How to Use the Apprenticeship Levy Fund for Leadership Development in 2025

apprenticeship levy fund

For HR and L&D managers at enterprise-level companies in the UK, the apprenticeship levy fund presents a golden opportunity to fund high-quality leadership training without straining your budget. 

But how can you make the most of this opportunity in 2025?

At Instep, we’ve guided many businesses through this process, and we’re proud that 92% of clients say our courses directly resulted in an increase in productivity. 

In this guide, we’ll walk you through the steps to leverage apprenticeship levy funds for leadership development, to drive real results within your company.

Why Leadership Development Matters in 2025

The demand for skilled leaders is growing rapidly. 

According to a recent report, 84% of UK organisations anticipate a shortage of leadership talent in the next five years. 

This shortage underscores the importance of investing in leadership development now. 

Leadership development isn’t just about filling roles—it’s about creating innovation, driving employee engagement, and ensuring long-term business success. 

Effective leaders can inspire teams, drive strategic initiatives, and create a culture of continuous improvement. 

With the apprenticeship levy, you have the opportunity to address this gap while aligning the courses with your company goals.

What is the Apprenticeship Levy?

The apprenticeship levy is a UK government initiative designed to encourage employers to invest in training and development

If your company has an annual payroll of over £3 million, you’re required to pay 0.5% of your payroll into the levy. 

These funds can then be used to cover the cost of apprenticeship training, including leadership development programs. 

This initiative not only helps in developing a skilled workforce but also ensures that companies are investing in their employees’ growth and development. 

By utilising these funds effectively, your business can enhance its leadership capabilities without incurring additional costs.

Step-by-Step Guide to Using Levy Funds for Leadership Development

1. Assess Your Leadership Development Needs

The first step in leveraging apprenticeship levy funds is to assess your leadership development needs. 

Start by identifying the skill gaps within your organisation. 

For example, do you need to develop mid-level managers or prepare senior leaders for strategic roles? 

Conducting this thorough needs assessment will help you understand where your organisation stands and what areas require improvement.

 Align your leadership development goals with your company’s broader objectives, such as improving EDI (Equality, Diversity, and Inclusion) or driving innovation to spark improved results. 

This alignment ensures that the leadership programmes you choose will support your overall business strategy and contribute to achieving your long-term goals.

2. Choose the Right Leadership Program

Once you have identified your needs, the next step is to choose the right leadership programme.

Look for apprenticeship programmes that focus on leadership development and are aligned with the Apprenticeship Standards set by the UK government. 

These standards ensure that the programmes meet the required quality and relevance.

Instep UK offers tailored leadership courses that combine cutting-edge training with a strong emphasis on experiential learning, ensuring your leaders are equipped to drive tangible growth within your business. 

3. Partner with a Trusted Training Provider

Not all training providers are created equal. 

It’s crucial to choose a provider with a proven track record in leadership development and a deep understanding of the apprenticeship levy. 

A trusted provider will offer programs that are not only effective but also compliant with the levy requirements.

Instep UK works closely with HR and L&D teams to design tailored programmes that maximise levy funds while delivering real, measurable results. 

By partnering with a reputable provider, you can ensure that your leadership development initiatives are in capable hands and will deliver the desired outcomes.

4. Access Your Apprenticeship Levy Fund

To access your levy funds, you need to register for an apprenticeship service account. 

This account allows you to manage your levy funds and allocate them to the appropriate training programs. 

Use the funds to cover up to 100% of the training costs for your leadership apprenticeships. 

This financial support makes it easier for companies to invest in high-quality leadership development without worrying about the budget. 

By effectively managing your levy funds, you can ensure that your leadership programmes are fully funded and can proceed without financial constraints.

5. Implement and Make the Most of the Leadership Courses

Once you have chosen the right programmes for your team and accessed your levy funds, it’s time to implement and monitor the leadership course. 

Encourage line managers to support learners throughout the process, set clear goals and milestones to motivate them to succeed. 

Also, during the Instep courses, learners will undertake a project as part of their course with is intended to positively impact your business. 

So don’t just see the leadership courses as textbooks and workshops. 

Instead, realise that our courses are a springboard for your team to grow within their roles and gain the skills to help your business succeed, whatever that may look like in your company. 

Setting some clear goals and milestones will help you track progress and measure the success of these courses. 

Learners will get expert help from tutors and coaches, but it’s important you buy in to their learning journey, regularly assess progress and gather feedback to ensure the course meets your organisation’s needs. 

By staying proactive and responsive, you can ensure that your leadership development initiatives deliver the results you want.

How Instep UK Helped Stakehill Industrial Estate. 

Stakehill Industrial Estate utilised the apprenticeship levy and created a business community across various employers through leadership training. 

By partnering with Instep UK, they were able to develop a cohesive leadership strategy that improved communication and collaboration among different companies within the estate. 

This real world example demonstrates the tangible benefits of investing in leadership development and how it can drive positive outcomes for businesses. 

By leveraging the apprenticeship levy, Stakehill Industrial Estate were able to enhance their leadership capabilities and create a more collaborative and productive work environment.

Why Choose Instep UK for Leadership Development?

At Instep UK, we specialise in creating leadership development programs that:

  • Are fully funded through the apprenticeship levy fund.
  • Integrate EDI principles to promote inclusive leadership.
  • Deliver measurable results for your organisation.

Our expertise in leadership training and apprenticeship levy funding ensures you get the most out of your investment. 

We work closely with our clients to understand their unique needs and design programmes that address their specific challenges. 

By choosing Instep UK, you can be confident that your leadership development initiatives will be effective, impactful, and aligned with your business goals.

Unlock Your Apprenticeship Levy Potential in 2025

The apprenticeship levy fund is there to be taken advantage of. 

See it as a strategic tool for building the leaders of tomorrow, within your workplace. 

Investing in your team can bring some huge advantages, such as less staff turnover, generating more productivity and morale, and helping to bring in a better pool of talent during recruitment. 

By partnering with Instep UK, you can transform your levy funds into a powerful driver of leadership development.

Gain tailored leadership courses at several different levels of seniority, and receive expert guidance to help you maximise the potential of your levy funds and achieve your leadership development goals.

Ready to get started? 

Contact Instep UK today to learn how we can help you maximise your apprenticeship levy fund for leadership development in 2025.

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