An international comparison of the costs of apprenticeship training for employers

This report examines how much it costs employers to deliver apprenticeships, and how those costs are shaped by different national apprenticeship systems. Funded by the Gatsby Foundation, the study was conducted by the University of Warwick Institute for Employment Research in collaboration with Dortmund Technical University (Germany) and 3s Research & Consulting (Austria).

The research focuses on two occupations that are broadly comparable across all three systems: heating, ventilation and air conditioning (HVAC) engineers and chefs. It compares employer experiences in Germany, Austria and England, offering rare, detailed insight into the costs and benefits of apprenticeship training from a firm-level perspective.

The analysis is based on matched employer case studies, with one firm per occupation in each country. Employers were selected to be as similar as possible in terms of size, service provided, local labour market and level of apprenticeship delivered. In the case of chef apprenticeships, all case studies were drawn from hotels within the same international company, strengthening comparability.

While the findings are therefore indicative rather than definitive, they provide a robust basis for cross-country comparison. Estimates of costs and benefits draw on a well-established methodology developed by Germany’s Federal Institute for Vocational Education and Training (BIBB).

The report highlights important differences in how apprenticeships are designed, delivered and assessed across the three countries, and explores how these institutional arrangements influence employer involvement, coordination with training providers and overall costs. By comparing similar apprenticeships across different systems, the study sheds light on why employer costs vary and what this means for employer engagement, incentives and participation in apprenticeship training.

The findings offer valuable evidence for policymakers and stakeholders seeking to understand how apprenticeship system design affects employer behaviour – and what England might learn from international practice.

Download the report