29.05.2025

Apprenticeship schemes offer a win-win for both businesses and young talent.

Three quarters of businesses that train existing employees as apprentices see better staff retention, according to a report by the Department for Education. Meanwhile, an incredible 85% of employers cite developing skills as a key benefit of running apprenticeships.

Yet many leaders are reluctant to take on new apprentices.

In fact, apprenticeship numbers have fallen by 31% in England since the 2017 introduction of the government’s Apprenticeship Levy, found recent research by The Chartered Institute of Personnel and Development (CIPD).

In this article, we share four main benefits to setting up an apprenticeship programme – and explain how it can be a major driver for growth in your business.

What’s stopping leaders hiring apprentices?

While running an apprenticeship programme may be good for your bottom line, it’s not without its challenges.

Leaders may be put off from starting a scheme for many reasons, including worries over increased admin, having to comply with regulations, insurance costs and allocating extra time for providing mentorships, training and feedback.

Plus, managers may be unsure about the impact of bringing young people into a business. And the last thing they want is to invest in training an apprentice, only for them to leave and take their skills elsewhere.

A raft of business benefits

Recruiting top talent is tough – and retaining those superstars can be even trickier. This is especially true in sectors like technology, where UK employers are having to grapple with a growing skills gap.

But keeping a steady flow of fresh talent and new ideas coming into your business is essential if you want to stay competitive.

The pros of hiring an apprentice often far outweigh the cons. Here are four top reasons to consider hiring apprentices.

An injection of enthusiasm and energy

Apprentices bring fresh ideas, energy and skills, which are essential for fuelling innovation.

Along with an understanding of the latest technology, they also usually have the most up-to-date training on regulations, which benefits your business as they share this with colleagues.

They also use a multi-skilled approach, which improves productivity.

On top of this, they’re already in a training mindset, which is ideal for continual improvement.

Apprentices usually have a hands-on approach to learning that can’t be replicated in the classroom. This helps to increase productivity – putting you at a competitive advantage.

Training future leaders

Many organisations are facing a crisis with succession planning, which is essential to futureproof your business.

Half of CEOs said that developing the next generation of leaders was a top challenge for their organisation in a recent study by consulting firm DDI.

Apprentices are more likely to stay at an organisation, and therefore progress within it. And apprenticeship schemes can help you nurture talent from within, making sure that your organisation isn’t left facing a gap when older staff are promoted or retire.

In addition, investing in apprenticeships sends a powerful message to your existing staff that the business is committed to personal development, which can boost retention.

Strengthening inclusivity

One of the key benefits of taking on apprentices is that they can increase diversity in teams, bringing in different perspectives and ideas.

More diverse teams have been shown to outperform their rivals, and be more productive and innovative.

Mentors play an important role in apprenticeships too – and reverse mentoring can boost staff morale and loyalty by fostering a mutual understanding of different generations. And this all helps to build a stronger company culture.

Cost benefits

If you hire a skilled worker through a recruitment agency, you face paying 20-30% of the first year of their salary as a fee. But recruiting an apprentice doesn’t come with these costs – in fact, it should be free.

Forging relationships with local colleges or local training providers can be really helpful. It’s also worth exploring the government levy, which funds apprenticeship training, and other support available.

Meanwhile, paying the salary of a skilled worker costs much more than paying an apprentice.

How Make UK can help

Apprentices add a huge amount of value, playing a key role in helping businesses to grow.

And while running an apprenticeship programme is not without its challenges, these can easily be overcome with expert advice.

Make UK offers a package of support around apprenticeships to help you to navigate this complex area of business. Our specialists can help guide you through all aspects of how to start and run a successful apprenticeship scheme.

Please reach out to our Business Development Team to find out how we can help you to develop an effective apprenticeships strategy to future-proof your organisation.

To find out more about apprentices, call us on 0808 168 5874 or email [email protected].