What is the data telling us about Apprenticeships?
Insights
Added 13.01.25
The latest release of Apprenticeship data covering the 2023-24 period shows continuation in trends since the systems reform.
The headlines:
- The number of Apprenticeship starts are up by 0.7% compared 2022/23, but remain significantly down compared to the point at which the system was reformed.
- Advanced and Higher Apprenticeships continue to dominate making up almost 80% of new starts.
- The number of Apprenticeship achievements by quarter 3 are up by 9.8% compared to the same period in 2022/23, but remain down compared to the point at which the system was reformed.
What this demonstrates is that trends in enrolling current employees on higher level programmes, have accelerated. This trend, established during the introduction of the levy in 2017, highlights the benefits of using apprenticeships to bridge key skills gaps by developing capabilities in areas such as leadership & management, project management and in-demand tech skills.
At Intec, our own experience reflects this and surveys show the demonstratable benefits that employees gain from such programmes: Our learners report that they gained confidence, building a foundation to confidently take on a new role or additional responsibilities and over 95% stated that their apprenticeship prepared them for the next step in their career.
Where the reforms have not yet delivered is in the creation of opportunities for young individuals to start their career. Since 2017, we have seen the number of SME’s engaged in apprenticeships drop and the number of young individuals aged under 19 starting an apprenticeship fall from heights of 130,000 per year nearly 10 years ago, to just under 79,000 today. – a decrease of almost 40%.
Something needs to change to ensure that apprenticeships are still giving young people the opportunity to launch successful careers. In 2024 the number of 16 to 24 years olds not in education, employment or training has risen to a 9 year high. Although employers can access a £1000 incentive for every apprentice hired aged 16 – 18 and recent changes in employer NI contribution makes the breaks on apprentices under 25 more attractive. Employers may pay no NI on apprentices aged under 25 who earning less than £50,270 per annum. There is still work to be done to support the creation of new roles for young people.
The Government has a key role to play in creating an environment where employers are confident to recruit young apprentices. The employer NI break and incentive payment goes some way to enabling this to happen, the employer then needs a quality provider to deliver a high level of training and support the employment skills of young people.
At Intec, we are committed to doing our part to ensure every young person has the tools to succeed. We offer flexibility by extending the programme length by up to three months if they need extra time to build their confidence and skills. For those just starting their journey, we provide practical advice, including support with CV writing, interview preparation, and constructive feedback to help them shine.
Once they join, our tutors are there to guide them at every step, tailoring their approach to meet each learner’s individual needs. If English or maths is a hurdle, our functional skills tutors adapt lessons to make learning accessible and achievable. We also work closely with line managers, equipping them with the tools and guidance they need to support their apprentices effectively.
The latest data highlights both the successes and challenges of the current apprenticeship landscape. While it’s encouraging to see an increase in apprenticeship starts and achievements, as well as the growing use of advanced and higher-level programmes to address critical skills gaps, there’s a clear need to rebalance the system. Apprenticeships must continue to offer career-launching opportunities for young people, especially those under 19, while also supporting employers in building future-ready workforces. By investing in young talent and creating more entry-level opportunities, businesses can not only shape their pipeline of future leaders but also contribute to the long-term resilience of the economy.
Source: Apprenticeships: October 2024 - Official statistics announcement - GOV.UK (www.gov.uk)