FUNDING UPDATE 2026

The Growth & Skills Levy: What's Changing

The Apprenticeship Levy is being replaced. Key deadlines are approaching. Here's what your organisation needs to know and do — before it's too late.

Your Levy Timeline

April 2026

Growth & Skills Levy launches. First modular AI and digital courses available. Levy expiry reduced from 24 to 12 months.

August 2026

10% government top-up on new levy funds ends.

September 2026

3 leadership & management standards defunded (Team Leader L3, Operations Manager L5, Senior Leader L7 — existing learners funded to completion).

October 2027

£2,000 incentive for SMEs hiring apprentices aged 16–24. Non-levy under-25 apprenticeships fully funded.

THE CHANGES

What This Means for You

12-Month Expiry

Levy funds now expire after 12 months, not 24. If you don't use it, you lose it faster.

No More Top-Up

From August 2026, the government stops adding 10% to new levy funds. Your pot is what you put in.

Higher Co-Investment

Once your levy runs out, you'll pay 25% of training costs, up from 5%. Plan ahead.

Standards Defunding

Three popular leadership standards lose funding from September 2026. Act now if you have learners in pipeline.

12mo
New levy expiry window
25%
New co-investment rate
£2,000
SME hiring incentive
200K
Jobs & apprenticeships target
YOUR ACTION PLAN

Three Steps to Take Today

1

Audit Your Levy Balance

Check how much levy you have left and when it expires under the new 12-month rule. Use our funding calculator to model your options.

2

Enrol Before September

If you're planning Team Leader L3, Operations Manager L5, or Senior Leader L7 apprenticeships, get learners enrolled before funding is withdrawn.

3

Explore Modular Courses

New short AI, digital, and engineering courses are available from April 2026. These can be funded through the Growth & Skills Levy for the first time.

ACT NOW

Programmes Affected by the Changes

Being Defunded (September 2026)

Enrol learners now — existing learners will be funded to completion.

New Modular Options

Available through the Growth & Skills Levy from April 2026.

Don't Let Your Levy Expire

Our Growth & Skills Levy experts will help you understand your options and plan your training strategy. Book a free discovery call with our team to discuss how to maximise your funding before key deadlines.

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