Every year, schools pay millions of pounds into the Growth and Skills Levy that could be used to train new teachers, yet the majority of it goes unspent.
For 2026-27, £50.9 billion has been allocated by the Treasury to the schools and high needs block. Even using conservative assumptions (that around 70% of school budgets are spent on staffing and that 90% of schools pay into the levy) this means schools will contribute approximately £160 million to the levy this year. That funding could pay for the training of nearly 18,000 postgraduate teacher apprentices (PGTA) each year.
Yet in 2024-25, just 1,488 apprentices started the PGTA.
Since April 2026, employers have had only 12 months (reduced from 24) to draw down levy funds before they are recovered by the Treasury. While some academy trusts and local authorities have developed robust strategies to invest this money through apprenticeships, many have not – and continue to see the levy simply as a tax.
As ITT providers, we have a collective responsibility to help schools understand and access this significant, ring‑fenced funding stream. Used well, it can strengthen workforce supply and support sustainable partnership working. Left unused, it is simply lost.
Why PGTA delivery has felt so hard
Providers already delivering the PGTA will be familiar with the administrative demands that come with apprenticeship funding: monthly individual learner record (ILR) returns, subcontracting requirements, onboarding documentation, recognition of prior learning (RPL), and Skills England audits.
Aligning apprenticeship funding rules with the ITT Criteria can feel like forcing a square peg into a round hole. Unlike universities and FE colleges, most SCITTs lack established apprenticeship teams or in‑house compliance expertise. For smaller providers, the perceived risks can appear to outweigh the potential reward.
These barriers have been real – and they help explain why PGTA uptake has lagged so far behind its potential.
Why the landscape now looks different
Thanks to sustained work from the trailblazer group, NASBTT, and providers across the sector, meaningful progress has been made in reducing the barriers to PGTA delivery. Over the past year, several important changes have been introduced:
- ITT providers can now subcontract up to £100,000 to organisations with a UKPRN, enabling partnership schools to contribute directly to delivery.
- QTS is integrated with the Apprenticeship Assessment (formerly EPA), removing the need for costly independent assessments after QTS.
- Employers can waive the requirement for apprentices with an equivalency test to complete Level 2 Functional Skills, reducing duplication.
- The minimum duration has been reduced from 12 months to eight, aligning more closely with other ITT routes.
- PGTA shortage subject grants now match ITT bursary values, improving incentives for employers.
- From August 2026, apprentices under 25 employed by non‑levy‑paying employers will be 100% funded.
Together, these changes make the PGTA easier to administer, more attractive to employers, and better aligned with effective ITT partnership.
What still needs to change
Further reform is still required in three areas. In my opinion:
- Teaching is a regulated profession and the ITTECF must be delivered in full, so the assessment of prior learning should be removed.
- ITT providers are already subject to extensive oversight, so the Skills England audit requirement should be removed.
- Teacher Degree Apprenticeship salary rates in the first three years remain prohibitively expensive for many employers.
Even so, the overall direction of travel is positive. The PGTA is becoming more coherent, more viable, and better integrated with established ITT practice. For providers not currently offering it, now is the time to look again.
Avoiding compliance pitfalls
Apprenticeship compliance can feel opaque so to support providers, NASBTT has recently published a Postgraduate Teacher Apprenticeship Funding Audit, updated to reflect the draft 2026-27 apprenticeship funding rules. It helps leaders identify compliance risks ahead of the next cohort start in September and can also act as a practical checklist for new providers.
While supporting providers with their apprenticeship compliance or to start their apprenticeship delivery journey, I’ve noticed a few common problem areas to avoid:
- Subcontracting: ITT providers can now subcontract to organisations with a UKPRN, creating opportunities to draw on expertise beyond their trust. However, this does not remove the need for a subcontracting policy, subcontractor agreements, agreed employer costs, or MYESF declarations, which must be completed twice a year. The 2026/27 rules make this much clearer.
- Keeping documents distinct: The Apprenticeship Agreement and Training Plan serve different purposes and must remain separate documents, even where content overlaps. Both must be clearly and unequivocally signed.
- Acting as your own assessment organisation: Providers may now act as their own Assessment Organisation, awarding the apprenticeship certificate once QTS is recommended. This requires obtaining an EPAO number via the Apprenticeship Assessment Service and ensuring accurate ILR recording.
- ILR accuracy: Missed or inaccurate ILR submissions trigger audit red flags. Data should be checked using the Funding Information Service (FIS) tool before submission and reviewed through PDSAT afterwards to spot audit‑relevant patterns.
Moving forward
The PGTA remains an underused but increasingly viable route into teaching. With reforms beginning to take effect, providers that act now are well placed to support schools, strengthen partnerships, and make better use of funding that would otherwise be lost. As providers become secure with apprenticeship delivery, the levy opens up other possibilities. At the Tommy Flowers SCITT, we are meeting the needs of Milton Keynes’ schools by offering the Level 5 Specialist SEND Teaching Assistant apprenticeship from September 2026 and have the option to add other apprenticeships to our portfolio.
The opportunity is there. With the right preparation – and careful attention to compliance – it is one the sector can ill afford to ignore.
Tom Molloy is Director of the Tommy Flowers SCITT, a medium-sized ITT provider in Milton Keynes offering primary and secondary courses, postgraduate apprenticeships, assessment only and Level 5 Specialist SEND Teaching Assistant apprenticeship.
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