A guide to degree apprenticeships for 2026

Introduced by the UK Government in 2015 to bridge critical skills gaps, degree apprenticeships have rapidly transformed the higher education landscape. By combining rigorous academic study with practical workplace experience, they offer a compelling, debt-free alternative to the traditional university route.  

The demand for these programmes is surging. However, for training providers, universities, and employers, delivering these programmes compliantly – especially amidst the new January 2026 funding restrictions – presents significant operational challenges.  

To help navigate this shifting landscape, this guide covers everything prospective learners, upskilling employers, and higher education institutions (HEIs) need to know about degree apprenticeships in 2026. 

Who is involved in a degree apprenticeship? 

A degree apprenticeship is a combined education and employment programme where you work for an employer while studying part-time at a university, allowing you to earn a full bachelor's or master's degree without paying any tuition fees. 

These programmes are designed in close partnership with employers, universities, and professional bodies to ensure the curriculum directly aligns with industry needs. Apprentices typically spend 80% of their time working and 20% studying.  

To understand where they fit within the wider educational landscape, it helps to compare them to higher apprenticeships: 

Higher vs. degree apprenticeships comparison 

Apprenticeship Type	Level	Educational Equivalent	Key Characteristics
Higher Apprenticeship	Levels 4 & 5	Foundation degree, Higher National Diploma (HND), or first year of a Bachelor's.	Focuses on advanced technical skills. Often delivered by Further Education (FE) colleges or independent training providers.
Degree Apprenticeship	Level 6	Full Bachelor's degree (BA, BSc, BEng).	Combines full-time work with part-time university study. Takes 3–6 years to complete.
Master's Degree Apprenticeship	Level 7	Full Master's degree (MA, MSc, MBA).	Designed for senior professionals or graduates looking to specialise. Note: Subject to new 2026 funding restrictions.

How do degree apprenticeships work? 

Degree apprenticeships are tripartite agreements between the apprentice, the employer, and the training provider (usually a university).  

• The structure: The 20% off-the-job training is typically delivered via "day release" (attending university one day a week) or "block release" (attending university for a week or two at a time).  
• The duration: Depending on the subject area and level, programmes take between three and six years to complete. 
• The assessment: Like all modern apprenticeships, learners must pass an End Point Assessment (EPA) – an independent evaluation of their Knowledge, Skills, and Behaviours (KSBs) – to successfully complete the programme. 

How are degree apprenticeships funded in 2026? 

One of the most attractive aspects of a degree apprenticeship is that the learner pays absolutely nothing towards their tuition. Instead, the costs are covered by the employer and the government. The government currently spends 18% over £500m on degree-level apprenticeships – approximately one fifth of the entire apprenticeship budget. 

• Levy-paying employers: Businesses with a pay bill over £3 million pay 0.5% into the apprenticeship levy (with a £15,000 annual allowance). These funds sit in a digital apprenticeship service account and can only be used for training and assessment. 
• Non-levy employers: Smaller businesses (SMEs) pay just 5% of the training costs (co-investment), while the government funds the remaining 95%. 

The January 2026 Level 7 funding restriction 

A critical update for 2026 is the restriction on Level 7 (Master's equivalent) funding. Previously, Level 7 starts grew more than fivefold, from 4,500 to 33,600. However, to rebalance the budget towards younger learners, Level 7 apprenticeship funding is restricted from January 2026 to those under 22, or under 25 with an Education, Health and Care Plan (EHCP) or care leaver status.  

This is a massive shift for the sector. With 27% of higher apprenticeships delivered by HEIs, the sector faces a potential income loss of up to £177.6m due to these levy changes. 

Degree apprenticeship vs traditional university: what are the key differences? 

Despite their rapid growth, a stigma remains. According to the Prospects Early Careers Survey (2022), 50% of A-level students still view apprenticeships as second-rate compared to university. However, when comparing the two paths objectively, the immense value of the apprenticeship route becomes clear. 

Feature	Traditional University Degree	Degree Apprenticeship
Tuition Fees	Up to £9,535 per year (2025/26)	£0 (Fully funded by employer/government).
Student Debt	Significant debt upon graduation.	Debt-free graduation.
Income	Part-time jobs (if any) alongside studies.	Earn a full-time salary (Average starting salary: £24,000.
Work Experience	Limited (summer internships or placements).	3–6 years of continuous, highly relevant industry experience.
Social Experience	Traditional campus life, societies, and long holidays.	Professional workplace environment; less traditional "student life."

What are the benefits of a degree apprenticeship? 

For learners, the benefits extend far beyond graduating debt-free. Apprentices typically earn £19,000–£30,000 per year during the programme, gaining real-world skills from day one. 

The career outcomes are also exceptional. According to government data (DfE Apprenticeship Evaluation 2023): 

• 86% of apprentices are in full-time employment after completion. 
• 68% remain with the same employer (rising to 83% for degree-level apprentices specifically) 
• 75% receive a pay increase upon completion. 
• 48% are promoted upon completion. 

To support this growth, the Office for Students distributed £40m to support Level 6 degree apprenticeship provision between Jan 2024 and Jul 2025 (House of Commons Library). Today, there are ~100 UK universities offering over 170 programmes. 

