How to take on an apprentice
Information about employing an apprentice and how apprenticeship funding works.
Applies to England
Introduction
This guide explains what an employer needs to do and the things they need to consider if they want to employ an apprentice.
Using the apprenticeship service
All employers must use the apprenticeship service to access apprenticeship training to meet their business needs, filling skills gaps and boosting productivity.
Funding for your apprenticeship
If you pay the apprenticeship levy
Employers have to pay the apprenticeship levy if their annual pay bill is more than £3 million.
If you are a levy-paying employer you need to register for the apprenticeship service so you can manage your apprenticeship funds online. You will be able to pay for training and assessment from your account.
Once the apprenticeship has been confirmed, the government will apply a 10% top-up to the funds you have to spend in your account.
If you don’t have enough funds in your account to pay for apprenticeship training, you must pay 5% of any outstanding balance.
The government will pay the remaining 95%, up to the funding band maximum allocated to the apprenticeship you have chosen.
If you exceed the funding band maximum, you will need to pay all the additional costs.
If you do not pay the apprenticeship levy
As a smaller employer, who does not pay the apprenticeship levy, you will need to reserve funds for apprenticeship training in the ‘finance’ section of your apprenticeship service account. You can also give your training provider permission to reserve funds on your behalf.
We will ask you to make a 5% contribution to the cost of training and the government will pay the remaining 95%, up to the maximum amount of funding allocated to the apprenticeship you have chosen.
If you exceed the funding band maximum, you will need to pay all the additional costs.
You will pay your 5% contribution to your training provider over the lifetime of the apprenticeship training.
There are certain circumstances where the government will fully fund apprenticeship training costs, up to the funding band maximum. More information can be found in the apprenticeship funding rules.
What you’ll need to reserve funds
To start with you need to create an apprenticeship service account if you do not already have one.
Employers who do not pay the apprenticeship levy can reserve funds up to 3 months in advance of the expected apprenticeship start date.
From 3 April 2023, small employers who do not pay the apprenticeship levy are no longer limited to a maximum of 10 new apprenticeship starts – they are able to recruit as many high-quality apprentices as their business needs.
You will need to know:
- which apprenticeship training course the apprentice will be doing
- what month the apprenticeship training will start
Additional funding and support
You could also be eligible for additional funding and support depending on your apprentice’s circumstances. Find out more from the apprenticeship funding rules.
Employers and apprenticeships: things to check
1. Eligibility of apprentice
Examples include, but are not limited to:
- having the right to work in England
- spending at least 50% of their working hours in England
- being employed by you, a connected company or connected charity as defined by HMRC
2. Agreements to sign
Contract of employment
You must sign a contract of employment with your apprentice. This should give details including:
- pay
- working hours
- working conditions
Apprenticeship agreement
You must sign an apprenticeship agreement with your apprentice at the start of their apprenticeship. This gives details of:
- the skill, trade or occupation the apprentice is being trained for
- the name of the apprenticeship they are working towards
- the dates during which the apprenticeship is expected to take place
- the amount of off-the-job training they will receive
You can write your own apprenticeship agreement or download an apprenticeship agreement template.
Training plan
You must sign a training plan (previously known as a commitment statement) with your apprentice and training provider.
This sets out the training that will be delivered and how you, your training provider and the apprentice will support the successful achievement of the apprenticeship.
You should make sure that the person in your organisation that is managing the apprentice on a day-to-day basis is aware of the content of the training plan and any commitments that have been made.
3. My Apprenticeship Service
You should also make sure that your apprentices have confirmed their apprenticeship details on the my apprenticeship service.
4. Choosing a training provider
The relationship between you and your training provider throughout the apprenticeship is important. Use Find apprenticeship training to search for the right training provider and apprenticeship training courses.
You can also share your interest in a particular apprenticeship training course with all training providers. Training providers are then able to see and respond to the demand for training.
You and your training provider must agree a price for the total cost of each apprenticeship, including the cost of end-point assessment.
If you haven’t been able to find a suitable training provider for a particular apprenticeship training course, you can share your interest with all training providers.
You or your training provider can use the recruit an apprentice service to advertise apprenticeship job vacancies and manage applications.
5. Types of apprenticeships
Apprenticeships are designed by groups of employers with the support of the Institute for Apprenticeships and Technical Education (IfATE).
You can see the full details of each approved apprenticeship on IfATE’s website, including information about the assessment plan and the occupational maps.
Each apprenticeship relates to a specific occupation and shows what an apprentice will be doing and the skills required.
