The UK government is currently drafting a proposal to overhaul the existing apprenticeship funding scheme in England. According to reports, the new plan would require employers to pay 25% more to train workers over the age of 25 compared to younger apprentices. The primary objective of this policy shift is to combat a significant decline in youth apprenticeship participation, which has fallen by 40% over the past ten years.

This proposal stems from the government's response to a review conducted by Alan Milburn, which investigated the barriers preventing young people from entering the workforce. By making the training of older employees more expensive for firms, the government intends to shift corporate recruitment priorities back toward younger demographics. While the government views this as a necessary intervention to solve the youth jobs crisis, the policy effectively creates a financial penalty for businesses that choose to upskill their older workforce rather than hiring new, younger staff.