Budget 2025 | Unpacked: The government's £1.5bn plan for apprenticeships, skills, & NEETs

2025’s Autumn Budget brought confirmation of £1.5 billion in funding for the Youth Guarantee and Growth and Skills Levy.

It comes as the government pushes to reform apprenticeships, address persistent youth unemployment, and tackle ongoing skills gaps in AI, digital, and other critical areas.

While some measures announced by Chancellor Reeves were broadly welcomed, including plans to fully cover the training costs of under-25 apprenticeships for SMEs, industry voices raised concerns about missed opportunities, misdirected efforts, and unanswered questions.

Government confirms £1.5bn funding for apprenticeships & skills levy

The government’s £1.5bn investment in youth skills and employment breaks down into two key areas.