When does the 12-month levy fund expiry take effect?

New funds entering an apprenticeship service account from 1 August 2026 expire after 12 months if unused. Funds that entered on or before 31 July 2026 retain their 24-month expiry. Check transaction dates in the account because the oldest funds are used first.

What are apprenticeship units and can I fund them with levy?

Apprenticeship units are approved, standalone skills products with unit-specific eligibility, delivery, assessment and funding rules. Levy funds can pay for an approved unit where the employer and learner meet those rules. Check the live Skills England catalogue rather than assuming a subject, duration or price is eligible.

Growth and Skills Levy planner 2026

Q: What is the Growth and Skills Levy?

Growth and Skills Levy reforms broaden the approved products that levy funds can support, including approved apprenticeship units. The levy remains 0.5% of an employer's annual pay bill, subject to the £15,000 annual allowance. The 10% government top-up stops for new funds entering accounts from 1 August 2026.

Q: What happens to my unspent levy after 12 months?

Unused funds expire after the period attached to that account entry. New funds from 1 August 2026 have a 12-month window; funds entered on or before 31 July 2026 keep their 24-month window. Employers should plan against the account's transaction dates and use only eligible approved products.

Model a 12-month levy pot under the rules for new funds from 1 August 2026, then compare planned spend across approved apprenticeships and apprenticeship units. Use the result with your account's transaction-level expiry dates.

Your levy details

Annual pay bill (£) Total gross wages and salaries paid to UK employees.

English payroll percentage (%) Approximate share used to determine the notional funds reaching the English apprenticeship service account.

Existing unspent pot in DAS (£) Enter the current balance, then check its individual transaction and expiry dates in the apprenticeship service.

Planned apprenticeship starts (next 12 months)

Average funding band per apprentice (£) Use the published funding band for each exact standard and version.

Planned approved apprenticeship units Check the live Skills England unit page for eligibility, minimum delivery and maximum funding.

Average unit cost per learner (£)

Levy pot summary

Annual levy payable —

Monthly new levy funds —

12-month pot available —

Planned apprenticeship spend —

Planned units spend —

Unspent pot (at risk) —

12-month spend plan

New funds entering an account from 1 August 2026 expire after 12 months; entries made on or before 31 July keep their 24-month window. This projection treats your opening balance as one amount, so use the apprenticeship service for each transaction's actual expiry date.

Balances are projections based on your inputs. Actual DAS balance depends on claim timing, training cost phasing, and any transfers in or out.

What changed: levy to Growth and Skills Levy

Levy calculation: 0.5% of the annual pay bill, less the £15,000 annual allowance.
Top-up ends: The 10% government top-up does not apply to new funds entering levy accounts from 1 August 2026.
New 12-month expiry: Funds entering accounts from 1 August 2026 expire after 12 months. Entries made on or before 31 July 2026 retain the 24-month window.
Apprenticeship units: Levy funds can pay for an exact approved unit only where its employer, learner, delivery and assessment rules are met.
New-start funding from 1 August 2026: Levy employers with insufficient account funds pay 25%; non-levy employers pay 5% for apprentices aged 25+; eligible non-levy starts aged 16–24 are government-funded up to the band maximum.

Frequently asked questions

What is the Growth and Skills Levy?

Growth and Skills Levy reforms broaden the approved skills products that levy accounts can support. Eligibility remains product-specific, and the 10% top-up ends for new funds entering accounts from 1 August 2026.

When does the 12-month expiry rule start?

1 August 2026 for new account entries. Funds entered on or before 31 July 2026 keep their 24-month expiry. Check the apprenticeship service for individual entry dates.

What are apprenticeship units and how are they funded?

Apprenticeship units are standalone approved products with their own occupational scope, learner criteria, delivery minimum, skills test, employer validation and maximum funding. Check the live Skills England product page before adding one to a plan.

Can I transfer levy funds to avoid expiry?

Yes — levy employers can transfer up to 50% of their funds to support apprenticeships in other businesses through the apprenticeship service. Check the current transfer rules and available balance before making a commitment.

Before committing funds, check the official 2026/27 funding rules and the live Skills England page for the exact standard or unit. This calculator is a planning aid and does not reproduce transaction-level account rules.

Manage levy spend across your cohort in real time

TIQ-plus gives training providers and employer teams live visibility of levy utilisation, programme progress, and funding band compliance — so you never lose a pound of levy to expiry.

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