What are the apprenticeship rules for employers?

apprenticeship rules for employers

The essential apprenticeship rules you need to know

Apprenticeships are a fantastic way to build up a skilled workforce and develop talent within your organisation. But, as with any regulated training, there are some rules to follow. 

In this blog, we’ll outline the apprenticeship rules for employers to help you ensure you’re fulfilling your employer duties every step of the way. As a leading apprenticeship training provider, the experts at Damar Training have got you covered. 

Eligibility requirements for apprentices 

Firstly, there are some eligibility requirements that you will need to be aware of when hiring a new apprentice or looking to enlist an existing member of staff onto an apprenticeship. 

  • Age requirements: Apprentices must be at least 16 years old at the start of their apprenticeship – there is generally no upper age limit, however, at level 7, apprenticeships can only be funded for apprentices under 22 years old
  • Working in England: Your apprentice must work in England for at least 50% of their time – if they predominantly work in other areas, such as Scotland, they will need to undertake an apprenticeship within that region
  • A right to work in the UK: Apprentices must have the legal right to work in the UK, just like any other employee
  • Not undertaking full-time education: Apprentices cannot be in full-time education at the same time as undertaking an apprenticeship. 

*It’s also worth being aware that age can be a factor in determining the level of government funding. For example, apprenticeships are fully funded for SMEs for apprentices under the age of 22, and 95% funded for those 22 and over (100% funding will increase to those aged up to 25 in August 2026). 

Employer obligations

Employers of apprentices have certain responsibilities and obligations which they must fulfil at the start of, and throughout, the apprenticeship programme: 

  • The apprenticeship agreement: Every apprentice must have a written apprenticeship agreement in place before their programme begins
  • Training plan: You must agree to and sign the apprentice’s training plan (previously known as a commitment statement)
  • Off-the-job training: Apprentices must receive sufficient time within their normal working hours to undertake the off-the-job training set out in their training plan
  • Employment rights and pay: Apprentices have the same rights as other employees but the apprenticeship minimum wage (for apprentices under 19 or in the first year of their apprenticeship) is lower to reflect the investment you are making in their skill development.

Funding 

Apprenticeship funding rules determine how the training is paid for. 

Many organisations pay the apprenticeship levy – it applies if your payroll is more than £3 million and is charged at a rate of 0.5% of your annual pay bill with a £15,000 annual allowance, collected monthly through the PAYE system. 

If you’re a non-levy paying employer, then the government will fund 100% of the apprenticeship training for apprentices under the age of 22. They fund 95% of the training costs for those aged 22 and over.

Level 7 apprenticeships can only be funded for apprentices aged under 22, regardless of the funding source (government or levy).

For more information surrounding funding and costs, have a read of our blog posts: 

All apprenticeship standards are also assigned to a funding band. These were introduced alongside the apprenticeship levy, and are a set of upper limits that determine the maximum amount of government or levy funds that can be used for apprenticeship training and end-point assessment. 

Duration 

Wondering how long apprenticeships last? The government legal requirement is that apprenticeships last for a minimum of eight months. However, apprenticeships can take anywhere up to six years to complete. Duration will vary depending on the level and complexity of the training involved. 

If an apprentice wants to take an extended break from their apprenticeship, due to maternity leave, long-term sickness or other circumstances, then this break-in-learning must be recorded, and the apprenticeship date extended accordingly. 

Assessment requirements 

The final set of apprenticeship rules for employers are to do with the apprenticeship end-point assessment. This is distinct from any on-programme assessments or progress reviews conducted by the training provider, and is carried out by an independent end-point assessment organisation (EPAO) that is registered on the Register of End-Point Assessment Organisations

Before entering the end-point assessment, apprentices must pass through a ‘gateway’, which is when the employer (typically the apprentice’s line manager) and training provider confirm that the apprentice is ready for their assessment. 

If your apprentice fails their end-point assessment, they might be able to retake it, depending on the assessment plan for the standard. However, there could be funding implications which you should discuss with your training provider. 

If your apprentice is successful, they will receive an apprenticeship certificate upon completion, confirming their achievement and the grade attained. This certificate is recognised nationally and demonstrates that the apprentice has met the occupational standard. 

Learn more about what happens at the end of an apprenticeship by reading our detailed guide.

Take on an apprentice with the help of Damar Training

Here at Damar Training, we believe passionately in the power of apprenticeships to create real long-term value for organisations, and we know just how much potential they can bring. If you’re unsure about any of the apprenticeship rules for employers, we can guide you through the process – just get in touch. We’d be happy to help.

Looking for support from a training provider?