Government announces £725m apprenticeship reforms, creating 50,000 new opportunities
The UK Government has announced a major £725 million package of apprenticeship reforms designed to boost youth employment and expand access to work-based training. The changes are expected to create around 50,000 additional apprenticeship opportunities for young people over the next three years.
Key points from the announcement
The Government will remove the 5 per cent employer co-investment for small and medium-sized employers, meaning the full training cost will be covered for eligible apprentices aged under 25.
The reforms include new Foundation Apprenticeships, opening up additional entry routes in sectors such as hospitality and retail.
From April 2026, new short, flexible training options often described as apprenticeship units or short courses will launch in priority areas including AI, engineering and digital skills.
The reforms sit within a wider youth employment package which also includes work experience guarantees, training support and job interview commitments for young people.
What this means for employers
The removal of co-investment is expected to make apprenticeship recruitment more accessible for smaller employers by reducing cost barriers. New short courses and foundation routes will also give organisations more flexibility to train staff and develop early talent pipelines in high-demand skill areas.
What this means for learners
Young people will see a wider range of funded routes into work-based training, including new sector entry points and access to modular skills programmes. The reforms are intended to strengthen pathways into technical and industry-based careers, particularly for those not currently in education or employment.
Further information
Full eligibility criteria, programme timelines and updated funding rules will be published by the Government in due course. Employers, providers and prospective apprentices should refer to the official GOV.UK guidance, as further details become available.
Source: GOV.UK: 50,000 more young people to benefit from apprenticeships