The apprenticeship levy, explained.

What every managing partner and HR lead needs to know about funding legal apprenticeships in 2026 — from the levy pot to co-investment, transfers and expiry.

£3m+

Payroll threshold to pay levy

0.5%

Of your wage bill goes into the pot

£15k

Annual allowance for smaller firms

95%

Government funds for non-levy firms

Levy payer or not — it works either way

If your firm IS a levy payer

You pay 0.5% of the payroll above £3m into the levy pot.
You draw down from your own pot to fund apprenticeship training with providers like Datalaw.
You get 24 months to spend each contribution before it expires.
You can transfer up to 25% of your unspent pot to another employer.

If your firm is NOT a levy payer

You pay 5% co-investment; the government covers 95% of training costs.
No levy pot to manage — the funding is applied directly to each apprenticeship.
You can hire an apprentice at any level without a payroll size limit.
You still get all the same training providers and end-point assessments.

Talk to us about your firm's levy strategy

We work with firms across England to turn their levy pot into qualified lawyers. 15 minutes on a call and we'll show you what you're leaving on the table.

Book a call