Introduction: Major Changes to Functional Skills Regulations

The government has announced Relaxed Functional Skills Rules for Apprentices, as outlined by the 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 will remain mandatory for 16–18-year-olds, they will now be optional for adult apprentices.

This policy shift will have a significant impact on apprenticeship providers, leading to a decline in the number of learners requiring Functional Skills exams. As a result, maintaining in-house testing facilities may become financially unfeasible due to decreased exam participation.

Effects on Training Providers

Declining Exam Numbers

With fewer adult apprentices needing Functional Skills assessments under the Relaxed Functional Skills Rules, training providers will likely see a reduction in exam registrations.

Increased Costs for In-House Testing

Running in-house exams comes with fixed expenses, including exam board fees, administrative staffing costs, and per-exam charges. With reduced exam participation, sustaining internal testing may no longer be a viable option. A cost-effective alternative is adopting a pay-per-exam service such as Pass Functional Skills (PFS).

Affordable Alternative: Pay-Per-Exam Model with PFS

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

  • Annual exam board fees
  • Salaries for dedicated administrative staff
  • Management and overhead costs of in-house exams

Instead, providers only pay when an exam is required, ensuring compliance while optimizing expenses.

Conclusion: Navigating the Functional Skills Rule Changes

The DfE’s Relaxed Functional Skills Rules for Apprentices mark a major shift, removing a key requirement for apprenticeship completion. However, for training providers, maintaining in-house exam operations may no longer be cost-effective.

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

Learn More

Contact Pass Functional Skills today at 020 4574 9155 to explore 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.