Apprenticeship programmes can be funded under the new levy system.  The cost of apprenticeships will not be fixed, although they will be capped depending on their funding bands.  Employers who pay the levy will be able to use this levy money with Waterside.  Our programmes and service go far beyond the minimum requirements for apprenticeships, with a clear aim of attracting the best individuals and delivering high quality in-depth industrial training for our client employers.  We are happy to discuss the cost of apprenticeships depending on your business needs.

Dependant on the size of your company and the age of your apprentice will depend on the cost associated to your apprenticeship standard. At the start of the apprenticeship, a skills scan assessment is completed to establish the starting point of the apprenticeship as well as to establish any prior knowledge, qualifications or experience of the apprentice. This enables us to calculate the overall funding available for the apprentice, in line with the skills assessment and apprenticeship standard cost bands.

Levy Paying

If you are a Levy paying company, the apprenticeship costs can be supplemented by your Digital Apprenticeship Account. This applies, if you have an annual pay bill of more than £3 million, that you contribute through your PAYE account.

You will pay monthly into the apprenticeship levy through the payroll system to the HMRC (this is 0.5% of your annual pay bill that is contributed through HMRC).

Levy funds are stored in your DAS account which can be used to fund apprenticeship training but must be used within 24 months.

Non-Levy Paying

For Non-Levy companies, this means you have an annual pay bill of less than £3 million, known as co-investment. You will need to pay 5% towards the cost of training at the start of the apprenticeship programme and agree a payment schedule.

The government will pay the rest (95%) up to the funding band maximum.

You qualify if you employ less than 50 employees and your apprentice is aged 16-18 or 19-24 years old and has been in care or has an Education Health Care Plan. The government will fund 100% of the apprenticeship training cost.

If your apprentice is aged 19+ or you have more than 50 employees you will contribute 5% towards the cost of your apprenticeship with the government paying the rest of 95%.

Payment plans are available to companies paying the 5% contribution and can be agreed at the start.

Download the apprenticeship guidance document to set up your DAS account. User Guide Approving a Cohort on the Apprenticeship Service 

Incentive Grants of £1,000 may be accessible through the DAS or Government permitting at the start of the apprenticeship should the apprentice be aged 16-18 years old or be 19-24 and have been in care of have an Educational Health and Care Plan. The payment is made in two instalments during year 1.

More information regarding the Levy can be found at Pay Apprenticeship Levy – GOV.UK

VAT: Payments for the above are exempt from VAT if paid from the employer’s apprenticeship levy account.

If the employer is required to co-invest 5%, VAT will be added to this element.

Please note, if an apprentice fails any part of the EPA, all EPA re-sit charges will be applied at the set rate of the EPA organisation for each re-sit element plus 15% administration fee and be paid by invoice on application.


As part of the funding requirements, you as the employing company must provide to both the apprentice and training provider the following information;

  • Apprenticeship Contract of Employment
  • Allow the apprentice to complete at least 6 hours of off the job training
  • Site based assessment and sign off all required documents in line with the EPA requirements
  • Ensure you have a qualified site representative to mentor the apprentice that is qualified to Level 3 status or higher than the apprentice
  • Attendance at review meetings to discuss performance is required by the mentor of the apprentice
  • You must set up your DAS Digital Apprenticeship Service Account and select your training provider to grant permissions to reserve funding and add apprenticeship details and adverts on your behalf at the start of the recruitment process.
  • If you are a non-levy company, you will need to reserve your apprenticeship funds on your DAS account at the start of the recruitment process and link to the training provider or you may lose your reservation and your apprentice funding can start later. Please ensure you reserve your funding early to secure your funding entirely.
  • Provide a copy of your Employers Liability Insurance prior to commencing the apprentice.
  • If you are a new company a Health & Safety assessment will be required to ensure the workplace is safe for an apprentice to work within your company.
  • You must be able to provide a young persons risk assessment within your health and safety processes.
  • You must pay your apprentice adequately in line with the National Minimum Wage payments through your PAYE payroll to the HMRC and provide your Payee number.

Our apprenticeship team have a wealth of expertise to provide effective training and recruitment services, to help develop both small and large organisations to meet their business requirements by finding cost effective solutions to upskill the workforce via either technical training or apprenticeship programmes.

Waterside will work with your organisation to provide a tailored apprenticeship programme that suits the needs of your business, to help in providing this service we can provide;

  • Training Needs Analysis
  • Aptitude Testing
  • On Boarding Recruitment Service
  • Funding Guidance
  • Dedicated Account Management

In providing our tailored apprenticeship programme for your business, we will ensure that the apprentice gains the appropriate qualifications, work experience and skills to meet the needs of your business.

Call now on 01744 616837 to discuss your apprenticeship opportunities in how you can brighten your future in recruiting an apprentice through Waterside Training.

Please call 01744 616 837 or contact us for more details