Do the maths - Apprenticeships Can Pay More Than a Degree

Apprenticeships and technical training hold the key to driving economic growth and there needs to be a shift in values to reward technical mastery as much as academic qualifications, according to business group Logistics UK.

Speaking during the recent  National Apprenticeship Week, Head of Skills Policy Bethany Windsor called for apprenticeships and training to be more closely aligned with labour market needs and highlighted the financial benefits of apprenticeships: in many cases, higher level apprentices can earn almost £5,000 more than an average graduate five years after completing their courses*.

"There is a pool of untapped talent of almost one million 16-to-24-year-olds who are not in education, employment or training and, at the same time, there are some 213,000 job vacancies that are attributed to skills shortages*," said Windsor. "It is a massive, missed opportunity and indicative of an education system that has historically prioritised academic achievement over technical pathways, rather than ensuring both are equally valued in preparing young people for the highly skilled careers that drive economic prosperity.

"Apprenticeships offer employees hands-on experience, sector-specific skills and professional training – all while earning a salary. And the financial rewards continue: five years after qualifying, higher level apprentices earn £37,300, on average, compared to £32,100 for the average university graduate after the same period. In many cases, young people are encouraged to pursue degrees that may not match their talents and interests or align with current economic demand. Currently, 37 per cent of graduates are over-qualified for their jobs and 41 per cent work outside of their field of study*. While university education has clear and lasting value, there must also be a sharper focus on training the workforce for the jobs the country needs to thrive and drive growth. The UK needs both world-class universities and world-class technical training if it is to compete globally.

"Logistics UK supports the government's plans to replace the Apprenticeship Levy with a Growth and Skills Levy, as this will provide employers with greater flexibility and allow up to 50% of funds to be invested in high-quality, non-apprenticeship training that meets immediate workforce needs. Skills England must now move quickly to approve a broader range of sector-relevant courses eligible for levy funding, ensuring the skills system responds directly to the labour shortages across the economy. The reformed levy should also back national careers awareness initiatives such as Generation Logistics, which are critical to attracting new talent into essential sectors."

Logistics UK is committed to nurturing the next generation in the sector and, as a specialist, government-approved apprenticeship provider, it offers industry-focused apprenticeship programmes that meet the business needs of the logistics sector.

Developed by logistics professionals, Logistics UK's apprenticeships range from Level 2 Traffic Coordinators to Level 5 Operations Managers and are designed to strengthen capability, build confidence, and develop strategic thinking across the workforce. For more information on Logistics UK's apprenticeships visit: Logistics UK Apprenticeships

Logistics UK is one of the UK's biggest business groups, representing logistics businesses which are vital to keeping the UK trading, and more than seven million people directly employed in the making, selling and moving of goods. With decarbonisation, new technology and other disruptive forces driving change in the way goods move across borders and through the supply chain, logistics has never been more important to UK plc. Logistics UK supports, shapes and stands up for safe and efficient logistics, and is the only business group which represents the whole industry, with members from the road, rail, water and air industries, as well as the buyers of freight services such as retailers and manufacturers whose businesses depend on the efficient movement of goods. For more information about the organisation and its work, please visit logistics.org.uk

ENDS

*Source: Centre for Social Justice, "Rewiring Education", December 2025