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Guide

Leadership & Management Apprenticeships: Levels, Funding & How to Choose

An employer's 2026 guide: the levels of leadership and management apprenticeship, what the levy still funds, and how to pick the right route for first-line managers through to senior leaders.

Rod Doyle & Lisa O'Reilly · 21 June 2026 · 9 min read
TL;DR Leadership and management apprenticeships develop managers on the job, from first-line team leaders up to senior leaders, with a recognised CMI or ILM qualification built in. In 2026 the picture is shifting: Team Leader (Level 3), Operations or Departmental Manager (Level 5), Coaching Professional (Level 5) and the Chartered Manager Degree Apprenticeship (Level 6) all lose government funding from 1 September 2026. The routes that stay funded are levy-funded AI leadership apprenticeships with CMI built in. TESS Group delivers these, plus standalone CMI and ILM qualifications. See the full range on our leadership and management apprenticeships hub.
Quick answer: which level do I need? First-line and new managers: Team Leader level, such as our AI for Team Leaders (Level 4) with CMI Level 3. Middle and operations managers: Level 5, such as AI for Operations Leaders with CMI Level 5. Senior leaders and directors: Level 7, such as CMI Level 7 Strategic Management and Leadership.

Leadership and management apprenticeships are one of the most cost-effective ways to develop managers, because the levy covers the training and your people learn while they work. The 2026 funding changes have reshaped the options, so here is a clear guide to the levels, what is still funded, and how to choose.

What is a leadership and management apprenticeship?

It is a structured development programme for people in, or moving into, management roles. Apprentices keep doing their job while building management skills through coaching, workshops and workplace projects, and they earn a professional qualification along the way, usually from the CMI (Chartered Management Institute) or ILM (Institute of Leadership and Management). Most are funded through the apprenticeship levy, so there is no fee to the learner.

The levels at a glance

Alongside these, TESS Group offers AI leadership apprenticeships that combine modern AI skills with a CMI qualification, so managers develop both leadership capability and the AI fluency their teams now expect.

What is still funded in 2026?

This is the big change. From 1 September 2026, several long-standing leadership and management standards lose government funding, including Team Leader (Level 3), Operations or Departmental Manager (Level 5), Coaching Professional (Level 5) and the Chartered Manager Degree Apprenticeship (Level 6). We map every defunded route to its funded replacement in our guide to leadership apprenticeships defunded in 2026.

The routes that stay levy funded are the AI leadership apprenticeships with CMI qualifications built in, which is why many employers are moving their management development onto them.

Funded routes TESS Group delivers

RouteLevelBuilt-in qualificationFunding
AI for Team Leaders4CMI Level 3Levy funded
AI for Operations Leaders4 / 5CMI Level 5Levy funded
CMI Level 5 Management & Leadership5CMI Level 5Standalone qualification
CMI Level 7 Strategic Management & Leadership7CMI Level 7Standalone qualification
ILM Level 3 Leadership & Management3ILM Level 3Standalone qualification

See everything in one place on the leadership and management apprenticeships hub.

How to choose the right route

  • Match the level to the role. First-line managers need Level 3 foundations; operations and middle managers need Level 5; senior leaders need Level 7.
  • Decide how much AI matters. If you want managers who can lead AI adoption in their teams, choose an AI leadership route with CMI built in rather than a traditional management-only programme.
  • Check funding and timing. If a route you were considering is being defunded in September 2026, switch to the levy-funded AI alternative, or start before the deadline.
  • Consider the qualification. CMI and ILM are both well recognised; CMI routes can lead to Chartered Manager status for senior managers.

Not sure which fits your team? Talk to TESS and we will map the levels to your roles and your levy.

Explore funded routes with TESS Group: levy-funded AI, leadership and management apprenticeships from Level 3 to Level 6, with CMI and ILM qualifications built in. Ofsted Good, 4.9/5 from 690 reviews, monthly cohort starts. Browse leadership & management apprenticeships →

Related reading: Leadership Apprenticeships Defunded in 2026 | Chartered Manager Degree Apprenticeship Guide

Frequently asked questions.

What levels do leadership and management apprenticeships come in?

They run from Level 3 for first-line and team leaders, through Level 5 for middle and operations managers, to Level 7 for senior leaders. Most include a CMI or ILM qualification, and some routes lead to Chartered Manager status.

Are leadership and management apprenticeships still funded in 2026?

Several lose government funding from 1 September 2026, including Team Leader (Level 3), Operations or Departmental Manager (Level 5) and the Chartered Manager Degree Apprenticeship (Level 6). Levy-funded AI leadership apprenticeships with CMI qualifications built in remain available.

Which leadership apprenticeship is right for a first-time manager?

A Team Leader level route. TESS Group's AI for Team Leaders (Level 4) includes CMI Level 3 and is levy funded.

Do leadership and management apprenticeships include a qualification?

Yes. Most include a CMI or ILM qualification, and the senior routes can lead to Chartered Manager status through the CMI.

Does TESS Group deliver leadership and management apprenticeships?

Yes. We deliver levy-funded AI leadership apprenticeships with CMI qualifications built in, plus standalone CMI and ILM qualifications from Level 3 to Level 7.

★ 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.

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