It does seem like things have changed a lot since I started work...my company offered both A level entrant schemes and graduate entrant schemes, and it was almost universal that the A level entrants did better, relatively speaking, than the graduates...by the time the graduates came along the A level entrants had 3 or 4 years of experience in the industry. The drop-out rate for graduates was quite high, because they were expected to learn a lot in a short time (fair enough, to justify their higher salary), and many just couldn't hack it. They were also almost universally despised, because they were put in supervisory positions when they had almost no experience, and we all know how massively annoying it is having a clueless boss.
At the last company I worked for almost all positions required a degree at entry level, but that was only for candidates who were coming in completely cold....if you had a personal recommendation it would certainly get you an interview (which is how I got in), and they were far more interested in skills and experience than whether you had a 2:1 in English or Art History.
Personally I would never be deterred from applying for a job for which I had the relevant skills by them requiring a degree. I'd just format my CV to highlight my skills and experience first, and hope that they'd at least give me an interview on that basis.