Benefit from an Apprenticeship Levy & Strategy Audit  

The levy is a government initiative introduced in April 2017 and is a UK tax paid by large employers to fund apprenticeship training.

Levy facts:

- Requires large employers (including schools and MATs) with a wage bill over £3 million to contribute 0.5% of their total payroll.

- Funds collected are allocated for apprenticeship training.

- The levy is paid into a central digital apprenticeship service (DAS) account that employers can access.

- Funding is available for new and existing employees age 16+ (no upper age limit).

- Training must be delivered by an approved training provider, such as LMP Education.

- Apprenticeship levy funds expire after 24 months (soon to be 12 months) and then they are returned to the government.

The apprenticeship levy can only be spent on apprenticeship training and assessments.

The levy funds can be used to upskill existing staff and train new apprentices.
While the levy cannot cover staff wages, it’s a fantastic way to enhance professional development and benefit your workforce.

Use your trust’s levy funds to empower your team and create new growth opportunities!

The UK government has recently introduced significant reforms to the apprenticeship system to enhance workforce development and address skills shortages.

Key changes include:

1. Major Reform: Growth & Skills Levy Replacing Apprenticeship Levy
• The existing Apprenticeship Levy will be replaced with a new Growth and Skills Levy.
• The introduction of Foundation Apprenticeships will provide young people with direct entry into critical sectors, allowing them to earn while developing essential skills.

2. Autumn Budget 2025 Changes Affecting Levy Usage
• The 10% government top-up on levy funds will be removed from mid-2026.
•  Levy funds will have a 12-month spending window before expiry, rather than being available indefinitely — meaning unused balances could be lost sooner if not planned.

3. Enhanced Flexibility in Training Requirements
English and Maths Requirements: For apprentices aged over 19, employers now have the discretion to decide whether Level 2 English and maths qualifications are required, addressing previous barriers to apprenticeship completion.

4. Shortened Apprenticeship Durations
The minimum apprenticeship duration has been reduced from 12 to 8 months for some occupations, effective from August 2025. 

5. Levy Transfer (Gifting) and Strategic Use of Unused Funds
•  Levy-paying employers can now transfer up to 50% of unused funds to other businesses or organisations — up from 25%.
• This can be a strategic tool for MATs or large employers to support local partners, supply chains, or sector initiatives

LMP Education provides a free recruitment service and levy strategy support for organisations looking to bring in apprentices. We’re here to make the process as simple and rewarding as possible — so you can focus on nurturing new talent and strengthening your school team.

As soon as your role is posted, LMP Education will carefully screen applicants for eligibility and invite suitable candidates to complete an application form. We will support you through the candidate selection supplying you with candidate bios, CVs, and completed applications to review. Once a shortlist is selected, we will help facilitate the interviewing process.

Once you’ve found the perfect match, let us know! We’ll guide you and your new apprentice through the onboarding process, making sure everything is set up for success.

Once your apprentice starts their role, and their apprenticeship enrolment is finalised the LMP Education Team will still be with you every step of the way, providing ongoing support until your apprentice successfully completes their programme.