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Apprenticeship Incentives 2026: How Employers Can Save Thousands While Hiring New Talent

by | Jun 7, 2026

Employers
With rising recruitment costs and ongoing skills shortages, more businesses are turning to apprenticeships as a cost-effective way to grow their workforce. In 2026, the Government has introduced one of the most generous employer incentive packages in over a decade, making it even more attractive to hire apprentices.
At Ginger Nut Training, we work closely with employers across the UK to help them access funding, reduce costs, and build high-performing teams through apprenticeships. Here’s what you need to know.

Up to £8,000 in Apprenticeship Incentives

Employers may now be able to access multiple apprenticeship incentives, with the potential to receive up to £8,000 per apprentice where eligibility criteria are met.
The main incentives include:
  • £1,000 Young Apprentice Payment
    For hiring apprentices aged 16–18, or 19–24 with additional needs (EHCP or care experience).
  • Up to £2,000 Foundation Apprenticeship Incentive
    Supporting employers who recruit individuals not yet ready for a full apprenticeship.
  • £2,000 Non-Levy Hiring Grant (from October 2026)
    Available to small and medium-sized businesses recruiting additional apprentices.
  • £3,000 Youth Jobs Grant (from June 2026)
    For hiring 18–24-year-olds on Universal Credit who have been out of work for six months or more.

Can You Combine Apprenticeship Incentives?

The key opportunity for employers is that some incentives can be “stacked”, meaning businesses may be able to claim more than one funding stream for the same apprentice.
However, there are important considerations:
  • Each incentive has specific eligibility criteria (age, employment status, programme type)
  • Not all incentives apply to every apprenticeship route
  • Funding combinations are subject to final government guidance and individual circumstances
  • Payment routes differ (some via training providers like Ginger Nut Training, others paid directly)
In reality, many employers could achieve £5,000–£6,000 in combined incentives, with £8,000 representing the maximum theoretical scenario.

Why Employers Choose Apprenticeships

Beyond financial incentives, apprenticeships provide long-term business value:
  • Build a skilled workforce tailored to your business
  • Improve staff retention and progression pathways
  • Access fully or largely funded training
  • Benefit from National Insurance savings for younger apprentices
  • Support your organisation’s social value and local employment impact

Find the Right Apprenticeship Training Provider

Choosing the right partner is key. At Ginger Nut Training, we specialise in:
  • Digital apprenticeships (IT, data, software, cybersecurity)
  • Business and administration apprenticeships
  • Marketing apprenticeships
We support employers with:
  • Candidate matching
  • Funding and incentive guidance
  • Compliance and paperwork
  • Ongoing apprentice development and support

Start Hiring Apprentices with Confidence

If you’re considering hiring an apprentice, now is one of the best times to invest in skills and access government funding.
Our team can help you:
  • Identify which incentives you qualify for
  • Maximise available funding
  • Build a successful apprenticeship programme

Get in touch with Ginger Nut Training today

Discover how apprenticeships can reduce your recruitment costs and grow your business.

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