APPRENTICE JOB MARKET FLOURISHES

Posted on 15th February 2026

While recent official statistics have painted a pessimistic picture of the labour market for young workers, with 16- to 24-year-olds the greatest affected by increases in unemployment, research undertaken by IDR (incomesdataresearch.co.uk) reveals a more buoyant labour market for apprentices.

Over a fifth (22%) of respondents to the research organisation’s latest survey of pay for graduates and apprentices report that their intake of apprentices was higher this academic year when compared to the previous 12 months. Meanwhile around two-fifths feel that their apprentice numbers will increase in the coming year and just 7% believe they will see a decrease in numbers for these roles.

IDR’s survey also looked at pay for apprentices. At all levels, median pay rates for the September 2025 cohort of apprentices are well in excess of the current national minimum wage (NMW) for apprentices of £7.55. Intermediate-level apprentices typically earn £10.27 an hour in their first year of employment – £2.72 or 36% more than the NMW – rising to £10.37 for advanced-level apprentices and £12.17 for higher-level apprentices. Meanwhile the median hourly rate for the newer role of degree apprentices is £12.60 in their first year, representing a lead of £5.05 or 67% over the NMW.

This last group of apprentices has seen much greater salary growth over the last seven years compared with recruits to traditional graduate schemes. Starting salaries for degree apprentices have risen by £8,100 or 51% over this timeframe compared with £3,346 or 12% for traditional graduates. Accordingly, the gap between starting salaries for the two has narrowed from 73% in 2018 to 29% this year. Completion salaries are closer still: the median salary on completion for degree-apprentice roles is £33,630, just £2,370 or 7% lower than the typical completion salary of £36,000 for traditional graduate-entry roles.

‘Graduate programmes remain popular among employers – only around a fifth (19%) of organisations with both graduate and degree-apprenticeship schemes have cut their graduate numbers since launching a degree apprenticeship,’ says Katherine Heffernan of IDR. ‘However, as the salaries for both types of scheme start to converge, degree apprenticeships represent an increasingly compelling option for school leavers looking to avoid the expense of university, while ultimately working towards a similar level of qualification.’

For more information visit www.incomesdataresearch.co.uk