Are Customer Service Apprenticeships Fully Funded?
If you are considering a Customer Service Apprenticeship for your organisation, one of the first questions you may have is how much the training will cost.
The answer depends on several factors, including whether your organisation pays the apprenticeship levy, the age of the apprentice and the funding rules that apply when the apprenticeship starts.
So, are Customer Service Apprenticeships fully funded?
In some circumstances, the government can fund 100% of eligible apprenticeship training and assessment costs. However, this does not apply to every employer or every apprentice, and funding is subject to the relevant funding band and eligibility requirements.
Understanding Customer Service Apprenticeship Funding before you commit can help you plan your recruitment or employee development strategy with greater confidence.
If you are considering a Customer Service Apprenticeship and want to understand how the funding could apply to your organisation, speaking to a training provider can help you explore your options.
Interested in developing your customer service team? Get in touch with Momentous Learning to discuss your apprenticeship requirements.
Table of Content:
What is Customer Service Apprenticeship Funding?
Customer Service Apprenticeship Funding is government funding that can contribute towards the cost of apprenticeship training and assessment.
For employers in England, the amount of funding available depends on factors including the employer’s levy status and the age of the apprentice at the start of their apprenticeship training.
The 2026 to 2027 apprenticeship funding rules apply to apprenticeships starting between 1 August 2026 and 31 July 2027.
It is important to remember that apprenticeship funding is designed to support eligible training and assessment costs. It does not mean that every cost associated with employing an apprentice is covered.
This distinction is particularly important for employers budgeting for a new apprentice.
Can Customer Service Apprenticeships be fully funded?
Yes, in certain circumstances.
Under the current 2026 to 2027 rules, employers that do not pay the apprenticeship levy can receive 100% government funding towards eligible apprenticeship training and assessment costs, up to the relevant funding band maximum, when the apprentice is aged 16 to 24 at the start of their apprenticeship training.
There is also specific provision for some 15 year olds where their 16th birthday falls between the last Friday of June and 31 August.
For non levy paying employers where the apprentice is aged 25 or over at the start of training, the employer generally contributes 5% of the eligible training and assessment costs, with the government contributing the remaining 95%, up to the funding band maximum.
This means the phrase “fully funded apprenticeship” should be used carefully.
The circumstances of both the employer and apprentice need to be considered before confirming the level of funding available.
How does funding work for non levy paying employers?
Many smaller employers do not pay the apprenticeship levy.
Under the current rules, a non levy paying employer can receive 100% government funding towards eligible training and assessment costs where the apprentice is aged 16 to 24 at the start of their apprenticeship training, subject to the funding band maximum and the relevant eligibility requirements.
For apprentices aged 25 or over, the employer generally contributes 5%, with the government paying the remaining 95% up to the funding band maximum.
For employers, this can make an apprenticeship an attractive way to invest in customer service capability while accessing government support towards the cost of training.
However, funding does not remove the employer’s responsibility for employing and paying the apprentice.
How does funding work for levy paying employers?
Larger employers that pay the apprenticeship levy can use funds in their Apprenticeship Service account to pay for eligible apprenticeship training and assessment.
Where a levy paying employer has insufficient funds in its account, the current rules provide for different levels of government contribution depending on the apprentice’s age.
For new apprenticeship starts from 1 August 2026, where a levy payer has insufficient funds, the government can fund 100% of eligible training and assessment costs up to the funding band maximum for apprentices aged 16 to 24 at the start of their apprenticeship training.
For other apprentices, the employer contribution is generally 25%, with the government contributing 75% up to the funding band maximum.
This means levy paying employers should check their available apprenticeship funds and the circumstances of the apprentice before assuming that all training costs will be covered.
Does apprenticeship funding cover the apprentice’s salary?
No.
Apprenticeship funding is intended to contribute towards eligible apprenticeship training and assessment costs. It does not pay the apprentice’s salary.
Employers are responsible for employing the apprentice and paying them in accordance with the relevant employment and minimum wage requirements. GOV.UK confirms that apprentices must be paid at least the applicable minimum wage.
There can also be other employment costs associated with taking on an apprentice, such as equipment, travel or workplace requirements.
This is why employers should consider the overall cost of employing an apprentice rather than looking only at the training element.
Want to understand the difference between apprenticeship training costs and the wider cost of employing an apprentice? Contact Momentous Learning and we can help you explore the apprenticeship route.
What does the funding actually pay for?
Government apprenticeship funding contributes towards eligible training and assessment.
For a Customer Service Specialist Level 3 Apprenticeship, the training is designed to develop customer service and Customer Experience capability across areas such as customer case management, interpersonal excellence, omnichannel service, CRM and ticketing platforms, customer feedback and data, service recovery and customer retention.
The current Momentous Learning programme typically takes 13 months, followed by up to 3 months for End Point Assessment.
Delivery includes dedicated monthly Coaching Conversations, Collaborative Learning Labs, a personalised digital learning plan, practical workplace learning, access to the Momentous Learning Academy and EPA preparation.
This means an apprenticeship is not simply a short customer service course. It provides a structured development programme alongside the apprentice’s employment.
What happens if the training cost is higher than the funding available?
