Introduction: Updates to Functional Skills Requirements

The government has introduced Relaxed Functional Skills Rules for apprentices, as outlined by the Department for Education (DfE). Under these updated regulations, adult apprentices (aged 19 and over) may no longer need to pass Functional Skills English and maths to complete their apprenticeship. While these qualifications remain mandatory for 16–18-year-olds, they are now optional for adults.

This shift will have a considerable effect on apprenticeship providers, leading to fewer learners taking Functional Skills exams. Consequently, maintaining in-house testing facilities might become financially unsustainable due to reduced exam participation.

Impact on Training Providers

Decline in Exam Numbers

With fewer adult apprentices required to complete Functional Skills exams under the Relaxed Functional Skills Rules, training providers are likely to experience a decline in exam registrations.

Higher Costs for In-House Testing

Operating in-house exams entails fixed costs, such as exam board fees, administrative staffing expenses, and per-exam charges. With fewer learners participating in exams, sustaining internal testing may no longer be financially feasible. A more efficient approach could be transitioning to a pay-per-exam service, such as Pass Functional Skills (PFS).

Cost-Effective Solution: Pay-Per-Exam with PFS

Switching to a pay-per-exam model like PFS allows providers to reduce unnecessary costs, eliminating the need for:

  • Annual exam board fees
  • Salaries for dedicated administrative staff
  • Overhead expenses of running in-house exams

With this model, providers only pay when an exam is needed, ensuring compliance while keeping costs manageable.

Conclusion: Adapting to Functional Skills Changes

The DfE’s Relaxed Functional Skills Rules for apprentices mark a significant policy shift, removing a key requirement for completing an apprenticeship. However, for training providers, maintaining in-house exam operations may no longer be financially viable.

By transitioning to a pay-per-exam model, providers can efficiently adjust to these changes, cut costs, and streamline the Functional Skills assessment process.

Find Out More

Contact Pass Functional Skills today at 020 4574 9155 to learn more about an affordable, fully managed Functional Skills exam solution. Alternatively, fill out the contact form below, and one of our specialists will reach out to discuss how the Relaxed Functional Skills Rules for apprentices may affect your organization.