combine paid work with vocational training. It is not an announced reform or a change to the rules already in force.
In its report published on 17 October, the newspaper says one option under consideration would allow funding from the growth and skills levy — a charge used to fund skills development and training — to cover 75% of eligible training costs for older apprentices. Employers would have to meet the remaining 25% themselves. This would change how costs are shared, rather than amount to an announced 25% increase in the price of training.
Eligible training costs for apprentices aged 16–24 could still be covered in full through the system. The difference in funding would be intended to encourage employers to offer apprenticeship opportunities to younger people.
Possible phased introduction from September 2027
According to the Guardian, ministers are considering phasing in the new arrangements from September 2027. That is a possible starting point, not a confirmed implementation date. For employers planning training, the distinction matters: the reported option is not a final set of rules, which has yet to be announced.
The newspaper describes the current mechanism as a levy on large employers with an annual pay bill exceeding £3 million. Charged at 0.5% of the total annual pay bill, it funds training and assessments. The proposed change would affect how much of the money in the system could be used to train older apprentices.
A spokesperson for the Department for Work and Pensions, quoted by the Guardian, confirmed the intention to focus the system on young people but said the department would not pre-empt the findings of the Milburn review. The details of any employer contribution therefore remain the newspaper’s account of a proposal under consideration, rather than officially approved funding rules.
