Better Business / Member news
Boost for Bristol apprenticeships as funding shake-up favours small businesses
Major changes to apprenticeship funding announced in the Autumn Budget are set to create new opportunities for young people and small businesses across Bristol from next spring.
The measures, introduced alongside the Budget on November 26, include fully funded training for younger apprentices taken on by small and medium-sized enterprises (SMEs), a rise in apprentice pay and National Insurance relief for employers.
From April 1, 2026, apprenticeship training costs for under-25s hired by SMEs will be fully covered by the government. The move removes the previous employer contribution and is expected to encourage smaller firms to recruit apprentices, opening up additional entry-level roles across a range of sectors.
Apprentices will also see a pay rise, with the apprentice National Minimum Wage set to increase to £8 per hour from April, making work-based training a more financially viable route into employment.
Employers may benefit from further savings through National Insurance changes.
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From April, businesses may not have to pay Class 1 National Insurance contributions for apprentices who are under 25, on an approved UK government apprenticeship standard or framework, and earning less than £967 a week (£50,270 a year).
The exemption applies to the employer only, with apprentices continuing to pay their own contributions through their salary.
The Budget also signalled increased investment in sectors closely linked to apprenticeship pathways and future workforce demand. Priority areas include construction and infrastructure, digital and technology, green energy and engineering, healthcare and life sciences, and manufacturing and logistics.
Together, the changes are designed to make apprenticeships more attractive for employers while strengthening routes into skilled work for young people.
City of Bristol College is a trusted partner for both the apprenticeship sector and the employees within it
City of Bristol College is a trusted partner for both the apprenticeship sector and the employees within it and boasts a dedicated team who offer apprenticeship advice.
Whether you’re thinking of exploring the world of apprenticeships for the first time or looking to expand your team, the team is in place to support you through the recruitment process.
For more information, email [email protected]
All photos: City of Bristol College
City of Bristol College is a member of the Bristol24/7 Better Business network, an initiative to help businesses thrive while creating a positive impact on Bristol and the people who live here. As part of their membership, businesses can publish member news stories like this. For more information, visit my.bristol247.com/better-business
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