Apprenticeship Funding Guide for Employers
Maximise your investment. Grow your talent.
Apprenticeship Funding – Helping You Make the Most of Every Penny.
We’ll help you:
Access the right government funding for your size and sector
Understand how the Apprenticeship Levy or co-investment works
Make full use of your Digital Apprenticeship Service (DAS) account
Align apprenticeship training to your business goals
Our team will show you how to turn funding into a strategic investment in your people.
Whether you’re a small business or a large organisation, we can guide you through the process of funding your apprenticeships — from your first apprentice to your long-term workforce strategy.
Funding Options for Employers.
Option 1: Apprenticeship Levy Payers
If your organisation has a UK payroll of over £3 million per year, you will already be paying the Apprenticeship Levy — a government tax scheme designed to fund workforce training.
Levy funds are collected monthly via HMRC at 0.5% of your annual payroll.
These funds appear in your Digital Apprenticeship Service (DAS) account.
You can then use this digital fund to pay 100% of the training costs for both new apprentices and existing employees.
Use it or lose it: Levy funds expire after 24 months if unspent — so let NCC help you plan a pipeline of training that puts your funds to work.
We’ll help you:
Identify which apprenticeship standards match your workforce needs
Forecast levy spend across departments
Maximise your investment through smart use of unspent levy funds
Option 2: Co-Investment for Non-Levy Payers
If your business has an annual payroll under £3 million, you won’t pay the levy — but you can still access government funding.
Through co-investment, the cost of apprenticeship training is shared:
The government pays 95% of training and assessment costs.
Your business pays just 5%.
If your company has fewer than 50 employees, the government will pay 100% of the costs for apprentices aged 16–21.
Example:
If an apprenticeship costs £5,000, you’ll contribute only £250 — and we’ll guide you through every step of the process.
Option 3: Apprenticeship Levy Transfer
If you’re a non-levy employer, you may be eligible to receive transferred levy funds from a larger organisation that has unused budget.
Levy-paying employers can transfer up to 25% of their unspent levy funds to other businesses.
Transferred funds cover 100% of apprenticeship training costs for your new or existing staff.
Benefit for all: Larger employers meet their social responsibility and supply chain goals, while SMEs gain fully funded training.
We’ll Support You Every Step of the Way
When you work with New City College, we make the funding process simple and transparent.
Our Team will:
Help you set up your Digital Apprenticeship Service (DAS) account
Support you to reserve or draw down funding
Advise on levy transfer opportunities
Ensure paperwork and compliance are handled smoothly
Provide clear reporting on apprentice progress and outcomes
We do the admin — you focus on developing your people.
