Apprenticeship Funding rules for 25/27

July 2, 2026
The government has released Version 3 of the Apprenticeship Funding Rules for 2025/27, and there are some important practical updates you need to be aware of.
Funding Opportunities

Key changes of funding rules from Version 2 to Version 3 (January 2026)

The key changes in Version 3 are relatively limited and mainly provide clarification and support for the ongoing transition to the reformed apprenticeship system:

 Assessment reform transition clarified – DfE confirmed that revisions to apprenticeship assessment plans will be introduced in phases from October 2025, with a transition period expected to last 12–18 months. Existing EPA-based assessment arrangements remain in place until standards are formally revised.

• Redundancy and standard-version changes – The rules were clarified to confirm that provisions relating to redundancy and changing to a new version of a standard apply to both new and existing apprentices, regardless of their original start date.

• Further assessment guidance added – Additional detail was included in Annex B and supporting guidance to help providers, employers and awarding organisations manage the transition from end-point assessment to the new assessment model.

• Policy and technical clarifications – A number of minor wording and compliance clarifications were made throughout the rules to improve consistency and interpretation rather than introduce major new funding policies.

 

Version 3 primarily clarifies how apprenticeship assessment reforms will be phased in between 2025 and 2027, confirms transition arrangements for existing apprentices, and provides additional guidance on the move away from traditional end-point assessment.

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