New £2,000 incentive for non-levy paying employers recruiting young apprentices
Posted: 1 October 2026 at 3:04 pm | Author: CAW Business School
Thinking about taking on an apprentice? New incentive payments could make growing your team more cost effective than ever!
From 1 October 2026, eligible employers (small and medium-sized businesses that do not pay the Apprenticeship Levy) can receive up to £3,000 in incentive payments if they take on a new apprentice, broken down as below:
- £1,000 incentive for any employer training an apprentice aged 16–18
- £2,000 incentive for non-levy employers recruiting a new apprentice aged 16–24
In addition to this, apprenticeship fees are now fully funded for under 25s employed by small/medium sized (non-levy paying) businesses.
The payments are designed to encourage more employers to give young people the opportunity to start their careers through an apprenticeship.
Better still, taking on an apprentice offers a number of other advantages:
- The National Minimum Wage for apprentices is currently just £8 per hour (from April 2026).*
- Apprentices can work full or part-time.
- Apprentices can be new members of the team or existing staff looking to upskill.
- Apprentices can be any age over 16.
- If you want to recruit a new apprentice, we can advertise your vacancy for free. We can even screen candidates and arrange interviews for you if you wish.
Interested in taking on an apprentice and want to check whether you’re eligible for incentive payments and funding? Request a call back and a member of our friendly team will get in touch.
Explore the apprenticeship programmes we offer here.