Lower Saxony plans to simplify the financing of vocational training centers from 2027 onwards.

The "complex mixed financing" is soon to come to an end: Lower Saxony plans to subsidize the partial financing of inter-company apprenticeship training (ÜLU) with state funds. The impetus for this came from the skilled trades sector.

The Lower Saxony state government decided on December 9, 2025, to inter-company apprentice training (ÜLU) to strengthen long-term and secure reliable funding. This was announced by the State Chancellery in Hanover in a press release.

The Partial financing of the ÜLU (inter-company training) funding soll to ab In fiscal year 2027 – subject to the decisions of the budget legislature – fully financed by state funds to be. Currently, there is a "complex mixed financing model": In addition to federal and state funds, the vocational training center is also funded by money from Brussels via the European Social Fund Plus (ESF+). The associated administrative requirements – including detailed monitoring of participants – have posed considerable challenges for many providers. The complex processes have repeatedly led to delayed funding allocations and thus to financial bottlenecks. 

"The switch to purely partial funding by the state from 2027 onwards will significantly simplify the process, and future delays in disbursement will be avoided," according to the State Chancellery. Funds freed up from the ESF+ will be used for other funding measures and will therefore remain in Lower Saxony.

"Inter-company apprentice training makes vocational training in Lower Saxony practical and future-proof. It imparts the skills that young people will need later in their working lives – specifically in the workshop, on the construction site, or at the customer's private home," explains Minister of Education Julia Willie, Hamburg (Alliance 90/The Greens). "With our decision today, we are creating planning certainty for chambers of commerce and educational institutions while simultaneously reducing bureaucracy. This is an important step towards strong training structures throughout the country."

LHN's persuasive efforts

Dr. Hildegard Sander, CEO of the LHN Photo: © LHNDr. Hildegard Sander denotes the Inter-company training (ÜLU) is a core component of successful vocational training in Germany. "It ensures that young people can be trained in the full breadth of their skilled trades. This allows for a high degree of flexibility in the job market – especially when the training company, due to its size or specialization, cannot cover all aspects of the training," explains the [source/organization]. Managing Director is State Representation of the Chambers of Crafts of Lower Saxony (LHN) in response to an inquiry from handwerksblatt.de. This is what makes the inter-company training centers so incredibly valuable. In Lower Saxony, over 50 vocational training centers in the skilled trades take on this important task.

In recent years, the processing of funding applications has become so complicated for all involved due to the requirements of ESF funding that, from the LHN's perspective, their inclusion in the state-funded inter-company training (ÜLU) program no longer represented a justifiable cost-benefit ratio. Sander: "Since the state of Lower Saxony places a strong emphasis on reducing bureaucracy, including in public funding, we were able to convince the state government to completely replace the ESF funds with state funds." Coupled with the commitment to make the necessary state funds available in the future, the financing of the state's share of the ÜLU program is a positive step and a clear signal that the state values ​​this extremely important educational service provided by the skilled trades.

Source: Lower Saxony State Chancellery/State Representation of the Chambers of Skilled Crafts Lower Saxony/own research

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