Two-thirds of automotive industry companies believe hosting apprenticeships has an overall positive effect on business, new research shows.

Employers felt apprenticeships gave them better skilled staff (87%), improved their business image (78%) and improved profitability (72%).

At least 84% think that qualifications achieved by apprentices are very valuable to their business and relevant to the auto-motive industry.

Despite such positivity, 37% of businesses surveyed said they were unlikely to take on an apprentice in the next 12 months mainly due to current economic challenges.

The careers team at the Institute of the Motor Industry (IMI) has been working with training providers and employers to help apprentices in the automotive sector who have been facing redundancies.

Emily Smith, careers assistant at the IMI, said: “We are asking for the continued support of training providers and employers to help recognise the essential role apprenticeships are playing in today’s business world.”

Research by BMG on behalf of the IMI found that benefits of apprenticeships included learning and developing job skills relating to current work or future employment, improving job prospects and gaining valuable qualifications.

Three-quarters of apprentices questioned said they would do an apprenticeship again and would recommend it to a friend.

Employment prospects were strong following a successful completion of an apprenticeship with 83% finding work immediately.

Almost half of these found employment with the same employer they did their apprenticeship with.