National apprenticeship week commences on the 9 of February 2026

With this in mind, we highlight the key factors and relief methods to consider if you currently, or are looking to, hire an apprentice.

• An Apprentice National Minimum Wage rate is defined each April for apprentices under 19 or those within the first year of their apprenticeship. The current rate is £7.55 per hour, increasing to £8.00 from April 2026. Apprentices aged 19 and over who have completed their first year must be paid the appropriate National Minimum Wage rate for their age group.
• Employer’s National Insurance relief is offered for apprentices under the age of 25 up to the end of their apprenticeship. This is claimed by applying Category Letter H to the employee’s payroll record and using this within calculations.

The old Apprenticeship Levy has been reformed into the Growth and Skills Levy from the next academic year. This is funded by large employers with an annual NIable pay bill of over £3 million at a rate of 0.5% of the pay above this threshold.

The changes this brings are:

• Fully funded apprenticeships will be available for small and medium-sized employers who do not currently pay the levy.
• The government will no longer provide an additional 10% top up to account funds.
• The funds will expire after 12 months, down from the previous 24-month window.
• The co-investment rate for levy-paying employers will increase to 25%, from the previous 5%, once they have used all their account funds.

If you have any questions regarding your payroll obligations, please contact Ben Buckler on 023 8046 1277 or email Ben Buckler.