Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, what steps his Department is taking to support SMEs to access skills funding in (a) Hexham constituency, (b) Northumberland, (c) Newcastle, (d) the North East and (e) England.

The government provides a range of financial support to help Small and Medium sized Enterprises (SMEs) in England access apprenticeships. To support non-levy paying employers, which are likely to be SMEs, to access apprenticeships, the government pays the full training costs for young apprentices aged 16-21, and for apprentices aged 22-24 who have an education, health and care (EHC) plan or have been in local authority care. For all other apprentices, employers that do not pay the levy are required to co-invest 5% towards apprentice training costs. For all employers, government also pays £1,000 to both employers and training providers for apprentices aged 16-18, or apprentices aged 19-24 who have an EHC plan or have been in local authority care. Employers also benefit from not being required to pay anything towards employees’ National Insurance for all apprentices aged up to age 25 where they earn less than £967 a week (£50,270 a year).

In addition we are investing in education and skills training for adults through the Adult Skills Fund (ASF). The ASF fully funds or co-funds skills provision for eligible adults aged 19 and above from pre-entry to level 3, to support adults to gain the skills they need for work, an apprenticeship or further learning.

As of August 2025, 68% of the ASF is devolved to 12 Strategic Authorities and the Greater London Authority. These authorities are responsible for the provision of ASF-funded adult education for their residents and allocation of the ASF to learning providers. For learners in Hexham, Northumberland, and Newcastle, the North East Combined Authority (NECA) decides how to make best use of their ASF to meet their local needs beyond four statutory entitlements, including which courses are funded and the eligibility criteria. By honouring our commitments to combine and further devolve adult skills funding, we give those with local knowledge the power they need to make decisions that are best for their areas.