A new report from the IMI shows apprentice start-ups in 2025 were 20-5% lower than pre-pandemic levels, reflecting the ongoing challenges employers face in attracting new talent.
The IMI Automotive Education Report reveals the sector is still “heavily reliant” on employer funding for apprenticeships.
In the first quarter of the 2025/26 academic year, 45% of automotive apprenticeship starts were levy funded.
This was 7% lower than in both 2024/25 and 2023/24, and 18% below the all-sector average of 63%.
Emma Carrigy, Head of Research and Public Affairs at the IMI commented: “Our latest data shows a clear picture of improved employer investment in training generally, but continued barriers to apprenticeship recruitment.
“Whether that’s a lack of available funding from employers or a difficulty in attracting new talent, more needs to be done to ensure the sector is future proofed for new and changing technologies.
“Supporting more young people into skilled careers is vital for the future of the automotive sector.
Rising employment costs and the complexity of the apprenticeship system continue to make it difficult for automotive businesses to invest in training the next generation.”
Key figures for Q3 2025
- Apprenticeship starts fell 6% year-on-year, to 4,561, remaining 20-25% lower than pre-pandemic levels
- There was an 8% growth in Autocare Technician apprenticeships, while vehicle damage pathways fell
- 63% of automotive apprenticeship starters were aged under 19 – down four percentage points from 2024/25
- The proportion aged 19 to 24 rose by three percentage points to 31%, while starters aged over 25 increased by 1%
- 25,437 qualification certificates were issued, up 12% year-on-year
- 55% of training focused on light vehicle and general maintenance pathways
