An electrical apprenticeship costs almost nothing for the apprentice and far less than most employers think. The government funds 95 to 100% of training costs. This guide covers the levy, funding bands, co-investment, additional costs for tools and equipment, and what apprentices earn from year 1 to qualified.
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Written and reviewed by Andrew Moore, founder of Elec-Mate, against BS 7671:2018+A4:2026, IET Guidance Note 3 and the IET On-Site Guide.
An apprentice pays nothing for their training. The government funds 95 to 100% of the cost, capped by the funding band — £18,000 for the Level 3 Installation Electrician standard. Levy-paying employers pay from their digital account; non-levy employers pay just 5% co-investment. Apprentices typically spend £1,500 to £4,000 over four years on tools, PPE, travel and textbooks.
Small employers (fewer than 50 staff) pay 0% when the apprentice is aged 16 to 18 at the start.
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Reviewed by a City & Guilds 2391-qualified electrician and apprenticeship training specialist. Funding figures reflect current ESFA rules and NLW rates from April 2025.
The short answer: almost nothing for the apprentice, and significantly less than most employers expect. The UK government funds 95 to 100% of apprenticeship training costs, making an electrical apprenticeship one of the most affordable routes into a skilled trade.
The Level 3 Installation Electrician/Maintenance Electrician apprenticeship has a funding band of £18,000. This means the government will contribute up to £18,000 towards the cost of the training. The actual cost negotiated with the training provider is usually lower — typically £12,000 to £16,000 — and the employer pays either nothing (if they are a levy payer using their DAS account) or just 5% co-investment (if they are a non-levy payer).
This guide breaks down every cost associated with an electrical apprenticeship — what the government pays, what the employer pays, what the apprentice pays, and what additional costs to expect for tools, PPE, and textbooks.
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How your apprenticeship is funded depends on whether your employer pays the apprenticeship levy. This is determined by their annual payroll.
Large employers (major M&E contractors, facilities companies, housing associations) pay 0.5% of their payroll into a digital apprenticeship service (DAS) account. This money is ring-fenced for apprenticeship training. The employer draws down from their DAS account to pay the training provider. There is no additional cost — the training is fully funded from the levy they have already paid. Unused levy funds expire after 24 months.
Small and medium employers — which includes the vast majority of electrical contractors in the UK — do not pay the levy. Instead, they pay a 5% co-investment towards the training cost, with the government covering the remaining 95%. For a £15,000 training cost, the employer pays just £750 over the full duration of the apprenticeship. Some employers with fewer than 50 employees pay 0% when taking on apprentices aged 16 to 18.
Every apprenticeship standard has a funding band — a maximum amount that the government will contribute towards the training cost. The training provider negotiates the actual price with the employer, which must be at or below the funding band cap.
| Apprenticeship | Funding Band | Typical Duration |
|---|---|---|
| Level 3 Installation Electrician | £18,000 | 42 — 48 months |
| Level 3 Maintenance Electrician | £18,000 | 42 — 48 months |
| Level 3 Electrical/Electronic Technical Support | £21,000 | 42 — 48 months |
| Level 4 Building Services Engineer | £15,000 | 36 — 48 months |
The funding band is the maximum, not the fixed price. Good training providers negotiate competitive rates — a Level 3 Installation Electrician apprenticeship might cost £12,000 to £16,000 in practice. A non-levy employer paying 5% co-investment on a £14,000 training cost would pay just £700 over 4 years.
The government offers several financial incentives to encourage employers to take on apprentices. Understanding these can make the business case for hiring an apprentice even more compelling.
Employers with fewer than 50 employees pay no co-investment at all when taking on apprentices aged 16 to 18.
A targeted £1,000 incentive payment is available to employers who hire apprentices who are care leavers. The general £1,000 incentive for all 16 to 18-year-old apprentices was removed by ESFA for new starts from 1 August 2023. Check the current ESFA guidance for the latest eligibility criteria.
Levy-paying employers can transfer up to 25% of their annual levy to other employers. This means a main M&E contractor could transfer levy funds to a smaller sub-contractor in its supply chain, fully covering the training cost of an apprentice the smaller firm could not otherwise afford to take on.
Training providers receive additional funding for apprentices who need learning support — for example, those with a learning difficulty, a disability, or a recognised additional need. This funding is paid to the provider, not the apprentice, and does not reduce the core training budget.
