Asda calls on Government to rethink plans to defund leadership apprenticeships

Asda has urged the Government to reconsider plans to defund leadership and management apprenticeships, as it publishes its 2025 Apprenticeship Impact Report during National Apprenticeship Week.

The UK’s third-largest supermarket, which employs more than 140,000 colleagues, highlights the tangible impact apprenticeship funding had on colleagues and local communities last year, including:

• £2.7m invested in apprenticeship training, helping over 200 colleagues complete programmes alongside their day jobs.
• Expanding its offer to 85 apprenticeship programmes, with half of all colleagues completing an apprenticeship since 2024 going on to secure a promotion.
• £1.15m in levy transfers, supporting 165 apprentices across 80 small and medium-sized businesses in London, Leicester, West Yorkshire and Manchester, helping create jobs and support local growth.

Since the levy was introduced in 2017, Asda has invested £19m and supported more than 2,700 colleagues through Levy-funded apprenticeships[1].

Despite this progress, the report also highlights challenges with the current funding system. Last year, £11.7m of Asda’s levy expired unused due to restrictions on how employers can deploy their funds.

The government has signalled its intent to reform apprenticeships in the UK, with reports that the government is planning to make it even harder for retailers to offer leadership apprenticeship opportunities. This would prevent apprentices from moving from the shop floor into management positions, meaning young people could struggle to build long-term careers in retail.

James Goodman, Asda’s Chief People Officer, said: “Apprenticeships are central to helping colleagues build the skills they need to thrive and to developing the next generation of retail leaders. We’re proud to offer high-quality programmes that grow talent within Asda and support local SMEs to upskill their teams.

“The current funding system is holding employers back, with millions in levy funding going unused because of restrictive rules. Reports that the government plan to defund leadership apprenticeships would clearly be a further backward step, that would cut off proven progression routes and weaken the sector’s ability to develop future leaders.”