What are the entry requirements for degree apprenticeships? 

Because degree apprenticeships are highly competitive, the entry requirements are rigorous. 

• Academic prerequisites: Most Level 6 programmes require 2–3 A-levels (or a Level 3 equivalent like a BTEC) and GCSE Maths and English at grade C/4 or above. 
• Industry experience: Some employers will accept relevant, sustained work experience in lieu of formal academic qualifications, particularly for mature students or career changers. 
• The application process: Unlike traditional degrees applied for via UCAS, apprentices apply directly to the employer. The process mirrors a corporate job application, often involving a CV, personal statement, psychometric skills assessments, and multi-stage interviews. 

Which subjects and sectors are available? 

Degree apprenticeships are no longer limited to traditional trades. They span highly technical and corporate sectors, including: 

• Engineering and manufacturing (e.g., BAE Systems, Rolls-Royce) 
• Business, law, and finance (e.g., PwC, Barclays) 
• Technology and digital (e.g., IBM, Google) 
• Healthcare and life sciences (e.g., NHS registered nurse degrees) 
• Construction and infrastructure (e.g., Transport for London) 

What are the career prospects and progession paths? 

Graduating with a degree apprenticeship puts learners years ahead of their traditional university peers in terms of workplace readiness. Most apprentices receive a permanent employment offer from their training employer upon completion.  

Furthermore, the lifetime earnings premium is significant, with graduates earning £100,000+ more over their lifetimes compared to non-graduates. While progression to a Level 7 Master's apprenticeship was previously a common next step, the January 2026 funding restrictions mean older graduates will now need to seek alternative funding or commercial training paths for postgraduate study. 

What common mistakes do organisations make when delivering degree apprenticeships? 

For universities and training providers, delivering degree apprenticeships is administratively complex. Here is what many get wrong: 

• Relying on disconnected systems: Managing the university Virtual Learning Environment (VLE) separately from the employer's HR system and the DfE compliance tracker leads to lost data, missed progress reviews, and funding clawbacks. 
• Failing to identify learning needs early: 1 in 3 apprentices is neurodiverse and requires support. Failing to screen for this at the start point leads to high dropout rates and poor inclusion. 
• Treating employers as passive participants: Employers must be actively involved in progress reviews and EPA readiness. Failing to engage them digitally slows down learner progression and risks non-compliance. 

How does OneAdvanced support degree apprenticeship delivery? 

Managing degree apprenticeships requires bridging the gap between higher education pedagogy and strict DfE compliance. This is where modern technology becomes essential. 

The OneAdvanced Apprenticeship Management System is a unified, end-to-end platform designed specifically for this challenge. It combines our market-leading Learner Management System (PICS) for DfE-compliant ILR automation, our ePortfolio (Smart Assessor) for digital evidence collection, and Assessment and Learning (bksb) for functional skills delivery.  

With the launch of our further education platform in January 2026, we provide a single login (OneAdvanced Identity) for learners, university staff, and employers. Furthermore, built-in AI agents and integrations with tools like Cognassist help identify learning needs early, reducing admin and surfacing actionable insights.  

Whether you are onboarding apprentices or preparing them for EPA, our platform ensures you remain compliant and efficient. 

Conclusion 

Degree apprenticeships represent the future of debt-free, highly skilled professional development in the UK. While the January 2026 funding changes to Level 7 present new challenges, the value of Level 6 programmes remains undeniable for learners and employers alike. 

For universities and training providers, success hinges on robust degree apprenticeship management. By adopting unified learner management system solutions and intelligent data platforms, providers can eliminate administrative burdens and focus on delivering outstanding education. 

Ready to streamline your apprenticeship delivery? 

Explore our OneAdvanced Education Sector Hub today, or catch up on our latest education webinars for expert guidance on funding, Ofsted, and performance management. 

Frequently asked questions (FAQs) 

What is the apprenticeship levy and how does it relate to degree apprenticeships? 

The apprenticeship levy is a tax paid by UK employers with a pay bill over £3 million (at a rate of 0.5%). These funds are stored in a digital account and are used to pay for apprenticeship training, including degree apprenticeships. 

How much do degree apprentices get paid in the UK? 

Degree apprentices earn a full-time salary. While it varies by sector, the average starting salary is around £24,000, with most apprentices earning between £19,000 and £30,000 per year during their programme. 

What qualifications do you need for a degree apprenticeship? 

Entry requirements typically include 2–3 A-levels (or equivalent Level 3 qualifications like a BTEC) and GCSEs in Maths and English at grade C/4 or above. Some employers also accept relevant industry experience. 

Can mature students or career changers apply for degree apprenticeships? 

Yes, there is no upper age limit for starting a degree apprenticeship. They are an excellent route for career changers or mature students looking to upskill, provided they meet the entry requirements. 

What is the Level 7 apprenticeship funding change in January 2026? 

From January 2026, government funding for Level 7 (Master's equivalent) apprenticeships is restricted. It is now only available to individuals under the age of 22, or those under 25 who have an Education, Health and Care Plan (EHCP) or are care leavers.