2025 apprenticeship changes: Are you ready?
Rebecca Ah-Chin-Kow · Posted on: September 1st 2025 · read
As many organisations prepare their teams for a September intake of apprentices, it’s crucial to stay updated on significant apprenticeship reforms that came into effect from 1 August 2025.
These reforms bring shorter and more flexible apprenticeships with the intention to boost economic growth, particularly in key areas of shortage - construction, health, and social care - and provide opportunities for an additional 10,000 apprentices per year.
Here’s what’s changed — and what you need to know:
Key changes for employers in 2025
Apprenticeships can now be as short as 8 months, down from the previous minimum of 12 months — provided all training and assessment requirements are met.
The 20% rule is replaced by set minimum OTJ hours per apprenticeship standard.
If an apprentice brings in relevant prior knowledge, you can reduce both duration and costs - but must still meet the minimum thresholds (e.g., 8 months, OTJ hours).
Foundation Apprenticeships launch in August/September 2025, open to 16–21-year-olds (and some 22–24-year-olds with Education, Health & Care Plans, Care leavers, those recently released from prison), with incentives such as £2,000 per learner, plus an extra £666 for progression to higher-level courses. These can be done at the same level or a lower level as the apprentice already has, if it supports learning new skills and English and Maths don’t need to be passed before the course ends.
For apprentices aged 19+, achieving Level 2 Maths and English is now optional at employer discretion — easing barriers to completion and increasing accessibility.
It is no longer a requirement to extend the planned end date for part-time learners. Previously, part-time, or term-time learners had to have their apprenticeships extended to take account of their reduced hours.
From April 2025, the Apprenticeship Levy is now the Growth & Skills Levy. Employers can allocate 50% of funds to non-apprenticeship training (e.g., Bootcamps, modular tech courses).
There’s also a governmental shift away from funding Level 7 (Master’s) apprenticeships from January 2026, with a stronger focus on lower-level training and youth routes.
The government has allocated £275 million to support technical education, covering training colleges, courses in AI/digital manufacturing, and infrastructure investments for providers.
Are you aware - And are you prepared?
Take a moment to reflect:
- Are your apprenticeship plan durations aligned to the new 8-month minimum, or still at 12 months?
- Have you updated your OTJ training records and schedules with fixed hours per standard?
- Do you have a process to assess prior learning reliably and document decisions?
- Have you explored Foundation Apprenticeships, especially given their incentives?
- Is your levy strategy aligned with the Growth & Skills Levy, maximising flexible use of those funds?
- Think beyond apprenticeships. With the Growth & Skills Levy, you can invest in upskilling, Bootcamps, or modular courses to build broader workforce capability.
The 2025 reforms bring welcome flexibility, clarity, and inclusivity—but success hinges on planning, compliance, and a focus on apprentice well-being.
Apprentices, many of whom will be entering work for the first time, will thrive with clarity and structure.
Here are some tips to make your apprenticeships a success
- Assign a mentor or buddy.
- Set clear milestones and feedback mechanisms.
- Prepare them for workplace expectations (e.g., timekeeping, workplace culture)
- Offer pastoral support for those from diverse or vulnerable backgrounds.
- Celebrate progress and inclusion.
- Keep motivation high with recognition events, graduation-style highlights, peer support groups, and inclusion of apprentices in broader team activities.
- Build relationships with your training provider to ensure alignment of your on and off the job training.
- Embed apprenticeships into your workforce planning - apprentices are the future of your organisation. Your existing workforce, line managers and the apprentices themselves need to understand how important they are to the future of your business.
If you have already have apprentices in your workplace, or you are exploring apprenticeships for the first time, HR Solutions can support you to ensure you are compliant with the rules in place.
