UK government proposes apprenticeship reforms to favor younger workers

The UK government is considering proposals to change apprenticeship funding to encourage businesses to recruit younger people. Under the potential reforms, employers might be required to pay a higher share of training costs for apprentices aged 25 and over. While apprentices aged 16 to 24 would continue to receive full funding, employers could be required to contribute 25 percent of eligible training costs for older apprentices once levy funds are exhausted.

These considerations come as apprenticeship starts among younger age groups have reportedly fallen by approximately 40 percent over the last decade.

In a separate announcement, the government unveiled industrial strategy jobs plans aimed at expanding training in professional services, construction, and defence. Professional and business services firms have committed to recruiting 22,400 apprentices under the age of 25 annually over the next five years. Additionally, the construction sector aims for 40,000 annual placements, while the defence sector targets at least 14,000 annual apprenticeship supports by 2035.