Business bosses from around the UK explain how apprenticeships are helping their companies thrive.

Hiring an apprentice is one of the most cost-effective ways to grow your business and address the skills gap. With apprentices learning the precise skills your business needs, you can be sure you’ll benefit from tailor-made trainees.

In this article, bosses explain how apprenticeships are helping boost business at their accountancy practices, as well as how to make apprenticeships work.

Why apprenticeships work well

It’s difficult to fill vacancies in accountancy right now: apprentices can help with that

Gail Rajjayabun, Head of People Development, David Allen, a Cumbria-based practice with 12 AAT apprentices: “It’s very difficult to recruit qualified accountants right now or convince them to move, possibly because they’ve reached a certain level. For us, apprenticeships are a great way of growing our talent and help with succession planning. We hope they’ll become our partners, managers and directors in the future. Because they’ll have grown up with David Allen, they’ll be familiar with our culture and processes.”

Our apprentices are building a pipeline of future leaders

Clare Elsby, head of people and culture, Elsby & Co, a Northamptonshire-based chartered accounting firm with two AAT apprentices: “Apprentices are good for us because we get to train them right from scratch; there’s no reason our current apprentices can’t become partners in 10 years’ time.”

Zoe Waring, Head of People, Fortus, nationwide business advisory/accounting firm with 16 AAT apprentices: “We’re increasing the number of trainees at Fortus, partly because having junior staff who can later become senior managers helps build our future management pipeline.”

Apprentices progress faster than many people think

Sean Thorogood FMAAT, Director, ST Accountancy, an Ipswich-based practice with one AAT apprentice: “I’ve seen apprentices start with us who are nervous around communicating; within six months they’re speaking confidently with clients and giving valuable advice… As for me, I started as an AAT apprentice myself around 12 years ago and have run my own business since 2019…”

Waring, Fortus: “The first six months are the heaviest in terms of your investment, but after that, apprentices tend to be left to their own devices.”

We’re saving business costs

Thorogood, ST Accountancy: “As a small business, we don’t pay into the apprenticeship levy. This means we only pay 5% of the overall training package, which works at £300-400 for the AAT course. The government covers the rest.”

Tech-savvy apprentices are making us more efficient

Elsby, Elsby & Co: “Last Monday, an AAT Level 3 apprentice started work in our bookkeeping department. He was given a job migrating client information across spreadsheets; something he did it in just 10 minutes. Everyone was stunned. The whole department has since learned from him!”

Thorogood, ST Accountancy: “If we’re implementing new tech, our apprentices will pick it up straight away, but also suggest ways to run it more efficiently.”

The 20% off-the-job training teaches apprentices indispensable skills

Rajjayabun, David Allen: “Apprentices typically spend one day a week in off-the-job training either at college or with a training provider. Some bosses may argue 20% off-the-job training represents a day away from the office when they could be working, but employers should see this as an investment: the things they learn about will benefit the firm in the long-term.”

There’s a relative lack of paperwork thanks to the training provider

Elsby, Elsby & Co: “The admin isn’t onerous at all; it’s a matter of simply setting up an HMRC portal and filling out a few forms. It takes 30-minutes, max. As for the rest of the admin, the training provider usually handles that.”

How to make apprenticeships work

Look out for these traits when recruiting

Thorogood, ST Accountancy: “We don’t really look for skills and experience in new candidates, because they’re unlikely to have any. Instead, we look for work ethic and drive. If candidates are asking lots of questions, it’s a good sign: it shows their curiosity and willingness to learn.”

Elsby, Elsby & Co: “If somebody has already signed up to study AAT at college, it’s a pretty good indication of their commitment.”

Nobody wants apprentices sitting around making tea: plan what they need to do

Waring, Fortus: “One of the biggest myths around apprenticeships is they’ll be spending their time scanning and making tea. That’s absolutely what it shouldn’t be. As an employer, you need to put the work in. Be strategic in terms of training, devote your time to them and keep them motivated. No apprentice should just sit around, not knowing what to expect.”

Thorogood, ST Accountancy: “Many people assume an apprentice’s role largely involves shredding paper or making tea: that’s as far from the truth as can be. At ST Accountancy, our apprentices don’t get time to do menial tasks because they’re so overloaded with work.”

Set up a buddy system using existing/previous apprentices

Rajjayabun, David Allen: “Having a ‘buddy system’ [whereby an existing/previous apprentice helps new trainees settle into the role] is a great way for older apprentices to learn mentoring, coaching and communication skills, plus how to give feedback. For new apprentices, they can grasp how accounting works from somebody who’s a similar age and isn’t their boss.”

Ensure your apprentice gets to sample all parts of the business

Thorogood, ST Accountancy: “Rather than letting apprentices sit with bread-and-butter bookkeeping or only letting them do VAT returns, we give our apprentices a feel for everything accountancy can offer, such as working with the financial accountant for six months. Giving apprentices a diverse workload allows them to see the bigger picture.”

Paying your apprentices a decent salary will incentivise them

Waring, Fortus: “There is a minimum wage for apprentices [currently £5.28 per hour] but this salary is unlikely to motivate average 18-19-year-olds in their first jobs. At Fortus, we pay above the minimum wage because we want our apprentices to be valued.”

Allow apprentices the freedom to make mistakes

Rajjayabun, David Allen: “Apprentices are going to make mistakes. As employers, we need to let them know this is where true learning happens. Also encourage apprentices to reflect on what they could have done differently. If they’re not making mistakes, something’s not right.”

Apprentices may need some training in legacy tech

Rajjayabun, David Allen: “Gen Z apprentices are proficient with apps and social media such as Snapchat and Instagram, but with work-tech such as Excel, Word, PowerPoint and some accounting software, there’s still some learning to be done.”

Show apprentices what they could achieve in their careers

Thorogood, ST Accountancy: “Apprentices will be loyal but only if you show them potential for career development. Don’t keep apprentices on a low wage or give them menial tasks; put them on a long-term career development plan instead.”

Remember: apprenticeships are a long-term investment

Thorogood, ST Accountancy: “Try applying a cost-benefit analysis to apprenticeships. During the first three months, they’ll need time management and probably cost more than they save you. But over the next nine months, you’ll see benefits. Then, once you take on your second apprentice and get him/her to mentor new apprentices, you’ll really start seeing the rewards.”

Christian Koch is an award-winning journalist/editor who has written for the Evening Standard, Sunday Times, Guardian, Telegraph, The Independent, Q, The Face and Metro. He's also written about business for Accounting Technician, 20 and Director, where he is contributing editor.