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Start practising freeWhile the training itself is government-funded, there are additional costs that apprentices and employers should budget for. These are not covered by apprenticeship funding.
| Cost Item | Typical Range | Who Pays |
|---|---|---|
| Basic hand tool kit | £300 — £500 | Varies (often apprentice) |
| AM2-ready tool kit upgrade | £500 — £800 | Usually apprentice |
| PPE (boots, hi-vis, hard hat) | £100 — £200 | Employer (legal duty) |
| Textbooks (BS 7671:2018+A4:2026, OSG, GN3) | £50 — £150 | Varies |
| Travel to college/training centre | £500 — £2,000/yr | Apprentice |
| Exam resit fees (if needed) | £50 — £200 per resit | Varies |
| Competent person scheme fee | £300 — £600/yr | Employer (post-qualification) |
| Topic in the current edition | Regulation | What it requires |
|---|---|---|
| Arc fault detection devices (AFDDs) | 421.1.7 | AFDDs to BS EN 62606 shall be provided for single-phase AC final circuits supplying socket-outlets rated up to 32 A in high-rise residential buildings, HMOs, purpose-built student accommodation and care homes; recommended for all other premises. |
| RCD protection for lighting circuits | 411.3.4 | Within domestic (household) premises, additional protection by a 30 mA RCD shall be provided for AC final circuits supplying luminaires. |
| TN-C-S earthing — protective neutral bonding | 312.2.1.1 | Now includes a protective neutral bonding (PNB) figure and requirements alongside the existing PME arrangement for TN-C-S systems. |
Regulation references verified against BS 7671:2018+A4:2026.
The total out-of-pocket cost for an apprentice over a 4-year apprenticeship is typically £1,500 to £4,000, mostly spent on tools, travel, and books. This is significantly less than the cost of a university degree, and apprentices earn a wage throughout.
Good tools are an investment in your career. A well-equipped electrician works faster, safer, and more professionally. Here is what to budget for at each stage:
Insulated screwdrivers (flat and Phillips), side cutters, long-nose pliers, cable strippers, voltage indicator pen, tape measure, junior hacksaw, spirit level, Stanley knife, tool pouch or bag. Focus on quality brands — Knipex, Wera, Wiha, CK Tools — they last longer and perform better than budget alternatives.
Crimping tools, conduit bending tools, SDS drill bits, hole saws, a better multimeter, a fish tape or draw wire kit, and a proper tool bag or backpack. Your employer should provide power tools (SDS drill, jigsaw, chop saw), but some apprentices invest in their own cordless drill and impact driver.
The AM2 assessment requires specific tools. Budget for a GS38-compliant voltage indicator, a proving unit, lock-off devices, a low-resistance ohmmeter (or multifunction tester if provided), and a complete set of quality hand tools. Check the AM2 tool list published by your assessment centre well in advance.
GS38 is the HSE guidance note covering electrical test equipment for use on low voltage systems. A GS38-compliant voltage indicator must have fused test leads, finger guards or shrouded probes, and an appropriate CAT rating for the voltage being tested. The Guidance Note 3 (GN3) safe isolation procedure requires you to verify absence of voltage with a GS38-compliant instrument both before and after isolation — not just once. Assessors at the AM2 will check that your voltage indicator meets GS38 and that you follow the correct prove-dead sequence.
Unlike university, an apprenticeship pays you a wage from day one. You earn while you learn, and your wages increase each year as your skills and productivity grow.
| Stage | Typical Annual Wage |
|---|---|
| Year 1 apprentice (16 — 18) | £12,000 — £16,000 |
| Year 2 apprentice (19+) | £16,000 — £20,000 |
| Year 3 — 4 apprentice | £18,000 — £24,000 |
| Newly qualified electrician | £28,000 — £35,000 |
| Experienced electrician (5+ years) | £35,000 — £50,000+ |
| Self-employed electrician | £40,000 — £70,000+ |
Over a 4-year apprenticeship, a typical apprentice earns £60,000 to £80,000 in total wages — while also gaining a fully funded Level 3 qualification worth £12,000 to £18,000. Compare this to a university graduate who leaves with £40,000 to £50,000 of student debt. The financial case for an electrical apprenticeship is compelling.
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