Employers – are you concerned about how much the budget will increase your wage bill?
Have you thought about the advantages of having an apprentice? Of course, it means you are training your employees your way and investing in your work force but in addition:
- From April 2025, for apprentices aged 16-18 years old the apprentice wage is £7.55 ph.
- For apprentices who are 19 years old and over the apprentice wage is £7.55 for the first year of their apprenticeship and then the National Minimum Wage for their age after that.
- Compare the apprenticeship wage to the NMW for 18-20 years old which is £10 or for those over 21 years and over 21 it is £12.21.
- And remember you do not need to pay Employer National Insurance Contributions for any Apprentice who is under 24.
- In addition, there is an Employer Incentive for taking on apprentices aged 16 – 18 years, of £1000 per apprentice.
***So, you get in-house trained staff and a lower wage bill***
For example:
If an employer has a 18 to 20-year-old apprentice, who is earning above apprentice rate but below National Minimum wage at for example £8.50 per hour, 40 hours a week. That would save the employer over £5000 for the first year, against if the employer has a 18-20 year old who is not an apprentice.