The Office for Students (OfS) has shared early insights from the first wave of the Degree Apprenticeship Funding Competition (DAFC). With up to £40m available across three waves (January 2024–July 2025), the initiative aims to expand Level Six Degree Apprenticeships and improve access. Ipsos and the Education Policy Institute (EPI) reviewed design, delivery and early outcomes from funding awarded between January and July 2024. Here’s what the findings mean for higher education leaders and apprenticeship providers preparing for future waves.

Funding accelerates industry-aligned programmes

Almost 90% of funded institutions reported growth in Level Six Degree Apprenticeship offerings for 2024/25. Providers launched new programmes aligned with industry needs - showing how targeted funding speeds up course development where demand is high. As eligibility widens in future waves, expect even greater sector-wide scaling.

Increased awareness, especially among underrepresented groups

87% of institutions said DAFC funding boosted awareness of degree apprenticeships among prospective learners. Two-thirds improved outreach to underrepresented groups, including ethnic minorities and those from low-participation areas. Targeted recruitment works - even when it’s not a formal funding requirement.

Strong employer confidence in degree apprenticeships

Employers engaged in funded activities expressed strong confidence in degree apprenticeships. 93% agreed on their value, and 90% plan to keep employing degree apprentices. To maintain momentum, providers should prioritise co-design, so curricula and assessments match evolving workplace needs.

Key enablers and barriers in programme delivery

What drives success? Clear leadership, dedicated project management and early employer partnerships. Challenges include tight timelines and complex administration. Institutions that embedded DAFC projects into existing governance frameworks and set up dedicated workstreams for curriculum, outreach and compliance saw smoother delivery.

Early outcomes: curriculum development and continuous improvement

Wave one funding sparked curriculum development and new programme approvals. Using theory-of-change models helps track how resources lead to outcomes - such as employer sign-offs and application quality - before completion data is available. This approach supports value-for-money assessments and continuous improvement.

Building momentum for equality of opportunity

Equality objectives will grow in later waves, but early providers piloted outreach to widen participation. Activities included school partnerships, bridge programmes and support for non-traditional applicants. Providers must stay compliant with DfE funding rules and assessment reforms to maintain quality as cohorts diversify.

Sustainability: ensuring long-term impact

Sustainability matters beyond the funding window. Early signs - like employer commitment and expanded programmes - are positive. Long-term success depends on employer demand, compliance capacity and inclusive recruitment. Consider multi-year partnerships, shared talent pipelines and co-funded innovation.

Practical steps for providers:

• Engage employers early: use skills audits to align curricula with industry needs and secure multi-cohort commitments.
• Scale outreach: target underrepresented groups through schools, colleges and employers -and track impact.
• Strengthen governance: embed DAFC projects into existing structures with clear roles and dedicated management.
• Adopt theory-of-change: monitor leading indicators to guide improvements and demonstrate value.
• Maintain compliance: keep policies and documentation aligned with DfE rules and assessment guidance.

For expert advice on degree apprenticeship funding, programme design or compliance, please contact Lisa Smith.

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