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Leadership & L&D

On Team Leader L3? The defunding doesn't affect you

If you started Team Leader Level 3 (ST0384) before 31 December 2025, nothing changes for you. Your funding, EPA, qualification, all the same. A clear reassurance guide for apprentices already on programme.

Rod Doyle & Lisa O'Reilly · 19 May 2026 · 5 min read

The headline

Nothing changes for you. Your funding is in place. Your EPA is scheduled. Your CMI / ILM Level 3 qualification will be awarded. Your skills coach continues with you. The defunding affects new starts only, and you're not a new start.

What you may have heard

You may have seen news articles or had your line manager mention that the Team Leader Level 3 apprenticeship (the technical name is ST0384) was "withdrawn" or "defunded" from the apprenticeship register at the end of 2025. That's true, but the language is misleading if you're already on the programme.

"Defunded for new starts" means: from 1 January 2026, no employer can put a new apprentice onto Team Leader L3. Funding for new starts on that standard is no longer available.

"Defunded for existing apprentices" would mean your apprenticeship was cancelled. That's not happening. Existing apprentices complete on the standard they enrolled on, with full funding, EPA, and qualification.

What stays the same for you

Your apprenticeship, unchanged checklist

Your funding. The apprenticeship service continues to fund your apprenticeship from your employer's levy as committed.
Your end-point assessment. EPA continues to be available for existing ST0384 apprentices. Your EPA gateway date and assessment plan are unchanged.
Your CMI Level 3 or ILM Level 3 qualification. The management qualification embedded in the standard is still awarded on completion. The qualification itself is not affected by the apprenticeship standard withdrawal.
Your skills coach. Same coach, same workshops, same monthly 1:1s. No change to the support you're receiving.
Your apprenticeship certificate. On successful EPA, you receive your apprenticeship certificate from IfATE confirming you've completed Team Leader Level 3.
Your off-the-job training time. Six hours per week as per your enrolment plan. No change.

What might be different around you (but doesn't affect you)

You might notice some things changing in your workplace or training. None of these affect your apprenticeship, but they might affect colleagues:

  • Your company might be running new cohorts on a different apprenticeship. Most employers replacing Team Leader L3 are moving to AI for Team Leaders Level 4 for new starts. That's at a higher level and includes AI modules. Doesn't affect you.
  • You might hear mentions of "the new programme". Same thing, that's about future new starts.
  • Your line manager may ask about your progression after EPA. Some companies are offering existing TL L3 graduates the chance to progress directly to L4. That's a positive option, but optional.

Your indicative timeline (typical TL L3 apprentice on programme)

Now

You're on programme

Continue with workshops, off-the-job training, coaching sessions and portfolio building as planned.

Month 9-12

Final third of programme

Portfolio finalised, project work consolidated, gateway preparation begins with your skills coach.

Gateway

Employer + provider confirm EPA readiness

Standard gateway process, skills coach, you, and your line manager sign off that you're ready for EPA.

EPA (3 months)

End-Point Assessment

Workplace observation, professional discussion, project, same EPA you were always going to do.

Completion

Apprenticeship certificate + CMI / ILM L3 qualification awarded

You finish with the same credentials any TL L3 apprentice has been finishing with for years.

Reminder: if you're more than 3 months from your EPA and you haven't heard from your skills coach in the last 4 weeks, it's worth a quick check-in. This isn't because of the defunding, it's normal practice, but it's a good moment to confirm everything's on track.

If you do want to progress to AI for Team Leaders L4 afterwards

This is optional, not required. Some TL L3 graduates choose to progress to AI for Team Leaders Level 4 (the new L4 standard) immediately after completing L3. Reasons people do:

  • Deepen management skills at L4 with formal CMI L3 stretch qualification
  • Add AI fluency that wasn't covered in the original ST0384
  • Career progression, having both a L3 and L4 apprenticeship on your CV is a strong signal

If you're interested, prior-learning recognition typically reduces your L4 duration by 2-3 months. Talk to your line manager and skills coach.

What to do if you have concerns

If anything you've heard about the defunding has made you worry about your apprenticeship, please reach out, this stuff matters and we'd rather you have certainty than worry.

Reach out

Three ways to get reassurance and a clear answer about your specific situation:

1. Your skills coach The fastest answer about your specific apprenticeship. Reach out directly via your usual contact channel.
2. Your employer's L&D team For broader questions about how your apprenticeship fits into your career path.
3. TESS Group directly Book a quick chat → if your skills coach isn't reachable for any reason.

FAQ

I'm worried my employer might cancel my apprenticeship because of the defunding. Can they?

Cancelling an apprenticeship mid-programme is something employers can do (with proper process) but the apprenticeship-standard defunding doesn't compel them to. Existing apprentices remain fully funded. If you're getting signals that your apprenticeship might be cancelled, that's a separate conversation worth having with HR.

What if my EPA organisation withdraws from offering ST0384 EPA?

EPA organisations occasionally do this, but a transition plan is required, usually they continue to assess existing learners through to completion or transfer them to another EPA organisation. Your skills coach and TESS will manage this if it arises. You don't need to do anything yourself.

Will the CMI / ILM Level 3 qualification still mean something on my CV?

Absolutely yes. CMI Level 3 Management & Leadership and ILM Level 3 are recognised credentials regardless of how you earned them. Employers care about the qualification and your demonstrated skills, not the apprenticeship-standard reference number.

Should I rush to finish faster because of the defunding?

No. The funding for you is in place for the planned duration of your apprenticeship. Rushing tends to mean lower-quality portfolio work and a weaker EPA grade. Take the planned time and aim for a strong result.

Frequently asked questions.

I'm currently on Team Leader L3. Am I affected by the defunding?

No. If you started ST0384 before 31 December 2025, you continue on the apprenticeship exactly as enrolled. Your funding is in place. Your end-point assessment is scheduled. Your CMI Level 3 or ILM Level 3 qualification is awarded on completion as normal. The defunding affects new starts only.

What does 'defunding' actually mean?

Defunding means that no new apprentices can start on this standard from 1 January 2026 onwards. Existing apprentices, including you, complete on the standard as planned. Funding to your employer for your apprenticeship is unaffected.

Will my EPA still happen?

Yes. End-Point Assessment for existing Team Leader L3 apprentices continues to be available. The EPA organisations that offer ST0384 EPA continue to deliver assessments for existing learners until the cohort is fully through.

Will my CMI / ILM qualification still be awarded?

Yes. CMI Level 3 Management & Leadership and ILM Level 3 Leadership & Management remain live qualifications. The awarding is not affected by the apprenticeship standard defunding.

Will my skills coach change?

No change. Your skills coach continues to support you through to gateway and EPA. If you have any concerns about your coaching, contact TESS Group as you normally would.

My colleague is enrolling in 2026, will they be on the same programme?

No. New apprentices in 2026 onwards go onto AI for Team Leaders L4 (or another current standard) instead. The training content is similar but at a higher apprenticeship level, with AI fluency added. It doesn't affect your programme.

★ Written by
RD

Rod Doyle

Director, TESS Group

Co-founder and director. Personally built Coachy, our AI tutor on Claude. Writes about the operational side of running an apprenticeship provider properly.

LO

Lisa O'Reilly

Director, TESS Group

Works with UK employers day-in day-out mapping levy spend to the right apprenticeship route. Writes about funding, transitions, and the buyer's view of the apprenticeship market.