Reform UK has set out proposals that would see taxpayers subsidise part of the wages paid to young apprentices, as part of what the party is calling a "skills revolution." The party's education spokeswoman, Suella Braverman, announced that a Reform government would introduce an "apprenticeship wage credit," giving small and medium-sized firms a 30% rebate on the wages of apprentices aged 16 to 18.
Braverman also urged students collecting their GCSE results on Thursday to consider a trade rather than university, warning them against what she described as the "great university scam."
What is Reform UK proposing?
Under the plan, businesses taking on young apprentices would save an estimated £4,000 a year per apprentice through the wage credit. The party says the scheme forms the first of several measures intended to push annual apprenticeship starts to 600,000 by the end of the next Parliament, expected around 2034.
A separate element of the proposal would offer apprentices a £2,000 tax-free retention bonus if they remain with the employer that trained them for at least two years after finishing their apprenticeship, which Braverman described as rewarding those who "show loyalty."
Speaking at a press conference, Braverman said:
"We're firing the starting gun on unleashing a technical and vocational renaissance of homegrown skills."
"Reform will not do this because it fills us with some jingoistic pride but because we will do what it takes to save Britain from the perpetual doom loop of decline, debt and despair that we're currently in."
How would the scheme be funded?
Reform says the policy, including the retention bonus, would cost between £1.48bn and just under £2bn over five years. The party proposes covering this by barring foreign students from taxpayer-funded loans and eliminating what it terms "Mickey Mouse degrees."
When asked whether the policy could force some universities to close, Braverman said she did not anticipate closures but suggested institutions should "repurpose" themselves as construction or manufacturing colleges. Pressed for examples of degrees she considers low-value, she cited gender studies and golf course studies, saying:
"There's not a necessity, there's not a value in many of these degrees."
This is not the first time Reform has proposed using tax measures to reshape the labour market. The party has separately floated a tax on employers hiring foreign workers, designed to lower employer National Insurance costs for British staff in sectors such as retail and care.
What has the reaction been?
The British and International Golf Greenkeepers Association has previously pushed back against similar comments from Braverman, calling them "negligent and potentially damaging." Its chief executive, Jim Croxton, said golf course management is a growing field with more vacancies than qualified applicants, adding:
"Anyone successfully studying for a degree in this field is effectively guaranteed employment in a vibrant industry."
A Labour Party spokesperson said every young person "deserve[s] a clear route to a good career," whether through a fully funded apprenticeship, technical education or university. The spokesperson pointed to the government having already created "500,000 new jobs, apprenticeships and training opportunities to help young people earn or learn," including a guaranteed job for 18–24-year-olds who have been out of work for 18 months.
Conservative shadow education secretary Laura Trott said on Wednesday that while demand for apprenticeships exists, the Labour government "aren't doing enough to boost supply." She said the Conservatives' New Deal for Young People would scrap "dead end degrees that don't lead to jobs" and redirect funding toward apprenticeships to widen options for school leavers.
Prime Minister Andy Burnham has said he wants to see technical career pathways for teenagers that can compete with the traditional university route. The government has already moved to remove financial obstacles to apprenticeships elsewhere: some parents on benefits will be offered up to £4,500 a year to encourage their children into apprenticeship schemes, while a separate scheme offers employers £3,000 grants for hiring unemployed 18 to 24-year-olds.
Former minister Alan Milburn has been asked to examine why so many young people remain outside employment, education or training, a group commonly referred to as Neets.
Separately, more than 120 MPs and peers have called on Chancellor John Healey to review student loan repayment terms, focusing criticism on Plan 2 loans, repayment thresholds and interest rates — a debate that intersects with Reform's proposal to strip foreign students of access to taxpayer-funded loans.
What further detail has emerged since the announcement?
Braverman restated the policy on social media the same day, repeating the pledge of 30% wage support for young apprentices under the Apprenticeship Wage Credit, according to a post on X. Additional reporting from The Sun specified that the 30% wage contribution would apply for the full duration of an apprentice's course, with the overall scheme estimated to cost around £1.5bn over five years.
Meanwhile, the current government has already confirmed changes to apprenticeship funding due to take effect on 1 August 2026. According to official guidance, non-levy employers will receive full funding for training and assessment costs for eligible 16 to 24-year-olds starting from that date, while separate guidance confirms levy-paying employers with insufficient funds will need to cover 25% of training and assessment costs for certain new starts from the same date. A government announcement also states that a wider youth employment package includes free apprenticeship training for eligible under-25s and support worth up to £8,000 for small and medium-sized businesses that hire young apprentices. Separately, some apprenticeship standards are due to lose funding from 2026 as part of broader reforms, according to an industry training analysis.
What happens next?
The government's revised apprenticeship funding rules, including full funding for many 16 to 24-year-old starters, are due to come into force on 1 August 2026, according to official published guidance. Separately, the government's Jobs Guarantee scheme is scheduled to expand in Autumn 2026 to cover all eligible 18 to 24-year-olds on Universal Credit who have been seeking work for 18 months, according to a government announcement.
Key Facts
- Reform UK proposes a 30% wage rebate for small and medium-sized firms hiring apprentices aged 16 to 18.
- The party estimates the plan, including a £2,000 retention bonus, would cost £1.48bn to almost £2bn over five years.
- Funding would come from barring foreign students from taxpayer-funded loans and cutting what Reform calls "Mickey Mouse degrees."
- Government rules already set to take effect on 1 August 2026 will offer full funding for many 16 to 24-year-old apprenticeship starters.
- The Jobs Guarantee scheme is due to expand to all eligible long-term unemployed 18 to 24-year-olds on Universal Credit from Autumn 2026.
