Aptem’s expert team analyse the 2023/24 ESFA data and find reasons for cautious optimism
This is a sponsored post from Aptem, proud headline sponsors of the Apprenticeship Guide Awards 2025.
As we start on a new year, it’s worth looking back at the most recent ESFA data that was released late last year and consider what the trends are and how these might change or develop in the coming year. The development of the apprenticeship landscape in the academic year for 2023/24 gives cause for cautious optimism, with a slight uptick in several vital areas, although others show signs of decline. The Aptem data analytics and research team took a closer look at these data to inform the Aptem Intelligence Dashboard. This free tool makes it easy for apprenticeship providers to analyse trends, see gaps in their offerings, produce competitor analysis, and make data-driven strategic decisions from the ESFA data. Read on to discover the key trends emerging from the ESFA data.
The headline statistic is a 0.7% increase in apprenticeship starts compared to the previous academic year. The recorded 339, 582 starts are still 3.5% lower than the 349,192 starts seen in 2021/22, but the modest growth is good news, and perhaps indicates the start of an upward trajectory for the sector. A closer look at the numbers suggests that there may be evolving patterns in employment trends and preferences, although the planned changes by the new government may impact these.
Provider market share remains largely static
Market share amongst providers remains stable, with the distribution of starts by provider type showing once again that general Further Education (FE) Colleges and private sector providers dominate the apprenticeship market. This offers a measure of stability for apprentices, although it should be noted that there has been some consolidation between smaller providers. The consolidation may mean there is some short-term disruption for apprentices and employers, but in the longer term, it could suggest larger companies could offer a broader range of resources at scale to raise the levels of completion.
Older apprentices are growing in number
The distribution of starts by age showed only minor changes:
- Apprentices under 19 years accounted for 23.2% of total starts, up from 23.1% in the previous year.
- Apprentices aged 19-24 represented 28.3%, a 2.7% decline.
- ·The 25+ age group grew to 48.4% of all starts, a 2.4% increase from 2022/23.
This last statistic is interesting. It suggests that there is a growing acceptance amongst adult learners that apprenticeship can be a viable way to advance in their career or start a whole new career path at any point in their working life. The Government’s decision to stop Level 7 programmes is likely to impact starts in this group.
Growth in higher level apprenticeships
This demographic change is likely to be behind the change in the distribution of apprenticeship levels. Degree Level apprenticeships (6-7) showed a significant year-on-year growth of 7.1%
and now account for 14.8% of all starts. Higher Levels (4-5) also showed marked growth, representing 21.2% of starts with a growth rate of 9.1% year on year. Lower levels of apprenticeship do appear to be in decline. Intermediate Level (2) saw a decline of 7.2% compared to the previous year and now make up just 20.9% of starts. Advanced Level (3) showed only a slight decrease of 0.5% but continues to make up the largest share of apprenticeships at 43.1%.
Slight drop in apprentices in new roles
Looking at the number of new employees that embarked on an apprenticeship, there is a slight fall from the 45.7% of starts in 2022/23. In the latest data, apprentices employed for under three months made up 43.3% of starts. There has been an almost corresponding rise in the number of established employees at a company for over 12 months, which now comprises 39% of starts, up from 37% the previous year. While this is good news for career advancement, it is a downward trend for job creation and diversity of opportunity at the lower levels.
A handful of sectors continue to lead the field
The health, public services and care disciplines emerged once again as one of the leading sectors for apprenticeships. This situation is reflected in the top-ranked, most popular programmes, which included Early Years Practitioner and Adult Care Worker at Level 2 and Early Years Educator at Level 3. Business Administration and Law was also a key sector, with some of the most popular programmes at higher levels:
- Advanced Level 3: Team Leader / Supervisor, Business Administrator
- Higher Levels 4 – 5: Accountancy Professional, Data Analyst
- Degree Levels 6 – 7: Senior Leader, Solicitor, Digital Marketing
Engineering and manufacturing technology, Construction, planning and building environment, and Information and communication technology are other leading industries. One outlier from the service industry was the Intermediate Level 2 programme for a hairdressing professional, which remains one of the most subscribed programmes. Certain apprenticeship programmes experienced remarkable growth, including Machining Technician (Level 3) and Solicitor (Level 7). Conversely, some programmes declined, notably Large Goods Vehicle (LGV) Driver C+E (Level 2) and Police Constable (Level 6).
An evolving picture with change on the horizon
The 2023/24 analysis paints a dynamic picture of the apprenticeship ecosystem, highlighting both growth opportunities and challenges. Levy funding remained a critical component, with 68% of starts being levy-funded, mirroring the previous year’s figures. While higher-level apprenticeships continue to gain traction, the decline in intermediate-level starts underscores the need for targeted interventions to support job creation for early-stage learners. Inclusion and diversity of opportunity. With health, business, and engineering sectors leading the charge, apprenticeship programmes are well-positioned to address evolving workforce demands. Whether the upcoming government shake-up, particularly with regards to Level 7 programmes, will have a significant impact on the current trends remains one of the biggest questions for 2025.
You can register for free access to the Aptem Intelligence Dashboard. Registration will provide access to quarterly analysis produced by Aptem’s Data Analytics and Research Team. You can also view an infographic from the web page showing all the latest report’s key statistics.
