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National Minimum Wage Increase: What It Means for Apprentices and Employers in 2025

National Minimum Wage Increase: What It Means for Apprentices and Employers in 2025

The National Minimum Wage (NMW) increased on 1st April 2025 — a move designed to support workers with rising living costs and ensure fair pay across sectors. While this was welcome news, it also raises important considerations for employers, particularly those who recruit and support apprentices.

Let us explore what has changed, and how it could affect both apprentices and businesses — plus, why apprenticeships continue to offer incredible value.

What’s Changed?

From April 2025, the National Minimum Wage for apprentices has increased to:

£7.55 per hour

For apprentices aged 19+ who have completed their first year, the standard minimum wage for their age group applies — which is also increasing.

                                                                   Old Rate - New Rate

Apprentice (Under 19 or in first year) £6.40 - £7.55

18–20                                                      £8.60 - £10.00

21+                                                          £11.44 - £12.21


How Does This Impact Apprentices?

For apprentices, this is great news — a higher wage means more financial independence and a greater sense of value in the workplace.

Key benefits for learners:

✅ Increased confidence and motivation

✅ Ability to support themselves while training

✅ Debt-free learning — earn while you learn

✅ Real-world experience and nationally recognised qualifications

✅ Improved job prospects and career progression

Apprenticeships are becoming a viable alternative to university, giving learners the chance to gain qualifications while building their career from day one.

What Does This Mean for Employers?

While wage increases mean higher upfront pay, apprenticeships remain a strategic investment — with apprentices often contributing meaningful value within the first few months of their programme.

Key benefits for employers:

✅ Cost-effective training (up to 100% funded)

✅ Tailored learning aligned with business needs

✅ Improves retention by investing in people

✅ Encourages a culture of growth and loyalty

✅ Supports workforce planning and succession

✅ Live work-based projects offer instant ROI

Even with the wage increase, the benefits far outweigh the costs — especially when you factor in the funding support available and the long-term development of your team.

Top Tips for Employers

1. Review pay policies now – ensure apprentices are on the correct rate from 1st April.

2. Budget for the change – particularly if you are planning to recruit new apprentices.

3. Use your Levy or co-investment – training is fully or 95% government-funded.

4. Pay competitively – offering slightly more than minimum wage can help attract top talent.

5. Communicate clearly – share the increase with your current apprentices and celebrate it!

Apprenticeships: Still a Win-Win

With rising costs and skills shortages across industries, apprenticeships remain one of the most effective ways to grow talent, support economic mobility, and build a stronger workforce.

Whether you are an employer looking to build future capability, or a learner seeking a meaningful career path — apprenticeships continue to offer real-world impact. Contact Springfield Training today.