Government apprenticeship funding is subject to a funding band maximum.
If the agreed training and assessment price is higher than the maximum funding available, the employer may need to pay the additional amount.
This is another reason why employers should not assume that the phrase “fully funded” means there will be no employer costs whatsoever.
The funding rules explain that where the total negotiated price exceeds the funding band maximum, the employer is responsible for the additional costs above that maximum.
A training provider should be able to explain the relevant funding arrangements and the price of the apprenticeship before training begins.
Can existing employees complete a Customer Service Apprenticeship?
Yes. Apprenticeships are not limited to new recruits.
This means an employer could consider an existing employee who would benefit from structured development in customer service, provided the apprenticeship eligibility requirements are met and the programme provides appropriate new learning.
For employers, this can make apprenticeships relevant to employee development as well as recruitment.
The Customer Service Specialist Level 3 Apprenticeship can support development across customer service and Customer Experience capability, with learning applied within the workplace.
Why choose a Customer Service Apprenticeship?
Funding is an important consideration, but it should not be the only one.
Employers should also consider whether an apprenticeship matches the skills they want to develop within their organisation.
Customer service teams increasingly need to manage customer cases, communicate effectively across different channels, use digital systems, understand customer feedback and contribute to Customer Experience improvement.
The Customer Service Specialist apprenticeship is designed around developing these broader capabilities rather than focusing solely on complaint handling.
For employers, this can provide a structured way to develop customer service employees while they continue working within the organisation.
If improving customer service capability is one of your workforce priorities, Momentous Learning can help you explore whether an apprenticeship is the right development route.
Is a Customer Service Apprenticeship completely free for employers?
Not necessarily.
The amount an employer contributes depends on factors including:
Whether the employer pays the apprenticeship levy
The apprentice’s age at the start of training
The employer’s available apprenticeship funding
The negotiated training and assessment price
The relevant funding band maximum
Whether the apprentice and employer meet the eligibility requirements
For some non levy paying employers recruiting apprentices aged 16 to 24, the government can fund 100% of eligible training and assessment costs up to the funding band maximum.
For other circumstances, an employer contribution may apply.
There may also be costs associated with employing the apprentice that are separate from apprenticeship training funding.
Therefore, employers should look at the complete picture before deciding whether a Customer Service Apprenticeship is financially suitable.
What should employers check before starting a Customer Service Apprenticeship?
Before starting an apprenticeship, employers should consider:
1. Your apprentice’s age
The apprentice’s age at the start of training can affect the level of government funding available.
2. Your levy status
Whether your organisation pays the apprenticeship levy can affect how the apprenticeship is funded.
3. Available apprenticeship funds
Levy paying employers should check their Apprenticeship Service account and understand how much funding is available.
4. The funding band
Check the funding band maximum for the relevant apprenticeship standard and whether the agreed price falls within it.
5. The training provider
Choose a provider that can clearly explain the apprenticeship, delivery model, funding arrangements and employer responsibilities.
6. The workplace role
The apprenticeship should be relevant to the apprentice’s job and provide genuine opportunities to apply their learning.
GOV.UK states that employers are responsible for ensuring apprentices work with experienced staff, learn job specific skills and receive time during their working week for apprenticeship training.
Is a Customer Service Apprenticeship worth considering?
For employers that want to develop customer service capability, an apprenticeship can offer more than a short training course.
The learner remains employed while developing knowledge and skills through structured training and workplace application.
For existing employees, it can provide a formal development route. For new recruits, it can provide a structured way to develop customer service capability as they grow into their role.
The Customer Service Specialist Level 3 Apprenticeship delivered by Momentous Learning combines practical workplace learning with Coaching Conversations, Learning Labs, a personalised learning plan and EPA preparation.
The key question is therefore not simply whether the apprenticeship is funded.
Employers should ask whether it is the right training solution for their organisation, whether the learner is eligible and what funding contribution applies to their specific circumstances.
How can Momentous Learning help?
Understanding apprenticeship funding can feel complicated, particularly when rules and funding arrangements change.
Momentous Learning can support employers looking to develop customer service employees through the Customer Service Specialist Level 3 Apprenticeship.
The programme is designed to develop stronger customer service and Customer Experience capability through structured learning and workplace application.
If you are considering an apprenticeship for an existing employee or looking to recruit a new apprentice, the first step is to understand your requirements and identify whether the programme is suitable.
Final thoughts
So, are Customer Service Apprenticeships fully funded?
Sometimes.
Under the 2026 to 2027 apprenticeship funding rules, some employers can receive 100% government funding towards eligible training and assessment costs, up to the relevant funding band maximum. However, other employers may need to contribute towards the cost, depending on factors such as levy status and the apprentice’s age.
Funding also does not cover the apprentice’s salary or necessarily every cost associated with employing an apprentice.
For that reason, employers should look beyond the phrase “fully funded” and consider the specific funding and eligibility rules that apply to their circumstances.
If you are considering customer service training for employees, developing existing staff or recruiting a new apprentice, a conversation with an experienced apprenticeship provider can help you understand the options available.
Speak to Momentous Learning today to explore the Customer Service Specialist Level 3 Apprenticeship and discuss your organisation’s requirements.
