Government boost for apprenticeships with up to £3,000 available for new starts
Today, Rishi Sunak, the Chancellor of the Exchequer set out his much anticipated Summer Economic Update with a focus on “protect, support and create jobs”. Following on from the “build build build” message, today has been all about The Plan for Jobs with skills and young people at the heart of this.
As part of this new focus on jobs, the Chancellor revealed that the Government are making available an estimated 100,000 of new incentive payments for employers taking on a new apprenticeship hire.
Employers in England taking on new apprentices will now be due a payment of £3,000 for each new apprentice they hire aged 16-18, £2,000 for new apprentice starts aged 19-24 and a £1,500 payment for each new apprentice they hire aged 25 and over. This is a great time to hire a new apprentice!
The new incentive will run from 1st August 2020 to 31st March 2021.
Realise are one of the largest apprenticeship providers in England and are ready to help employers recruit, train and access this support. Contact one of the team today for more information and see how we can help to deliver the training and support you need.
Commenting on today’s announcement, Gregg Scott, Realise’s Managing Director said:
“With the right support from the Government, we are confident we have the expertise to deliver the top quality apprenticeships that will help get the country back on track.”
Over the course of the next few days we expect the Government to share more detail of this scheme and how it will work in practice.
The Chancellor also introduced a range of additional measures designed to help the economy, particularly those hardest hit by the pandemic. This includes:
- Job Retention Bonus – A one-off payment of £1,000 to UK employers for every furloughed employee who remains continuously employed through to the end of January 2021. Employees must earn above the Lower Earnings Limit (£520 per month) on average between the end of the Coronavirus Job Retention Scheme and the end of January 2021. Payments will be made from February 2021.
- High quality traineeships for young people – An additional £111 million for traineeships in England to fund high quality work placements and training for 16-24 year olds. Government will fund employers who provide trainees with work experience, at a rate of £1,000 per trainee. The Government will improve provision and expand eligibility for traineeships to those with Level 3 qualifications and below, to ensure that more young people have access to high quality training.
- Kickstart Scheme – A new Kickstart Scheme in Great Britain, a £2 billion fund to create high quality 6-month work placements aimed at those aged 16-24 who are on Universal Credit and are deemed to be at risk of long-term unemployment. Funding available for each job will cover 100% of the relevant National Minimum Wage for 25 hours a week, plus the associated employer National Insurance contributions and employer minimum automatic enrolment contributions.
- High value courses for school and college leavers – £101 million for the 2020-21 academic year to give all 18-19 year olds in England the opportunity to study targeted high value Level 2 and 3 courses when there are not employment opportunities available to them.
- New funding for sector-based work academies – An additional £17 million this year to triple the number of sector-based work academy placements in England in order to provide vocational training and guaranteed interviews for more people, helping them gain the skills needed for the jobs available in their local area.
Contact the team at Realise today to find out how we can help your business: https://learning-employment.com/contact/