Accountancy apprenticeship over University

[Hillbilly]

Looking for some advice. DS has offers from 2 good unis for Business Management/Environment and Business and has unexpectedly been offered an Accountancy apprenticeship locally. The plan would be that he would do all the AAT exams while working. He is very keen, partly to start working and earning, and also to avoid student debt, although he is sad that he would miss out on uni life.

My question is, once he has completed the apprenticeship and if he decides he wants to move to a bigger company, would he be able to without a degree? Or would he end up having to still do a degree later which of course would be a very different experience than if he went to uni this year.
Thanks!

In that case I would choose uni, but obviously the decision is his.

If he sees his future in accountancy then the apprenticeship will give him an invaluable opportunity to earn while he learns and a basic qualification in the profession. It would also give him invaluable industry experience if he then wants to go forward for a degree apprenticeship. Accountancy is a profession with some interesting areas for specialisation once he has a grounding.

Thanks. Once we have their formal offer we will go back to them with questions if necessary

I think it depends what he thinks he wants long term. If he wants to be an accountant/auditor/tax person in an accounting firm, this is a good path. He should meet and make sure he likes the person who he will directly work for/be mentored by, this will be critical to his success. I'm an accountant who decided I didn't want to be an audit partner, so I went in house in a regulated industry. At lower levels, the lack of degree is likely a positive actually as it shows he is a self starter. At higher levels (VP and CFO) I think it is expected, and you won't get the title without it (nothing to say he can't get it down the line though). Also, if he wants to use the education to work abroad there are often degree requirements to obtain visas. Hats off to him for getting on the job market, at his age I didn't have a clue what I wanted in life.

Why would you saddle yourself with tens of thousands of debt, leaving uni at 21/22, with zero work experience compared non-graduates who will already have years of industry experience under their belt? A school leaver can do a 15 month level 4 and a two year Level 7, meaning they’ll be ACCA accredited just as graduates will be leaving uni. Plus they’ll have earned 10s of thousands of £ along the way.

If a degree is a deal breaker he can do a masters in Accounting or Finance in six months once ACCA accredited. In DS’s case, it was just one ethics module to get the MSc.

It’s a no-brainer to me.

Good point re visas etc.
Tbh I’m not sure he really knows what he wants to do long term. This opportunity has kind of landed in his lap. Maths is his strong point and is studying it at A level.

If he does the accountancy and decides he wants to do something else later (e.g. degree) then he may get a bigger student loan as he may be judged as being independent.

Good point.

Yes agree about the debt from uni and it would also be a struggle for us financially, and if he went to uni he would have to find a job while there.
I don’t think the apprenticeship progression time frame in this offer is as fast as what you mention but will be clearer on that once we receive the formal offer.

Could he ask to defer his degree course, do a year to find out more and then either continue or take up the degree place if the apprenticeship isn't right for him.

Maths is his strong point and is studying it at A level.
Accountancy isn't just Maths; It's also about analysis, decision-making and a thousand other management skills.
Teach him to think critically and ask 'what if' :
What if he took the apprenticeship but didn't like it. Answer: he could probably go to University instead the following year.
What if he went to University but didn't like it. Answer: he would have a year's worth of debt and I doubt he would get offered the apprenticeship again.

He needs to look into the apprenticeship more and find out what the firm is really offering. AAT is the qualification for Accounting Technicians, not Accountants.

Yes I’ve advised him to do this

Yes this apprenticeship would not be available to him at a later date.
I know very little about accountancy (a bit more since doing some research) but understood that AATs were the starting path, followed by ACCA. Is that not the case?

Yes AAT is a foundation for a professional accounting qualification. It’s widely recognised in the UK and well-respected. You can use it to claim exemptions later from some of your professional accounting exams if you decide to study for a full professional qualification.

Accountancy qualifications can lead to a very broad range of jobs. Your ds might go on to do a degree later.

In this day and age, where foundation-level jobs are dying out due to AI, I’d absolutely jump on the chance to earn money whilst learning what accounting is all about. It’s a big worry that the profession will be hollowed out, with the younger generation really not understanding how it all “works”.

