Incentives & Grants
Whether you’re taking on your first apprentice or expanding your existing workforce, our team can help you identify the support available and guide you through the application process.
Financial support to help you recruit and develop apprentices
Hiring an apprentice is one of the most cost-effective ways to grow your workforce.
Alongside the long-term benefits of developing skilled talent, many employers can also access government funding, grants and financial incentives to reduce the cost of recruitment and training.
Below, find a comprehensive guide to the funding and incentives that could be available to you.
£1,000 Young Apprentice Incentive
Employers can receive a £1,000 payment when recruiting an apprentice aged 16 to 18, or an apprentice aged 19 to 24 who has an Education, Health and Care (EHC) Plan or is a care leaver.
Available to employers of all sizes.
£2,000 Foundation Apprenticeship Incentive
Businesses offering a Foundation Apprenticeship to a young person aged 16 to 21 (or qualifying learners aged 22 to 24) may be eligible for a £2,000 incentive payment.
This funding is designed to support progression into a full apprenticeship and encourage employers to invest in future talent.
Available to employers of all sizes.
£2,000 Non-Levy Recruitment Grant
Eligible non-levy paying employers may receive up to £2,000 when recruiting an additional apprentice aged 16 to 24.
To qualify, the apprentice must not have been employed by your organisation within the three months before their apprenticeship begins.
Available to non-levy paying employers starting October 2026.
£3,000 Youth Jobs Grant
Businesses may be eligible for a £3,000 grant when recruiting an 18 to 24-year-old who has been claiming Universal Credit and actively seeking employment for six months or longer.
This funding helps employers create new employment opportunities while supporting young people into sustainable careers.
Available to employers of all sizes.
Additional Financial Support
National Insurance Relief
Employers do not pay Employer National Insurance Contributions for eligible apprentices under the age of 25, provided their earnings remain below the relevant annual threshold.
This can significantly reduce the overall cost of employing an apprentice.
Apprenticeship Funding
For many apprentices aged under 25, eligible non-levy employers pay no training costs.
Where employer contributions do apply, funding is often available through the Apprenticeship Levy Transfer scheme, helping to minimise or remove training costs altogether.
Care Leavers’ Bursary
Apprentices aged 16 to 24 who have care experience are entitled to a £3,000 tax-free bursary, paid alongside their apprenticeship salary to help support them throughout their programme.
Not sure what you’re eligible for?
Funding rules can vary depending on the age of the apprentice, your organisation’s size and your levy status. Our Future Skills and Growth team will help you identify the incentives available to your organisation and manage the funding process from start to finish.
Get in touch today to discuss your options.
Frequently Asked Questions
Most employers are eligible for some form of apprenticeship funding or financial support. The funding available depends on factors such as the size of your organisation, whether you pay the Apprenticeship Levy, the age of the apprentice and the apprenticeship programme they are undertaking.
Our team can help you understand exactly what your organisation is eligible for.
Not always. Many employers pay little or no training costs, particularly when recruiting younger apprentices. Non-levy paying employers can often access fully funded training, while levy-paying employers use their Apprenticeship Levy funds. Additional support may also be available through Levy Transfers.
Yes. In many cases, employers can combine multiple funding streams and incentives, depending on eligibility. For example, your organisation may benefit from apprenticeship funding alongside recruitment grants, National Insurance relief or Foundation Apprenticeship incentives.
We’ll help identify every funding opportunity available to you.
Employers with an annual payroll above the government threshold pay into the Apprenticeship Levy and use these funds to pay for apprenticeship training. If you’re unsure whether this applies to your organisation, our team can advise you.
Most small and medium-sized businesses are non-levy paying employers. These employers can often access significant government funding towards apprenticeship training, meaning the cost of developing new talent is much lower than many businesses expect.
The process is straightforward. Once you’ve decided to recruit an apprentice, we’ll guide you through the paperwork, confirm your eligibility and support you with any funding applications as part of the onboarding process.
Yes. We provide a complete recruitment service at no additional cost. From advertising your vacancy and screening applicants to arranging interviews and supporting onboarding, we’ll help you find the right apprentice for your business.
UCS College Group delivers over 120 apprenticeship programmes, from Level 2 through to Degree Apprenticeships, across a wide range of sectors including Engineering, Construction, Business, Digital, Health, Early Years, Hospitality, Manufacturing, Professional Services and many more.
Absolutely. Funding rules can be complex and change regularly. Our Future Skills and Growth team will explain your options, identify any grants or incentives your organisation may qualify for, and help you maximise the support available.
Simply get in touch with our team. We’ll discuss your recruitment needs, explain the funding available, and support you through every stage of the apprenticeship journey.
Email: business@ucscollegegroup.ac.uk
Telephone: 01278 655111
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