Co-op Unveils £70m Skills Investment Aimed at Creating 7,000 Apprenticeships by 2030
London, UK — The Co-operative Group has announced an extensive new commitment to expand training opportunities across the UK, confirming a £70 million investment designed to generate 7,000 apprenticeships by 2030. The initiative marks the retailer’s most significant skills pledge to date and places emphasis on supporting smaller employers and communities where access to career pathways has been historically limited.
This expanded programme builds on Co-op’s existing Levy Share service, an initiative launched in 2021 that redistributes unused Apprenticeship Levy funds from large organisations to smaller employers who cannot afford full training costs. The Group says the new funding will allow thousands of learners to begin apprenticeships over the remainder of the decade, particularly in sectors facing labour shortages.
A group of happy future appendices delighted with the news the C0-OP is investing apprenticeships.
The Co-operative Group has announced a major £70 million investment to create 7,000 apprenticeships by 2030, expanding its Levy Share programme to support smaller employers and communities with limited access to training. The initiative aims to reverse declining apprenticeship numbers, improve social mobility, and strengthen key sectors facing labour shortages. Co-op is also urging Skills England to begin collecting socio-economic data to better understand who is benefiting from the apprenticeship system.
Major Push to Reverse Declining Apprenticeship Numbers
England has seen a notable drop in apprenticeship starts since the introduction of the Apprenticeship Levy, with overall participation down by more than 30%. Co-op says its new pledge is partly a response to this decline, which has left many young people and career-changers without accessible training options.
The organisation highlighted that many smaller employers — including charities, community businesses, early-years providers, and care organisations — struggle to fund apprenticeships even though they are among the employers most in need of new talent. Co-op’s scheme enables these organisations to accept apprentices without shouldering the full cost of training.
Levy Share Programme Already Supporting Thousands
According to Co-op’s latest figures, its Levy Share service has already funded more than 3,800 apprenticeships, with a strong focus on delivering opportunities to underserved communities. The organisation reports that:
- Around two-thirds of supported apprenticeships have taken place in some of the country’s most disadvantaged areas.
- A significant share of placements have been in essential services such as care, early years, customer service, digital, and transport engineering.
- The programme has encouraged other levy-paying organisations to divert unused funds, preventing millions of pounds from returning to the Treasury unused.
The new £70m pledge is expected to accelerate this progress, enabling Co-op to match several thousand more apprentices with participating employers over the next five years.
Supporting Underrepresented Groups Into Skilled Employment
Co-op has released new demographic data outlining the diversity of learners supported so far. The organisation states that:
- 31% of its matched apprentices identify as non-white British
- 16% have declared a disability
These figures indicate a reach beyond traditional applicant pools, with Co-op positioning the programme as a driver of social mobility and inclusion.
The organisation has emphasised that apprenticeships remain a vital pathway for people who may not have the means to pursue university education or full-time study.
Innovative Projects Include UK’s First Prison-Based Rail Apprenticeship Route
One of the most distinctive elements of Co-op’s apprenticeship strategy is its partnership with City & Guilds to support a rail engineering apprenticeship pathway for prison learners. Based at HMP Highpoint, the programme offers training for a recognised Level 2 qualification in rail engineering.
Participants can begin training while in custody and continue their learning upon release, with the aim of securing stable employment and reducing the risk of reoffending. Co-op says the project demonstrates how levy funds can be used to “unlock potential in areas where opportunities are rarely available”.
Call for National Data on Socio-Economic Barriers
As part of its announcement, Co-op is urging Skills England to begin capturing socio-economic background (SEB) data for all apprentices. Currently, the government collects limited data on apprentices’ personal or financial backgrounds, making it difficult to evaluate the system’s impact on social mobility.
Co-op argues that the absence of this data means policymakers cannot accurately assess which groups are being excluded. Introducing SEB data, the Group suggests, could help target investment in regions and communities most affected by low access to training.
Senior Leadership Statement
Co-op’s Chief People and Inclusion Officer, Claire Costello, described the new investment as a long-term commitment to widening opportunity:
“Apprenticeships offer transformative potential for individuals, employers and local economies. Our aim is to ensure that unused levy funds are turned into opportunities — rather than allowed to go unspent — so that thousands more people can gain vital skills for the future workforce.”
Costello also encouraged other large employers to take part, noting that levy transfers remain significantly underused across the UK.
Addressing Critical Skills Shortages
The programme is expected to contribute to workforce development in sectors with persistent recruitment challenges, including:
- Digital and cybersecurity roles
- Early years education and childcare
- Engineering and rail infrastructure
- Green technology and sustainability-related fields
Co-op says apprenticeships will play a vital role in meeting future labour demands as the UK transitions towards more advanced, tech-driven and environmentally focused industries.
Strengthening Local Economies Through Skills Development
Co-op has highlighted that the economic impact of apprenticeships extends well beyond the cost of training. Apprenticeship-qualified workers contribute significantly to productivity, help employers grow sustainably, and often remain in their local communities after completing training.
By focusing funding on smaller businesses, the organisation expects the benefits to circulate directly into local economies, particularly in regions where employment and educational opportunities remain limited.
A Long-Term Strategy for National Skills Growth
The £70m pledge signals a long-term strategic approach to skills development, combining:
- Redistribution of unused levy
- Support for employers with limited training budgets
- Commitment to inclusion and equal access
- Promotion of cross-industry collaboration
- Calls for improved national data collection
Co-op says this combined approach will ensure the apprenticeship system becomes more transparent, more equitable and better aligned with the UK’s evolving skills needs.
About The Co-operative Group
The Co-operative Group is one of the UK’s largest co-operatives, with businesses spanning food retail, funeral care, insurance, legal services and community programmes. The organisation has a long history of investing in communities and using commercial activity to deliver social value.
Darryn Lewis