In a bid to increase employment rates among young people, the Government has decided to improve incentives for employers and create a new flexible apprenticeship scheme, allowing apprentices to work for more than one company. This is intended to allow firms with part time needs to apply for the scheme, whilst the apprentice will be able to combine part time roles to create a full time apprenticeship. The Kickstart Scheme has also been extended for the 2021/22 academic year.
New cash grants and incentives for employers
The current apprenticeship scheme will be improved with payments of £3,000 to employers in England for each new apprentice they hire aged under 25 and continue to pay the employer £1,500 for each new apprentice they hire aged over 25. The schemes will now run until 30 September 2021.
Starting in January 2022 there will be a new “flexi-job” apprenticeship which will allow individuals to work for more than one company via an agency.
Kickstart Scheme extended
The “Kickstart” Scheme announced in the Summer 2020 Plan for Jobs, which creates 6-month work placements aimed at those aged 16-24 who are on Universal Credit and at risk of long-term unemployment, will continue to be available for the 2021/22 academic year. Employers who provide trainees with work experience will continue to be funded at a rate of £1,000 per trainee.
If you’re interested in finding out more about the financial benefits of recruiting an apprentice, get in touch with our experienced advisors.