Hospitality firms across the UK are being encouraged to accelerate their apprenticeship plans to take advantage of existing funding opportunities before major changes come into effect later this year.
With 16 apprenticeship standards set to be removed from government funding before the end of the year, organisations that do not act quickly risk missing opportunities to upskill their workforce at little to no cost.
Steven Hurst, Director of Corporate Learning at Arden University, said the upcoming changes may require employers to rethink their talent development strategies, but added that there is still a critical window to benefit from existing funding routes.
“There’s a real opportunity right now for businesses to maximise apprenticeship funding before the deadline,” he said. “Organisations that act early can still enrol staff onto established programmes and make the most of funding before it’s no longer available.”
The government’s latest apprenticeship funding reforms will see several widely used leadership and management apprenticeships phased out, including Level 3 Team Leader/Supervisor, Level 5 Operations or Departmental Manager and Level 6 Chartered Manager Degree Apprenticeship.
The changes are designed to redirect funding towards areas of national skills shortage, particularly across entry-level roles and technical training. However, for many businesses, the removal of these programmes represents a narrowing window to invest in existing staff development.
“For organisations that have relied on these programmes to build leadership capability, the deadline is a decisive moment,” Hurst said. “Delaying action could mean losing access to fully funded training routes that have been central to workforce development strategies.”
Although the funding reforms mark a shift in priorities, businesses still have time to act.
Programmes affected by the changes will remain funded until autumn 2026, with some providers still able to offer them until December 2026. Employers can enrol current employees onto leadership programmes, accelerate planned training initiatives and maximise levy funding that may otherwise go unused.
“If you’ve identified skills gaps in leadership or management, now’s the time to address them,” Hurst added. “Waiting until after the deadline means those programmes will no longer be an option.”
Despite the withdrawal of certain management standards, a wide range of apprenticeships and training programmes remain fully funded, particularly those focused on technical and operational skills.
One option highlighted by Arden University is the Level 6 Project Manager Degree Apprenticeship, which continues to offer degree-level training and leadership development opportunities.
Unlike traditional management courses, project-based apprenticeships are designed to equip learners with practical skills in delivering complex initiatives, managing stakeholders and budgets, and driving organisational change.
“Modern businesses need leaders who can execute strategy as much as define it,” said Hurst. “Programmes like the Project Manager Degree Apprenticeship develop the exact skills organisations need to stay competitive.”
Alongside the funding changes, the government has introduced financial incentives to encourage businesses to hire new talent. These include grants such as a £2,000 payment for SMEs and a £3,000 Youth Jobs Grant, forming part of a wider push to create more than 200,000 new jobs and apprenticeships nationwide.
“For businesses looking to grow, this is a compelling moment,” Hurst said. “You can access funding to both upskill your existing workforce and bring in new talent in a highly cost-effective way.”
Hurst is advising employers not to wait for perfect planning before taking action.
“The organisations that lose out on levy funding opportunities are often those stuck in over-analysis, while expiry continues in the background. Operational discipline matters more than perfection,” he said.
With the deadline approaching, and some providers running last intakes as soon as September 2026, businesses that delay may lose out on funding that will not be replaced in the same form.
“This is a ‘use it or lose it’ moment for many employers,” Hurst concluded. “By reviewing your training plans now, enrolling staff where needed, and exploring alternative apprenticeships and training opportunities, you can turn these changes into a real competitive advantage.”
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