New £6.3m Incentive Fund to Support T Level Industry Placements in Construction and Health

The Department for Education (DfE) has confirmed the release of a £6.3 million incentive fund to support industry placements for T Level students in the construction and health sectors.

This targeted Employer Support Fund (ESF) aims to ease the upfront costs for businesses, who are offering vital placement opportunities to students undertaking these two-year qualifications. The funding includes:

• £1.8 million ringfenced will be available for all employers delivering the construction T Level industry placements, part of the government’s wider £600m investment in construction training.

• £4.5 million allocated will be available for all employers to set up industry placements in health and social care, as well as additional support for smaller employers providing placements in other T Level subjects.

The funding is designed to help cover key placement costs between 23 April 2025 and 31 March 2026, with a maximum per-student claim of £800. Payments will be processed bi-monthly in arrears via a new online claims system (details to follow from DfE).

This initiative responds directly to feedback from earlier pilots, recognising the logistical and financial barriers many employers face in supporting industry placements. With T Levels requiring a minimum of 315 placement hours, this funding could be a meaningful step in scaling up student access to real-world experience, while also helping employers cultivate future talent.