Why a degree apprenticeship?

For most UK businesses, the financial logic behind degree apprenticeships is compelling. Large employers with a pay bill exceeding £3 million can utilize their Apprenticeship Levy to cover the entirety of training and assessment costs, effectively converting a mandatory tax into a high-value investment in human capital. Smaller organizations benefit from significant government co-investment, often covering 95% to 100% of costs, particularly for apprentices under the age of 25. Furthermore, the exemption from National Insurance contributions for younger apprentices provides a direct and immediate saving on payroll overheads.

Investing in a degree apprenticeship fosters a deep sense of reciprocity and long-term commitment within the workforce. Because the employer is facilitating a debt-free degree and a clear professional pathway, apprentices tend to demonstrate higher levels of loyalty than traditional hires. The structured three-to-five-year development plan provides a transparent career roadmap, which significantly reduces the risk of "job-hopping" often seen in early-career professionals who lack a clear sense of progression within their firm.

In an ever changing economy where it’s often difficult for employers to hold on to employees due to constantly changing circumstances, apprenticeships offer much needed stability when it comes to the retention of staff. In a survey conducted by the ESFA, it was noted that:

Employers experienced a wide range of benefits as a result of training apprentices. The most common was the development of skills relevant to their organisation (85%), while over three-quarters benefitted from increased productivity (78%). Amongst those who train existing employees as apprentices, improved staff retention was also commonly reported (76%).

Apprenticeships offer employers the ability to endow existing employees with the opportunity to develop themselves professionally – reaping rewards for both the company and the individual.

Degree apprentices are contributors rather than observers, often making a tangible impact on live projects within their first few months. This "earn while you learn" model drives immediate productivity and introduces fresh perspectives into the business environment. By attracting candidates from diverse backgrounds who might otherwise be deterred by the costs of traditional higher education, employers gain access to a broader pool of innovative thinkers who can challenge the status quo and drive organizational growth.