Significant Updates to Functional Skills Regulations

The government is rolling out changes under the DfE Relaxed Functional Skills Rules, allowing adult apprentices (19+) to complete their apprenticeship without passing Functional Skills English and Maths. These qualifications will now be optional for this age group, while 16–18-year-olds must still work towards them.

This adjustment will have a major effect on apprenticeship providers, as fewer learners will require Functional Skills exams. As a result, maintaining in-house testing could become financially impractical due to reduced exam participation.

Impact on Training Providers

Decline in Exam Demand
Now the DfE Relaxed Functional Skills Rules, fewer adult apprentices will need to take Functional Skills exams, leading to a decline in overall exam volumes for providers.

Rising Fixed Costs for In-House Exams
Running exams internally incurs consistent costs, including exam board fees, administrative staff salaries, and per-exam charges. With fewer learners taking exams, continuing an in-house exam system may no longer be a cost-effective choice. Instead, switching to a pay-per-exam model like Pass Functional Skills (PFS) could be a more sustainable solution.

Affordable Alternatives: Pay-Per-Exam with PFS
A pay-per-exam service such as PFS helps eliminate unnecessary expenses by removing the need for:

  • Annual fees to exam boards
  • Dedicated administrative staff
  • Managing in-house exam operations

With this model, providers only pay for exams when required, ensuring compliance while reducing overhead costs.

A Strategic Response to Functional Skills Changes
The DfE Relaxed Functional Skills Rules introduce a substantial shift, making Functional Skills exams non-mandatory for many apprentices. However, for training providers, continuing in-house testing could become a financial burden.

By transitioning to a pay-per-exam service, providers can efficiently adapt to these changes, cut costs, and simplify their Functional Skills processes.

Find Out More
Reach out to Pass Functional Skills at 020 4574 9155 to discover a cost-effective, fully managed Functional Skills exam solution. Alternatively, complete the contact form below, and a specialist will get in touch to discuss how the DfE Relaxed Functional Skills Rules might impact your organisation.