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New funding rules for apprenticeships have been introduced, impacting any apprenticeships starting after 1 August 2026. This could affect more employers than before as apprenticeships are becoming increasingly popular, with 308,770 starts between August 2025 and April 2026, up 8.7 per cent year-on-year. With results season over and September intakes finalised, employers weighing up apprenticeships need to understand how these changes might impact them. What are the new rules? The rules for apprenticeship funding change most years, so it is essential to keep up to date and be aware of how apprenticeships will be affected. The 2026/27 rules establish that: The minimum number of off-the-job hours training apprentices must complete is an absolute minimum of 187 hours – the actual minimum may vary based on the apprenticeship. Employers must keep the PAYE information in their Government apprenticeship service account accurate and up to date. Individualised learning records and planned end dates must not change when submitted – this applies even if the apprenticeship agreement is extended. Off-the-job training and active learning do not include English and maths as standalone qualifications, even if the apprentice requires it to do their work. At the end of the apprenticeship programme, the employer, provider and learner must agree that the training plan has been effectively delivered. How do funding changes affect the apprenticeship levy? For employers that pay the apprenticeship levy, the changes might be an added financial burden. The Government no longer makes a supplementary payment of 10 per cent and this is no longer added to new funds entering apprenticeship levy accounts. Where an employer does not pay the levy and the apprentice is older than 25, the employer co-investment rate is 5 per cent. However, if the levy payer was to have insufficient funds in their apprenticeship service account, the employer co-investment rate is 25 per cent. For employers who do not pay the levy, they will benefit from the Government funding all the apprenticeship training and assessment costs, up to the maximum amount. This applies to apprentices aged between 16 and 24 at the start of their training. Speak to an accountant Reaching out to an accountant can help you budget for the cost impact of the changes to apprenticeship funding, whether you pay or don’t pay the levy. Accountants can integrate apprentice hiring into cash flow forecasting and recruitment planning, tracking start dates and ages so employers can access the funding and incentives available. Reach out to our team for guidance on how the new apprenticeship funding rules might impact your business.

With temperatures breaking 30 degrees on multiple occasions in 2026, scorching heat is becoming the new normal. Consecutive heatwaves have wiped £4.4 billion from the UK economy, according to research from think tank Verdant . Heatwaves are predicted to become more common and more intense, likely costing UK employers further billions of pounds unless they are able to prepare. Where do the losses come from? After experiencing the fifth heatwave of the year, the Met Office reported that summer 2026 is on course to be the hottest on record . Every one degree over 30 has been linked to a three per cent fall in average output per hour, according to analyst calculations . The projected cumulative losses in productivity are expected to reach £25.6 billion by 2030 if trends in extreme heat continue. While the losses primarily come from reduced worker productivity, extreme heat can cause infrastructure and equipment malfunctions. Elsewhere, supply chains can be impacted through damage to roads and vehicles overheating. How could SMEs prepare? While there is no statutory maximum workplace temperature, there have been calls for the Government to compensate employees who are unable to work in the heat. The pre-existing legislation, outlined in the Health and Safety at Work Act 1974 , stipulates that workplace temperatures should not harm employee health. However, as heatwaves become more regular, there is a chance a maximum workplace temperature will be introduced. SMEs could begin to implement climate control in the workplace to prepare for future heatwaves, ensuring workers are comfortable during extreme heat. Creating heat plans for your company can help identify hazards early, with pre-prepared policies to be rolled out when the weather is hot. This might include a relaxed dress code, hydration breaks, flexible working hours and homeworking triggers that are agreed in advance. Where productivity is expected to dip, financial modelling can allow you to see what a few weeks of reduced output might mean for your company – the same approach taken to seasonal dips. Speaking to a specialist Accountants can build heat disruption into cash flow models to enable you to mitigate the impact of lower productivity on your revenue.  A specialist can check whether businesses might be eligible for capital allowances to invest in cooling and ventilation equipment, providing added funding or tax reliefs. Contact our team for advice on how to protect your business from the next heatwave.