I haven't read all the answers but I am ACCA qualified and don't have a degree and have never been asked about whether/why I don't have a degree and have been to alot of interviews as used to do contract roles. My pay doubled once I qualified and have had a patchy career with time out for children then 13 years out of accountancy doing something else but still managed to get a role a year ago despite being old so if he could go on to ACCA/CIMA that would be good I think. Everyone I talk to seems to think AI will do/assist with the basic tasks but we will still need accountants. One of my children graduated 18 months ago with a science degree from a top university and it took him a year to get a job so I would snap up a good apprenticeship in this climate.

There are several different flavours of Accountant. Have a look at this wiki article.
For many years, most went into Accountancy after getting a degree but it was one of the first careers to realise that apprenticeships could be a good offering (it's not surprising that canny financial brains took it up instead of student debt!). You used to have to sign up to a firm of Accountants (the profession) but you can get the qualification through a job in Industry now.
There are lots of types of Accountant, lots of ways into Accountancy and lots of different careers - don't jump at the first thing offered.

I work for one of the largest accountancy training providers and teach apprentices who started with AAT L3 and only 4 years later are fully qualified ACA/CIMA/ACCA accountants, typically earning exactly the same as their colleagues with degrees.

L3 AAT is a great starting position for your DS. The AAT qualifications are being redesigned from September and with have a greater focus on technology & sustainability. If your DS completes L4 he will have exemptions from certificate stage exams in the later qualifications, but he will have done this within only 2 years of leaving school.

Your DS needs to decide if he would be happy with this firm and how they will support him through his apprenticeship eg. who he will be studying with and what do they see him doing in 2 year's time.

Hope it works out well for him.

For immigration purposes for example a BA is essential they don’t let you skip straight to the masters

My DH did this instead of university. He worked for a local firm but quite a large one in our area and there was a whole group of apprentices and trainees all doing study days and exams together. He actually really enjoyed the social side - everyone was a similar age and went on nights out together after training etc. So whilst it's not the same as uni socially, if you have a good group of people of a similar age, there can still be an active social side.

Thank you for all your responses. Once he receives the formal offer I’ll compile a list of questions covering anything that is not clear.

I work in Accountancy recruitment. AAT is an excellent qualification and many good employers will go on to support the ACCA (or slightly less commonly) ACA afterwards. These candidates are often looked upon more favourably as they have more practical work experience- unlike grads who may have impressive degree grades but all of their knowledge is theoretical. I think it’s going to become increasingly common for people not to go to uni and choose this route instead. Good practical knowledge, a great work ethic and rapport building skills go a very long way. A lot of people choose to move to a larger firm to continue studying and increase their experience. He just needs to make sure he works hard for his exams and passes them first time as far as possible.

A school leaver wouldn't be accepted for a L4 Accounting apprenticeship. They wouldn't have the knowledge or experience to be able to do it. At a push, L3. There is no L7 but I think you can go onto the ACCA/CIMA from the L4. I suspect if it's a small firm it may be a L2, which can be completed easily in 8 months, then maybe a year for L3 then 15 months for L4. Still if DC is working, that's fine. They will get a day release for studying, and in the scheme of things it doesn't really matter how long it takes them to qualify.

Engineering rather than accountancy but my son hasn't looked back since swerving A' levels to start an engineering apprenticeship at 16. His friends who went to university wish they'd taken the same route as they're still trying to build their career and have a lot of student debt.

A levels give you the entry point for L3. Both L3 and L4 can be completed within 12 months each. The school leavers can then move onto a L7 Accounting or Taxation Professional apprenticeship, which is no longer available to those with a degree. Within practice that is most likely to be ACA although some sit their ACCA exams instead, which tends to be a slower route.

I would advise to look more closely at the firm and what they are offering. DS started an accountancy apprenticeship in a small firm. He was the only apprentice and in reality it was a fairly isolating experience. They were pretty poor at fulfilling all the parts they were meant to in terms of supporting his study time etc. and often the other people in the team just didn't have the time during the working day to support his learning. He was only 16 so the small office environment was something of a culture shock.

Also check how his AAT study/training is facilitated. DS's was a local recruitment and training company that did the online learning for the AAT and again the delivery and support was pretty poor.

He got his Level 2 AAT and then left. On the upside he was able to decide accountancy wasn't for him without the uni debt but on the downside it wasn't a great experience for a young lad. Zero social life/work friends and a fairly stale working environment.