Find apprenticeship training for your apprentice.
To successfully complete an apprenticeship, your apprentice will need to complete an end-point assessment.
6. End-point assessments
End-point assessment (EPA) is an assessment of the knowledge, skills and behaviours that your apprentice has learned throughout an apprenticeship, which confirms that they are occupationally competent.
Assessments have been designed by employers in the sector and are conducted by independent assessment organisations.
Training providers or you (if you have chosen to undertake this role) must select an end-point assessment organisation (EPAO) as soon as possible at the beginning of the apprenticeship.
If your apprentice is working towards an integrated degree apprenticeship the training provider will complete the end-point assessment.
The apprentice will only get their apprenticeship certificate after they have passed all the elements of their EPA, including the required standards of English and maths.
For some apprenticeships, passing the EPA and completing the apprenticeship will also lead to professional recognition by an authorised body. This is outlined in find apprenticeship training and IfATE.
Find an end-point assessment organisation for your apprentice and agree a price with them for your apprentice’s EPA..
At least 6 months before the apprenticeship reaches gateway, your training provider (or employer if they have chosen to undertake this role) must contract with your chosen EPAO.
The cost of end-point assessment should not exceed 20% of the funding band maximum.
7. Certification
The apprentice will only get their apprenticeship certificate after they have passed the assessments at the end of their study. This demonstrates that they are occupationally competent.
When your apprentice successfully completes their apprenticeship, they will be awarded a certificate.
This is requested by the EPAO from the Department for Education (DfE).
Terms, conditions and pay
To employ an apprentice, you need to check and meet the following terms and conditions.
Your apprentice should:
- be 16 years old or older by the end of the summer holidays
- not be in full-time education
- work in a role that is relevant to their apprenticeship
- work enough paid hours each week to undertake sufficient training to achieve their apprenticeship
Apprentices can be new employees or current employees already working for you.
While we base the minimum duration of each apprenticeship on an apprentice who works 30 paid hours a week or more, there is no requirement, in terms of employment hours. Those who work less than 30 hours per week can still be an apprentice, but they will receive their training over a longer period.
You must:
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pay your apprentice at least the National Minimum Wage for apprentices
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give your apprentice a job role (or roles) that enables them to gain the knowledge, skills and behaviours they need to achieve their apprenticeship
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allow your apprentice to combine learning in the workplace with formal off-the-job training
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pay them for the time they are in work and in off-the-job training
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give your apprentice a contract of employment that is at least long enough to allow them to complete their apprenticeship successfully
Off-the-job training
At least 20% of an apprentice’s normal working hours (up to an average of 6 hours per week) must be used for off-the-job training. This ensures your apprentice will have the knowledge, skills and behaviours they need for their chosen occupation.
Off-the-job training is training done by the apprentice that is separate to their normal job role.
This can be done at a college or training organisation, on your premises or online, or using a combination of these options.
Some apprenticeships include a work-based qualification (from Level 2 up to degree level).
Your apprentice may also need to study for maths and English qualifications as part of their apprenticeship – this is additional to their occupational off-the-job training.
You can agree how all of this training will be provided when you choose a training provider. Read our off-the- job-training guide for examples of how this works in practice.
Apprenticeships in Scotland, Wales or Northern Ireland
We have set out the information for apprenticeship funding in England.
Apprentices must spend at least 50% of their working hours in England and have the right to work in England.
If you’re an employer in Scotland, Wales or Northern Ireland, you may also wish to contact your local apprenticeship authority in the devolved administrations.
Further support and information
- Visit the employer support help centre
Updates to this page
Last updated 7 August 2024 + show all updates
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Updated the guidance to reflect changes in the apprenticeship funding rules. Removed the section on ‘Incentive payments for hiring a new apprentice.'
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Updated guidance - small employers who do not pay the apprenticeship levy will no longer be limited to a maximum of 10 new apprenticeship starts.
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Added link to new guidance page 'Creating an apprenticeship advert'.
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Updated 'Commitment statement' section to include information about making sure the apprentice has confirmed their apprenticeship details.
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Updated section 3 'Choosing a training provider' to include information about sharing your interest in a particular apprenticeship training course if you haven’t been able to find a suitable training provider for that course.
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Update to include information on reserving funding for employers that do not pay the apprenticeship levy.
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The financial incentive scheme for taking on new apprentices has been extended from 31 January 2021 to 31 March 2021.
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Updated information about claiming incentive payments for hiring a new apprentice.
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Added information about new incentive payments for employing new apprentices.
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First published.