The Apprenticeship Levy

The Apprenticeship Levy is a tax applied to UK employers to fund apprenticeship training. Any organisation with an annual salary bill above £3 million in England will pay a monthly sum into their Apprenticeship Levy fund. This is a ringfenced pot that your business can use to grow and develop your team through apprenticeships.

The Apprenticeship Levy is charged at a rate of 0.5% of your salary bill over the £3m annual threshold. Less than 2% of all UK employers pay into the levy.

Use our Levy Calculator tool below to estimate your available apprenticeship levy funds.

You can spend your Apprenticeship Levy funds on training and assessment costs for new apprentices, or for professional development apprenticeship courses for your existing employees.

Apprenticeships are an effective way to futureproof your workforce, bridging skills gaps at all levels, from junior employees right up to senior leadership programmes.

If you don't use your Apprenticeship Levy, you will lose your funds. Apprenticeship Levy contributions expire after two years and are claimed by the treasury. To control how your unused funds are used, you can arrange an Apprenticeship Levy Transfer to support another organisation, including charities and SMEs.