Changes to the Level 7 Accountancy Professional Apprenticeship funding

What is changing from 1 January 2026?

• Level 7 apprenticeships will continue to be government-funded for young people aged 16-21, and under 25 for care leavers and those with an Education, Health and Care Plan (EHCP) at the start of their apprenticeship in England.
• Any apprentice who started a Level 7 apprenticeship before 1 January 2026 will continue to be funded through to completion. 

What does this mean for ICAEW apprenticeships?

• Those currently on the programme will remain on programme, fully funded.
• There are no changes in 2025 – apprentices who are onboarded and begin training before 1 January 2026 are fully funded through to completion.
• From 1 January 2026, levy funds can only be spent on the Level 7 apprenticeship for those under 22 , or under 25 as detailed above. 

We are aware that there are National Insurance contribution considerations for employers training apprentices and have reached out to HMRC and the Department for Education to get clarification on how this may change. We will contact employers via email once this is confirmed. 

Practical implications on recruitment and retention

• Level 4 students coming to the end of their studies, planning to complete their Level 7, may need to have their timelines reviewed in order to start their Level 7 before turning 22, for example, moving their End Point Assessment.
• A large number of graduates will still be eligible for funding, but those with extended routes to graduation, for example taking a gap year or studying on a four-year course, will fall outside the eligibility criteria , as they will be over 22 upon graduation. 

Alternative training routes and uses of levy funding

• Nothing for this route with change and will remain suitable for students starting the apprenticeship before they turn 22, with funding available until the completion of the apprenticeship.
• Prior Learning expectations, membership requirements, the Level 7 apprenticeship and eligibility will all stay the same. 

Apprenticeship route for students over age 22:

• These students will be eligible for the Level 4 apprenticeship. Funding for the Level 4 apprenticeship will increase from £8,000 to £12,000 from June 2025.  
• This route is suitable for those without a degree or a non-relevant degree.
• From here, students can then take their Level 4 End Point Assessment, which awards an exception for the Fundamental Case Study (FCS) exam and automatic awarding of the Business Finance Profession (BFP) designation. 
• Students can then move onto the seven remaining ACA exams (Professional and Advanced Level), with the ability to privately fund, or on a Level 7 employer-funded apprenticeship route.    

Non apprenticeship options for students aged over 22, with a relevant degree:

• These students will not be eligible for the Level 4 or Level 7 apprenticeship. 
• Relevant degree holders may still be eligible for exemptions, and this will be the most time efficient option. 
• Students will complete all elements of the ACA including the Certificate, Professional and Advanced Level exams. 

Level 6 Accounting Finance Manager Apprenticeship:

• We are currently collaborating with providers who are looking to offer this.
• We will not be the End Point Assessment organisation, so this route will be set up differently to the Level 4 and Level 7 apprenticeships. 
• We will look to maximise the accreditation for the ICAEW exams.
• If you have any further enquires on the Level 6, please speak to your relevant Further Education Institute (FEI) provider. 

Catch up with our on demand webinar, detailing the changes mentioned above. We surveyed employers during this webinar to help us identify questions and provide a holistic view of the reaction to these changes.

In addition, we will continue to gather knowledge and meet with tuition providers to ensure the information we are providing is confirmed and up to date. Your tuition providers will also be in contact to discuss the alternative training models touched on above. 

In the meantime, please contact your Business Development representative if you would like any further information.